A tiling is a business that installs and repairs any kind of tiles for clients. Tile is available in different forms, and it can be used in bathrooms, on walls, as countertops, and as flooring.
According to statistics, the market size for ceramic tiles in North America was projected to be USD 20.36 billion in 2020 and increased to USD 21.50 billion in 2021. Between 2017 and 2022, the market size for Tile Installers in the US decreased by an average of 0.2 percent per year.
Steps on How to Start a Tiling Business
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Conduct Market Research
Market research is crucial to the business’s success. It offers information about the industry and competitive landscape. The research will help you target consumers/customers you want to reach, and also know how they feel about your company.
You can use it to identify your consumers’ demographics, purchasing patterns, and locations. In essence, research will equip you with the knowledge you need to understand the mind of your target market and use a strategy to meet their needs, in order to win their loyalty and also win over brand advocates.
a. Who is the Target Market for a Tiling Business?
The target market includes all construction companies, office facility owners, players in the real estate industry, home staging companies, shipping companies, and households in the neighborhood where your tiling business will be located.
b. Is Tiling a Profitable Business?
Yes, tiling is a profitable business. It is projected that the revenue for the tiling industry grew from USD 20.36 billion in 2020 and increased to USD 21.50 billion in 2021.
c. Are There Existing Niches in the Industry?
No, there are no existing niches when it comes to tiling businesses.
d. Who are the Major Competitors?
- Daltile
- Greenmaker Industries
- Arizona Tile
- Ann Sacks
- Tile America
- Susan Jablon Mosaic
- Marazzi
- Florida Tile
- Pave Tile
- Hakatai
- Bedrosians
- Clayhaus Ceramics
- Bisazza
- Nemo Tiles
- Florim USA
- Stone Peak
e. Are There County or State Regulations or Zoning Laws for Tiling Businesses?
No, there are no county or state regulations or zoning laws for tiling businesses in the United States. However, players in this industry are expected to comply with the laws that already exist in the county where their business is based.
It implies that the county office will determine whether the tile shop complies with local zoning regulations. They make sure that each tile-related business has a valid license from a county or state agency.
f. Is There a Franchise for Tiling Business?
Yes, there are franchise opportunities for the tiling business, and here are some of them;
- Precision door service
- Footprints floors
- N-Hance wood refinishing
- Concrete craft.
g. What Do You Need to Start a Tiling Business in the United States of America?
- A feasibility report
- Business and marketing plans
- Business licenses and permits
- An office facility
- EIN (Employer Identification Number)/Federal Tax ID Number
- Toolbox
- Employees
- Startup capital
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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 tiling business are;
Creative Tiling Business Name ideas
- Four Corners© Tiling Installation Company, Inc.
- Fine Finish® Tiling Contractors, LLC
- Cross Floors© Tiling Installation Company, Inc.
- Flooring Solutions® Tiling Installation Company, Inc.
- Perfect Square™ Tiling Installation Company, Inc.
- Moses ED™ Tiling Contractors, LLC.
- Day Light© Tiling Installation Company, LLC
- Lincoln Allen® Tiling Contractors, Inc.
- Perfect Trace© Tiling Company, Inc.
- Bernad© Tiling Installation Company, Inc.
- Lustrous Autograph® Tiling Installation Company, LLC
- Brevin Group® Tiling Installation Company, LLC
- West Ends™ Tiling Installation Company, LLC
- Carmel Marson© Tiling Installation Company, Inc.
- Red Woods® Tiling Installation Company, Inc.
- Sorge Abraham™ Tiling Installation Company, Inc.
- Emmanuel Anthony™ Tiling Contractors, Inc.
- Reil Tims© Tiling Installation Company, Inc.
- David Jesse® Tiling Contractors, LLC
- Mordy Kings™ Tiling Installation Company, Inc.
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Register Your Business
a. What Type of Business Structure is Best for a Tiling Business?
When it comes to the legal form of a tiling company, an LLC is the one most companies in this industry considered best. Every company will want to form an LLC in order to defend itself in court.
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 Tiling Business?
- General Business License
- Health and Safety Permit
- Zonal Permits
- Signage Permit
- Operational State Facility Inspections.
d. What Type of Certification is Needed to Start a Tiling Business?
You don’t need any certifications to start a tiling business in the United States, it is a business that is open to all and sundry. Although most tilers hold a trade qualification, often completed as part of an apprenticeship.
e. What Documents are Needed to Open a Tiling Business?
These are the legal documents that are required if you want to run a tiling business in the United States;
- DBA
- EIN
- Business and Liability Insurance
- Federal Tax Payer’s ID
- State Permit and Building Approval
- Certificate of Incorporation
- Business License
- Business Plan
- Operating Agreement for LLCs
- Insurance Policy
- Contract Document
- Memorandum of Understanding (MoU)
f. Do You Need a Trademark, Copyright, or Patent?
Registering a brand or for intellectual property, protection is not mandatory if you are planning to start a tiling company. The nature of the business allows you to run it without having any reason to sue anyone for using your intellectual property unlawfully.
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Cost Analysis and Budgeting
a. How Much Does It Cost to Start a Tiling Business?
The startup costs range from $20,000 to $200,000 and above, depending on how much equipment the business owner wants to purchase, and the number of employees.
b. What are the Costs Involved in Starting a Tiling Business?
- The cost of registering the business in the United States – $750
- Legal expenses for obtaining licenses and permits, as well as the accounting services totaling – $8,200
- Marketing promotion expenses – $3,800
- The cost of hiring a business consultant (writing of business plans) – $2,500
- Insurance (general liability, workers’ compensation, and property casualty) coverage at a total premium – $2,400
- The cost of payment of rent for 12 months at $1.76 per square foot in the total amount of – $35,600
- Other start-up expenses including stationery – $500
- Phone and utility deposits will cost – $2,500
- The cost of the purchase of the toolbox and other working equipment – $16,027
- The cost of the purchase of a utility truck – $25,000
- The cost of launching an official website – $600
- The cost of the grand opening party – $3,000
- Miscellaneous – $2,500.
c. What Factors Determine the Costs of Opening a Tiling Business?
- The size of the tiling business
- The choice of location
- The required licenses and permits
- The type of equipment and toolbox needed
- The cost of hiring and paying a business consultant
- The cost of promotion and marketing of the tiling business
- The cost of equipping the tiling business – facility
- The cost insurance policy covers
- The cost of registering the business
- Source of supplies and ongoing expenses
- The cost of recruiting and training employees
d. Do You Need to Build a Facility?
No, it is not compulsory to build a new facility for your tiling business, but, if you have the required finance, it will pay you to build your own facility. The building or reconstruction of a facility will give you the opportunity to come up with a concept that will fit into your business goals and vision.
e. What are the Ongoing Expenses of a Tiling Business?
- Supplies (inventory expenses)
- Utility bills
- Salaries of employees
f. What is the Average Salary of your Staff?
- Chief Executives Office (Owner) – $45,000
- Manager – $35,000
- Accountant -$30,000
- Tile Installers – $29,630,000
- Truck Driver – $26,100 Per year.
g. How Do You Get Funding to Start a Tiling 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.
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Write a Business Plan
a. Executive Summary
Four Corners® Tile Installation Company, Inc. is a U.S.-based and licensed tiling installation company. Our head office will be located in a centrally located office facility in Greenville, South Carolina. We plan to open our branch offices in major cities in South Carolina – within the first five years of operation.
Four Corners® Tile Installation Company, Inc. will constantly show our dedication to sustainability by becoming involved in our communities and using sustainable business practices wherever she can, both as an individual and as a company.
We will make sure that we uphold the highest standards by providing our customers with items that satisfy their needs. For our partners, employees, and consumers, we will foster a work environment that offers a humane, sustainable way to make a living in our world.
b. Service
- Installing tiles
- Installing and removing asphalt tile, linoleum, and resilient flooring
- Installing resilient sheet tiles
- Flooring repairs and refinishing.
c. Mission Statement
Our mission and values are to help people, homeowners, property owners, and clients in South Carolina and its environs, to handle their tile installation and other flooring installation contracts.
Vision Statement
Our vision is to become the leading brand in the tiling and flooring installation industry in the United States.
d. Goals and Objectives
The goals and objectives of a tiling business are to install and uninstall tiles for clients, repair tiles and also handle other flooring-related services.
e. Organizational Structure
- Chief Executives Office (Owner)
- Manager
- Accountant
- Tile Installers
Marketing Plan
a. SWOT Analysis
Strength:
Our strong relationships with real estate moguls, house owners, and construction industry titans across the state of South Carolina are our strengths, which we will bring to the tile installer industry. Our management team includes individuals with the necessary skills to expand our business within a short period.
Weakness:
We may face difficulties competing with major construction firms, and other tile installation companies that have been in the business for a long time as a newcomer to the tile installation business or tile installer industry.
Opportunities:
The opportunities in the construction cum real estate industry, especially as a tile installation company, considering the number of homeowners who have the financial capacity to renovate their homes and change their tiles when due. We are well-positioned and ready to take advantage of any opportunity that comes our way.
Threat:
Some of the threats that we are likely going to face as a tiles installation company are unfavorable government policies, and a global economic downturn; this usually affects spending power, and the real estate industry cum tiles installation line of business is known to encounter a decline in sales and profits during this period.
b. How Do Tiling Businesses Make Money?
Tiling businesses make money through the following;
- Installing tiles
- Installing and removing asphalt tile, linoleum, and resilient flooring
- Installing resilient sheet tiles
- Flooring repairs and refinishing.
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 business by sending introductory letters alongside your brochure to households, construction companies, home staging companies, shipping companies, and players in the construction and real estate industry amongst others with your location of operations
- Advertise your services on community-based radio stations
- List your business on yellow pages ads (local directories)
- Leverage the internet to promote your tile installation company
- Engage in direct marketing and sales
- Encourage the use of word-of-mouth marketing (referrals)
- Join local chambers of commerce and industries around you, with the aim of networking and marketing your services; you are likely going to get referrals from such networks.
Financial Projection
a. How Much Should You Charge for Services?
There is no fixed cost when it comes to the amount you charge because there are unique factors that will determine it. But tile installation can cost between $1,500 and $4,500 with an average price of about $3,000 to cover a 500-square-foot space.
b. How Much Profit Do Tiling Business Owners Make a Year in the United States of America?
The report shows that tiling business owner makes over $55,000 annually in profit.
c. What Factors Determine the Amount of Profit to Be Made?
- The capacity of the tiling business
- The types of flooring they are specialized in
- The location tiling business is covering
- The management style of the business
- The business approach
- The advertising strategies adopted by the tiling business
- The number of years the tiling is in business.
d. What is the Profit Margin of a Tiling Business?
The profit margin of a tiling business is not usually fixed. It could range from 15 percent to 45 percent depending on the size of the contract and the types of tiles to be installed.
e. What is the Sales Forecast?
- First Fiscal Year: $220,000
- Second Fiscal Year: $350,000
- Third Fiscal Year: $470,000
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Set Up your Shop/Office
a. How Do You Choose a Perfect Location for Tiling Business?
- The demography of the location as it relates to activities in the real estate market
- The demand for tile installation in the location
- The purchasing power of businesses and the residents of the location
- Accessibility of the location
- The number of tiling businesses in the location
- The local laws and regulations in the community/state
b. What City and State are Best to Open a Tiling Business in the United States of America?
- Los Angeles, California
- New York City, New York
- Brattleboro, Vermont
- Tucson, Arizona
- Silver Spring, Maryland
- Rowland Heights, California
- Portland, Oregon
- Richmond, Virginia
- Green Bay, Wisconsin
- Dallas, Texas
- Green Bay, Wisconsin
- Passaic, New Jersey
- Plano, Texas
c. What Equipment is Needed to Operate a Tiling Business?
- Floor scraper
- Floor roller
- Floor cutter
- Sanders
- Saws
- Trowels
- Levels
- Tape measure
- Rubber mallet
- Tapping block
- Spacers
- Utility knife
- Protective eyewear, clothing, and footwear.
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Hire Employees
When hiring employees for a tiling business, you should hire a competent chief executive officer (you can occupy this position), manager, and tiles installers.
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Launch the Business Proper
No tiling business opens without first organizing an opening party to officially launch the business. 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 and sundry in the location where your tiling business will be located. With a proper launching, you will officially inform people in your city that your tiling business is open for services.
a. What Makes a Tiling Business Successful?
- Choose a good location to launch the business
- Make sure all your projects are thorough and top-notch
- Be deliberate with your marketing sales approach
- Encourage the use of word of mouth to promote your business
- Leverage all available online and offline platforms to promote your tiling business.
b. What Happens During a Typical Day at a Tiling Business?
- The office is open for the day’s work
- The jobs to be done for the day are reviewed, and the required materials are put together
- Manpower, materials, and tools are transported to the site and installed
- Staff return to the office and reports for the day is written and submitted
- The business is closed for the day.
c. What Skills and Experience Do You Need to Build a Tiling Business?
- Attention details
- Mathematics and measurement skills
- Excellent tools handling skills (Ability to use tile cutters and other tools)
- Excellent project managing skills
- Customer services skills
- Eye for design
- Accounting and bookkeeping skills
- Business management skills
- Ability to follow specific tiling patterns
- Bargaining skill
- Work experience in a tile installation company
- Experience in managing people
- Experience in business administration
- Experience in handling projects.