Going out on your own: leaving the company truck behind
Most tradespeople who go out on their own are already good at the work. What surprises them is everything else: the paperwork, the quoting, the chasing payments, the evenings spent on invoices instead of with family.
Before you hand in your notice
- **Check your licence.** Many trades are licensed by the state, and some licences belong to the company's qualifier rather than to you. Find out what you need to work under your own name.
- **Line up your first jobs.** Former customers, referrals, contractors who know your work. A few booked jobs make the first month far less stressful.
- **Save a cushion.** Payments arrive weeks after work is done. A couple of months of living costs in the bank gives you breathing room.
- **Read your employment agreement** for any non-compete or non-solicit terms.
Set up the business properly
Register your business, get an EIN, and open a separate business bank account. Forming an LLC is a common choice for trades because it separates your personal assets from the business's debts. Then sort licences, insurance and any bond your state requires - in that order, because insurers and licensing boards often ask for the others.
Tools and vehicle
You may have your own tools already. The vehicle is the bigger question: buy, lease or use your own? Whatever you choose, it needs commercial auto insurance if it is used for work.
The systems that save your evenings
Decide from day one how you will:
- send quotes customers can accept quickly,
- book jobs and keep a calendar,
- invoice the same day the job is done,
- take card payments on site.
Doing these by hand works for a few jobs a week and breaks after that.
Price for the business, not the hour
Your old hourly wage is not your rate. Your price has to cover insurance, vehicle, tools, unpaid admin time, slow weeks and your own pay. Work out the true cost of an hour on the clock before you quote anyone.
Service Boss sets up the business side - formation, licences checklist, quotes, scheduling and payments - so you can get back on the tools.