Trailer repair shop with a bay

Contractors, landscapers, rental companies, farms, small fleets and private owners of utility, car hauler, cargo and boat trailers.

Shop labor rates, parts markup, and fixed prices for routine jobs such as bearing repacks and inspections. Fleet contracts add steady work.

• Welding and fabrication
• Brake, axle and electrical repair
• Quoting, parts sourcing and bookkeeping

• Zoning and business license rules for repair shops, which vary by city and county
• General liability, garage liability and property coverage; workers' compensation once you hire
• Check state and local rules on sales tax for parts and on handling waste oil, solvents and scrap
• Safety-critical repairs carry liability, so keep records and use quality parts
• Rent and equipment costs are fixed, so build a customer base before taking on a long lease

Startup costs are typically around $20,000 to $100,000, depending on your premises, equipment such as lifts and welding gear, and parts stock. Rent and equipment are fixed costs, so build a customer base before signing a long lease.

Monthly revenue is typically around $6,000 to $30,000, depending on your customer base, the trailer types you handle and how many hours you work. These are estimates, not guarantees, and rent and equipment costs come out of that.

Check zoning and business license rules for repair shops, which vary by city and county. Also check insurance such as general and garage liability, sales tax on parts, and how to handle waste oil, solvents and scrap.