So you’ve decided you wanted to start a junk removal business – Now, where do you begin? There are many questions that junk haulers have when starting their businesses. Luckily, we’re here to help.
Table of Contents
- Starting Your Junk Removal Business
- Operating Your Junk Removal Business
- Marketing Your Junk Removal Business
Start Your Junk Removal Business in 5 Days With Our New Course
Build your new junk hauling business in just 5 days. Our comprehensive course will teach you what the pros know! Sign up to learn more.
Starting Your Junk Removal Business
Writing a Business Plan for Your Junk Removal Business
Writing a business plan can help you get your junk removal business started on the right track. A business plan forces you to hone in on your goals and objectives for your business. A junk removal business plan should include:
- An overview of your company (e.g., What does your business do? Who is running the day-to-day operations? What is unique about your business?)
- Your business offerings (e.g., Do you provide junk removal services for residential, commercial, or both? How much will you charge? Will you offer curbside rates?)
- A marketing plan (e.g., Who is your target market? What are the demographics of a junk removal customer?) - We’ll discuss this more a bit later in the post.
- Marketing tactics (e.g., How and where will you advertise your junk removal business? How will you measure your results?)
- Management & sales team (e.g., Who is responsible for hauling, marketing, PR, sales, and financials? Do you have junk removal contracts in place?)
- Financial projections (e.g., What are your goals for the first year of business? Do you plan on expanding your business in the future?)
A business plan can be a pretty hefty document, but having one is essential for starting your junk removal business on the right foot. It helps you know where you stand as a business and provides a written outline you can look back on for reference.
Determining the Legal Structure of Your Junk Hauling Business
To turn your junk hauling company into a legal business, you’ll need to choose a legal structure. This will help you understand what your company will look like in terms of capitalization, control, taxation, liability, and other important factors.
The five legal structures to consider are:
- Sole Proprietorship: Your junk removal business is owned and run entirely by you.
- Partnership: Two or more people are running your junk removal business.
- Corporation: Your junk removal business is recognized as a legal entity and is separate from you, the owner.
- Limited Partnership: Your junk removal business has at least one partner who is liable (general partner) for the company and one who is not (limited partner).
- Limited Liability Company (LLC): Your junk removal business is recognized as a legal entity and offers advantages of a partnership and a corporation.
All of these options have their pros and cons, but there may be one that best suits the needs for your junk removal company. You’ll want to consider who will own and run the business, who will be liable for the company, and whether you’ll have any partners. After you decide which legal structure works best for your junk removal business, you’ll need to file the necessary paperwork with your residing state, and then you’ll be on your way to getting your business finalized.
Naming Your Junk Removing Business
The name of your junk hauling business is most likely the first impression someone will have of your business, so you want to make sure that it’s memorable and relevant to your company. There are many options to choose from, but here are five of the most common types of business names:
- Descriptive: This describes what your business does (e.g., Junk Trash Removal).
- Founder Name: Use your name for a personal touch (e.g., John’s Junk Removal).
- Invented word: Don’t feel like any words out there fit your business? Make up a new word (e.g., Junkzilla).
- Amalgam: Combine two words to make a new word.
- Word Association: Use a word that you want your business to be associated with.
A good starting point is to come up with a list of words that are relevant to your business and go from there. It’s essential to choose a name that is meaningful and consistent with your identity.
Establishing Prices for Your Junk Hauling Business
One of the most asked questions we’ve seen from junk haulers is, “How much do I charge for junk removal services?” While prices will vary from business to business, there are some similarities when it comes to pricing a junk removal job. Most companies will charge by the truckload, whether it’s a fourth, half, or a full load, with a minimum price for jobs smaller than a 1⁄4 load.
Taking a look to see what other junk haulers are charging in your area can give you a reference point for prices and can also help you position yourself in the market. Here are junk removal prices from some of the most popular companies based on information posted on their websites:
Junk Removal Pricing Comparison
Comparison | Truck Size | Minimum Charge | 1/4 | 1/2 | 3/4 | Full Load |
College H.U.N.K.S. Hauling & Moving (10% bigger) | 16 Cubic Yards | $128 | $199 | $397 | $469 | $690 |
1-800-GOT-JUNK | 15 Cubic Yards | $144 | $282 | $406 | $530 | $658 |
Busby Junk Removal | 18 Cubic Yards | $120 | $120 | $240 | $360 | $480 |
JunkTrashRemoval.com Curbside (varies by location) | 18 Cubic Yards | $125 | $125 | $249 | $375 | $499 |
Ace Hauling | 20 Cubic Yards | N/A | $175 | $225 | $295 | $395 |
Average | 17.2 Cubic Yards | $116 | $197 | $300 | $387.40 | $485 |
Operating Your Junk Removal Business
Acquiring Necessary Equipment for Junk Hauling
- The first piece of equipment that you’ll need as a junk remover is a truck. Whether it’s a dump truck or a truck with a trailer attached, you want to make sure you have a large enough bed size to fit all of the junk you’ll be hauling away. If you don’t have one already, TrashTrucksOnline sells trucks that you can use for your junk removal business.
- Depending on the state you live in, you might need a license, permit, and/or insurance to get your business started. Check out your state’s requirements to ensure you have the proper documentation for running your junk removal business.
- Plan on having employees? You’ll need to order an Employer Identification Number (EIN) from the IRS. Having all of the proper documentation is extremely important to running a business, so be sure to have all of this in place.
- Other supplies include a shovel to help with hauling, an industrial broom, and dustpan to clean up after your job, and trash buckets and garbage bags to collect smaller junk items. Having the proper supplies to both do the job and clean up afterward shows that you are professional and considerate of your clients.
Learning About Proper Junk Disposal in Your Area
As a junk remover, you might be wondering “where do I dispose of the junk that I collect?” The easy option is to take it all to the dump, but if you want to dispose of it responsibly, here are a few alternative eco-friendly options for you:
- Resell valuable items. Sometimes clients will get rid of junk that can be valuable. Listing these items on Craigslist or eBay is a great way to make some extra cash while on the job.
- Donate new and gently used items. Places like Goodwill, Habitat for Humanity, and the Salvation Army will accept new and gently used items for donation. Donating portions of your haul can help your local community and also cut down on disposal fees, so it’s a win-win. Before dropping off the items, check with your local donation center to see what items they’ll accept.
- Recycle it. Many items that are dumped into landfills can be recycled. This includes many household appliances, such as washing machines, refrigerators, and microwaves, as well as some construction materials like concrete, plastic, and lumber.
If you find that the junk you have picked up doesn’t fulfill the requirements for these options, then you can take the load to the dump knowing that you did all you could to give these items new life.
Managing Junk Haulers and Multiple Trucks
At some point in your junk hauling career, you might choose to expand your business by hiring more haulers or investing in new trucks. This can increase your profits but also requires more responsibility and leadership on your part. As a business owner, it’s crucial to know how to manage your team of haulers effectively. Some managerial best practices include:
- Setting clear goals and targets. Everyone on your team should be aware of what the company’s goals are. If your junk hauling business is known for providing excellent customer service, let your haulers know about proper etiquette for interacting with clients.
- Maintaining effective and open communication. Apps like Trello, Asana, and Slack can give you the ability to create group chats between haulers, assign specific tasks to them, and give them an overview of the projects and goals at hand. Fostering open communication allows all of your haulers to be on the same page and work more efficiently.
- Providing constructive feedback. Help your team grow by providing them with weekly, monthly, and quarterly feedback. Let them know if they communicated well with the customer or if they didn’t clean up after the job based on your company’s standards. Giving them these constructive comments can help them become better employees and also build a consistent, positive reputation for your company.
- Leading by example. Your employees will be watching you and how you handle situations. Make sure that you follow the same rules you expect them to follow.
Becoming a good manager takes time and experience, but if you put these few practices into place, it can help you run a business that you can be proud of and that employees are proud to work at.
Online Tools That Make It Easier to Manage Your Customers
As a service-based business, managing your customers should be of high priority. Implementing Customer Relationship Management (CRM) software can help you store, organize, and interact with your customers all in one place. Here are a couple of CRM tools that can help your junk removal business:
- Less Annoying CRM is made with small businesses in mind. CRMs tend to be robust software with many features that make it challenging to navigate. This CRM focuses on the features that are important to small businesses, such as a place to store your contacts’ information, a calendar for all your events and tasks that can sync with Google Calendar, and a lead report that shows you the status and information of each of them.
- Workiz offers features to help manage your junk removal business and reach your goals. Their CRM provides easy scheduling for junk removal jobs, a job management tool where you can view jobs by status and keep track of payments, voice and call tracking to screen and record what customers are saying, and invoicing to collect payments and complete transactions.
We at Junk Trash Removal realize the importance of a CRM and the benefits it can provide junk haulers. That’s why we’re working on creating our own customer management platform, which includes some of the most important features you need as a junk hauler, such as phone tracking, scheduling, invoicing, and an easy-to-read reporting dashboard so you can continue growing your business. So keep an eye out!
Marketing Your Junk Removal Business
Creating a Marketing Plan for Your Junk Removal Business
While a business plan offers insight into your business as a whole, your marketing plan will provide more depth into the strategies you will use to grow your business. A marketing plan is essential for your junk hauling business to reach customers in your area in the most efficient way. Your marketing plan should include:
- Your company’s mission and goals (e.g., help people take their space back)
- A description of your target market (e.g., gender, age, income, geography)
- An analysis of your competitors (e.g., strengths and weaknesses)
- A strategy to fuel your marketing efforts (e.g., services offered, prices, service areas)
- Which marketing channels you plan to use for your junk hauling business (e.g., website, Google My Business, social media)
- The budget for your marketing efforts (e.g., website fees, paid ads, marketing services)
Creating a marketing plan is an important aspect you don’t want to skip over. This is what drives your efforts to reach out to new customers and grow your business.
Setting Up a Junk Removal Website That Converts Visitors Into Customers
If you’re wondering if you need to set up a website for your junk hauling business, the answer is yes. A simple Google search for “junk removal near me” will show you the abundance of websites that junk haulers have in your area. A study by eMarketer found that 87% of internet users ran an online search query within the past month to find a local product or service. If you don’t have a website that shows up on the results page, then you don’t get the potential business from that search. You’ve heard that “you don’t get what you don’t ask for.” In this case, you don’t get the business you don’t show up for, so make it happen.
Don’t know how to code? No problem! There are many resources out there that can help you build a website without needing to know a single line of code. Sites like Weebly and Wix are drop-and-drag website builders that make it easy to build a website for your junk removal business.
Your website can be your 24/7 sales representative, answering questions customers may have and giving them information on everything they need to know. Some details you can include on your website are:
- List of products/services (e.g., items you haul, prices)
- Photos (e.g., before-and-after photos, items you’ve removed)
- Company information (e.g., contact info, service areas, about the company)
- Contact form/email (e.g., price quote, online scheduling)
- Testimonials
Having a website for your junk removal business increases your credibility and shows professionalism to your visitors. As a small business owner, it’s an investment that can pay dividends.
Marketing Tools for Your Junk Removal Business
There are many marketing tools out there to help you reach more customers in your area. You can go with the classic flyers around your neighborhood, letting people know about your junk removal services with your phone number, but this may only reach a few people. You can expand your business and customer base by taking your junk removal company online.
Here are a couple of tools that can benefit you:
- Google My Business listings are based on locality and provide users with your contact information, hours of operation, reviews, and ratings. This free service can help your junk hauling business land on the front page of Google, so it’s worth investing in and maintaining.
- Junk Trash Removal Marketing specializes in marketing for junk removal companies. We provide you with city listings on our website, phone call tracking, Google Ads campaigns, and end-of-the-month reports to let you know precisely how many leads you received from our services.
Being online is essential for growing your business, and there are many resources out there to help you.
Measuring Your Marketing Tactics
Marketing efforts are useless if you don’t go back and analyze what’s working and what’s not. Taking the time to measure actions on your website allows you to move forward and grow your junk removal business. By understanding the methods by which you received more phone calls and got more customers, you can focus on these areas to apply more marketing resources and keep increasing your numbers. Some important metrics to look at include:
- Search terms used to find your business (e.g., junk removal in Miami)
- Where your customers are (e.g., Miami, FL)
- Who your customers are (e.g., men, ages 25-40)
- Phone tracking (e.g., when your customers are calling, why they’re calling)
Information like this can let you know whom you should direct your ad towards, when you should run your ads, and where you should advertise. If you have a website, you can use Google Analytics to find out this information about your website visitors.
Are there any topics that we didn’t cover here that you would like us to talk about? Have anything else you’d like to add from your experience running a junk removal business? Let us know in the comments below!
Leave a Reply