trees imge

Using tree services Austin is important to homeowners as they are the ones responsible for planting and removing trees plus they do weekly, monthly, or yearly maintenance.  This can include pruning and trimming the trees, checking for pests, remove roots, fallen tree branches, and more.  They are knowledgeable about local regulations and codes to help property owners maintain their properties properly and legally.

To start your own tree service business, the first step you need to take is to plan the business.  If your business is to thrive and become successful, you need to have a clear, concise business plan.  It will help you plan out the specifics of your business.  Some of the points of a business plan should include:

  • Startup costs—generally, the start-up costs can range from ten to fifty thousand dollars.  You will need to get liability insurance, business license, disability insurance, auto insurance, warehouse, equipment insurance, equipment, including a truck plus the computer and software to run the business.
  • Ongoing costs—this includes paying employees, buying more equipment as the business grows, replacing older or broken down equipment, maintenance on the equipment and vehicles, insurance, and more.  Ongoing costs cover everything involved with the business and what it takes to keep it running.
  • Target market—this is what type of potential clients you want to have, whether it is business, residential, or a combination of both.  
  • How to make money—with this type of business, you will make the most money by maintaining various properties.  You will also earn money by offering emergency services, planting trees, and removing dead trees and downed tree branches, but it is more reliable and steady money if you do monthly pruning and trimming.  If you can provide highly-skilled services, you will make good money.

Before you start advertising your services you need to have an idea of what you will charge your customers.  On average, depending on the job, most tree services charge their customers $75-$1400 per job.  If the job is risky or will take more time than usual then you can charge more.  If you want to be a competitive provider, you could offer low-cost emergency services.

Once the initial work is done, you will need to form a legal entity, such as an LLC, which will prevent you from being liable personally if someone sues your tree service business.  You can also use other business structures such as DBA’s and corporations. To stay compliant with the laws and protect your privacy, you might consider using a registered agent.  This is a business entity or individual that accepts legal and tax documents on the behalf of your business.

The next step is to register for taxes, including federal and state taxes before you are allowed to open your business.  To do this you need to apply for an EIN, which is an employer identification number that you can get from the IRS.  Once you have an EIN you can open a business bank account and apply for a business credit card.  You need to make sure that you have separate personal and business accounts to keep your car, home, and other valuable items from being at risk in case your Austin, Texas tree services are sued.  It will also help to build your business credit.  Sometimes it is easier to get better interest rates and higher lines of credit if you have your own separate business accounts.

Make sure that you have all the necessary licenses and permits to run your business.  If you do not have them, this could lead to heavy fines, and in some cases, your business can be shut down.  Check with your local government to see what state licenses and permits that you need to have to run your tree service business.  One permit you will need to have is a sales tax permit so you are allowed to collect sales tax.

Have service contracts because clients are required to sign a service agreement before you can start work.  Make sure the contract is very specific and includes such things as payment terms, what the job entails, etc.  You should also make sure you have business insurance so you can operate your business lawfully and safely.  These are just some of the things you need to start your tree service business.