How to Start a Computer Repair Business

Monday, May 13, 2013

How to Start a Computer Repair Business

Personal and business computers have become commonplace. Knowledge of how to repair computers when things go wrong with them, however, is not as widespread. Starting a computer repair business allows you to make a living while providing a valuable service to businesses and private clients who cannot repair their PC problems on their own. Certification is not explicitly required to start a computer repair business, but it grants you credibility that can be difficult to attain otherwise.

Step 1

Consider the repair services that you plan to provide. Decide whether you will offer general hardware repair and upgrade services, virus removal, data recovery, and other services. You should also consider the operating systems that you will be working with, as there are considerable differences between repairs on a computer running Windows XP or Windows 7 and computers running a Linux distribution or a version of Mac OS X.

Step 2

Take classes or other courses to prepare for certification tests in the areas you will specialize in. Examples of these certifications include the CompTIA A+ certification for computer hardware, Microsoft Certified Professional certification for working with Microsoft operating systems and programs and Certified Data Recovery Professional certification for data recovery work.

Step 3

Choose the type of customers that you would prefer to work with. Some computer repair businesses focus on helping business clients to manage their computers, while others are more focused on residential customers. Knowing your target customers beforehand will help you to target your advertising toward those customers.

Step 4

Research your competition to see how many other computer repair businesses target the same customer base in your area. Find out their rates, the services that they provide and the certifications that their technicians hold. Determine the rate that you will work for, making sure that it is competitive and reasonable for someone with your skill level and certifications.

Step 5

Apply for a business license and file a fictitious name or doing business as registration to allow you to work under the name of your business instead of your own name. Purchase a liability insurance policy to protect yourself from lawsuits in case a customer's computer is damaged while in your care.

Step 6

Advertise your business. Create a website with information on your services, rates, and certifications. Create fliers and take out ads in local newspapers and magazines. Offer discounts for first visits to encourage potential customers to come to you with their computer problems instead of your competition.

Step 7

Create a spreadsheet or database with customer information so that you can easily reference the past computer problems of repeat customers to try to find an underlying cause. Make notes about your customers so that you can more easily remember them if they return.

Step 8

Keep track of all of your income and expenses for tax purposes. File tax payments monthly or quarterly to avoid Internal Revenue Servie fines for underpayment.

Things Needed

Business plan

Tip

Computer owners may worry about turning over their computers to individuals that they may not know given the personal information that is often stored on computers. Creating a privacy policy and informing customers of it may help to put their minds at ease.

References (6)

Photo Credits(3)

No comments:

Easy Tips and Ideas to Start Business

Although anyone can start a business, many people fail because of a bad product or improper research. If you want to start your own business, you can improve your chances for success before you even begin. In order to make your business successful, start strong and make sure that your idea will hold out for the long haul.

Have a Good Product

Ensure that you plan to sell something useful. Although you may think that your product is important or special, that doesn't mean the general public will agree. Ask friends, family and strangers what they think of your product. If they don't seem that interested, ask them why. With their suggestions, you can either improve the product or scrap the idea completely. According to Brad Sugars of Entrepreneur magazine, most small businesses fail because they sold a product that didn't have an adequate market. This also applies to small businesses that provide a service. A lawn-care business might be useful for part of the year in a northern state, but it is in-demand year-round in the south. Consider whether people will actually want to use your service and get constructive advice from those not afraid to give their opinion.

Research Local Businesses

Research local companies before starting up your own business. This will not only give you an idea of the amount of competition you will have, but it will also help you price your product or service. If you're looking to start a wedding photography business, you may find during your research that the market is over-saturated in your area. If not over-saturated, you should contact each business and ask them for a price list. Alter your prices so you can stay competitive with the competition in town. Researching similar local businesses will also help you decide where to locate your business location. Try not to start up a store or office close to another business of your type. If your small business is located away from similar business types, this will cause locals to choose you over businesses that are farther away from where they live.

Get Professional Advice

You may know someone who has started their own successful business. Ask him for advice and listen to his stories of how he started his company. You may gain useful advice on the good and bad ways to start a business. Local entrepreneurs can also introduce you to local product providers or advertisers that you may not have met without their help. Accept any advice with open arms, especially if the advice is coming from someone successful in the area.

How to Calculate Business Start Up Costs

Starting a business in no easy endeavor. It takes a great deal of research, perseverance and hard work. While sweat equity will make your small business more successful, you will most likely need real capital to get the business started. Before you start raising capital and/or investing your own funds, the first thing you need to do is determine the total start-up costs.

Step 1

Determine your costs of sales. For most small businesses this means inventory, the cost of raw materials, manufacturing equipment, shipping, packaging, and warehousing. However, not all businesses sell products. In this case, the cost of sales is primarily the direct labor involved in making the sale. For example, to open a small shoe business entails purchasing enough inventory ($10,000) to stock the store.

Step 2

Determine professional fees. Planning your business structure, i.e., limited liability corporation or general partnership, means hiring an attorney. There may also be the need to pay an attorney for help with establishing trademarks, copyrights, and patents. In this scenario, that puts total professional fees at an estimated $20,000.

Step 3

Determine technology costs. Technology can greatly reduce the cost of labor for small business if used effectively. Most small businesses require computers, printers, cell phones, website development, Internet access, software applications, information security, data storage, and outsourced information technology (IT) consulting. If the cost of technology is $10,000 to start, add an additional $5,000 a year for maintenance (hint: maintenance is not included in start-up costs).

Step 4

Determine administrative costs. This varies with business types and may include items such as business insurance, office supplies, product packaging, parking, rent, express shipping, desks, chairs, fax machines, phones, or anything else necessary to operate the business daily. A good estimate for start-up administrative costs would be $5,000 for the first six months.

Step 5

Determine initial sales and marketing costs. Now that you have your product, you need to let folks know about it. Sales and marketing costs generally include marketing materials for presentations, printing stationery, business cards, advertising, trade show events, and public relations. These initial sales and marketing costs can add up to $3,000.

Step 6

Determine the wages and benefits needed to secure a staff. This includes employee salaries, benefits, workers compensation, and payroll taxes. Let's put the cost of wages and benefits estimated at $20,000 for the first three months of business.

Step 7

Add all costs associated with starting the business for a total. Be sure to only include business start-up costs that will be incurred in the first three to six months of operations. For this example, the calculation is: $10,000 + $20,000 + $10,000 + $5,000 + $3,000 + $20,000 = $68,000.

Pages

Monday, May 13, 2013