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How to Start a Dumpster Rental Business

Dumpster Rental Business

The dumpster rental is a business that provides different sizes of dumpsters for hire. As waste is always in demand, these companies offer important services to people in various sectors.

Customers in the residential, commercial, and industrial sectors rent dumpsters for ad hoc or ongoing use. A dumpster’s function is to hold waste until a garbage truck can empty and dispose of it. Dumpsters can also be used for recycling or all types of waste.

Statistics show that the market size, measured by revenue of the dumpster rental industry in the United States of America, is $506.8 million, the industry has grown 2.7 percent per year on average between 2017 and 2022, and the industry is expected to increase 3.5 percent.

Steps on How to Start a Dumpster Rental Business

  1. Conduct Market Research

The first stage is to create a market-based research question that is consistent with the overall goals and objectives of your company.

You should seek out information that will help you grow your company, and also provide you with the knowledge of what your target market will expect from a dumpster rental company. The research will provide you with all the information you need to run your business with less stress.

a. Who is the Target Market for Dumpster Rental Business?
  • Public facility managers
  • Houses and estates
  • Schools
  • Campsites
  • Caterers
  • Construction sites
  • Event planners
  • Wedding planners.
b. Is Dumpster Rental Business a Profitable Business?

Yes, dumpster rental is a profitable business. The industry is expected to increase by 3.5 percent.

c. Are There Existing Niches in the Industry?

No, there are no existing niches when it comes to the dumpster rental business, this is so because the dumpster rental business is a subset of the rental industry.

d. Who are the Major Competitors?
  • America’s Bin Company
  • USA Dumpster Rentals Miami
  • Grime Time Dumpster Rentals
  • United Site Services Inc.
  • Ace Dumpster Rentals
  • American Dumpster Co.
  • White Glove Dumpster Rental
  • KC Dumpster Company
  • Bin There Dump That Nashville Dumpster Rentals
  • Blue Bear Waste Services
  • American Waste Control, Inc.
  • Green Bay Dumpster Rental
  • Dumpsters R Us, Inc.
  • Griffin Waste Services
  • VaVia Dumpster Rental Houston
  • Dümpster LLC
  • Jakes Dumpsters
  • Waste Solutions USA
  • Republic Services, Inc.
  • American AF Dumpster Rentals.
e. Are There County or State Regulations or Zoning Laws for Dumpster Rental Businesses?

No, there are no county or state regulations or zoning laws for dumpster rental businesses, but players in this industry are expected to work with the regulations governing similar businesses in the county where the business is domiciled.

It means that at any point in time, the county office can determine whether the dumpster rental business meets the zoning rules for the community. They also ensure that all dumpster rental businesses are properly licensed by county or state agencies.

f. Is There a Franchise for Dumpster Rental Business?

Yes, there are franchise opportunities for dumpster rental businesses, and here are some of them;

  • Dumpster Dudez
  • Dumpster Today
  • Rent This Dumpster
  • Dumpster Rental Franchise
  • Redbox+ Dumpsters Franchise
  • Mobiledumps Franchise
  • VaVia Dumpster Rental.
g. What Do You Need to Start a Dumpster Rental Business?
  • A feasibility report
  • Business and marketing plans
  • Business licenses and permits
  • A good storage facility
  • Certificate of Occupancy
  • EIN (Employer Identification Number)/Federal Tax ID Number
  • Commercial-grade and residential dumpsters
  • Trucks
  • Employees
  • Startup capital
  1. Choose a Memorable Business Name

When looking to start a business, before you can begin to file the necessary documents with the constituted authorities or start your website, it is necessary that you come up with a name that you will be recognized with.

It is essential that the name you come up with can easily be pronounced, is unique and easily memorable. Some of the catchy business name ideas suitable for a dumpster rental business are;

Creative Dumpster Rental Business Name ideas
  • Ponte Arena© Dumpster Rentals, Inc.
  • Green Waste® Dumpster Rentals, LLC
  • Deep Drums© Dumpster Rentals, Inc.
  • Waste Solutions® Dumpster Rentals, Inc.
  • The Dome™ Dumpster Rentals, Inc.
  • Cally Coby™ Dumpster Rentals, LLC.
  • Zeus Reus© Dumpster Rentals, LLC
  • Danny Blank® Dumpster Rentals, Inc.
  • Star Base© Dumpster Rentals, Inc.
  • Dallas Zone© Dumpster Rentals, Inc.
  • Scott Webb® Dumpster Rentals, LLC
  • Coast Line® Dumpster Rentals, LLC
  • Richie Banks™ Dumpster Rentals, LLC
  • Mike Mills© Dumpster Rentals, Inc.
  • Ola’s Place® Dumpster Rentals, Inc.
  • Baseline Waste™ Dumpster Rentals, Inc.
  • Red Tape™ Dumpster Rentals, Inc.
  • Connor Cloe© Dumpster Rentals, Inc.
  • Silver Ocean® Dumpster Rentals, LLC
  • Dinge Hills™ Dumpster Rentals, Inc.
  1. Register Your Business

a. What Type of Business Structure is Best for the Dumpster Rental Business?

There are different options for the business structure, which include sole proprietorship, partnership, limited liability company (LLC), and corporation.

The one the majority of companies in this industry considered best is LLC. This is because they would want to defend themselves against lawsuits in court with LLCs.

b. Steps to Form an LLC
  • Choose a name for your LLC
  • File articles of organization
  • Choose a registered agent
  • Decide on member vs. manager management
  • Create an LLC operating agreement
  • Comply with other tax and regulatory requirements
  • File annual reports.
c. What Type of License is Needed to Open a Dumpster Rental Business?
  • General Business License
  • Health and Safety Permit
  • Zonal Permits
  • Signage Permit
  • Operational State Facility Inspections for storage facilities
d. What Type of Certification is Needed to Open a Dumpster Rental Business?

You don’t need any certifications to open a dumpster rental business, it is a business that is open to all and sundry.

e. What Documents are Needed to Open a Dumpster Rental Business?

These are some of the legal documents that are required if you want to run a dumpster rental business in the United States of America;

  • DBA
  • EIN
  • Business and liability insurance
  • Federal tax payer’s ID
  • State permit and building approval
  • Certificate of incorporation
  • Certificate of occupancy
  • Business License
  • Business plan
  • Operating Agreement for LLCs
  • Insurance policy.
f. Do You Need a Trademark, Copyright, or Patent?

Registering a brand for intellectual property protection is not necessary when starting a dumpster rental company. The nature of the business allows you to manage it without having any reason to sue anyone for using your intellectual property unlawfully in a court of law.

  1. Cost Analysis and Budgeting

a. How Much Does It Cost to Start a Dumpster Rental Business?

The startup cost for a dumpster rental business is not usually fixed, it ranges from $25,000 – $250,000 and above. It is important to note that buying a brand-new commercial-grade dumpster will cost around $3,795 to $5,295, for one.

b. What are the Costs Involved in Starting a Dumpster Rental Business?
  • The total fee for registering the business in the United States – $750
  • Legal expenses for obtaining licenses and permits, as well as the accounting services totaling – $1,200
  • Marketing promotion expenses (2,000 flyers at $0.04 per copy) for a total amount of $80
  • The cost of hiring a business consultant (writing of business plans inclusive) – $4,500
  • Insurance (general liability, workers’ compensation, and property casualty) coverage at a total premium – $12,400
  • The cost of leasing a facility (long-term lease agreement) – $135,600.
  • The cost of the purchase of commercial-grade dumpsters, trucks, and waste management accessories: $200,000
  • Other start-up expenses including stationery – $500
  • Phone and utility deposits will cost – ($2,500)
  • The cost of store equipment – $3,150
  • The cost of the purchase of office furniture and gadgets – $8,000
  • The cost of launching an official website – $600
c. What Factors Determine the Cost of Opening a Dumpster Rental Business?
  • The size of the dumpster rental business (the number of commercial-grade dumpsters and trucks)
  • The choice of location
  • The required licenses and permits
  • The type of facility
  • The additional spa related services offerings
  • The cost of branding, promotion, and marketing of the dumpster rental business
  • The cost of furnishing and equipping the dumpster rental business – facility
  • The cost of the insurance policy covers
  • The cost of registering the business
  • The cost of opening the dumpster rental business.
d. Do You Need to Build a Facility? If YES, How Much Will It Cost?

Building a new facility is not mandatory, but it will benefit you if you build your own facility for a dumpster rental business if you have the necessary funding. So long as it reflects your overall business goals.

e. What are the Ongoing Expenses of a Dumpster Rental Business?
  • Supplies- inventory expenses (cleaning chemicals and disinfectants et al)
  • Salaries of employees
  • Truck maintenance
  • Insurance
  • Marketing costs
f. What is the Average Salary of your Staff?
  • Chief Executive Officer (Owner) – $45,000
  • Manager – $36,500
  • Accountant – $36,000
  • Marketing and Sales Officer – $35,000
  • Truck Drivers and Installers – $26,000 Per Year.
g. How Do You Get Funding to Start a Dumpster Rental Business?
  • Raising money from personal savings
  • Raising money from investors and business partners
  • Sell shares to interested investors
  • Applying for a loan from your bank
  • Source for soft loans from your family members and friends.
  1. Write a Business Plan

a. Executive Summary

Baseline Waste™ Dumpster Rentals, Inc. is a business that is located in a fast-growing community in Los Angeles, California.

We have been able to secure a ten-year lease of a facility within the city center. We have secured a facility with an option of renewal for 10 years at an agreed rate favorable to us.

Baseline Waste™ Dumpster Rentals, Inc. is designed and constructed to meet both the health and safety standard as recommended by the local authority. Our customers will be treated excellently well at all times.

b. Services
  • Renting and leasing commercial dumpsters
  • Renting and leasing residential dumpsters
  • Providing dumpster drop-off and collection services.
c. Mission Statement

Our mission is to establish a dumpster rental business that will make available dumpsters in the United States, and also help our customers collect their waste and dispose of them effectively.

Vision Statement

Our vision is to establish a reliable dumpster rental business in Los Angeles, California that will be the leader in the dumpster rental industry in the United States.

d. Goals and Objectives

The goals and objectives of a dumpster rental business are to make available different sizes and types of dumpsters for people and organizations to rent, for the purpose of managing their waste.

e. Organizational Structure
  • Chief Executive Officer (Owner)
  • Manager
  • Accountant
  • Customer Service Officer
  • Truck Drivers and Installer.

Marketing Plan

a. SWOT Analysis


  • Experienced business owner and managing director
  • The owner is an expert in the dumpster rental business
  • Existing clientele
  • Proactive marketing plan in place
  • The owner is customer oriented
  • Availability of different sizes and types of dumpsters.


  • Not enough existing clientele to run at full capacity immediately
  • The owner is new to the dumpster rental business
  • The owner is new to large-scale marketing
  • Will need a loan to buy the latest dumpsters
  • The owner is currently running the business solo
  • It will take at least 1 year to gain the experience, to run the dumpster rental business optimally.


  • Increase in the awareness of waste management
  • Government health and environment policies favor the dumpster and waste management industry.


  • Loans diminish profitability until they are paid off
  • The first year will be financially tight, while we gain customers and pay off loans
  • Competition in the area could increase
  • Management of employees requires time, money, and efforts
  • The county’s health department could change its regulatory status and decide to regulate dumpsters.
b. How Do Dumpster Rental Businesses Make Money?

Dumpster rental businesses make money by charging clients for renting their dumpsters and also helping them dispose of their waste.

c. Payment Options
  • Payment via bank transfer
  • Payment with cash
  • Payment via credit cards/Point of Sale Machines (POS)
  • Payment via online bank transfer
  • Payment via check
  • Payment via mobile money transfer.
d. Sales and Advertising Strategies
  • Introduce your dumpster rental business by sending introductory letters alongside your brochure to corporate organizations, households, event planners, facility managers, and other key stakeholders in the city where your business is located.
  • Create a website for your business, so as to give your business an online presence
  • Directly market your services
  • Print out fliers and business cards and strategically drop them in offices, libraries, public facilities, train stations et al.
  • Use friends and family to spread the news about your dumpster rental business
  • Placing an advertisement in the newspaper, or local publication about your business
  • Advertise your dumpster rental business in relevant entertainment magazines, newspapers, tv stations, and radio stations.
  • Officer discount for your customers
  • List your business on yellow pages ads (local directories)

Financial Projection

a. How Much Should You Charge for your Services?

The amount for renting a dumpster will depend on the size, time, and perhaps other services you will be offering. However, here are the costs of renting a dumpster;

  • $275 – 6 cubic yard dumpster
  • $325 – 10 cubic yard dumpster
  • $375 – 15 cubic yard dumpster
  • $425 – 20 cubic yard dumpster.
b. How Much Profit Do Dumpster Rental Business Owners Make a Year?

The available report shows that on average, a store with two tanks should net more than $100,000 a year, assuming steady clientele.

c. What Factors Determine the Amount of Profit to Be Made?
  • The capacity of the dumpster rental business (the number of commercial-grade dumpsters and trucks)
  • The types of related rental services offerings
  • The location dumpster rental business is covering
  • The management style of the dumpster rental business
  • The business approach of the dumpster rental business
  • The advertising and marketing strategies adopted by the dumpster rental business
  • The number of years the dumpster rental is in business.
d. What is the Profit Margin of a Dumpster Rental Business Service?

The profit margin of a dumpster rental business is not usually fixed. It could range from 10 percent to 20 percent depending on the duration of the session.

e. What is the Sales Forecast?
  • First Fiscal Year: $320,000
  • Second Fiscal Year: $480,000
  • Third Fiscal Year: $550,000
  1. Set Up your Shop/Office
a. How Do You Choose a Perfect Location for Dumpster Rental Business?
  • The demography of the location
  • The demand for dumpster rentals in the location
  • The purchasing power of businesses and the residents of the location
  • Accessibility of the location
  • The number of dumpster rental businesses, and family entertainment centers in the location
  • The local laws and regulations in the community/state
  • Traffic, parking, and security et al.
b. What State and City are Best to Open a Dumpster Rental Business?
  • Los Angeles, California
  • Brattleboro, Vermont
  • Palm Beach, Florida
  • Silver Spring, Maryland
  • Rowland Heights, California
  • Green Bay, Wisconsin
  • Fort Oglethorpe, Georgia
  • Buffalo, New York
  • New York City, New York
  • San Antonio, Texas
  • Greenville, South Carolina
  • Dallas, Texas
c. What Equipment is Needed to Operate a Dumpster Rental Business?

You should purchase trucks, commercial-grade dumpsters, cleaning and maintenance tools, accessories and receipt issuing machines, and Point of sale machines (POS), etc.

  1. Hire Employees

When hiring employees for a dumpster rental business, you should plan to hire a competent chief executive officer (owner), manager, accountant, truck driver and installer, and customer service officer (receptionist).

  1. Launch the Business Proper

No dumpster rental business opens for business, without first organizing an opening party to officially launch it. You can do a soft opening party if you are operating on a low budget or you can go for a grand opening party for all where your dumpster rental business will be located.

With the proper launching of the dumpster rental business, you will officially inform people in your city that your business is open.

a. What Makes a Dumpster Rental Business Successful?
  • Choose a good location and facility to launch the business
  • Encourage the use of word of mouth to promote your dumpster rental business
  • Leverage all available online and offline platforms to promote your dumpster rental business.
b. What Happens During a Typical Day at a Dumpster Rental Business?
  • The facility is open for the day’s work
  • Customer requests are taken, and they are scheduled and attended to
  • Maintenance
  • Supply ordering
  • Administrative duties
  • The business is closed for the day.
c. What Skills and Experience Do You Need to Build a Dumpster Rental Business?
  • Good waste management skills
  • Customer services skills
  • General computer, internet, and email experience
  • Interpersonal skill
  • Accounting and book-keeping skills
  • Business management skills
  • Bargaining skill
  • Work experience in a waste management or rental company
  • Experience in managing people
  • Experience in business administration.