Air conditioning and cooling shop

Homeowners, tenants, landlords and small businesses such as offices, salons and restaurants that need cooling before or during the hot months.

Margin on each unit and accessory sold. Referral fees or partnerships with installers can add extra income. Sales peak in late spring and summer, so plan cash flow for the quieter months.

• Explaining products in plain language
• Basic sizing knowledge (room size, BTU, power needs)
• Stock and cash flow management
• Customer service

• Installation of ductless systems usually needs licensed technicians, and refrigerant handling and electrical work are regulated, so check with your provincial regulator before offering installs yourself
• Commercial general liability insurance and product liability cover
• Business registration, municipal business licence and GST/HST registration once past the small supplier threshold, check your province
• Heavy seasonality, so check how long your lease and stock financing last through winter
• Warranty and returns terms with your suppliers, and any provincial rules on consumer sales

Startup is typically around $30,000 to $120,000, depending on your premises, lease terms and the amount of opening stock. These are estimates, so get supplier and lease quotes before you commit.

Monthly revenue is typically around $10,000 to $50,000, depending on location, range and the season. Sales are heavily seasonal, so check how long your lease and stock financing last through winter. Expect at least about 35 hours a week.

Check whether ductless installs need licensed technicians, since refrigerant and electrical work are regulated, and ask your provincial regulator. Also check liability cover, business registration and licence, GST/HST registration, and supplier warranty and returns terms.