Operating at the very heart of the home renovations industry, my sister and I get exposed to a lot of the inner-workings of some peripheral industries and markets as well. We’ve taken on quite a few side-projects as well, but we never lose focus on our primary market, which is the house renovations and flipping market.
Be that as it may however, the little business acumen I’d love to believe I have developed has given me some insider information on the many opportunities for investment for anyone who is really just looking to make some good money on the side and they don’t even have to be an expert in those markets. In fact, you wouldn’t even have to be a hands-on person.
You can operate on a managerial level or perhaps even get in on the action from the level of some type of consultant, running your own consultancy which services the house and home market.
Obviously one would need some knowledge of the industry, but only on a basic level really. The type of information you’d need about the industry would be aimed more at the business side of proceedings, otherwise people looking to get into this industry aim a bit too high and as a result they fabricate imaginary entry-barriers which are otherwise really, really high.
Thinking just a little smaller will do the trick and in fact the industry as a whole is made up of a collection of many little sub-industries.
Which fixer-upper doesn’t require some sort of contractual work, for example – contractual work which can take the simple form of welding? So then how about starting up your own general contracting consultancy, where you essentially house skilled contractors whom you assign to tasks as and when they come in?
Your consultancy’s collection of equipment could very well start with just a single welder, which would then naturally require a skilled individual to be on call should a welding job become available. Some good-quality welders are available at http://www.expondo.co.uk/welders/ at great prices to get you kick-started.
You can then operate the business on a commission-basis, where clients pay the consultancy and then upon the completion of the job, the skilled contractor who is deployed earns their share in commission.
Plumbing equipment could perhaps be added as the part of the growth and expansion trajectory of the operation, which can really grow into something big considering just how many homes constantly require these types of services.
The key to success would indeed be the practice of aligning yourself and your consultancy with house flippers and other key players in the construction industry, particularly home renovators and the likes.
While this type of investment boasts the advantage of having low start-up costs, low overheads and some high possible returns, it’s not without what is some rigorous due diligence and somewhat extensive compliance requirements. Your practice or consultancy would need to have a senior figure that is suitably skilled and qualified to assign and perhaps handle regulated tasks such as those which have anything to do with contractual work, so if you’re not prepared to take on something like a trade test yourself, you’ll have to be willing to hire someone who has those credentials.
Otherwise this is something which one can get into for well under £1,000 if you shop in the right places for your equipment.