Ownership · Start
Track 01 · Going independent
You know
the trade.
Now own it.
The complete path from journeyman or W-2 employee to owner-operator — legal setup, insurance, first clients, pricing, and the right starter tools.
7 steps
To open doors
~$8K
Typical startup cost
Day 1
Can earn from week 1
Launch checklist · 7 steps
In roughly this order. Steps 1–3 can happen in parallel — don't wait on all of them before you take your first job.
01
Choose your business structure
LLC in most cases — it separates your personal liability from the business. S-corp election later if your income justifies it. File in your state; takes 1–3 days online.
State filing: $50–$500
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02
Get the right insurance
General liability ($1M/$2M) is non-negotiable — most GCs and homeowners require it. Add a commercial vehicle policy on any truck you use for work. Workers comp once you hire.
GL + commercial auto: ~$150–$300/mo
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03
Verify your licenses are current
Your journeyman or master license should already be active — check it's in your name, not your employer's. Some states require a separate contractor license, distinct from a trade license.
Varies by state
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04
Open a dedicated business bank account
Separate business finances from day one. Makes bookkeeping, taxes, and proving your business is legit dramatically easier. Most banks can do this in an afternoon.
Free to $15/mo
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05
Set your pricing before your first job
Don't wing it. Know your break-even hourly rate (truck + insurance + your pay + materials markup). T&M or flat rate — both work, but you need your floor before you quote.
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06
Get your first 5 clients
Referrals from former clients (if allowed), a Google Business Profile (free, ~2 hours), Nextdoor, and a simple $500 Facebook campaign in your ZIP. You don't need a website on day one.
Google Business Profile: free
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07
Set up a basic tool stack
Jobber or Housecall Pro (~$49/mo) handles scheduling, invoicing, and customer records. QuickBooks Simple Start (~$30/mo) for books. That's ~$80/month to run a professional operation.
~$80–$100/mo total
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What year one looks like
Realistic first-year
milestones
These are medians — some owners hit them faster, some slower. The goal isn't to hit every milestone, it's to know what's possible and what to aim for.
Week 1
First paying job
Referral from former employer, neighbor, or family member
Mo. 1
$5K–$10K in invoices
Realistic for HVAC, electrical, plumbing — higher-ticket work
Mo. 3
First returning customer
Proof that your work and follow-up are landing
Mo. 6
80%+ of work from referrals
The goal — paid ads are a crutch, referrals scale for free
Yr. 1
Considering employee #1
You're turning down work — time to scale or stay solo
Stack for 1-person shops
Don't overbuy.
Start simple.
Start simple.
The ~$99/month stack that handles 90% of what a solo operator needs — scheduling, invoicing, QuickBooks sync, and a mobile app.
See the starter stack →What it actually costs
Legal setup
$200
LLC filing
One-time. State fees + registered agent for year 1.
Insurance / yr
$2.4K
GL + commercial auto
Per year. Rises with revenue and headcount.
Tools & software
$1.2K
First-year stack
Jobber/Housecall Pro + QuickBooks. ~$100/mo.
Working capital
$5K
Cushion
30–60 days of expenses before AR comes in. Don't skip.