How to start a painting business

Interiors keep you working through cold months. Exteriors bring the larger tickets. Most painters do both and fill the calendar by season.

Some states license painting contractors, often only above a dollar amount per job, and many cities ask for a business license. Our general contractor licensing guide shows which states license contractors at all and where the dollar lines sit. Start there, then check whether your state has a painting license of its own.

The EPA's Renovation, Repair and Painting rule applies to paid work that disturbs paint in homes and child-occupied facilities built before 1978. The EPA says anyone paid to do that work must be certified, including sole proprietorships, and that firms cannot advertise or perform covered work without firm certification. It names painters among the trades covered and lists painting preparation as covered work.

The rule has exceptions, including small jobs that disturb six square feet or less of paint per room inside, or 20 square feet or less outside. Paint testing is not required, but unless you have papers showing the paint is not lead-based, the rule applies. Get your firm certified and take the renovator course before you bid an older house.

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 painting 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 painting 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.

Paint spills, ladders and overspray on a neighbor's car are the usual claims. Ask your agent about general liability, commercial auto, and whether the policy covers work on older homes with lead paint. Property managers will ask for a certificate.

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 template, which adds them up for you.

• Ladders and planks sized for two-story exteriors, and ladder stabilizers
• Brushes, rollers, frames, poles, trays and buckets
• Drop cloths, plastic, tape and masking tools
• Scrapers, sanders with dust collection, caulk guns and patching tools
• An airless sprayer when you take on exteriors or cabinets
• Lead-safe supplies if you work on older homes: plastic sheeting, HEPA vacuum, cleaning cloths

A sprayer and tall ladders are the larger costs. Many painters start with interiors and add exterior gear once the bookings justify it.

Price from production: how many square feet you paint in an hour on walls, ceilings and trim, times your hourly cost, plus paint and supplies, plus profit. The free painting cost calculator shows how the pieces add up, and our guide to pricing painting jobs works through examples.

Write the prep into the price: patching, sanding, caulking, priming stains and moving furniture all take hours. A price that only counts paint coats is a price that loses money on older houses.

• Bid fast. Homeowners often get three prices and pick the first good one. Send good, better and best from the driveway.
• Follow up. Koira nudges open estimates on day two and day four, then stops.
• Realtors and property managers. Move-outs and listings need fast repaints.
• Before and after photos. Put them on your Google profile and your website.
• The street. A fresh exterior gets noticed. Koira mails nearby homes after the job.

Take a deposit when the estimate is signed so paint can be bought and the date is held. Bill the balance when the walk-through is done, with pay at the door so you leave paid. Then ask for the review.

Your first helper should be trained on prep and protection before they touch a finish coat. If they will work on older homes, they need lead-safe training too. Track how long each room really takes and feed that back into your prices. Read how painters run on Koira.