Starting your own handyman business in the US can be a great opportunity for a foreigner, but the process involves several important steps. Learn what steps you need to take to start your own business in the US and where to find help when doing business abroad.

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A home improvement business can certainly be very lucrative for a foreigner, as homeowners regularly need help with repairs and maintenance of their property. For an expat, owning your own business can be a rewarding venture that offers flexibility and independence.

However, starting your own business in a new country requires careful research and proper planning. This guide will help you navigate the key steps involved in starting a home improvement business in the US in 2025.

High-Demand Home Improvement Businesses in Key U.S. States

The home improvement industry offers profitable opportunities across the U.S., with certain services in higher demand depending on the region. In Texas, appliance repair businesses thrive as homeowners seek reliable maintenance for essential household devices. Roofing and hurricane-proofing services are in high demand in Florida, where extreme weather conditions require frequent home reinforcements. In California, energy-efficient home upgrades, such as solar panel installation and smart home retrofitting, are booming due to strict environmental regulations. Meanwhile, in New York, property renovation and remodeling are lucrative, particularly in older buildings requiring modern updates. Entrepreneurs can tap into these region-specific needs to build a successful home improvement business.

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Step 1 – Research Local Rules and Requirements and Get a License

Before starting your home improvement business, it’s important to understand the local regulations, including those in your area. The US has a number of state and local regulations regarding business licenses, permits, and certifications. Regulations can vary by state and city, so you’ll need to check the specific requirements for the location where you plan to operate.

- Business Licenses

Most cities and counties require a general business license. This ensures that you are legally operating and paying your taxes.

- Contractor License

Depending on the scope of work (e.g. electrical, plumbing, HVAC), you may need a separate contractor license. For basic handyman services, a general contractor license is not required, but for certain tasks, such as electrical or plumbing, it is usually required.

- Insurance

It is extremely important to have liability insurance to protect yourself and your business from accidents or injuries while on the job. Some states may also require workers’ compensation insurance if you employ employees.

Step 2 – Choose your niche and list of services

The handyman industry is quite broad, from providing basic repair services to more specialized work. As an expat, it is important to identify your strengths, experience, and areas where you can offer the most value.

- Common services provided by handymen in the US include:

1. General repairs and maintenance (e.g. carpentry, painting).

2. Home improvement services (e.g. remodeling, flooring installation).

3. Minor electrical or plumbing work (depending on state regulations).

4. Outside-of-home services (e.g. lawn care, gutter cleaning).

You can also serve specific markets, such as seniors who need help with their homes, expat communities, or vacation home owners who need seasonal maintenance.

Step 3 – Develop a Business Plan

A solid business plan is necessary for any startup, including a handyman business. This plan should include:

- Executive Summary

Outline the purpose, mission, and revenue streams for your business.

- Market research

Analyze the demand for handyman services in your area and the competition. Researching your local competitors will help you understand your pricing, service gaps, and how to differentiate yourself.

- Services Offered

Identify what services you will provide, as well as any unique selling points (USPs) or features that set your business apart.

- Financial Projections

Estimate your startup costs (tools, equipment, marketing) and project your revenue. Be sure to plan for taxes and ongoing operating expenses.

- Marketing Strategy

Consider how you will attract customers. Will you use online advertising, local advertising, word of mouth, or partnering with real estate agents?

Having a well-documented business plan will help you stay on track and attract potential investors or lenders if you need financial support.

Step 4 – Register Your Business

Once you’ve laid the groundwork, it’s time to register your business in the United States. As an expat, you need to follow these steps:

1. Choose a business structure

A foreigner needs to decide on the legal structure of your business. The most common options for a small business are a sole proprietorship, partnership, LLC (limited liability company), or corporation.

- A sole proprietorship is created for a single person to run a business. In this case, the owner’s assets are at risk for business liabilities.

- A partnership involves two or more people who share profits and losses according to the principles set out in the partnership agreement. The owners are considered self-employed and report their taxes separately.

- Limited liability companies (LLCs) are legally treated as individuals. This means that the company’s liabilities cannot affect you as long as your expenses are not commingled with the company’s expenses. However, you will have to pay taxes on the company’s income and your dividends (or retained earnings).

Many small business owners choose an LLC because of the liability protection and tax benefits.

2. Obtain an Employer Identification Number (EIN)

After you have completed your business incorporation, submit the required documents and obtain an Employer Identification Number (EIN) on the IRS website.

3. Register for State Taxes

You may need to register for state taxes, such as sales tax or unemployment tax, depending on your location.

Step 5 – Invest in Tools and Equipment

As a handyman, it is essential to have the right tools and equipment. This may be one of your largest initial expenses, but it is essential to completing your tasks efficiently and professionally. The types of tools you may need depend on your service offerings, but typically include:

- Basic hand tools (hammers, screwdrivers, wrenches).

- Power tools (drills, saws, sanders).

- Ladders, scaffolding, and safety equipment.

- Work vehicles (e.g. vans or trucks to transport tools).

- Measuring instruments (levels, tape measures, etc.).

You can purchase or rent tools, depending on your budget and business model.

Step 6 – Advertise Your Services

To build your client base, you will need to effectively advertise your general handyman business. Since you are an expat, building relationships and a strong reputation in your community will be key. Here are some strategies:

- Create a Website

A professional website allows potential clients to find your services online. Include information about the services you offer, prices, and reviews. If possible, make your website available in multiple languages ​​to cater to different expat communities.

- Online Listings and Reviews

Platforms like Google My Business, Yelp, and Angie's List are great for local exposure. Encourage happy customers to leave positive reviews online to build trust.

- Word of mouth and referrals

Word of mouth is a powerful marketing tool, especially in smaller communities. Encourage happy customers to refer their friends to you by offering referral discounts.

- Social media

Use social media platforms like Facebook, Instagram, and LinkedIn to showcase your work and connect with locals.

- Flyers and local advertising

Consider putting up flyers at local community centers, libraries, or coffee shops, or placing ads in local newspapers and magazines.

Step 7 – Build strong customer relationships

One of the keys to success in the handyman business is providing exceptional customer service. Building strong relationships with your customers will lead to referrals, so:

- Communicate clearly and professionally with your customers.

- Offer fair and transparent pricing.

- Stick to deadlines and commitments.

- Deliver high-quality work that exceeds expectations.

- Remember that the handyman industry is built on trust and reliability, so your reputation can make or break your business.

Step 8 – Focus on networking and partnerships

Join local trade associations or business owners’ groups to connect with potential clients or partners. You may also consider partnering with other contractors (such as electricians or plumbers) to expand your range of services.

Step 9 – Stay on top of your tax obligations

As a business owner in the US, you will need to keep track of your income and expenses for tax purposes. You may be required to file quarterly tax returns, and you will need to report your income to both the federal and state governments. It is a good idea to hire an accountant or tax professional to ensure that you are in compliance with all tax laws.

A handyman business in the United States can be a rewarding and profitable venture for an expat. By understanding local regulations, obtaining the necessary licenses, and offering high-quality services, you can build a successful business that meets the needs of your community. With dedication and a well-thought-out strategy, your handyman business can thrive in this diverse and dynamic country.

Regardless of whether you are just starting a business or have been working on the market for a long time, at any stage you may need the advice of a personal business lawyer. This specialist is engaged in studying a wide range of issues, from starting a business and tax consultations to hiring and firing.

A personal business lawyer will help you avoid risks and find the best solutions for the development of your company.

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Reminder! Getting a Green Card in the USA can be quite difficult, especially for applicants who come from countries with high demand. We have already told you which ways to obtain a residence permit in the USA will be the best in 2025.

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