General contractor who manages subcontractors

Homeowners, small landlords and local businesses who want one person to manage the whole project.

You charge the client a project price or cost plus a fee, pay your subcontractors and suppliers, and keep the margin or management fee.

• Project management and scheduling
• Reading plans and estimating costs
• Negotiating with subs and suppliers
• Handling client questions and changes

• State and local licensing: many states require a license to contract for work above a certain value, even if you hire others to do it
• You can be responsible for subcontractors' work, so ask for their licenses and certificates of insurance before they start
• Workers' compensation rules for uninsured subs and any employees, which vary by state
• Permits, inspections and written contract rules, including limits on deposits in some states
• Cost overruns and delays, since you carry the risk on fixed-price jobs, so build in a contingency
• Check whether your home or HOA rules allow a home office with business-related deliveries or vehicles

Startup costs are typically around $4,000 to $20,000, depending on licensing, insurance, software and office setup. On fixed-price jobs you carry the risk of cost overruns and delays, so build a contingency into your quotes.

Monthly revenue is typically estimated at around $6,000 to $30,000, depending on the number and size of projects you manage. That is revenue before subcontractor and material costs. Plan for at least 20 hours a week.

Check state and local licensing, since many states require a license above a certain job value even if you hire others. Ask subs for licenses and certificates of insurance, and check workers' compensation, permits, inspections and deposit limits.