The best way to start a junk removal business is when you have money. You can make all the big investments up front and that will really help propel you to success much quicker than when you have to actually live off the income from your junk removal business. So how do you get started cheap?
DON’T UNLESS YOU HAVE TOO!
The easiest way to start cheap is don’t! If you have a job making around $50,000 a year plus keep working that job until you have enough money to do a downpayment on your truck and have another $10,000 in the bank to help cover some operating losses when you get started. Or, see if you can raise the money from friends or family.
When you first start your business don’t quit that job. Keep working your number one income while you build up your business. Only when your business is really taking off do you quit. And even then often times it is better to hire truck team members and continue working your main job. It took me three years before I made $50,000 in a year off of junk removal. You can really grow the fastest if you are able to live off other income and just break even or even lose some money the first year or so of your junk removal business. That will really set you up for massive future success. I’d consider quitting your job once you were making close to what you are making at your current job. And even then I’d think long and hard about it.
Remember, you aren’t getting into the junk removal business because you just love going around and hauling peoples trash. Your getting into the business to fricken make some Guala! Don’t cut your income by starting your new business. Work both at the same time!
If you have too, here is how
Step 1: Live cheap
In order to live off the income of your junk removal business while simultaneously growing your company you need to start out by living cheap. Have a roomate or two and keep your rent low. Then be ready to live off ramen noodles for at least the first year. Sell your car. Your main transportation is going to be your truck. Tell your girlfriend it’s gonna be netflix and chill for the next year. And let her know if she wants to spend time with you she better ride around with you in the truck and help you out on the job. You are serious about your success and are willing to do whatever it takes to make this business work.
Step 2: Get a truck
So if you don’t make around $50,000 a year and don’t have friends and family willing to lend the money, you will need to get started the way Junk Doctors did… cheap! The first thing you will need to do is get a truck. And you are doing this cheap so don’t go too crazy! Find a pickup truck and get a 6×12 trailer with 5 foot sides. That whole rig should be able to be gotten for around $5,000. The pickup around $4,000 and the trailer around $1,000. You could be a bit over that depending on your market but you should be able to find something for around $5,000.
Step 3: Build a basic site
Go to Wix.com to build a basic site. You can do this using a basic template and a few hours of your time. All of this can be done for a few hundred dollars. Do a cheap logo. Nothing fancy. Put your face on the site and tell a little bit about you. Try and get the people who want to use the real small time operator and help give a guy his start. This strategy will be abandoned and changed as you get larger. Also, make sure to add your site to Google places.
Step 4: Order Yard Signs
Go to kustomprintz.com to order some yard signs cheap. Place them in prominent intersections and ask you customers at the end of the job if you can place them in their yard.
Step 5: Do the free/cheap advertising
Post Craigslist ads daily. Get set up on nextdoor.com and post periodically talking about your service. Monitor any neighbors on nextdoor.com asking about junk removal services.
Step 6: Sell baby, sell
Pick up the phone and call professional organizers. Stop by real estate offices to introduce yourself and drop off your business card. Go to Home Service Trade Shows and introduce yourself to the remodelers in your area. Let them know you haul junk and would love to haul off their debris. Give everyone you know a business card. And get involved in social media. Make sure all of your Facebook friends know you are in the junk hauling business.
Step 7: Answer the phone
Make grabbing the phone before it goes to voicemail a priority. If you miss a call then call back immediately. And you need to answer that phone no matter what you are doing. Sleeping, in the shower, having sex. Doesn’t matter. You need to grab the phone. And you better prepare. If your gonna have sex have that phone where you can grab it and a water nearby. Don’t be answering the phone out of breath.
Step 8: Save that money so you can invest it soon
Keep living cheap once you are actually making some money. Put that money into an account and leave it alone. Remember, you bought a $4,000 pickup. That think isn’t gonna last long. You need to stack up some money to invest in your business. Get $5,000 saved up first so you can get JRA to build you a website. Your next objective needs to get another $5,000 or so saved up to get started on Customer Acquisition Management (CAM). Following that you would then look at upgrading or adding another truck, this time a dump.
The order can vary some for sure. And yes, I’m plugging JRA services. That is because I 100 percent believe that is the best route for you to take. We built our business up to a $2 Million a year business by year 5 from doing much of what I talked about here. Except we wasted a bunch of money too learning. With JRA you get all that experience and expertise. So much cheaper than having to learn what works and doesn’t work on your own.
Step 9: Grow, grow, grow
Your number one objective needs to be to grow the business. Put off short term profits for long term gains. Remember, your goal should be to build a business that runs without you. That means you will have to put off several years of profits in order to keep re-investing in equipment and people to get your business where it can run without you. At that point you will be making more money and have more freedom than you’ve ever had in your whole life. And you also have a business that is worth some Muuulah! And that, my friend, is why you got into business for yourself. Freedom and money. And, oh how sweet it is.
Other Notes
Don’t be afraid to get a second part time job while you are building your business. Work at night, offer landscaping or delivery of items. Do whatever you have to do to make money. Remember, you aren’t simply building a junk removal business. You are wanting to make yourself successful. That’s the overall objective. That means hustle as hard as you can and get that income up. Then invest in the growth of your business.
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