The snow season does not only bring extreme cold but can also leave a toll on different aspects of life. From transportation to sports and agriculture, the season is one every American feels its impact. Although snow removal business may be a seasonal one, it brings you extra income during the cold months.
This type of business doesn’t require many tools. With primary snow removal tools like shovel and wheelbarrow, you can start a snow removal business. However, running a successful snow removal business may require more than just the tools. You will need knowledge, organization, patience, skills, and many more qualities to stand out in the business.
In this post, we have highlighted some necessary tips that would help you start a successful snow removal business.
Tips for Starting a Snow Removal Business
Check to see if snow removal business is profitable in your area
It is always a profitable venture if snow removal business is started in an area where it is really needed. It doesn’t make sense to start such a business in an area where snow is not an issue. So before opting to start a snow removal business, double-check to be sure you reside in an area where snow falls every year. If your area is not one that receives heavy snowfall, you might just need to consider another type of business entirely.
Identify who your potential customers are
As a new startup in the industry, your potential customers might be residential clients. In the first few years of starting the business, you will likely be removing snow in a residential parking lot or at storefronts. Bigger jobs like clearing a big parking lot will likely be reserved for the big snow contractor companies.
Is sub-contracting an option?
Since you might be limited to only removing snow for residential clients, that doesn’t mean you can’t also be a part of the bog jobs. Most big snow removing companies use subcontractors to get their work done. So you can reach out to such companies to know if they might need your help. Chances are that you will get on their list, especially if they haven’t employ anyone else during the winter. This is definitely an easier way to get a cut of the big pie without going against the big companies.
Invest in the right equipment
Since there are different factors beating against snow removal business, it may be difficult to successfully pin down the actual costs you need to get your equipment. There are some professional snow removing companies that made good success with just one plow truck while some required multiple trucks before they could make headway. However, to be successful as a snow removal business, you will need to invest in purchasing the right equipment.
So what kind of equipment will you need for your business? Since you are starting out small, working with residential clients, some tools and equipment you need might be a plow truck, shovels, wheelbarrow, snow blower, and rock salt.
Get the necessary permits and licenses for your business
Every business needs the right license and permits to run successfully and legally. So find out what license you need to obtain in your state to allow you to run a snow removal business without going against the law. To know this, simply walk into the state secretariat and enquire about it.
Obtain insurance for your business
Snow removal business also has its own risks. Dangers can come during work hours – either to you or your workers. So you need the right type of insurance to protect you and ensure your business continues to run even in the face of danger. Some insurance to look out for include snow removal insurance, commercial auto insurance, and compensation insurance.
Know how much to charge for your services
As a startup, the best way to quickly gain ground and win more customers to yourself is to set competitive prices for your services. Check what other companies rendering similar services charge and see how you can use that information to set your own pricing. However, make sure the price you will be setting works well for your business. First, check the costs of supplies and equipment maintenance before coming up with a price list.
Hire more hands to help
As business begins to boom, you may need to get more people on board so you can meet the expectations of your customers. You may need to employ more staff to help. But make sure you are getting the best team to help run the business. Lookout for competence, honesty, and diligence.
Advertise locally – and for free
Marketing your business is important to the success of the business. To allow people to patronize your snow removal business, they need to be aware that you do such a thing. So you will need to advertise. But that doesn’t mean you need to cough out a huge amount of money for advertising. You can take advantage of the free local ads and online services.
Set up a Google My Business page for the business to win more clients around you. Get your business on some review sites like Yelp and Yext too. Don’t forget Craigslist and Facebook. They can also do magic for your business.
Final Note
Starting a snow removal business can be a lucrative one – whether on a part-time or full-time basis. However, there are some requirements you need to make. One of them is having the right environment for such a business. We have said a lot about how you can start and grow a snow removal business in the above points. Read through them again before stating your snow removal business.
