Starting an appliance installation and repair business can be a smart move if you enjoy working with your hands, solving problems, and helping people keep their homes running smoothly.
Refrigerators, dishwashers, washing machines, and ovens are staples in almost every household.
When they break down, people need help quickly and they’re willing to pay for reliable service.
In this guide, we’ll walk through everything you need to know to start your own appliance installation and repair business, including business setup, tools, skills, marketing, finances, and common mistakes to avoid.
Why an Appliance Installation and Repair Business Is a Smart Choice
People rely on their appliances every single day.
When a refrigerator stops cooling or a washer breaks down, most homeowners can’t (or don’t want to) fix it themselves.
This creates steady demand for skilled technicians.
This type of business is smart for several reasons:
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Steady demand: Appliances break down year-round, so this isn’t a seasonal business.
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Low barrier to entry: You don’t necessarily need a degree, just practical skills and training.
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High earning potential: Many repair businesses charge $75–$150 per hour.
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Flexibility: You can start solo and grow into a team over time.
It’s a business with strong potential, but success requires planning and commitment.
Choosing the Right Business Entity
Before taking customers, decide how to legally structure your business.
This affects taxes, liability, and growth potential.
Options include:
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Sole Proprietorship: The easiest to set up. Operate under your own name or a business name, but you’re personally liable if something goes wrong.
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Limited Liability Company (LLC): Popular because it separates personal assets from business assets and provides tax flexibility.
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Corporation (S Corp or C Corp): Typically for larger businesses with multiple employees and investors; not usually necessary at the start.
Most appliance repair entrepreneurs choose an LLC for the balance of simplicity and liability protection.
Tax Considerations for Appliance Repair Businesses
Running your own business changes how taxes work.
Some of the tax advantages include:
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Self-employment tax: You pay Social Security and Medicare yourself.
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Estimated quarterly taxes: You’ll likely pay four times a year instead of once annually.
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Business deductions: Tools, travel, training, uniforms, advertising, and even part of your home office may be deductible.
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Sales tax: Depending on your state, you may need to collect and remit sales tax for parts or installation services.
Setting aside 25–30% of income for taxes and working with a tax professional can keep you compliant and stress-free.
Skills You Need to Succeed
Technical skills aren’t enough on their own.
Success also depends on problem-solving, communication, and business management.
Here’s a list of important skills you will need to be successful:
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Technical knowledge: Understand electrical wiring, mechanical systems, and appliance troubleshooting. Training or apprenticeships can help.
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Problem-solving: Each repair call is different, and quick diagnosis is key.
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Customer service: People are often stressed when appliances fail. Being polite, clear, and professional builds trust.
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Business management: Scheduling, invoicing, and managing expenses are critical for long-term success.
If you don’t have technical skills, short courses or certifications in appliance repair can give you a strong foundation.
Remember, many people who pay for a repair are simply wanting the issue fixed and don’t feel like doing it themselves.
There are plenty of YouTube videos and other media you can find to help figure out what is going on with the appliance.
Also, if you happen to be mechanically inclined you may just have a knack for it when many people don’t.
My brother can fix just about anything mechanical.
However, I’m exactly the opposite. I can’t fix something unless it’s related to construction and sometimes even that is a challenge.
Tools and Equipment to Get Started
You don’t need a huge workshop, but you do need reliable tools to get started:
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Screwdriver set (flathead and Phillips)
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Nut drivers and wrenches
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Pliers and wire cutters
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Multimeter for electrical testing
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Cordless drill and bits
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Flashlight or headlamp
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Level and tape measure
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Appliance dolly and moving straps
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Safety gloves and goggles
As your business grows, investing in specialized tools, diagnostic equipment, and a service vehicle with storage will make you more efficient.
Startup Costs and Expenses
Startup costs are relatively low compared to other trades.
But you will need to have some money set aside for start up.
Typical expenses include:
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Tools and equipment: $500–$2,000
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Business registration and licenses: $100–$500
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Insurance (liability and vehicle): $500–$1,500 per year
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Service vehicle (van or truck): $5,000–$15,000 (used)
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Marketing (website, business cards, ads): $500–$2,000
Many entrepreneurs start for under $10,000, especially if they already own tools and a vehicle.
Licensing and Insurance Requirements
Some states require technicians to be licensed, especially for refrigeration systems.
Always check local regulations.
Insurance is also critical. At minimum, you’ll need:
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General liability insurance: Protects you if you accidentally damage a customer’s property.
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Commercial auto insurance: Covers your work vehicle.
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Workers’ compensation: Required if you hire employees.
Insurance protects your business and your personal assets.
How to Find Customers
Getting your first clients can be the toughest part but with a little sweat equity and patience you can still build a list of clients.
Here are some of the basic ways to get started:
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Word of mouth: Let friends, family, and neighbors know you’re open for business.
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Local advertising: Flyers, business cards, and community ads work well.
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Online presence: A website, Google Business Profile, and social media help customers find you.
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Partnerships: Landlords, property managers, and real estate agents need reliable technicians.
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Home service platforms: Apps like Thumbtack or Angi can generate leads (but you’ll have to pay for them)
Consistency and quality work will lead to referrals, which are often the best source of new business.
Pricing Your Services
Pricing correctly ensures profitability. Common approaches include:
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Flat-rate pricing: A set fee for specific jobs, like installing a dishwasher or repairing a dryer.
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Hourly rate: Often $75–$150 per hour depending on complexity.
Account for travel time, parts, and overhead when setting rates.
Competitive but sustainable pricing is key.
I recommend hourly rates with a minimum diagnostic fee.
That just means it cost to have you come and give a quote.
With appliances being made more like junk than like something that will last forever these days, some customers will opt to just buy a new one once they get a price on fixing it.
You want to make sure if this happens you still make some money.
Let’s suppose you charge $75 to come diagnose the problem and you do 10 of those visits a week and still don’t land any business.
You’ll still make $750.
Revenue Potential
Earnings depend on market demand, workload, and efficiency. Estimates include:
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Part-time solo technician: $30,000–$50,000 per year
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Full-time solo technician: $60,000–$100,000 per year
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Multi-tech business: $150,000–$500,000+ per year
Repeat business and referrals help maximize revenue.
Common Mistakes to Avoid
Common errors that derail appliance repair businesses include:
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Skipping training: Mistakes can damage appliances and hurt your reputation.
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Underpricing: Low rates may attract customers but reduce profits.
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Neglecting marketing: Even skilled technicians need visibility to get calls.
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Ignoring paperwork: Taxes, licenses, and insurance are critical.
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Overpromising: Be honest about what you can fix and how long it will take.
Avoiding these mistakes will save time, money, and stress.
Scaling Your Business
Once you’ve mastered solo operations, you may want to grow. Strategies include:
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Hiring additional technicians and providing training
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Offering maintenance plans for recurring revenue
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Expanding into commercial appliance repair
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Selling parts or appliances alongside services
Scaling requires systems for scheduling, payroll, and customer management but can increase revenue significantly.
Marketing Strategies for Long-Term Growth
Long-term growth relies on smart AND consistent marketing:
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Search engine optimization (SEO): Writing helpful content improves visibility when people search for appliance repair near them.
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Reviews and testimonials: Positive reviews build trust and attract new customers.
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Email marketing: Send reminders for maintenance and seasonal checkups.
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Community involvement: Sponsor local events or join business associations to increase awareness.
Being visible and trusted ensures a steady flow of work.
Is This Business Right for You?
Running an appliance installation and repair business isn’t for everyone.
You need to be mechanically inclined, a quick learner, good with your hands, and able to scour the internet to learn how to fix something if you can’t figure it out.
It requires patience, technical skill, and the ability to manage both customers and business tasks.
But if you enjoy fixing things, working independently, and controlling your income, this can be a rewarding career.
Demand is consistent, startup costs are manageable, and growth opportunities are real.
With preparation, you can build a profitable business that supports you and your family.
Final Thoughts
Starting an appliance installation and repair business can feel overwhelming, but breaking it down into steps makes it doable.
Choose the right business structure, invest in tools and training, market yourself consistently, and focus on providing excellent service.
Over time, your reputation will grow, bringing steady work and increasing profits.
Reliability and professionalism are the foundation of success in this business.
Deliver those consistently, and the financial and personal rewards can be significant.
Other Interesting Articles:
How to Start a Junk Removal Business
How to Flip $1,000 (over and over) and make BIG Money
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Jason and Daniele
