How to Start a Custom Closet Company
A custom closet company is responsible for building closets, closet organizers, hampers, drawers and tie racks. Using a variety of materials including wood, melamine, wire and veneer custom closet companies can make an existing closet look brand new. If you have talent within the carpentry business and interior design, this just may be the career for you.
- Budget the start up costs, which average around $20,000 to $52,000. Look into obtaining a small business loan if you do not have upfront finances.
- Get a job in a custom closet company to learn the ins and outs of the business before you start your own. Take a training course; some custom closet companies have a class you can attend to learn more about the business. Make sure that you look for courses that work with all the materials you want to work with. You will also be learning how to get clients and run the business while working there.
- Compose a business plan. Write in detail about everything you may need for your business since. Some things you will need to get started are a van, Internet, business cards, computer design software, tools, fliers, office supplies and equipment. Be sure to factor in insurance, marketing and licenses. An emergency fund should be started in case some equipment fails and you need it fixed.
- Locate a building or warehouse to conduct business. You will need ample space for a workshop and small office. Be sure the building is up to code and zoned for commercial use.
- Connect with your city or county licensing department to get your contractor's license. After you get your business license, make sure you obtain a liability insurance policy for your business. If you plan to have employees, start a workers comp policy as well.
- Look for a wholesale manufacturer for your supplies. Shop around to different suppliers to get the best deals. It might be in your best interest to open a line of credit for your big purchases. Pay your credit payment on time and this will begin a strong relationship with your manufacturer.
- Create a checklists before you go to a potential clients house. Create a portfolio of sketches for the client to see as well as different accessories for them to choose from.
- Prepare to set yourself apart from other custom closet companies, use better material and have more designs for your client to choose from. Start a marketing campaign to obtain new customers.