How to Start a Portable Concrete Pump Company

Portable concrete pumps are versatile units, typically employed to pump structural concrete, grout, foamed concrete, sludge, wet screeds and mortar. Portable concrete pumps are available in different sizes for different job applications. They are widely used on small job sites where a full-sized pump truck is not required. Individuals with extensive experience in the operation, maintenance and repair of these pumps may elect to start their own small business. Opening and successfully operating a concrete pump business requires planning and preparation.

 

1. Evaluate the need for portable cement pump units in you local area. Research competitors that already provide portable concrete pump services. Determine if you can effectively compete with competitor’s established price schedules, service and business reputations. A careful analysis of the market and your motivation for opening a small business will help you decide if this is the right business choice for you.

2. Select a name for your new business venture. Choose a name that clearly identifies your concrete pump service and is easy to remember. Contact your state corporation commission to determine if the name is available. If your choice of business name is available, register it with the state.

3. Determine the dimension of your proposed new business. You may elect to provide rental pump units or sell and service new or used concrete pumping equipment. An evaluation of projected business will help you determine the location and size of office/warehouse and equipment yard your new enterprise will require.

4. Research local laws. It is important to contact the town, city or county clerk where the concrete pump business plans to locate. Local considerations including sign regulations, zoning and parking restrictions.

5. Prepare a detailed and accurate business plan. (Visit the United States Small Business Administration website for a sample plan, small business startup guidelines and useful references, links and workshops — see References.) List all assets and liabilities. Itemize projected startup and operating costs, including concrete tools, vehicle and liability insurance, licenses, permits, concrete pump equipment, payroll, supplies, utilities, fuel, and fleet maintenance. Attach resumes for the owner and supervisory personnel, highlighting the experience and special skills that will help ensure the success of your new concrete pumping business. Plan out how you will market your business based on your research of the market. A business plan is required for a loan application for startup capital.

6. Visit your tax adviser or business attorney to determine the organizational structure of the business. You may elect to be a sole proprietor, partnership or corporation. If you are advised to form a corporation, contact your state corporation commission for an application. Registration fees to file your articles of incorporation vary from state to state. Contact your state department of licensing to apply for a business license. A city business license or permit may also be required prior to the opening of your concrete pump business venture.

7. Contact the Internal Revenue Service to obtain an Employer Identification Number (see References). Your EIN is required for filing federal tax returns and will be needed to process payroll. Contact your state department of revenue to obtain a state tax identification number. You will also need a state sales tax number or vendor number to report collection of sales tax on all retail sales of concrete and miscellaneous concrete finishing tools and supplies.

8. Obtain proper insurance, including property, liability, workers’ compensation and unemployment insurance.

9. Begin marketing your business as you planned out in your business plan.

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