Foreclosure Cleanup Bussiness
With the economy spiraling downwards, a very lucrative business has emerged. This business is called Foreclosure Cleanup. Due to home owners having their homes foreclosed upon, this leaves many opportunities available for this industry. With little knowledge and a small cash investment, it makes for an ideal business for many to start. I will explain below a few key steps to make your business successful.
- Think of a business name. This name should reflect what you do, so people can identify the nature of your business without having to ask. This makes your business recognizable and prompts clients to hire you. There are two main types of business services this relates to. These are Foreclosure Cleanup and Property Preservation. The latter of the two is more for a business that repairs damages, paints, installs appliances, etc. Foreclosure Cleanup is just that, cleaning up. You basically remove debris from the interior and exterior of the property in order to make it presentable.
- You must purchase insurance and become licensed. If you want to work with banks and Realtors, this is a must. They are professionals and expect the same from the company they hire. You will not get passed the gate keeper without these two things. Insurance covers any damages inside that you make cause and accidents. Being licensed shows you are following the guidelines requested by your state, county and city. This alone will set you apart from the “fly by night” companies.
- Research your local landfill and dumpster supplier. If you have a truck you can load and haul away, that is great but check on prices and figure in gas cost along with time driving to and from. You can rent a dumpster to be dropped right off in the driveway of the home and load it up. They have stipulations on materials, weight and sometimes even a separate cost for dropping off and picking up. Just do your research first by calling around and seeing what works best for you.
- Create a website. You must have one these days or you are left out in the cold. It doesn’t have to be anything fancy, just a simple site stating your company name, the services you provide and how to contact you. Check out my site at www.wynnefc.com. I created this site in a day and nothing to crazy. I did add a few “free” features that will enhance my site but it was worth it since it did not cost me a dime. Be resourceful, see what you can come up with.
- Inc or LLC. It’s best to establish your business on it’s own and not mixed in with your personal finances. I formed an LLC, so if someone comes after my business, they can only take that and not attack me on a personal level. If you own a home and have a family, this is very important. With an LLC and a EIN (tax number for a business through IRS which is free), you can easily open a bank account under your business name. This will keep everything in line and separate especially when tax year comes around. I would also recommend a P.O. box instead of using your home address for the same purpose. Keeping this separate will help you in the long run.
- Marketing. This is very important in order to generate business. Once you are established, make sure you make people aware of your company. Pick up some business cards, magnetic vehicle sings and start notifing local Realtors that focus on foreclosed home sales. These individuals will be a great resources even if they do not hire you. They can help you on what you could do better in order to become more desirable with them.
- Last but not least… CONFIDENCE! You must have it. This is your business, so stand up next to it and be proud. You can do this and people should also feel you can. With that boiling over inside of you, it will spill out to all others near by.
This is a great time to get started in this business. If done properly, this could be a very luctrative business. Don’t wait any longer and get started today. I do not sell any products on how to start this business. Good luck and happy cleanup. Again, don’t forget to check out my site for further ideas: www.wynnefc.com