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Thursday, April 24, 2014

Start a Landscape Lighting Business

You need a specific business and marketing plan if you wish to open a landscape lighting business, or if you currently own a landscaping business and want to add landscape design and lighting as an additional service. New designers will need to consider whether to start as an independent contractor or purchase a franchise opportunity. Purchasing a franchise may involve additional costs, so consider this in your business plan for capital needs. In addition to initial capital and financial projections, your business plan should include a description of your experience and expertise, how you plan to market your business and a description of your business operations.

Step 1

Determine the knowledge needed for your new business. Inexperienced landscape designers have a number of resources for education and training in their field. Certificate courses at local community colleges offer education and training, and some product manufacturers offer free training to independent vendors and to those who purchase franchise opportunities.

Step 2

Determine your target market. If you already have an existing landscaping business, offer your lighting design services to your established client list. If you are starting a new landscape design business, consider to what market you will offer your services. Determine whether you will choose residential or commercial landscape lighting design and what competitors exist in your area. A study of customer volume and number of competitors can assist in determining the level of resistance you will meet when starting.

Step 3

Choose whether you will be independent, or purchase a franchising opportunity. Franchises sell for as little as $20,000 or as much as $250,000. The advantages to franchises are found in brand recognition, product training and support, profit sharing opportunities and exclusive vendor pricing. The benefits of independent operations include management autonomy, control over profit margins and the ability to use products from other companies to meet consumer demand.

Step 4 

Determine initial capital requirements and create a financial plan. List all first year costs, including starting costs. These costs will include equipment, possible franchise fees, inventory costs, marketing and advertising expenses, labor costs, licensing and other business or professional fees. Organizations such as SCORE or your local small business administration office can provide assistance with your business plan and calculating capital requirements. 

Step 5 

Market your business. Use every means at your disposal to get the word out about your new business. If your budget allows, purchase local media advertising aimed at your chosen market. Join your local chamber of commerce and merchant associations to network with other business owners. Use online resources such as a company website, e-mail and social media to promote your business

Tips

Warning

  • Research legal requirements for low voltage lighting, as individual states differ on what is allowed. 

References

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