Trained and certified, with useful on-the-job experience, you’ve decided to take the plunge and start your own HVAC contractor shop. Already you know the type of business you’d like to build, and have been checking out the pluses and minuses of sole proprietorships, limited liability companies (LLCs), C and S corporations.
Not to mention that you’ve been trying to figure out how much cash you’ll need to give yourself a good chance of getting your business off the ground successfully. First, by counting up your savings, and then by looking at all the different ways to get a business loan. Launching an HVAC contractor business can cost up to $100,000, according to the U.S. Department of Energy (DOE).
So, all of a sudden, you are looking at Small Business Administration (SBA) loans, commercial bank loans, family & friends loans, perhaps even a well-heeled partner. But is it really necessary to borrow up to the hilt? Absolutely not. Here’s the DOE again: “The largest components of the equipment that is necessary to start an HVAC business (e.g. trucks) can be leased,” noting “large amounts of debt are not immediately necessary.”
In addition, the DOE points out, “many tools can be acquired secondhand at a significantly lower cost, which minimizes cost as a barrier to entry into the HVAC industry.” Here at Roto-Die we have answers, too. New contractors benefit from cost savings gained from our unique hydraulic sheet metal bending brakes. The savings? The one-man operation cuts labor requirements in half. Not only that, shop productivity is increased.
In addition to the efficiency benefits that Roto-Die equipment can bring to your operation, we also have a selection of refurbished machinery that will make less of an impact on your start-up budget while delivering the same level of performance.
Important reminders as you take your first steps: In the midst of setting up your HVAC shop, marketing will be an essential but modest cost factor. Get your name out there! And the bottom line? With financing always an important concern, before and after start-up, look at the full range of viable options – including leasing as an alternative to borrowing – and make your decisions one well-planned step at a time.