Home Repair Referral Business Idea
If you’re interested in starting a home repair referral business, this is the perfect time to begin! Interest rates are low and so are property values. Instead of selling their home for less than its worth, many homeowners are using their home equity or savings to finance additions or renovation projects.
While some homeowners tackle the project themselves, many more need the assistance of a qualified and reliable contractor. As a home repair referral company, this is where you step in. Essentially the goal of starting a home repair referral business is to match customers who need home repair assistance with qualified professional contractors
As the business conduit in this relationship, you add value to both sides of the business deal and earn a commission for your efforts. A good contractor is a busy contractor. His skills are best used at his craft instead of marketing his services. Although homeowners know they should verify that the contractor is licensed, insured, qualified, and reliable, they may be a little busy, too.
A home repair referral business takes care of both of these tasks. First, the homeowner is assured that their work will be completed by a reputable, pre-screened contractor. Second, the contractor has a new customer. And third, you earn your commission. By starting a home repair referral business, you’ve made the entire process smoother for everyone.
When starting a home repair referral business, you can work from home on either a full-time or a part-time basis. Other than a basic computer setup , a phone system, and an easy-to-find website, you won’t need a lot of expensive equipment.
While no formal training and licensing is required for this business, it really does help to purchase an existing system that can help you get started with this business. We personally like the Homeowner Referral Network (HRN) system for its depth and quality of products and strong customer support. We’ll detail this system in more detail later in this article.
In addition to your referral system, you’ll also need solid organizational and interpersonal skills. Remember, you don’t need to be a construction expert to start a home repair referral business. General repair knowledge is helpful, but you will rely on your contractor base to have all of the technical knowledge and expertise to meet the homeowners’ needs.
You may be expected to act as a go-between at times if a job doesn’t go as planned. A little bit of patience and customer psychology will go a long way when you need to help all parties involved reach a compromise.
Keys to Success In Your Referral Business
If you’re well-organized, outgoing, and enjoy working with people, you’re well on your way to success. By making both customers and contractors feel like they are the most important piece of your business operation, they’ll be happy with your services and recommend you to their friends and business acquaintances. In addition to being friendly, you will need to deliver on your promises.
Although it’s not necessary to be well-established in the community prior to starting a home repair referral business, you should definitely start networking in the area. If you can match up customers who are willing to pay a fair rate to your contractors and only work with contractors who provide excellent craftsmanship to their customers, you should be turning a profit relatively quickly.
Where Do I Find Contractors And Customers?
While networking in the community is a great way to attract customers to your new home repair referral business, there’s no need to stop there. Put up business cards and promotional material in local home improvement stores and design centers. Create a website that details your services from both the contractor’s and the homeowner’s viewpoint.
Visit the contractors licensing board and ask for a list of licensed contractors in your general area. Call on each contractor to explain your services and how you can help them grow their business. Remember, this is definitely a win-win-win situation for everyone.
And again, you don’t have to build this business from scratch. Read on to learn how the Homeowner Referral Network (HRN) system can provide you with most of the resources you need to get started in this business.
This Idea Sounds Perfect – How Do I Get Started?
If starting a home repair referral business sounds like the perfect fit for you, there is help available to get you going. Debra Cohen of Home Remedies of New York has put together a comprehensive suite of products to help motivated individuals start their own home repair referral business. Her solution is called the Homeowner Referral Network (HRN).
The HRN system steps you through the process of establishing your own home repair referral business. It teaches you how to locate, pre-screen, and represent your own network of home improvement contractors.
What we especially like about Debra and the HRN program is that she personally developed it to fill an important niche in the home improvement marketplace. If you’ve read other startup articles on our site, you’ll understand the importance to finding a niche in your business. Without one, it’s simply too difficult to compete with existing or larger competitors.
We also like the fact that Debra started this program for herself first. It’s this first hand experience that really adds credibility and value to the system.
The HRN program includes contractor commission structures and instructions to create direct mail programs and other types of advertising campaigns. Instead of spending your valuable time and money performing your own research and marketing studies, take advantage of the HRN program and its resources.
Choose From Four Different Levels of Service
The Homeowner Referral Network program currently offers four different business packages as follows:
- The Start-up Package – This package includes core features including “The Complete Guide to Owning and Operating a Successful Homeowner Referral Network“, a 100-piece starter set of five commonly-used business forms, unlimited leads from the HRN website, and pre-negotiated prices on the HRN promotional items.
- The Basic Package – This plan includes everything in the Start-up Package plus four hours of one-on-one consultation time and the HRN Graphics CD.
- The Complete Business Package – This upgraded solution has added 500 HRN promotional items imprinted with your company name, the HRN Web Package, and eight hours of one-on-one consultation time.
- The Best Value Package – Providing the ultimate level of resources and startup support, the Best Value Package upgrades the consultation time to 10 full hours and includes the valuable HRN Management Software (HRNMS) system. You’ll also get a one year subscription to the HRNewsletter.
In most cases, the HRN program has new home repair referral businesses up and running in two to three months. According to Debra, most associates report positive earnings within their first six months, and some successful businesses report earnings of $10,000 or more per month within the first few years of operation.
Because the HRN offers different product levels based on how much help you would like, it’s up to you whether you choose to simply use the complete information in the Guide or elect to purchase personal service, a robust website, and a full-blown software package. If you’re new to this business we recommend purchasing the most comprehensive plan that you can afford.
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