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The First 5 Steps to Starting a Profitable Handyman Business in 2024

Ready to start your handyman business and want to know the best way to get started?

Like most people in your shoes, you probably have one or more of the following questions:

“What’s the first step?”
“How much experience do I need?”
“What kind of licensing do I need?”
“How much money can I actually make?”

I’ll answer them all here. But regardless of your questions or how much experience is under your belt, starting a handyman business the smart way should always consist of the same steps.

And in this article, I will walk you through the first five steps to starting a profitable and enjoyable handyman business. By completing these first steps, you will create a clear business plan that will bring you profit, freedom, and satisfaction.

Step #1 – Choose Your Services

The first step is to evaluate your current skills and decide on the services you will provide.

You may be thinking, “Don’t I need to be able to do everything?”

The short answer is no; you don’t. You can generate large profits by offering a limited range of services. In fact, in some cases, it can be more profitable to specialize.

For example, I cannot do any plumbing, electrical, or HVAC work without a license in my state. This limits my services significantly, yet I still have more business than I can handle.

Additionally, think about the other handyman-like service businesses, such as garage door repair companies, lawn care companies, locksmiths, home security installers, masons, etc. These businesses all focus on a specific service and can be very lucrative.

As a handyman, you will have a much broader range of services that will span several trades, but you can certainly get started by offering what you know how to do and grow from there. That’s how I started my handyman business, and I’m still learning new skills every day.

So, the first thing you need to do is make a list of all of the possible services you can offer right now.

To get some ideas, I recommend reading the free report below. In it, I share ten profitable handyman services you can offer without a contractor’s license.

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Step #2: Learn the Handyman Laws in Your State

One of the best ways to ruin your day is to start a business as a handyman, only to realize later you need a contractor’s license to provide the services you want to provide. Hopefully, you don’t find this out the hard way as I did.

Before you get too excited about the services list that you just made, it’s time to do some reading on the contracting laws in your state (every state is different). You need to find out which services you can and can’t offer without a license, or you need to figure out what license you need to provide the service you want to provide. In many cases, you won’t need a special license at all.

For example, in my state, I can’t do any electrical, plumbing, or HVAC without a license in those trades. Also, I can’t do jobs over $1,000 without a contractor’s license. So basically, I can do anything under $1,000 that isn’t plumbing, electrical, or HVAC without a license. That may sound very limiting, but it still works out. Plenty of jobs fit within those limits – more than enough to run a profitable home repair business.

Although I could do bigger jobs and potentially make more money with a license, not having a license works better for my business model since I focus on small repairs anyway.

You can get a pretty good idea of the laws in your state by going to your state’s contractors’ board website and reading there. Typically, they will have a FAQ section for handymen, outlining small repairs and maintenance laws.

To learn more about handyman licenses and laws, read this article.

Step #3 – Define Your Ideal Customer

Not everyone is your customer.

When I started my handyman business, I didn’t understand this concept and worked for anybody I could. I’d lower my prices to get jobs, take on jobs I wasn’t good at, and try to serve everyone who would hire me. Because of this, I ended up getting some bad reviews and selling myself short.

Finally, I learned my lesson. Never lower your rates to get customers. Design your business around helping a specific type of customer and focus on helping them. Your services simply aren’t a good fit for everybody who needs a handyman.

Some customers just want the lowest prices or can’t afford to pay a professional rate. Other customers don’t mind paying higher rates if you provide good service.

Some customers live forty miles away, while others are just five minutes away.

Some customers only want the best of the best, and others just want the job done so they can move on with their lives.

There is profit to be made with all of these customers, but deciding on the kind of service you want to offer is essential.

I can’t stress this enough. Targeting the right customers will have a dramatic impact on both your enjoyment and your profits as a pro handyman.

This is true for any business, especially for a handyman, plumber, electrician, or contractor because you’ll be dealing with your customers face to face.

If you are targeting customers you enjoy working for and who are willing to pay decent rates for your services, you’ll be happier, they’ll be happier, you’ll get more referrals and repeat business, and you’ll make more money.

If you try to work for everybody, you will struggle financially or emotionally – probably both.

By spending some time figuring out who would benefit most from your service and who you want to work for, you can avoid this frustration, and your success will be accelerated.

Step #4: Set Your Pricing

It’s time to figure out how much to charge.

But first, let’s answer the bigger question on your mind.

How much can you make as a pro handyman?

It may surprise you, but it’s not uncommon for pro handymen to generate a six-figure income while providing basic handyman services. I’ve made up to $200 per hour and currently average over $100 per hour.

The handyman business can be surprisingly profitable IF you set it up properly.

As with any business, having a good grasp on the financial side of things is essential, especially when setting your handyman rates.

Deciding how much to charge is one of the most difficult parts of starting a handyman business because of the psychology and limiting beliefs involved. This is where I see the most mistakes with my readers. Not only do you need to consider things like your experience level, work efficiency, ability to sell, reputation, and professionalism, but you also need to understand what you must charge to actually turn a profit.

Then, you need to have the balls to charge that much!

It’s no easy task when you probably have some self-doubt about your skills and abilities. (Don’t worry, most people do.)

But here’s the deal. This problem has already been solved.

You don’t have to pick a number out of thin air or base your rates on what your friends or family think. You don’t have to undercharge, waste time, and leave money on the table while you learn pricing the hard way.

Instead, you can follow a proven system for setting your pricing that guarantees you generate a healthy profit. (Nothing against your friends and family, but they probably aren’t your ideal customers, so their opinions don’t matter.)

Step #5 – Develop a Marketing Strategy

At this point, you should have a good idea of the services you will offer, who will buy them, and how much you will charge.

The next step is to determine how you will reach your ideal clients and convince them to hire you. That’s right. It’s time to form a marketing plan.

The good news for you is that people actively search for your services every day of the year. Handyman services are in high demand, and the demand is growing.

The bad news is that many other handymen are out there with the same thing in mind.

Don’t worry. There’s more good news. Most handymen are terrible marketers, and by putting a little extra effort into your marketing, you can make a killing. The fact that you are reading this website puts you way ahead of the pack.

Your goal in this step is to determine which marketing methods will be most effective and have the highest ROI (return on investment).

So, sit down and study your ideal clients’ behaviors, desires, and frustrations so you can come up with the best methods for promoting your handyman business and gaining those customers.

Or, you can simply download this free handyman marketing report, where I share the most effective method for attracting high-paying customers.

Either way, you’ll want to spend some time on marketing because it will have a big impact on your income and enjoyment. Don’t fall for the lie that word of mouth is all you need. That only works if you are undercharging or have been in business for several years.

Thumbnail image for The Handyman Startup Podcast

Now, listen to the podcast version of this article, which includes extra content. Listen right here or on your favorite podcast app!

HS028 – The First 5 Steps To Starting a Profitable Handyman Business

Bonus Q&A

Is starting a handyman business a good idea?

If you enjoy working with your hands and helping people, the handyman business can be fun, fulfilling, and profitable. It’s a high-demand service, so job security is high. Also, every day is different, and moving your body all day is healthy.

For me, it has been the most enjoyable career I’ve had so far, and the vast majority of my students who use my programs to get started love the businesses they create.

There aren’t many careers where you get to move your body, solve interesting problems, and then have customers happily pay you with money and gratitude after a job well done.

However, to be successful, you must be self-motivated. Just like running any business, it requires you to manage yourself. Sure, you get unlimited control over your schedule, but that also means it’s far easier to slack off.

What do I need to start my handyman business?

In most states, you only need a local business license to offer home repairs, which is easy to obtain. Although not technically required, I also recommend the following at a minimum:

Of course, ensure you follow the steps above and invest an hour or two learning the laws in your state.

Conclusion

Once you take the five steps listed above, you’ll have a solid plan for dominating as a pro handyman. You’ll have a new feeling of excitement, a boost in motivation, and you’ll be ready to claim your freedom and finally start a business. Obviously, you won’t get this all done in one sitting. So take your time and knock out each step one at a time (and don’t forget to take advantage of the training products I’ve created to help you.)

P.S. Ready to jump-start your business?
If so, save yourself time, accelerate your results, and avoid common mistakes by following my complete step-by-step system for starting a profitable handyman business. Click here to learn more.

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  • Diederik April 20, 2014

    Hello Dan,

    just wanted to say your blog is the first good info I found on starting up a Handyman business. I finally have an idea now of what to focus on and how to proceed and will be reading your blog a lot more this week.

    cheers Diederik

    • Dan Perry April 21, 2014

      Thanks Diederik!

      Glad you have found it useful. I definitely agree that the majority of books out there leave out a lot of critical info. Good luck with your business.

      Dan

    • Dustin October 30, 2020

      Great article and really appreciated the insight as a new handyman service provider.

  • matthew cooper July 17, 2015

    Dan, hi my name is Matthew Cooper and im in the beginning stages of starting a handyman business in nc. i am an industrial mechanic and am able to do just about anything . ive done electrical, plumbing, hvac, mechanical, and everything inbetween with my work over the last 16 years. can you give me an idea of how to figure out what area would best be suited to what ive done my whole adult life. i know enough about everything to do one of two things and that is fix it or destroy it!! lol. where would my skills be more usefull because i love everything i work on as long as im using my hands. i really enjoyed your tips and post here and would love to know your thoughts since you have been doing this for a while. thanks

    matt cooper

    • Dan Perry July 17, 2015

      Hi Matt,

      If you specialize in a field that requires a specific license (usually plumbing, electrical, or HVAC in most states) then you can make more money. However, that requires getting a license and in many states that process can take a few years.

      If you want to get started now, I would read up on the laws in your state and see what you are actually allowed to do. That’s a great place to limit your options.

      If you like variety, you may consider just being a general repair handyman.

      Hope that helps,

      Dan

  • AK September 4, 2015

    Dan, i have been reading your blog but my question to you is. I am in Virginia. Is it better to license as a cotractor and do any kind of contractual work or better to be licensed as a handyman. I am an IT person but can do many other things and i was looking into licensing as a Contractor with a Class A and taking all the trainings. What do you think.

    • Dan Perry September 6, 2015

      If you want to do bigger jobs then I would get a contractors license. If you just want to do quick, get in and get out kind of jobs, then I’d recommend the handyman route. I’m not sure what licenses are required in Virginia so I can’t say whether or not you should actually get a license though.

  • Dave October 28, 2015

    Hi Dan,
    I used your audio-book over the past few days and had a similar business years ago, and your advice is great! – I would have saved so much time and money then if I had this resource.. it is exacltly as you say – charged to little did too much and paid the price..
    I am now in Australia, and have been stuck at a desk for 7 years, doing something different, and tired of it now – i live in a costal city that is growing quickly, has heaps of fli-in-fly-out workers residing here(so dad is off on site 28 days out of 37), and thinking of getting started with a handyman business next year.

    My question to you – I have electrical qualifications for Australia, but require an additional Electrical Contractors licence to do electrical domestic work, which will take me 15 days full time or 15 weeks part time study, and costs $2000..Is it worth getting this licence before I start my handyman business, and will I recover this cost, as I don’t want to become another “Electrical contractor” , but I want to provide handyman services..
    Any ideas on how I can promote my handyman business as a handyman offering electrical services, not and electrical contractor offering handyman services??

    Thanks,
    Dave

    • Dan Perry November 7, 2015

      Dave,

      I can’t tell you whether or not it’s worth it to get your license before you start. I think that depends on how soon you want to start your business.

      As far as promoting yourself as a handyman who does electrical services, that is no problem. Electrical services would just be one of your featured services that you’d mention among the other services you offered. So, depending on which marketing method you are using to promote your business, you would simply call yourself a handyman and mention the services you specialize in.

  • Julius DUDLEY January 22, 2016

    Yeah I am look to star my Owen handyman service to the state of California

  • george lennon February 2, 2016

    could you recommend a company that would take care of all the necessary paper work for starting a handyman business in the state of florida

    • Dan Perry February 3, 2016

      Have you looked into Legalzoom.com? They can help you with this.

      However, just know that any of these services will likely come at a premium.

  • Paul Clancy February 16, 2016

    Thank you for your help

  • John sallese March 3, 2016

    I’ve been running handyman service for years but I was asked to do roofs before I cut mostly trees but most are big paint jobs and remodel I’m fixing to work with a realist ate company doing there work so I need a contractors license and a handyman license both correct

  • Dave December 20, 2016

    I am a cabinetmaker looking to start up a handyman business and wondering what licensees I have to have?

  • Paul April 23, 2017

    Dan,
    Thank you so much for the information that I was not aware of. I just figured I just do a little home work to see what would be all involved pursuing this endeavor. So I am so glad I came across your site. I just retired, and over the years my elderly neighbors would ask me to fix this or that for them and now I am thinking about starting a handy man business in my local area.
    Thanks again, Paul

  • James September 21, 2017

    Hi Dan.
    I have a quick question. When you say no Plumbing or electrical, does that mean serious stuff or can I not work on a toilet or change a receptacle? Just wondering because I’m thinking about doing this as well. Thank you.

    • Dan Perry September 22, 2017

      I think it means none at all, but this is a gray area. There is no clear law that lists exactly what you can and cannot do. I avoid these types of repairs and definitely don’t advertise them.

  • Buddy M. Dietz April 13, 2018

    Thank you so much for the information!! Steps you will want to take to start your handyman business. Home ownership comes with an endless list of things to fix, improve and put together, and finding the time to get it all done is a common challenge for homeowners.

  • David Kinney May 8, 2018

    I am very good with my hand and i am a certified ac tech and plumbing with a lot of electrical exp and have been machining air craft parts for the military and even reassembling them i have a lot of experience with painting lawn care and tree service can do anything with my including dry wall and remodel and there is nothing i can’t do including auto repair and maintenance

  • Shrita May 14, 2018

    Hi Dan,
    Thanks for the blog. I was wondering what are the painpoints of starting a handyman business. Ideally how does someone market themselves other than a website? Is there a place that someone can post adds etc? How does someone as a customer know I am better than the other handyman out there? Is there one place where handyman is reviewed for their work?
    Thanks 🙂

  • Elon November 8, 2018

    This is great advice Danny, you have many great resources to help handyman businesses all over the world. Keep it up!

  • Gulvafslibning aarhus December 18, 2018

    Great blog post!

    We started two years ago and is now 5 employees.
    Sincerly
    Jeres Gulvsliber

  • Dzenan February 6, 2019

    Hey. I love the article. Just quick question. I can do all of the stuff that you listed plus some morr, my question us how do i get clients. Where do i post my services. I been trying to start my company for a while now, and i have gotten clients uere and there, but i need to attract more people. How can i
    Thanks

  • Byron van der Merwe March 10, 2019

    Hey Dan

    Thanks for the great blog post. Having had a handyman business myself for 10 years, these are great points.

    Keep up the good work

  • I love your blog. We have a junk removal business however the advice on your blog oftentimes relates to our business!

  • Skylar davis June 12, 2019

    Thank you for posting this blog post. Its well detailed and informative.

  • Collin Morris October 16, 2019

    Thanks for the great info! Found the marketing report particularly useful.

  • Josh November 26, 2019

    Awesome read, thanks for sharing this! This is perfect information for anyone starting up a handyman business!

  • Nick December 3, 2019

    Hey Dan,

    I appreciate you straight forward advice. I am considering handyman startup. When starting out, how did you handle a potential customer requesting an unfamiliar job, but you felt capable of learning and doing it?

    • Dan Perry December 4, 2019

      I would quote the job in person so I could take a look at it. Then I’d go home, watch a bunch of Youtube videos, see where I could source the materials, then once I had it figured out, I would put together a quote and send it to the customer. If, after my research I wasn’t comfortable with the job, I would let the customer know and not quote it.

  • KeithKei ser January 11, 2020

    Does anyone have a recommendation for an online study course to prepare for a basic contractor license to avoid being fined. Thanks

  • Doug Naismith February 3, 2020

    Gotta say your site has been a huge help to me. My company M1 Maintenance ltd. Started off as an Aircraft Maintenance company fixing helicopters. I have always enjoyed doing construction and renos so decided to start doing some handyman work in my down time. Well its grown and is becoming my main business, but I faced lots of challenges, like pricing. I started at 20.00 per hour Canadian. needless to say that didn’t work. I continued just guessing and made my way up to 55.00 per hour. I recently started working on your book the 100K handyman and am now going to use more of your resources to grow my business and get my pricing right. Thanks for the help Dan and look forward to learning more.
    Doug Naismith
    M1 Maintenance ltd

  • RID Handyman February 7, 2020

    This was very insightful, Dan! My company, Residential Improvement Doctor, has been in business for over 20 years and I have found that offering complete honesty and transparency has been the key to keeping my calendar booked. Superior service and affordable pricing have led homeowners to use me for their future services also. One thing I would add to this list is to get INSURED! While some services do not require insurance, it gives homeowners some peace of mind when selecting your company for handyman services. Great content and insight!

  • Ian Wollermann February 20, 2020

    Developing a clear marketing strategy is a must in handyman business because it consist of variety of services. The post is informative & all the 5 steps are looking very beneficial. Thanks..

  • Celestine April 29, 2020

    Hi Dan, i really want to thank you for the effort you put to give handyman like me such priceless info. Very clear and simplified in a very comprehensive manner. Thank you again, cheers. From Lagos Nigeria

  • Alfred August 18, 2020

    Great article Dan! Well explained, really helpful for those who are looking for starting a handyman business. It is step by step so I get all answers to my questions and is very informative at the same time.

  • Great work Dan! This article is really informative and easy to understand. I have also started a little handyman business and I am glad I read this it really helps a lot!

  • Albany Handyman Services January 21, 2021

    Really appreciate this post. Gives us some insight on how to continually grow and improve as a new handyman service based business. Thank you!

  • Leander Handyman February 6, 2021

    Wow, this is really great info! Having just recently started our own handyman services company, I appreciate all this info. I think one of the most difficult aspects of starting a business is getting clear on pricing. It’s not easy to determine what your service is worth. Thanks for sharing!

  • Jordan Holt February 13, 2021

    Good Insight on getting started as a handyman for any local community. Handyman law can be different for every state so it would save a lot of the headache later on if it is studied earlier.

  • Sunnyside Handyman May 16, 2021

    This article is just what I needed. Especially the licensing and pricing points. Just recently decided to take the step of making my hobby a business. Hoping to grow in my community and now I am more confident than ever that I’m making the right choice!

  • Handyman Kitchener August 14, 2021

    Just recently started my own local handyman business! I found the section on defining your ideal customers and never lower your rates very helpful I believe in my work and with finding the right customers to work with, I feel I won’t have to lower my rates and still leave with my customers happy!

    • Dan Perry August 14, 2021

      That’s great to hear. Congratulations!

  • Robert Cosentino September 16, 2021

    I’m a retired union carpenter. I’m just looking to work. Can do all

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