How to Start a Removalist Business: 7 Easy Steps to Get You Started

by Zoe Spanos

May 23, 2024
Blog, Solopreneurs

Everyone is always on the move; so why not help them with considering how to start a removalist business?

People will move houses and businesses move offices, whether it’s due to the end of the term of a lease or if the occupant just wants something different, the act of moving itself can be extremely stressful. Providing your removalist services to these people can make the process more seamless.

Subsequently, furniture removalist services are in constant demand. Your business, whether it be an interstate removalist business or a local can make sure every item gets transferred safely and securely.

In this post, we’ll tell you how you can start your own business and join an industry that’s worth billions.

What is a Removalist Business?

A removalist business helps people move their items from one place to another. As a removalist you help you pack, carry and move people’s belongings. For most people moving is a stressful experience, so you can help the process go smoothly and ensure your customers are satisfied and stress free.

Getting Started: The Pre-Planning Steps

Research

When understanding how to start a removalist business, you are going to need to research what resources you will need to start moving. Additionally, it would be a good idea to understand how much approximately the start up costs will be. This is so your business can become profitable..

Moving large quantities of goods requires more than just a car. Most (if not all) removalist businesses have a fleet of trucks or vans they use to transport furniture and other items. However, these types of vehicles can be expensive which is why many businesses also hire them under a hire purchase arrangement.

Get a free legal document when you sign up to Lawpath

Develop a Removalist Business Plan

Excellent planning will often lead to success. Using your research, you should develop a formal business plan when trying to understand how to start a removals business. This might include your:

Business objectives and goals
Business structure
Target market
Competition
Marketing strategy

You can always seek assistance from a professional accountant or business lawyer to assist you with this, if you aren’t confident in developing a business plan yourself. It’s important to revisit and review your business plan regularly.

Determine Your Business Name

Now you need to decide on a business name. Once you decide on your name, you can check the availability of the business name you have chosen.

If the name is available, you can then register your business as a trademark to ensure that you have the exclusive rights to your business name throughout Australia.

Determining your Business Structure

You will need to decide on a business structure to establish your business plan. Consider whether you will operate as one of the following.

A sole trader is someone who owns and operates a business under their personal name.
A partnership is when two or more people come together to form a business.
A company is when you register your business as a separate entity from your personal affairs.

You should contemplate which structure will work best for your business goals. It is important to know what the legal ramifications are of each structure and how they can affect how you operate.

Registering your Business

You need to register for a few things in order to make your business official. For instance:

A business name
An Australian Business Number (ABN) to help the Australian Tax Office (ATO) and customers identify your business.
It would be good practice to also register your business as a company (ACN) so you can benefit from limited liability.
Register your Tax requirements.
Ensure that all relevant licences or permits are valid.

Source Insurance and Create Contracts

With a removalist business, you can clear any confusion using terms and conditions. Your terms should cover:

Liability for any property damage caused
The method of carriage and your subcontractors
Payment and refunds

It’s also important to have insurance in place, in case anything happens (such as if there was a motor vehicle accident whilst you were transporting someone else’s goods). Insurance is arguably the most important step when setting up your business. It is vital that you protect yourself and your business from any legal action.

Public liability insurance with our partner BizCover can help you protect your property and your employees from damage or injury.

Hire Employees

To ensure that your business runs smoothly as it expands you will want to consider hiring additional staff.

You will need to decide how many employees you are looking to hire and what type of employment they will receive. Will they be full time, part time or casual workers? You will then need the appropriate employment agreements drawn up and signed.

Marketing Your Business

One of the final steps in starting a successful business is customers. To help you attract customers, you may want to implement a strategic marketing plan.

This will allow you to gain insight into your target market. It will also be beneficial in helping you understand what is the most effective marketing method to reach your target market.

Some marketing methods you may choose to use include starting a social media page or putting an advertisement in your local newspaper. Another simple and effective approach of reaching new customers is through word of mouth.

Having an online presence is important even for construction companies. Using websites like Shopify or GoDaddy can help you create a well-established business so that your customers can easily find you. Additionally, you should set up and maintain a website which means you need to consider any website terms and conditions to ensure that your customers are safe.

Learn more about how to utilise Terms and Conditions for your business website in this Webinar!

Considering the Law

While there are no formal licensing requirements needed when starting removals business in Australia it’s still important to maintain a high standard of work.

The Australian Furniture Removers Association (AFRA) is the industry body that regulates standards in the moving industry. You can qualify for accreditation with AFRA if you have the right standards of equipment, transport, staff requirements and other factors. This would be a great step to take to show your customers you are committed to providing the best service possible.

Legal Documents you will need

To get up and running, you should consider these legal documents so that you can protect your business. Some documents you should consider include:

A Services Agreement can outline the service you provide so that your customer can know what to expect.
A Employment Agreement can outline your employee’s responsibilities and their obligations to your business.
A Sub-Contractor Agreement can be useful if you need to employ another business or sole-trader when operating your business.

How Lawpath Can Help

Running a successful removalist business will require you to not only have the right equipment, but also good planning and communication skills.

At Lawpath, we can help guide you through starting your own removalist business. One of our Experienced Lawyers can provide you with all the legal information and requirements necessary for your business to succeed.