How to Start a Plow Business
Winter weather may be pretty, but walking and driving through it creates unhappy customers. That's why a snow plowing business can be a successful seasonal enterprise. Little training is required beyond how to operate the truck and the plowing blade itself, and an owner's upfront investment can be low if she already owns a suitable truck. Securing customers and plowing contracts then becomes the main factor in success.
Instructions
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Write a business plan for your plowing business that describes exactly what services you'll include (salting as well as plowing, residential or commercial) and includes start-up costs, a forecast of income month by month, a budget of expenses and a cash flow statement so you can estimate the profits that your business will earn for the year.
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Register the name of your plowing business with your secretary of state's office. Visit your secretary of state's website to obtain a "Fictitious Name Registration" form, then print and complete the form and return it with the indicated fee.
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Contact your county clerk's office to obtain a vendor's license, if your state requires one. Vendors' license fees typically range from $10 to $30 as of 2010 and are generally valid for one year.
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Research equipment options and choose the plowing and salting equipment you'll use to operate your business. The equipment can be purchased outright, but you may want to consider leasing the equipment to lower start-up costs, especially if you'd be buying a truck or expensive, heavy-duty plowing equipment.
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Buy liability insurance for your business before you start serving customers. Liability insurance will cover your business for accidental damage to cars, sidewalks or other property while operating your business and will shield you from losing your business in the event you are sued for damages or personal injuries.
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Consider what your total costs will be to operate for the season and use that information to help determine the fees you'll charge for your services. You may want to set your prices by first determining how many hours you'll work and multiplying that by the hourly rate you'd like to earn and then adding on your total expenses.
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Write a basic contract to be used with commercial plowing customers. Be sure your service contract specifies exactly what service you'll provide (plowing, salting, cleaning sidewalks, etc.) and includes a cost for each plowing visit as well as the amount of snowfall that will trigger a visit. Try to secure season-long contracts rather than one-time plowing customers.
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Promote your services by visiting potential commercial clients, providing free service quotes and distributing fliers and business cards. Also consider advertising your service in the Yellow Pages and with targeted online advertising for snow plowing in your area.
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References
Resources
- Photo Credit mountain roads image by Evan Meyer from Fotolia.com