How to Start A Spray Foam Insulation Business

Spray foam is quickly becoming the preferred insulation in new homes. Eco friendly spray foam insualtion installers can charge a premium for services.

Instructions

1. Determine if you have the capital or ability to get financing to start your own spray foam insulation company. You can contact the Small Business Administration and SCORE, (a group of retired business owners who volunteer to help start ups) and explore your financing options. If you can come up with somewhere in the neighborhood of $100,000 for equipment and other expenses you can start your own spray foam insulation business. Also determine if you are in good enough physical shape to handle hauling heavy equipment and working in confined spaces. Next determine if you want to "go it alone" as an independent contractor or join a national company as a a franchise. Franchise fees will add extra expense to your startup costs but may help your chances of success by helping with training and promotion.

2. Determine if there is a need for spray in foam insulation in your city. Take a look at the yellow pages under "insulation" and see how much competition there is. You may look for a niche in the industry, such as cementitious or cement foam insulation or eco friendly soy based foam insulation. This might bring you more work in some environmentally concious cities. Before doing anything else find out what the business requirements are for your city. Contact city hall or your county clerk and inquire about filing a DBA or "doing business as" certificate. You might consider forming an LLC, or limited liability corporation to protect your personal assets in case of a lawsuit. Many cities require all contractors to have a license. Find out what the requirements and fees for obtaining a license are. In some cases you must prove that you have attended training courses related to contracting work. The National Insulation Association offers couses that teach insulation installers how to do a basic home energy audit. If your work involves removal of asbestos you must have manditory EPA training. If a contractor license in your area requires a certain amount of construction experience, consider working as an employee or apprentice for an existing insulation company before starting your own business.
   If you will have employees you will need to provide them with the necessary training and PPE or personal protective equipment and workers compensation coverage. You will need a general liability insurance policy and often a bond. Contact your insurance company about both.

3. You will need a suitable vehicle for your spray foam insulation business. Some operators use equipment that can be carried in a panel van and others use a truck and trailer setup. If you are purchasing spray foam insulation equipment directly and not part of a franchise, you should attend any training programs offered by the manufacturer about how to operate and maintain equipment. If proper procedures are not followed you can destroy thousands of dollars of spray foam insulation equipment easily.
   Once you have your equipment and training you should advertise in the local yellow pages and by contacting and networking with local builders and remodelers. Try to participate in local expositions on green building or energy efficiency and set up a display showing the benefits or spray foam insulatin. Some contractors use a pair of mock up walls with heat lamps and electronic thermometers to show the superior benefits of spray foam insulation versus fiberglass batts.