Many people seek financial independence and the most reasonable way to achieve it is by starting your own business.
However, simply starting a business is not enough, as you will also need to grow it. For welders, the myriad of opportunities in the welding field makes it possible to easily do both. However, it is important to remain vigilant throughout both stages.
That said, here is what you need to know if you are interested in starting and growing your welding business.
How Welding Businesses Make Money
Typically, most welding businesses will be committed to short-term, small projects. However, in order to increase revenue, it is advisable for a welding business to seek long-term engagements, especially with projects that involve preventing water damage and rust, which are common. Moreover, many welding businesses focus their efforts on making modifications and repairs to metals.
A welding business’s profit will range depending on how well established the company is. An average company can generate about $70,000 per year. Whereas, a large welding company can go up to making six figures yearly. The typical hourly rate that is charged by a welder is usually between $30 and $40. However, special jobs may be subject to higher fees.
Different Welding Businesses
There are several different welding businesses that welders can choose from. Choosing the one that suits you best is essential for your success. Though, if you are new to welding or do not know where to start, still you wish to benefit from the prospects of the industry, then consider learning how to MIG weld. With the help of a thorough and useful guide, you will be able to learn all about the practicality and easiness of MIG welding. You will not need to worry about any hazards, as this method is safe and effective for beginners.
However, if you have experience welding, here are the different welding businesses you can choose from.
- Heavy Stainless Steel Fabricating
- Aluminum Welding
- Heavy Haulage Trailer Manufacturing
- Steel Construction Fabrication
- Underwater Welding Service
- Breakdown Welding Service
- Mobile Welding Service
Start & Grow Your Business
Here are the things you should keep in mind when starting and growing your business.
1. Think Strategically
Entering the welding field will come with many challenges. However, no matter the challenge, always look to think strategically. More than often, a welding business will waste many of its resources trying to be everything for their customers. It is best to target a niche and specialize in one thing, especially when you are starting. Take a look at what your business excels in and focus your energy and resources on nurturing that competency. Doing so will help you build a long-lasting reputation. Moreover, your customer satisfaction will lead to long-lasting relationships.
2. Establish Good Finances
Many businesses fall for the common error of not establishing good financial practices early. In order to avert falling for this mistake, you will need to find a proficient accountant. They will help guide you through your finances and help determine if your plan is paying off or not. It could be that you are not charging enough to make a profit, while the problem could be that your expenses are too high. An accountant will help minimize your losses and debt.
3. Social Media
The best way to promote your business is through social media. This will help get your message and objective across to thousands, and even millions if you use it correctly. Getting access to a large audience will ensure that you share information about your business and can increase your clientele. Make sure to promote a specific job you perform, preferably the job you are best at.
4. Figure the Technical Aspects
Just as you would do with any business, you will need to start by forming a legal entity. This could be an LLC, which removes liability from you. Moreover, you will need to register for taxes and open a business bank account.
However, make sure that your account comes with a credit card since many initial expenses can be paid for using the card. Make sure you do not forget about any permits or licenses you might need. Finally, it is important to get business insurance, which is recommended for all business owners, and sometimes legally required. This way, your insurance will cover any worker’s compensation.
Starting a welding business is usually fairly easy; however, growing your business could prove to be difficult. For this reason, you will need to focus your efforts and resources on one specific job and grow it.
So long as you build a strong reputation, your customers can come back for more. However, make sure to promote your business on the internet, and specifically on social media. And don’t forget that if you are new to welding, you can always start learning how to MIG weld. Otherwise, choose a welding business that best suits your skills.