The cost to start a trenchless pipelining company can vary depending on many factors, such as the size of the business, location, and equipment needs. Here are some of the major expenses that may be incurred:
Equipment:
Trenchless pipelining requires specialized equipment such as lining materials, curing equipment, cameras, and cleaning machines. The cost of equipment can range from $20,000 to $100,000 or more, depending on the level of service and quality required.
Pro tip: take a trip to visit a couple of contractors outside of your area. Ask to shadow an installation team on a project similar to what you want to offer. As long as you won’t be a direct competitor, you’ll find the industry is full of great people willing to share their best advice for starting a new company. And never hesitate to talk to equipment dealers. If they push sales, forget about them – ask for a free, no-obligation consultation.
Office and Warehouse Space:
You may need to rent or purchase office and warehouse space to store your equipment and materials, as well as to manage your business operations. The cost of office and warehouse space depends on the location and size of the space. If you need local space, consider talking to friends and neighbors or consulting a trusted realtor. We recommend starting with a good amount of space that fits your storage needs but doesn’t bust your budget. You can always rent until you have enough revenue to purchase a space of your own.
Marketing and Advertising:
To attract customers, you may need to invest in marketing and advertising, such as online ads, direct mail, and promotional materials. The cost of marketing and advertising can vary depending on the approach used. One of our favorite marketing hacks is social media. This is a virtually free way to let potential customers know you’re open for business.
Pro tip: keep your business social media accounts separated from your personal posts and focus on the benefits your company can provide.
Insurance and Licensing:
You will need to obtain insurance and licensing to operate your business. The cost of insurance and licensing depends on state and industry regulations.
Employee Salaries:
If you plan to hire employees, you will need to budget for their salaries and benefits.
Pro tip: Get familiar with your market. Find out what employees are making in your area so you can compete with the more established contractors. And don’t be afraid to hire a couple of seasoned industry vets; their expertise could save you big time! On the flipside, offering your own training is a great way to recruit young team members looking to grow in the skilled trades.
Summary:
Overall, the cost to start a trenchless pipelining company can range from $50,000 to $200,000 or more. It is important to create a detailed business plan and budget to accurately estimate the costs associated with starting a business in this industry.
Equipment financing companies can help make the costs to start a trenchless pipe repair company more manageable.
Pro tip: bundle equipment packages into one financed purchase. You can make a manageable monthly payment and get all (or most) of the equipment you need to succeed.
Apex CIPP Solutions offers free consultations to those interested in adding trenchless pipe repair to their plumbing services. Training and professional consultation in pipe lining, also known as CIPP (cured-in-place pipe), pipe patching, connection/junction lining, robotic reinstatement cutting, spray coating, drain cleaning and more are available. Complimentary specialized training is also included with system purchases.
