A 7 Step Guide To Setting Up A Handyman Business In The UK

If you’re handy around the house and have a forte for building and fixing things, there could be an opportunity for you to make money from it.

Did you know that only 47% of homeowners will attempt to fix minor repairs, while the rest prefer to call in a tradesman instead? This can lead to a constant flow of work for a handyman.

If you decide to go on your own as a self-employed handyman, there’s plenty of perks that come with the job. You’re the boss, which means you get to choose what hours you work, which jobs you want to take on, and how much you will charge for each job.

Sounds good, right? Well, don’t get too carried away, as starting your own handyman business and becoming self-employed carries quite a few responsibilities and legal requirements.

In this article, you’ll learn about setting up a handyman business, what earnings you can expect and the legal requirements of getting started.

7 Steps To Starting A Handyman Business

1. Assess Your Skills

2. Create a Business Plan

3. Legal Requirements and Structure

4. Tools and Equipment

5. What should a Handyman charge

6. Marketing your Handyman Business

7. Qualifications and Training

1. Assess Your Skills

Before you can even begin to consider starting the handyman business, you need to make sure you have the skills for the services you plan to offer. Handyman services can be very varied and include:

• Carpentry

• Plumbing

• Electrical work

• Decorating

• Gardening

• Furniture assembly

• General maintenance

Depending on the difficulty of the work, some of the above jobs may require legitimate qualifications. Work that involves electrics and gas will almost certainly need formal qualifications.

2. Create A Business Plan

Starting a new handyman business (or any new business) can be quite overwhelming. However, creating a sound business plan aids in seeing your strengths, goals and what you will have to do to achieve them within the first 1 to 2 years.

The main function of the business plan will be to assess if your handyman business is viable and how much money you’ll need to ride the early stages. It can also help to look at projected profits, marketing costs and consider a marketing strategy.

Should you need additional funding to get started, a business plan is vital to show potential investors whether they are private investors or banks. They will use your business plan to assess the risks and the potential profits.

3. Legal Requirements And Structure

First things first, what type of business will you operate as?

Business Type

• Sole Trader - it’s a quick and easy set up but all liabilities will rest with you.

• Partnership - only applicable if you are setting up with a partner.

• Limited Company - more complicated to set up but any liabilities sit with the business rather than you as an individual.

Business Registration

• Sole Trader - you will need to set yourself up with HMRC for self-assessment.

• Limited Company - you will have to register your business with Companies House.

• Self Employed - you will need to apply for a UTR (Unique taxpayer Reference).

Insurance Needs

• Equipment Insurance - covers you for theft or damage to your tools.

• Public Liability Insurance - a must have. Protects you should a customer make a claim for damage to property or injury.

• Employer’s Liability Insurance - only applicable if you employ somebody.

4. Tools And Equipment

Having the right tools and equipment is essential to performing your jobs. It’s probably best to avoid buying them on the cheap as it could be a false economy. Price up tools from some of the better known brands. You should also make sure you have insurance cover to protect you from theft or damage as they aren’t cheap to replace.

Here’s a list of the basic tools and equipment that you are likely to need as a handyman:

• Toolbox

• Ladder / Step ladder

• Power drills / drill accessories

• Saws - electric and manual

• Spirit Level

• Painting and decorating products

• Hand tools - hammer, screwdrivers, wrenches etc

• Ironmongery - nails, screws, door fittings etc.

Whilst not a tool as such, you will need a works vehicle too.

5. What Should A Handyman Charge?

There aren’t set prices that a handyman should charge and they really will vary depending on your experience and the type of job. Your location can also play a part in what you charge.

The general opinion is that a handyman is a ‘Jack of all trades’ but that doesn’t stop you from specialising in specific areas. It’s possible that you have had to undertake training to achieve qualifications in specialised areas. This can put you in a good position to fill a gap in the market and potentially charge more for your services.

Check what competitors in your area are charging if possible and consider different rate types such as:

• Day rates - for example £150 - £200 per day

• Hourly rates - for example £20 - £50 per hour

• Fixed prices - for example wardrobe assembly at £30

Be sure to offer quotes and have a clear pricing structure.

6. Marketing Your Handyman Business

Clearly, customers are key to your handyman business getting off the ground. Whilst generating business by word of mouth is great and free, it probably won’t build up a big enough customer base.

Let’s have a look at some options you can consider when it comes to marketing online and offline.

Online Marketing

• Google: you should set up a FREE Google Business profile to engage with potential customers.

• Create a website: it doesn’t need to be flashy. It just needs to look professional and let customers know your contact details, what services you offer and the costs of your services.

• Social Media: spread word about your handyman business on all social media platforms. You can choose whether to pay to advertise. LinkedIn in particular is good for promoting businesses.

• Testimonials: share any customer reviews on all platforms.

• Photos: show potential customers pictures of your work, such as before/after pictures.

Offline Marketing

• Hand out business cards and flyers in local areas.

• Place adverts in local business directories and newspapers.

• Contact estate agents that might be able to use your services for customer properties.

• Spread word via friends and family.

• Advertise your business on your vehicle with vehicle graphics.

7. Qualifications And Training

It’s possible that you realised you have a knack for fixing things around your own house. If you have a natural flair for this sort of thing, why not formalise your skills? Investing in training and qualifications can only improve your skills and in turn your reputation.

Every customer gets a feeling of protection if they know somebody qualified is carrying out services on their property.

It’s possible to complete training that covers a multitude of handyman skills such as a City & Guilds Handyman Course.

Alternatively, if you have a yearning and skill set for specific types of work, you could consider doing skill-specific courses such as:

• Level 1 or 2 Bricklaying Diploma

• Diploma in Carpentry and Joinery

• Level 2 or 3 Fencing Diploma

• Level 3 Landscaping Diploma

• Level 2 or 3 Diploma in Electrical Installations

There’s literally hundreds of different courses available that can enhance your skills in specific areas.

FAQs

Can I run a handyman business as a side hustle?

• Definitely, yes. If you’re just doing it as a way to get a bit of extra income, you’ll probably just take on small jobs that don’t require specific skills.

What are the start up costs of a handyman business?

• The estimated average costs of starting a handyman business range between £1,500 to £3,000. This can and will vary according to how many tools and supplies you have and need to buy. An option might be to hire some equipment until your income rises.

What income can a handyman earn?

• This will very much depend on whether you’re doing it as a side hustle or a full time business. For a full time handyman role, the expected average salary is approximately £25,000 per year. If the business is successful, there’s no reason you can’t hit much bigger profits.

Conclusion

Starting a handyman business in the UK isn’t done overnight. You will need to set out a good business plan, adhere to all the legal requirements, market the business and get all the necessary tools and equipment.

Ideally, you need to have a penchant for hands-on work and the correct skills to carry out various physical jobs. You also need to be able to cope with the physical demands of handyman services. If so, running your own handyman business might be for you.

If not, consider looking at other possible side hustles. You could consider doing something that’s tax-free with low start up costs, such as Matched Betting, arguably one of the best side hustles out there.