Do you want to start a graffiti removal business? If yes, you have landed at the right place. In this article, we have provided a complete graffiti removal company plan guide, including costs, profit margin, legalities, and much more.
You must have come across graffiti on the walls of public buildings, houses, or schools. They may be writings, drawings, and other things. But one thing is common about them. That is, they destroy the beauty of the clean walls. Graffiti removal is done to restore these walls.
That is why graffiti removal is an essential service. It is sought by the government agencies to private property owners, and they pay for this service. This is a profitable business that will give you good income opportunities.
Most commonly, graffiti is removed by certain methods and techniques. The wall damaged by graffiti also needs repainting. That is why your graffiti removal business will have a total package of removal and repainting. Startups have to learn the skills for running the business.
Is the Graffiti Removal Business Profitable?
The graffiti removal company will give you a good profit. The amount depends on the volume of the business you can generate. However, you can charge between $35 and $50 per square foot, along with the cost of transport. With bigger areas to remove graffiti, you can earn $150,000-$170,000 annually in the first year.
After paying all the charges, fees, and insurance premiums, you can get a profit of 25-30%. This industry being a large and expanding one, your prospects are also high. As per research, the money spent on graffiti removal in the USA is approximately $12 billion a year. It is estimated to go higher in the coming years.
The graffiti removal business also needs certain other steps, as well as planning. You have to follow them and know the business thoroughly to become successful.
14 Steps to Start a Graffiti Removal Business
1. Know the Industry
Before starting your graffiti removal business try to know the industry as much as you can. It is a big industry with high prospects. Government buildings, commercial properties like malls shopping complexes or office complexes, schools, colleges, as well as residential houses are the targets of graffiti. They will always need to remove them, and it is a regular service. Hence, you can fit in this market and earn your profits.
2. Choose the Area
Choose a suitable area for your graffiti removal business. Any city or even a small town is a prospective area for your business because graffiti is everywhere. However, choose the area where you have good contacts.
3. Research and Collect Data
Get the necessary details of the area related to your graffiti removal business. You must have the data about the number of buildings, schools, market complexes, etc. Along with that, you need to get data about the competitors of your business in this area. Thereby, you can plan your business strategies and marketing program accordingly.
4. Learn the Methods of Graffiti Removal
Before you start a graffiti removal company, you must know the methods of graffiti removal. Not only that, you should have hands-on experience. Graffiti can be removed by wiping using different kinds of solutions. In cases of more stubborn or bigger graffiti, you have to use pressure washing.
Make sure that you are using safe and environment-friendly products. You will also need paints, brushes, and ladders for painting. Apart from these, you will need a truck or van to transport this equipment to the specific site.
5. Write a Business Plan
Write down a business plan for your graffiti removal business. Mention all the steps of the business clearly and specifically. Also, use the data you have about the area of your business. Mention your approach to the business, along with your expected revenue. Discuss the importance of graffiti removal not only as a business but also as a means to clean a city.
Your business plan should include:
- Mission & Vision
- Selection and Significance of the Area of Business
- Techniques of Graffiti Removal
- Funds Required to Start the Business
- Source of Funds
- Heads of Expense
- Profit Projection
- Marketing Plan
Putting correct data and calculations in the business plan will help you plan your business well. Further, you can get a loan to start the enterprise through this business plan.
6. Name your Business
Choose a catchy and relatable name for your graffiti removal business. Take the help of online name generator portals if you need it. Also, book the domain in the name of your business. This is important for the website of your business.
7. Register the Business
Register your graffiti removal business as a business organization of a specific legal format. Every country and state offers a wide range of business structures as per the scale and size of the enterprise.
For example, the popular forms of business organization in the United States include Partnership, Sole Proprietorship, LLC or S Corp. Choose any of them according to your convenience. Also, get the EIN or Employer Identification Number through an application.
8. Apply for Taxes
Paying tax is mandatory for any business. Hence record your graffiti removal business for the necessary taxes that apply to your business. Taxes are levied on both Federal as well as State levels.
9. Licenses and Permits
Get the licenses and permits that are mandatory for your graffiti removal company. Paying these fees is extremely important for running your business smoothly.
10. Buy Insurance
Insurance coverage will protect your graffiti removal business against many untoward incidents and damages caused thereby. You must have General Liability Insurance, Workers’ Compensation Insurance, Auto Insurance, and Commercial Property Insurance to start with.
11. Open a Business Bank Account
You cannot operate your graffiti removal company without a bank account. Therefore, you have to open a bank account in the name of your business. Along with the bank account, apply for a business credit card for getting credit facilities.
12. How Much Does It Cost to Start a Graffiti Removal Business?
The money needed for your graffiti removal business has two parts- firstly, the cost of equipment and fixed cost. Secondly, the variable costs like fuel, maintenance, paints, etc.
Equipment including a truck, pressure washer, and sandblaster will cost approximately $40000-$45000. Apart from that, the other costs will sum up to $25,000-$30000. Hence, you will need approximately $65000-$75000 to start your business.
13. Arrange Fund
You can get the funds for your graffiti removal company from your savings or investments. Secondly, you can opt for a loan from banks or financial institutions. Thirdly, you can try and get funds through crowdfunding. Lastly, you can try for a soft loan from family or friends.
14. Have a Marketing Plan
Chalk out the marketing plan of your graffiti removal business in a way that gives you a maximum number of clients.
a) Personal Visits
Visit your prospective clients regularly and convince them about the excellence of your service. Make a colorful brochure and distribute them to the clients.
b) Offer Different Price Plans
Make a variety of plans for your clients. This includes weekly cleaning, monthly cleaning, bi-monthly cleaning, fixing your rates on a per square foot basis and repainting. You can also make annual contracts with your clients for a specific number of yearly cleanings and repainting.
c) Consider Health Factor
Emphasize the use of eco-friendly products by your graffiti removal business to the clients. This makes your business more acceptable and credible to the clients.
d) Advertisements
Give regular ads in newspapers, magazines, TV, and radio on your graffiti removal business. Also, give ads in the digital media. Do not forget to create an attractive logo for your graffiti removal company.
e) Create a Website
The website of your graffiti removal business is an important marketing and publicity tool. Use the website to publicize the types of services you offer. Also, give plenty of pictures to show the beautification done by your service. Don’t forget to mention your rates for each type of service.
f) Listing your Business
Put the name of your graffiti removal business in the local business directory, both printed and digital. Along with it, put your name in the yellow pages and Government listings.
g) Explore Social Media
Use social media as a platform for the marketing of your graffiti removal business. Create pages in the name of your business on social media handles and update them with your work, along with pictures. Share the link to your website on these pages.
Graffiti is a growing problem for different kinds of buildings and constructions. Hence your graffiti removal business has growth opportunities in the coming years.
Editorial Team at 99BusinessIdeas is a team of experts led by Rupak Chakrabarty with over 25 years of experience in starting and running small businesses. Started in 2010, 99BusinessIdeas is now one of the largest free small business resources in the industry.