How to start a garage door business

Start residential. Commercial doors need heavier equipment and more training.

Some states cover garage door installation under contractor licensing, often above a dollar amount, and some cities require a permit for new doors, especially where wind ratings apply. Our general contractor licensing guide shows how each state treats contractor work; your city covers permits.

The SBA lists the launch steps in this order: pick a location, choose a structure, choose a name, register, get federal and state tax ID numbers, apply for licenses and permits, open a business bank account, and get insurance. For a garage door business working out of a truck, the location is usually your home address and the area you will serve.

• Structure. A sole proprietorship is the simplest. An LLC keeps the business separate on paper. Ask an accountant which fits your state and your plans.
• Tax ID. The IRS gives out an employer identification number (EIN) online, and says you never have to pay a fee for one. Websites that charge for an EIN are not the IRS.
• Self-employment tax. The IRS lists the self-employment tax rate as 15.3%: 12.4% for Social Security and 2.9% for Medicare. Income tax comes on top, so set money aside from every job.
• Bank account. Open it before the first payment lands, so every dollar in and out is easy to find at tax time.

Your name goes on the truck, the invoices, the Google profile and the yard signs, so pick it once. The free garage door name generator gives 36 ideas for your town and style, each with a domain idea, and lists the checks to run before you commit: your state's business name search, a federal trademark search and the domain itself.

The SBA describes general liability insurance as cover for financial loss from bodily injury, property damage, medical expenses and defending lawsuits. It says businesses with employees are required to carry workers' compensation, unemployment and disability insurance, and some states ask for more.

Doors that fall, springs that let go and vehicles damaged by a door are the claims. Ask your agent about general liability including completed work, commercial auto and tools cover.

No total here on purpose. What you spend depends on what you already own, new or used, and how much work you plan to take on. Price your own list with a local supplier, then put the numbers in the startup cost table of the free business plan generator, which adds them up for you.

• A van with racks for springs and parts
• Winding bars, locking pliers, a socket set and a drill
• Ladders and a door lift or helper for panels
• A stock of common torsion and extension springs, cables, rollers and drums
• Opener parts and remotes for the brands you service

Spring and parts stock is the main cost after the van. Doors are ordered per job against a deposit.

Price repairs as flat prices (a spring pair, a cable, a tune-up) so the customer hears one number. Price installs from the door, the opener, removal and disposal of the old door, and your labor. The free labor rate calculator sets the hourly cost under your flat prices, and the markup calculator covers parts and doors.

• Answer fast. A car stuck in the garage is an emergency to its owner. Koira answers on your number.
• Google and reviews. Customers search when the door breaks, so reviews matter.
• Builders and realtors. New homes and home inspections.
• The neighbors. Koira mails nearby homes after a new door goes in.

Take payment for repairs on the spot with pay at the door. For new doors, send options the customer signs with a deposit that covers the order. Offer financing on new doors.

Add a second tech with their own stocked van, trained on springs before they work alone.