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TO START, MANAGE, AND GROW a Septic Service Business

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SPOTLIGHT INDEX

SPOTLIGHT INDEX

STARTING A SEPTIC SERVICE BUSINESS

Associa Tion Insider

To start a septic service, you must determine startup costs, obtain equipment and tools, set up systems to process work orders and payments, take steps to attract customers, and do other tasks. Your general to-do list for your septic business startup planning will include:

1. DEFINE THE SERVICE AREA YOU WANT TO COVER.

Spotlight Index

Owning a septic service business can be a rewarding career and offer a great life for your family. It can also provide employment for people in your community, which supports the local economy. For plumbing business owners, a septic system services line can be an ideal new revenue channel. This essential home maintenance service can attract an abundance of work and produce very strong profits. That makes it a wise choice for entrepreneurs with the specialized skills required to succeed in this type of service business. Let’s look at what it takes to start and grow your own septic system services company.

Deciding which area you want to serve is key to your logistics, vehicle life, maintenance needs, staffing requirements, operating costs, growth potential, and long-term profitability. Figure out the range of costs and profit in delivering each service you have in mind in the service area you’re considering. Include the cost of travel time, fuel, extra vehicle maintenance, etc., from your shop to the job sites in the area you choose to serve.

2. FIGURE OUT THE STARTUP COSTS.

To be sure you have the funds needed for your septic business startup, add up the costs of the equipment you need. For example, currently, a vacuum truck may cost from $100,000 to over $150,000. Add up your estimated monthly operating costs. Include fuel, fees for dumping wastewater and solids, vehicle and equipment maintenance, etc. Add office space rental and utility costs, supplies, liability insurance, CDL license renewals, payroll, etc.

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3. CONDUCT YOUR OWN COMPETITIVE MARKET ANALYSIS.

Do your research on competing septic companies in your service market area. Note the areas they cover, the particular services they provide, their pricing, advertising, brand identification measures, website features, social media efforts, etc. Examine their online customer reviews. This process will help you understand your competitive environment. Use the knowledge you gain to figure out ways to make your service business stand out from the others.

4. CREATE YOUR BUSINESS PLAN.

Write out your business plan to explain your goals for your startup and the strategy you will use to accomplish them. This illustrates to your lenders and prospective investors that you have mapped out the actions you will take to succeed. Include your plan for operating the business, for example, the advertising, if any, as well as sales activities you will do, the number of workers you expect to hire, their job descriptions, the services you will provide, etc.

5. OBTAIN YOUR LICENSES AND PERMITS.

To operate legally and be insurable, you will need the required licenses, certifications, and permits. Contact your area’s relevant government agency to find out all the regulatory requirements for your business and the individuals working in it. For example, are certifications required for your service technicians to perform routine septic tank cleaning and pumping and other maintenance work, evaluate customers’ sites, or install septic systems?

6. CREATE A MARKETING

STRATEGY.

Use marketing approaches that help you make people in your area aware of your services and attract new prospective customers. This is fundamental for increasing your revenues and growing your repeat customer and referral bases. Include a wellfunctioning, informative website, social media management, Google My Business placement, and offline community engagement activities, to maximize your visibility in your local market.

7.

BUY YOUR EQUIPMENT.

Obtain the right equipment and tools to enable your team to do quality work. That includes an adequate pump truck, septic locators, probes, tubes, hoses, etc. It also includes tank scrapers, brushes, and other maintenance tools. As your business grows, you will probably need upgraded management software that automates your workflow process, routing, dispatching, and other field staff management tasks.

8. HIRE WORKERS.

Hire enough technicians to meet the demand for your services throughout the year. Check references and backgrounds. Be willing to pay more to attract and retain experienced people who are skilled in the type of work you need them to do. Or, be prepared to devote the necessary time to training and cultivating inexperienced people who will learn on the job at a lower starting pay rate. Eventually, you’ll also need to hire administrative workers, a dispatcher, and possibly others.

Choosing Septic Service Business Technology

You cannot overestimate the importance of the technology tools you choose to operate your new septic services business: l Use modern equipment that makes septic service work more convenient on job sites, to enable your field team to focus on quality work and excellent customer service. l Use updated route planning software that empowers your administrative management staff to plot the most efficient routes, and reduce travel time, vehicle wear, and fuel costs, and maximize your team’s productivity. l Use communications tools to help service employees consistently fix customers’ problems on the first visit, for the high customer satisfaction rates, strong word-of-mouth advertising, and new referral business needed to grow your business.

Succeeding In Your New Septic Business

To succeed in your new septic cleaning and pumping business, you need to start by creating a business plan that details the main startup costs, evaluating the desired service area, performing a competitive analysis, getting licensed, etc. Learn the basics of running and optimizing this type of business. For example, route planning, hiring, labor costs, equipment, training, and licensing. Then, invest in the right equipment and tools to maximize your septic service efficiency, productivity, and profitability.

Further, understand what will be involved in scaling a septic service business in a highly competitive market. That means learning as much as you can about effective short- and long-range strategic planning as well as marketing and sales for small septic business growth.

If you have those things in place and are ready to stick with your entrepreneurial venture through all the challenges and frustrations of the startup process, congratulations! You’re ready to start and succeed in your own septic service business.

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