business plan

5 Things You Need to Know Before Starting a Business

Plumbing Perspective August 17, 2021

We get it. Starting a business can feel overwhelming. Starting a brick-and-mortar business can feel even frightening. There are so many pieces to put in place, and if you drop the ball on even one of them, your entire business could be in jeopardy. That’s why we took the time to create this short checklist for starting a new business. It will help you avoid many of the common mistakes people make when they get started and understand what you need to do every day to ensure your start-up stays afloat.

1. Register Your Business with the IRS

Once you know what type of business you’re creating and what product or service you will offer, you need to register your business name. Whether you do that as an LLC or a corporation, you must take this first step as early as possible. An LLC is the easiest and the most cost-effective way to register your small business through your state.

After securing your LLC, you’ll need to register with the IRS. It will generate your EIN or your federal tax ID number. For retail stores, you also need to obtain a sales license. Having an EIN will allow you to open a business bank account. Experts suggest going through a credit union, as they don’t require you to have large minimum balances on your account like other banks.

2. Hire a Bookkeeper

As a new business owner, you must track all your business expenses and money flow. It is essential for your taxes because you don’t want to lose money when tax season arrives. You can use software like QuickBooks for tracking. However, you should still try to find a qualified bookkeeper to keep your books in order. You will be busy running your business and bringing in customers, so you won’t have time to dedicate this task individually; after all, the last thing you want is the IRS investigating you.

3. Seek Out a Good Location

You can lease or buy commercial space. Leasing gives you the flexibility to move if you outgrow the area or need to expand. Plus, it gives you the benefit of a management company that will handle the tricky stuff like scheduling repairs. If you decide to purchase the space for your business, you must ensure that you have the right equipment and hire reputable contractors to maintain your store or a restaurant.

For example, a plumbing failure can become an immediate disaster at a restaurant, cafe, hotel, or healthcare facility. Experienced business owners know all too well how important it is to have a professional plumber on call. So, finding a commercial plumbing distributor will help you clear the way for smooth business operations.

4. Build a Website

Your physical location is one of the brand activation points. However, these days, the customer journey most of the time starts online. To ensure prospects can find your business, you must optimize your website for the local search. Even if it’s just a landing page at first, it helps you look professional and build trust with your clients before they visit your physical location. You can use simple website builders like Wix or Squarespace when starting to save some costs on hiring a web designer.

5. Hire Staff

Of course, you’ll need to hire staff before you open your doors. In some cases, you may be able to work independently. Before hiring, study the employment-related laws in your state, including the maximum working hours per week, the minimum wage, and what benefits you need to provide your employees. Once you’ve made your hires, ensure that you report these employees to your state within 20 days.

Get Ready to Open Your Doors

Now you’re ready to open your doors! Your supplies are prepared, your staff knows what to do, and your potential customers started exploring your website. It took some work to get to this point, but you are finally running your new business!

So You Want to Open a Plumbing Business?

Plumbing Perspective June 22, 2021

If you’ve stumbled across this article, then the idea of being your own boss must have been on your mind for a while now. Perhaps you are working for another person’s plumbing business and believe you can be a business owner too. Maybe the boss sucks! Or you think you have enough experience to finally Read more

While the road to every successful business has its ups and downs, the shortage of plumbers in the economy only means one thing–there could never be a perfect time to start your plumbing business. Besides, reaching the break even point is easy for such businesses, making them an even more viable opportunity.

So, are you ready to sail this island? Once you have decided to be a boss, you need to be ready to put in all the hard work, but in the end, it will be worth it. This guide puts together everything you need to know about converting your plumbing skills into a successful venture.

Set Goals

Before starting your business, here is an important question you should ask yourself: what is the reason for starting this business? Is the goal to grow income? Do you want to have more free time on your schedule? Are you trying to build an empire?

People have different reasons for starting their own plumbing business. Your objective is the foundation upon which to build your business. Consequently, there is a need to be clear on the reason for starting your business. A business that you begin with no objective has a high chance of collapsing even before it picks up.

Create a Business Plan

Put simply; a business plan is a document outlining your business goals and objectives and activities to do to achieve them. Although it takes time to develop a comprehensive business plan, it will be worth the hassle in the long run. A comprehensive plan gives purpose, structure, and a clear-cut strategy to your business, allowing you to start with more minor hurdles.

Here is what your plumbing business plan should include:

Growth opportunities
Financial projections
Financing
Marketing strategies
Short and long-term goals

Hiring

If your goal is to build a successful plumbing business, you know that hiring unqualified plumbers is out of the question. It is, however, essential to consider the qualifications you already have and those you might need in the future. When you are starting, minimum requirements are crucial. Then, with time as your business establishes itself, you can bring in some training.

After gaining further qualifications, you will be able to provide more services, and resultantly, you will make more money. Once you have the right capabilities, you can work on:

Water recycling systems
Central heating
Gas and oil-fired appliances

One thing that potential customers look for when searching for plumbing services online is your credentials. For this reason, it is vital that you display your qualifications, as doing this helps you garner trust and more contracts. It would also be best to stay up-to-date with qualification requirements as they vary from state to state.

Finding Finances

Once you’ve sorted out the minimum requirements for your employees, the next thing to do is raise capital for your business. Every business requires cash, and the plumbing business is no exception. You will incur high costs in acquiring equipment and a vehicle, but you do not have to worry if you are operating on a tight budget as you could opt to get cash from a third party.

If you cannot raise the required amount independently, you could approach your bank or any other lender for small business loans. Most major banks have small business departments that provide a wide variety of financial options:

Credit cards
Business accounts
Small business loans

These departments usually have business experts that will offer you guidance, and you’ll be able to contact them whenever you need any advice or clarification.

If you decide to follow this path, ensure to bring along your business plan as no bank will lend you money if you lack a comprehensive plan on how to utilize it.

Alternatively, you could go for government financial schemes or ask for help from friends or family. Another option is looking for angel investors who might be interested in your business idea.

Marketing Your Business

It is unlikely that your business will be a monopoly as there will probably be other similar businesses in town. This means that competition will be tough, and it is, therefore, your job to convince potential customers that your business has more to offer compared to the rest.

It would be best if you began by creating awareness of your business. Once people know that there is a new business in town, they will be willing to stop by. If you strongly believe you could find your target market on social media, then, by all means, go for it. After all, the end justifies the means.

Now that your business is up and running, you should regularly do a SWOT analysis to determine what is going right and what needs some work. This, coupled with learning from other similar businesses in the market, is important if you want to establish a legacy.