It’s a good time to be a plumber. According to the Bureau of Labor Statistics, the average expected job growth over the next 10 years for plumbers and related occupations is 14%, compared to just 5% for other industries. Even so, there will be challenges, especially since 75% of tradespeople are expected to retire in the next decade, and younger workers seem less interested in skilled trades—so building a strong company culture will be key to attracting and retaining the best hires.
Also necessary to remain competitive is acting on the latest trends, which include embracing smart technology, expanding service offerings, using digital marketing and offering smart plumbing fixtures. If capital is an issue, you should investigate your financing options to support your ability to serve customers today and grow in the future. Below are answers to a few common questions about how to finance your plumbing business.
What are the main reasons and benefits of getting plumbing financing? There are some general reasons why any business might need working capital, such as paying for overhead expenses, payroll, marketing costs and even gas for your vehicle or fleet. Additionally, you may need an infusion of cash to:
- Add a new employee
- Pay your annual taxes
- Buy out a business partner
- Pay for Master Plumber training
- Become certified in eco-friendly plumbing techniques
- Learn about advanced plumbing technology
The overarching benefit of getting plumbing financing is to enhance your ability to be an asset for customers and maintain a thriving business.
What types of financing options are available for plumbers? There are a variety of financing options available for plumbers, including:
- Unsecured business loans
- Asset-based loans
- Personal loans
- Credit cards
- SBA loans
- Unofficial loans, i.e., friends and family
- Equipment leasing
- Invoice factoring
Which option is right for you will depend on your personal and business financial situation, the amount of financing you are looking for and what you need it for. Be sure to do your homework, i.e., read all the fine print.
What should you look for when it comes to financing for plumbers? You’ve heard the saying “buyer beware,” right? That is especially true regarding securing financing for your plumbing business. The main things to look for are:
- The overall cost of the loan
- The loan term
- The eligibility requirements
- The flexibility of the loan
- A reliable lender
Ensure you fully understand what you are signing up for and working with an organization you can trust.
What steps do you need to take to obtain business financing? If you decide to work with an alternative lender rather than a traditional lender like a bank, the process may be more straightforward than you think. While each lender will have its own process, typically, it will go like this:
- Step 1: Complete an online application and submit any required documentation
- Step 2: Wait to get a decision—sometimes on the same day
- Step 3: If approved, see the funds appear in your account in as little as one business day
Contact Clear Skies Capital today at 800-230-9822 to discuss your plumbing business’s financing needs.