So you’ve decided that you want to start a home repair contracting business. Now what? Taxes, licenses, and insurance can all seem like overwhelming obstacles when you’re faced with actually starting your dream business. However, you don’t have to drown in what-ifs. All it takes is breaking the process down into manageable steps, and you’ll be well on your way to running your own home renovation business.

Get Your Paperwork in Order

The very first step in starting your contracting business is getting all of your paperwork done. You can’t start helping clients unless you have all of the required permits and permissions to protect both your business and your clients. This paperwork can be long and tedious, and it can seem like it’s keeping you from doing the actual hands-on contracting work, but making sure everything is set up correctly now will save you a headache later.

Licenses

The first thing you’ll need is to apply for licenses and permits. As a small business, you’ll most likely need state paperwork, not federal, since state permits cover the wide category of “construction”. However, requirements do change depending on the state, so you’ll want to double-check exactly what papers your state requires that you fill out. If you plan to work across state borders, you’ll want to make sure you meet the requirements for both locations. These licenses can expire, so make a note of the expiration date after you file them and set a calendar date to renew them well in advance of the expiration.

Insurance

Once again, you’ll need to check both state and federal requirements for the insurance that you’re legally required to purchase. The federal government requires every business with employees to have worker’s compensation, disability, and unemployment insurance, but state requirements may add more. These requirements will change depending on what type of business structure, like a limited liability company (LLC) or corporation. The most basic form will provide you with only limited protections, which is why you should also look into business insurance.

Business insurance covers the gaps that the basic insurance doesn’t. As a home repair contractor, there will be unavoidable risk factors, and a general liability insurance, professional liability insurance, or small business owner’s policy can help protect you against any mishaps on the job.

Taxes

Your newly-licensed business will have to pay taxes, which means that you also need to apply for an Employer Identification Number (EIN). You can apply online for free. This number will be associated with your business entity, and be used when you’re filing taxes. You’ll need to provide information about your business ownership and structure, and you’ll need to update your EIN if that structure ever changes.

Your EIN is what lets you move onto the next step: opening a bank account.

Bank Account

You’ll also need to open a business bank account before you start managing money as your business. Not only is it more professional for your clients for you to have your personal and business accounts separate, it’s also more secure. No matter how small your business may be, it’s best to get your business bank account set up now to provide both professionalism and space for future growth.

Having an account allows clients to address money to your company instead of directly to you when they’re paying for home improvements. In addition, a merchant services banking account lets you accept credit card payments. You’ll also be able to clearly track and manage your cash flow with a business-specific bank account.

Hire Your Team

There are very few jobs in home repair that can be done quickly with one person, which is why you’ll need to look for employees for your contracting business. Building a team of people you trust is what turns your business dream into an achievable reality.

Hold Interviews

Before you host interviews, you’ll need to get the word out and advertise your positions to people you think would be a good fit. Posting your positions on job sites like LinkedIn and Indeed can help you connect with potential candidates.

Even if you already know who you’re planning to hire for your small business, it’s always good form to set up a precedent of having an interview. It makes things equitable for any future hires you do interview, and interviews are more than just seeing if a person is right for a job. It’s an opportunity for both parties to ask questions and get to know the goals and expectations of working together.

Set Clear Expectations

Once you’ve hired your employees and filled out their new hire paperwork, it’s almost time to get out and hit the job site. Before you do, though, you’ll want to make sure your employees are comfortable and confident in what you’re asking them to do. Small businesses survive off of good reputations, and every single member of your contracting business is responsible for upholding that reputation.

Setting necessary expectations like workplace safety and customer service before you start a home renovation will allow your employees to be confident in their work, and will allow you to make the best impression on your clients.

Make a Business Plan

Planning keeps your business growth on track, so you’ll want to set business goals and review them annually. Here are a few tips on how to make that growth happen.

Market Your Business

To get home repair jobs, people need to have heard of your home improvement business, which is where marketing comes in. In the digital age, modern marketing is online marketing. Making your business easily visible and navigable from the internet is a key part of improving your accessibility to customers. A social media profile, a Google business profile, and a website are all a must for successful marketing.

Schedule Your Jobs

Once the job requests have started coming in, you need to manage your schedule. One of the appeals of starting a small business is having the time flexibility that comes with being your own boss. Still, time flexibility can go both ways. Having clear and accurate time estimates for home remodeling will help you keep your clients happy when you meet the deadlines you’ve agreed to, and will make your employees happy when you don’t need them to work overtime. Keeping an eye on your calendar can be a pain, but it’s a sign of success–having to manage project time means that your construction business is in demand with clients!

Shop Silicone Depot for the Best Materials

No contracting business is complete without the proper tools for the job. Essentials like drills, wrenches, and tape measures should all be added to the list of necessary items.

You’ll also face a need for silicone sealant in many of your home renovation projects. Silicone sealant fills gaps and cracks in all kinds of surfaces, and come in a variety of types. Silicone Depot lets you buy sealant in bulk so that you can get professional-grade products at an affordable price. Let us help you get your contracting business off the ground by setting you up for success with the tools you need! Check out our catalog of silicone types and accessories today!