Starting my own business!

[fisherelectric]

I started in business pretty much like you are. Best advice is be honest, fair, don't back down on prices, keep building that customer base, don't burn any bridges if you can help it, keep your overhead as low as possible but don't try to skate, get a big file cabinet and learn to use it...and always remember that being in business isn't a job...it's a lifestyle, pretty much 24/7. Good luck

 

[satcom]

Can you point to a post where this positive side of you can be seen.

I assume your view of positive is different then mine.

Warning of the pit falls in starting on your own, in my opinion is the right thing to do, a good luck and cheer on, may sound positive.

 

[CopperTone]

I'll second that.

If the 'going rate' in your area, say is $75 an hour, then charge $75 an hour.

If you start out with low overhead and work for $30 and hour, you'll end up being nothing more then WalMart Electric. As soon as you realize you need to charge more, what customers you do have will disappear like roaches when the light is turned on.

sure, but you could charge $65/hr to build a customer base - with no to low overhead you probably can do well at $65/hr. It is a pretty horrible time to start a business. I've seen rediculously low prices for the past year - guys are working for nothing just to stay alive.

Bottom line on starting a business is do what you gotta do to thrive.

We had the best year last year in 5 years - we actually raised our rates last year - we did a little less work but made more money.

I don't think there is one thing anyone can do - it takes a lot of moving parts to make a business work. I do agree that if you aren't making more money on your own then you are better off working for someone else.

Years ago when I started my business I said for the first several months " as long as I have enough money at the end of the month to pay all my personal bills and business expenses then I'm happy ." of course that wouldn't work for me today but you get the point.

 

[bikeindy]

I assume your view of positive is different then mine.

Warning of the pit falls in starting on your own, in my opinion is the right thing to do, a good luck and cheer on, may sound positive.

Well said, good wishes and pats on the back never made a businessman.

But really lets try to be more positive, lets tell everyone that going in business for themselves is easy and as soon as you are your own boss you will be rich beyond your dreams.

As for a name I like Willett Electric.

 

[aline]

I'm trying to figure out a name for the business, looking to stay away from using my own name. Any ideas?

I wouldn't take naming your company lightly.
Naming your company is very important if you want to spend less on marketing.

How much harder would it have been for Best Buy to market their computer services if they had named it "Dan's Computer Services" instead of "The Geek Squad".

Which one are you more likely to remember.
Everything from your company name, logo and color scheme will determine how well your company is remembered and how much you'll have to spend on marketing.

Question:
Who am I refering to when I mention the big orange store?
How about the big brown vans?
Big Blue?

Here's a link to an article about branding. It starts on page 18.
http://www.thesuccessfulcontractor.com/backissues/04_SPRING.PDF

I was out driving with my wife the other day when she said "Everyone's a lucky dog with Arrons."

I looked over and saw a big box van with graphics of a huge dog and the slogan "Everyone's a lucky dog with Arrons" on it.

She told me she sees their truck around a lot.

I doubt she would have even noticed if it had just said "Arrons Home Furnishings" on it.

How many truck do you see that simply say something like "Bob's Contracting" on it.
How memorable is that?

 

[cadpoint]

It seems you have all the right steps understood, and ready to go in place. One Million will probably be fine for now. I have to say, I have heard some larger commercial jobs requiring bigger policies, but your not going there yet.

Your city and or county might have some forms for your business.

Your business will be you, "U will be", the master and more plus... You ready?

But over-all:
Wow, go for it, put some numbers on that list and you can track it to your breakeven point! :grin:

Then take your money and withdraw accordingly. Pay Yourself and your Taxes, and the other misc. expenses as previously mentioned!, Or just reverse the previous sentence!

I'll just ask, how's your salesmanship? In all matters, it's you and the client,
How's your pitch?

On the side work, this is a tough call. The envelope is a lot thinner and harder to work with-in, then throw in the client and their needs, can they work with you?
You have to 110% positive, even when, with the client, they might not want you to work it!

Break a leg, that’s stage talk for Good Luck, cause U will be out there in the spot light, how bright do you like it?

I don't think you'll have a problem... Just read here, search a lot of subject matters and flat out just, "Go for it" ...

Welcome to the Forum !!! ...

 

[cadpoint]

Here hot of another M.H. Newsletter a seven page >> Calculating Overhead and Price.
And as stated "a real eye opener"! Missouribusiness.net

 

[satcom]

Here hot of another M.H. Newsletter a seven page >> Calculating Overhead and Price.
And as stated "a real eye opener"! Missouribusiness.net

They are just not being positive at all, if your new to a business, you don't need all that overhead monbo jumbo, just wing it, and stay positive, after all when your just starting, you don't have any overhead, your using your present employeers stocked truck, full of fuel, and fully insured, and company paid benifits, if your really positive, don't leave your present job until you have a new van full of tools, and 12 months of back up money.

 

[cadpoint]

Let me first say that I can't delivier nor understand Humor, But I'm still working at it...

I cut 4-6 lines off of the the 10 AM Post!

I didn't have a dog in the Fight, I dropped it...

It's one of those odd situations are all the ducks in a row, for all it's worth!

Despite, my own peril of posting here, one of the best things I've seen lately is a link as to what I think of being here, which is:

1. Be willing to forgive others when they have behaved badly. Be a help and not a hindrance.
2. Expect your neighbor to be kind, helpful and considerate. You will likely be pleasantly surprised to find that he truly is a good neighbor.
3. When someone else faces trouble, try to anticipate their needs, making it unnecessary for them to ask for your help.
4. When you see someone else getting more and more angry, make sure you keep your cool. At least don't make things any worse.
5. Practice the common courtesies of kindness, generosity, forbearance, gentleness and forgiveness.
6. Place a positive interpretation on the deeds of others until you know for sure that such is not justified. Next time you drive your car, be sure you have your jack with you. It will save you lots of problems. [/URL]

Based on another thread M.H. Thread... Here Post #6

Let me Repeat, Dog in Fight - No, opinion yes, For all it's worth...

 

[electricmanscott]

If you start out with low overhead and work for $30 and hour, you'll end up being nothing more then WalMart Electric.

I would love to be Wal Mart Electric.

 

[electricmanscott]

All I know is, I am going to learn to print & keep posted & keep handy a full print out of post #7. That will give me a little ammo when I hear them complain about my charge out rate.

Let's be honest about the list, the average electrical contractor can cut ton of stuff off of that. Some is repetitive and some just won't apply.


There is no substitution for exeperience. I think starting our as th op is planning is a great way to do it.

You would have to be a fool to quit your "real" job and dive in head first in this economy.

 

[satcom]

Let's be honest about the list, the average electrical contractor can cut ton of stuff off of that. Some is repetitive and some just won't apply.


There is no substitution for exeperience. I think starting our as th op is planning is a great way to do it.

You would have to be a fool to quit your "real" job and dive in head first in this economy.

For the OP that is my thought also, he stays with his real job until he gets set up and can see where it is going.

 

[ItsHot]

real job?

real job?

I wish I had a "real" job! Since when did being an electrical contractor not qualify as a "real" job?!!!:grin:

 

[bradleyelectric]

Let's be honest about the list, the average electrical contractor can cut ton of stuff off of that. Some is repetitive and some just won't apply.


There is no substitution for exeperience. I think starting our as th op is planning is a great way to do it.

You would have to be a fool to quit your "real" job and dive in head first in this economy.

I'd like to counter with experience should tell you a real good look should be taken at that list as a line by line basis and see where money really should be applied and costs of services should be applied based on a true evaluation of where you want to end up not where you are on a personal phone and internet service with a pickup truck and a wet roll of romex and a basement to wire. Things cost to much money today to go blindly into that great dream.

A business and marketing plan should be developed so you know where you are going and how you're going to get there. It's like me deciding I'm going to jump in my truck and go to visit George knowing he lives in Colorado. It might be a good idea to know more than his first name and the fact he lives in Colorado before I go.

 

[electricmanscott]

It's like me deciding I'm going to jump in my truck and go to visit George knowing he lives in Colorado. It might be a good idea to know more than his first name and the fact he lives in Colorado before I go.

That is exactly the approach I would take. Diff'rent strokes for diff'rent folks. See you soon George. :grin:

 

[hardworkingstiff]

You would have to be a fool to quit your "real" job and dive in head first in this economy.

All rah rah support aside, Scott has said a mouthful here.

 

[aline]

Here's a link to a little article explaining basic markup that may be of some help.
http://www.shubeebusinesstips.com/2009/12/basic-markup-explained/

 

[Kdog76]

Let's be honest about the list, the average electrical contractor can cut ton of stuff off of that. Some is repetitive and some just won't apply.


There is no substitution for exeperience. I think starting our as th op is planning is a great way to do it.

You would have to be a fool to quit your "real" job and dive in head first in this economy.

No worries. I already copied & cut-out all the double stuff, and stuff that doesn't apply. What's left is still a pretty good list.

 

[~Shado~]

Here's a link to a little article explaining basic markup that may be of some help.
http://www.shubeebusinesstips.com/2009/12/basic-markup-explained/

Hehe...again....plumbers know how to do it.

All sparky's need to read this!!!! Great info!!

I admit, I figured wrong...but at least I was in the $1307 bracket.

 

[dmagyar]

Starting your business

Starting your business

Megawatt87, I started out my business after working for other EC's for over 30 years. I did have some background as worked into the office and did estimating/ project managing as well as the "trade" knowledge I gained during my career starting out as an apprentice then a Journeyman electrician.

The thing I did after starting my business was to watch any "account" spending, I set up a business account and used a debit card for my materials. That way I knew what I was spending and that it was being paid, before counting on profits. Figure out what you're overhead is, charge for it and then set out to equip your company with tools as you earn profits.

Bid the job, not the competition. Know when to pass on: a job, a general contractor, and a client. Bottom line, don't give it away.

P.S. you'll never quit learning, so make sure to find somewhere that you can take classes. I've taken over 120 hours of journeyman upgrade classes this year, and I continue not to know it all.

Good Luck.