If you are intrigued about the prospect of fixing machines and have a penchant for solving problems, the appliance repair business may be your calling.
With an appliance repair business, you'll have the opportunity to work with a litany of appliances allowing you to demonstrate your problem-solving techniques, creativity, and ability to pay attention to detail.
Keep reading to learn more about appliance repair business income and what you need to get started.
The appliance repair industry is becoming increasingly profitable because appliances in households and business premises are growing in number—naturally, there's a demand for more skilled technicians to do repairs.
Despite the lucrative opportunities, the appliance repair business has a few risks to consider, mainly since it entails lifting and repairing appliances. For instance, gas leaks and electric shocks are just a few potential dangers to be aware of.
To understand the ins and outs of the appliance repair business and its potential for profit, we'll take a look at the industry overview, the appliance repair business salary, how profitable is an appliance repair business, and the reasons why people are targeting this market space specifically.
You may be surprised to learn that there are over 9,000 appliance repair services in the United States alone. These businesses boost the country’s economy by billions of dollars while creating thousands of jobs for people.
The yearly growth revenue for the appliance repair industry has been in lockstep with the rate of population growth in the U.S. This trend is expected to persist for more years.
Appliance repair is an excellent industry to delve into at the moment. It thought that its global market would grow at a CAGR of 5.4 percent from 2017 through 2025 to reach an impressive $763,451,000 million. So, what's the average appliance repair business income?
The average Appliance Repair Technician salary in the US is $48,000 as of December 27, 2022. However, the range is anywhere between $39,000 and $58,000. In some places, the projected income for an appliance repair business is as high as $90,000.
The appliance repair business owner salary can differ widely depending on many variables, including education, additional skills, location, certification, and the number of years you have working in this profession.
Here are the five highest paying cities for Appliance Technicians in the US.:
Appliance Repair Technician Salaries Will Vary Based on Region and Services Provided
Before you open your repair business, contemplate the current competition within your market area already and how you can meet the needs. Making your business stand out from the rest of the competition will give your business a greater chance at success.
Although appliance repair is not a business for everyone, it could be a great opportunity for you, especially if you have your business in a place where the population density is high.
Some aspects of the appliance repair business lend it to being a lucrative business.
You can set up your business in the comfort of your own home. This means you don't have to deal with expensive rental charges if you were to get an office. With that said, you may have to visit your client's homes anyway or have them delivered to your workplace.
How profitable a business you have begins with how you operate as a startup. Offering an appliance repair service is a small scale that you can easily expand with hard work and dedication. Your expenses will be lower, and you can generate a higher profit over time.
Everyone has household appliances, so starting an appliance repair shop makes sense in terms of market potential. There's a high demand for a repair service geared toward appliances, making it easier for a business owner to cash in and thrive.
Unaffected By Recession:
If you own an appliance repair business, you won't be as affected in the case of a recession. That's because a home appliance such as a washing machine can break down anytime.
Even if a period of economic turmoil ensued, homeowners would still rather repair their appliances instead of replacing them altogether. They're a necessity, so they'll have to decide either way.
An appliance technician can repair, adjust, or install almost any appliance, including ovens, refrigerators, dishwashers, dryers, washing machines, blenders, garbage disposals, and so on.
They'll repair defective, damaged, or worn mechanical parts. They can also swap out bearings, gears, switches, circuit boards, belts, faulty wiring, transmissions, and more.
Usually, the technician will have these common parts available on hand; that way, they can fix the issue when they arrive at the customer's home.
Here are the primary steps to start an appliance repair business:
You always want to start with a business plan so that you have short and long-term goals to meet during the process of developing and eventually expanding.
Put Together a Sound Business Plan to Make Sure You Have All Your Bases Covered
Choose between a Limited Liability Company (LLC) or a Sole Proprietorship; an LLC is best for an appliance repair company.
Select a name that's unique, if possible, and see if it's available.
Decide where you want your business to operate; choosing one of the more popular cities could be a good or bad idea, depending on the established companies that may already have clients' trust in that area. You can also operate from home and see where it takes you.
You'll need a small electronics/appliance repair license from the state to operate your business, depending on your location. You also have to follow various regulations to perform repairs on air conditioners or refrigerators.
The EPA states in the Clean Air Act that technicians must possess a Type 1 certification. Additionally, owners must have several general business registrations.
Many options are at your disposal, such as business loans, business lines of credit, and more.
Choose a reputable banking institution and open a business banking account to keep your finances separate from your personal banking account funds.
Figure out a way to promote your business and get the word out there that you're open for business and you're a trustworthy company. Consider a website as well as social media accounts.
Getting commercial or general liability insurance will protect your appliance service business if a customer gets injured because of your work. The insurance will cover any expenses, such as legal fees. Liability insurance is a must.
Workers compensation is like general liability insurance for businesses that hire employees. Workers comp offers coverage for medical expenses should a worker get hurt while on the job.
Insurance can be a significant expense but is necessary to protect you, your business, and your customers.
You may start as a solopreneur, working for yourself at first. However, over time, as your business grows, you might need to hire additional workers for assistance to keep up with demand.
You may need to hire an accountant for this step, as it directly impacts your tax preparation and bookkeeping.
It's pretty affordable to start an appliance repair business. It depends on the size of your team and the tools you purchase, for the most part.
For starters, it could be as low as $1,000, but if you get all the required equipment and supplies, it'll be closer to $5,000 or more if you also want to purchase or lease a vehicle specifically for business purposes.
Consider the following needs:
Here are quick answers to common inquiries regarding appliance repair business income and what you need:
When you start your company, you will wonder how to make money in an appliance repair business. It helps to identify a few skills that you can hone to set you apart from competitors. You'll obviously need appliance repair training if you don't have a strong background in appliance repair, but you'll need business skills and people skills as well. These essential skills will help you obtain daily success for your business:
You don't typically need training or licensing to begin an appliance repair business, but keep in mind the EPA regulations and certifications necessary if you're dealing with coolants or refrigerants. The same will apply to your repair technicians. Formal training may make you stand out amongst competitors.