Page 2 of 2 FirstFirst 12
Results 11 to 14 of 14

Thread: Start business then get license or get license and start business?

  1. #11
    Join Date
    Feb 2003
    Location
    New Jersey
    Posts
    3,302
    Quote Originally Posted by gadfly56 View Post
    In NJ you don't actually get licensed as an electrician, you get licensed as an electrical contractor. Then you set up your DBA, Inc., or LLC and tie your electrical contractor's license to the legal entity. And the company name must have "electric" or "electrical" in its name.
    In addition, if you open up a business or do business as an "electrical contractor" without a license or business permit it's a 4th degree felony with a $1K fine, first offense if you get caught. So, not sure how it works in your state but I would get the proper credentials first before I started doing business.

  2. #12
    Join Date
    Jul 2005
    Location
    Gainesville, Florida
    Posts
    1,051
    Quote Originally Posted by KBS View Post
    Wanting to start my own business and was wondering what other people had done in this regard. I am currently studying 4-5 hours a day to get ready for the test and get the state license. My thinking is to have the license and then build the business as then I could go at it at 100% as I am now dedicated to studying and getting the license while I work.
    You are in Mississippi? I did not think they had any regulation on electrical contracting. Make a business plan. Focus on not going out of business before you start. I started out working for someone else and doing work part time on the weekends and it folded into a full time job. You will know when that happens because you will be making customers mad because you cannot service there needs timely enough. DO NOT be the Walmart of electrical contractors. You do not want every job but the ones you feel confident in completing well and making a profit. I have 4 things written on my white board. 1. Go where the money is. 2. Complete projects 3. NO Restaurants or Service Companies (you will not get paid). 4 Reliability. Cash flow is not profit. If you are buying water melons for $1 and selling them for .99 buying a bigger truck and making it up on volume is not the answer. Read everything you can about business and insurance and electrical and bookkeeping and taxes and state statutes. Ask questions. Finally Systems and procedures to recreate a profitable scenario is what you are trying to create. Can I reproduce and sell a specific product and make a reasonable profit, repeatedly.

  3. #13
    Join Date
    Mar 2017
    Location
    Fulton, Mississippi
    Posts
    5
    Thanks Coppersmith and Gunning those are some very valuable tips. As it stands right now i have been splitting my time between the NEC and researching business law and taxes for the different entities, i.e Llc vs s corp. My plan is to build my work base up until my job now is holding me back from completing work and then transition into my work %100.

  4. #14
    Join Date
    Dec 2007
    Location
    NE Nebraska
    Posts
    32,543
    Quote Originally Posted by KBS View Post
    Yes I am working for someone else right now and will continue doing so up until I have most everything in order. I know there are no guarantees in life or business, however I do want a client base setup before I leave my current position. I have been doing side jobs for the past several years, nothing that required a permit i.e. residential and commercial service work. I would never do anything illegal or work under someone's else license, and yes I have seen this done around here. One thing to note about Mississippi is that you are not required to be licensed to wire any residential property unless you are inside a certain city limits that require a permit, a lot of towns don't even require permits to build commercial or residential, crazy right. However I want to be able to provide a full service professional business and not be limited by not having a license and insurance. I think that a professional should act like one and I feel like having a state issued license is a big part of that.
    Quote Originally Posted by gadfly56 View Post
    I for one commend your sense of professionalism and wish you the best of luck.
    I commend him on same things.

    What is the laws of the state? Here there are a lot of situations where a permit is not required, but according to law you must still be properly licensed to perform wiring installations for another person.

    If you are doing such work, you probably want liability insurance no matter what your organizational status is. Can you get such insurance if you are not licensed? Can you get it at a better rate if licensed?

    If you can get a client base before you are actually available then you have a jump on things. Just hope you are not too cheap right now and is a big factor in the clients you have. Once you are a legitimate business your overhead costs may jump and with that your rates - this may end up losing clients that only cared about cost. Learn to sell yourself and your services and not your price, or no matter how good it seems to be going now, it will all crumble down.

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •