Kitchen and bath remodeling company

Homeowners planning major renovations, often funded by savings, home equity or a loan.

Contract price per project with staged payments. Profit comes from managing labor, materials and subcontractors within the quoted price.

• Construction knowledge across several trades
• Estimating, budgeting and contracts
• Project management and scheduling
• Hiring and supervising crews
• Selling and building client trust

• State contractor licensing, exams and bonding requirements, which vary widely, check your state board
• Building permits and inspections for most major work, check your city or county
• General liability insurance, and workers' compensation once you hire, plus possible surety bonds
• Cash flow gaps if you pay for materials and labor before client payments arrive
• Rules on deposits and payment schedules for home improvement contracts, which some states cap
• Lead-safe rules for older homes and disputes over change orders, put everything in writing

Estimates suggest startup costs typically around $10,000 to $50,000, depending on vehicles, tools, insurance and bonding. Monthly revenue is typically estimated around $15,000 to $75,000, depending on project size and how many jobs your crew runs at once.

State contractor licensing, exams and bonding requirements vary widely, so check your state board. Also check whether your city or county requires permits and inspections for major work, and any rules on deposits and payment schedules for home improvement contracts.

Estimates suggest at least 35 hours a week, as you coordinate permits, scheduling and quality. Check cash flow too, since you may pay for materials and labor before client payments arrive. Put change orders in writing.