Small Crew Installing Heating and Plumbing Systems

Building owners, property managers, general contractors and builders who subcontract mechanical work.

Quoted fixed prices per install or bid for larger jobs, covering labor, materials and a margin. Repeat subcontract work from builders and managers keeps the crew busy.

• Licensed trade experience in HVAC or plumbing
• Reading plans and estimating jobs
• Supervising and training helpers
• Managing suppliers, schedules and cash flow

• Contractor licensing and bonding rules vary by state and sometimes by city, so check with your licensing board
• Workers' compensation insurance once you hire, and correct employee versus subcontractor classification
• Building permits and inspections for most installs, so check with your local building department
• Material costs and cash flow, since you often pay suppliers before the client pays you
• Warranty callbacks and liability for faulty work
• Gas, electrical and heavy-lifting safety on site

Startup costs are typically around $25,000 to $100,000, depending on vehicles, tools, insurance, licensing and initial materials. These are estimates, so build a detailed budget for your crew size and the type of work you plan to take.

Monthly revenue is typically around $20,000 to $100,000, depending on crew size, job volume and the types of installs. Cash flow matters, since you often pay suppliers before the client pays you.

Check contractor licensing and bonding rules with your state licensing board, since they can vary by city. Also check workers' compensation, employee versus subcontractor classification, building permits and inspections, and warranty and liability for faulty work.