13 Steps to Starting Your Own Fencing Company

Important elements to think about when starting your fencing company:

1. Location — Choose a strategic location for your business that is easily accessible to both staff and clients. Consider areas with a high demand for fencing services, such as residential and commercial districts.
2. Hire skilled and experienced staff — Recruit experienced fence installers and provide ongoing training to ensure high-quality workmanship and customer satisfaction.
3. Niche and specialization — Define a clear niche or specialization for your fencing company. This could include residential fencing, commercial fencing, custom designs, or eco-friendly options. Specializing can help you stand out in the market.
4. Licenses and permits — Obtain all necessary licenses and permits to operate legally. This includes business licenses, contractor licenses, and any state-specific requirements for fencing services.
5. Showcase your past work — Develop a portfolio of your completed projects to showcase your expertise and quality of work. Use before-and-after photos, client testimonials, and detailed descriptions of each project.
6. Develop a professional website — Create an easy-to-navigate website where potential clients can learn about your services, view your portfolio, and contact you. Include a calculator feature on your website to provide clients with instant estimates for their fencing needs.
7. Online store — Consider setting up an online store to sell fencing materials and accessories. This can provide an additional revenue stream and attract DIY customers.
8. Logistics — Plan the logistics of sourcing materials, managing inventory, and scheduling installations. Establish relationships with reliable suppliers to ensure consistent quality and availability of materials.
9. Register your business — A limited liability company (LLC) is the best legal structure for new businesses because it is fast and simple. Form your business immediately using ZenBusiness LLC formation service or hire one of the best LLC services on the market.
10. Legal business aspects — Register for taxes, open a business bank account, and get an EIN.
11. Marketing and promotion — Use a mix of online marketing, local advertising, and partnerships with real estate developers to promote your fencing services. Highlight your expertise, specialization, and successful projects.
12. Franchise opportunities — Consider offering franchise opportunities once your business is established. This can help you expand your brand and reach new markets.

You May Also Wonder:

Is a fencing company profitable?

Fencing can be a very profitable business. You can typically charge $10 per linear foot for fence installation.

What is the growth potential of a fencing company?

There’s really no limit to how big a fencing company can grow. Once you’ve conquered your local market, you could expand to other locations around the country.

Can you start a fencing company on the side?

You could start a fencing company and just work on the weekends. It can make a great side hustle.

Is fencing a good trade?

Fencing is a great trade. You could start by working for a company making a decent hourly wage and eventually start your own fencing company.

Step 1: Decide if the Business Is Right for You

Pros and cons

Fencing industry trends

Industry size and growth

• Industry size and past growth – The U.S. fencing construction industry is worth $11.3 billion in 2023 after growing 1.4% annually the last five years.((https://www.ibisworld.com/industry-statistics/market-size/fence-construction-united-states/))
• Growth forecast – The U.S. fencing construction industry is projected to decline 0.3% in 2023.((https://www.ibisworld.com/united-states/market-research-reports/fence-construction-industry/))
• Number of businesses – In 2023, 54,665 fencing construction businesses are operating in the U.S.
• Number of people employed – In 2023, the U.S. fencing construction industry employs 88,339 people.

Trends and challenges

Trends

• Black wire fences are cost-effective and low maintenance and growing in popularity
• 6’ overlapping board fences are trending as people seek greater privacy
• Use of technology such as drones to survey sites
• 3D printing to create custom fencing designs is becoming more popular
• Use of sustainable materials such as bamboo for fencing

Challenges

• Dealing with material and labor shortages
• Fluctuating fencing material costs
• Changes in customer preferences and demands
• Hiring and retaining fencing employees

Demand hotspots

• Most popular states – The most popular states for fence installers are Mississippi, Utah, and New York.((https://www.zippia.com/fence-installer-jobs/best-states/))
• Least popular states –The least popular states for fencing installers are the District of Columbia, Massachusetts, and Rhode Island. 

What kind of people work in fencing?

• Gender –  5% of fence installers are female, while 95% are male.((https://www.zippia.com/fence-installer-jobs/demographics/))
• Average level of education – The average fence installer is high school educated.
• Average age – The average fence installer in the US is 36 years old.

How much does it cost to start a fencing business?

Startup costs for a fencing company range from $3,500 to $9,000. The main expenses are tools and a down payment on a van or truck. 

You’ll need a handful of items to successfully launch your fencing business, including: 

• Post hole digger 
• Circular saw
• Hammers
• Post leveler
• Compressor with hose
• Nail gun
• Truck or van

Start-up Costs	Ballpark Range	Average
Setting up a business name and corporation	$100 - $500	$300
Business licenses and permits	$100 - $300	$200
Insurance	$100-$500	$300
Initial Marketing Budget	$200 - $500	$350
Tools	$1,000 - $2,000	$1,500
Down payment on a truck or van	$2,000 - $5,000	$3,500
Total	$3,500 - $8,800	$6,150

How much can you earn from a fencing business?

The average cost to install fencing is $10 per linear foot, and the average yard perimeter is about 150 linear feet, which means your average fence price will be $1,500. When you’re working by yourself, your profit margin after fuel and marketing costs should be about 80%.

In your first year or two, you could work from home and do four fences per month for eight months of the year, bringing in $48,000 in revenue. This would mean $38,400 in profit, assuming that 80% margin. 

As you gain traction, sales could climb to 25 fences per month for eight months of the year. At this stage, you might have an office and hire staff, reducing your margin to around 30%. With annual revenue of $300,000, you’d still make a tidy profit of $90,000.

What barriers to entry are there?

There are a few barriers to entry for a fencing company. Your biggest challenges will be:

• Having the skills required to build fences
• Funding the costs of the necessary tools

Step 2: Hone Your Idea

Now that you know what’s involved in starting a fencing company, it’s a good idea to hone your concept in preparation to enter a competitive market. 

Market research could give you the upper hand even if you’ve got the perfect product. Conducting robust market research is crucial, as it will help you better understand your customers, your competitors, and the broader business landscape.

Analyze your competitors 

Research fencing companies in your area to examine their services, price points, and customer reviews.

• Make a list of fencing companies that offer similar services. 
• Review your competitors’ services – their features, pricing, and quality – and marketing strategies
• Check out their online reviews and ratings on Google, Yelp, and Facebook to get an idea of what their customers like and dislike.
• Identify your competitors’ strengths and weaknesses. 

This should identify areas where you can improve your business and gain a competitive edge and help you make better business decisions.

Why? Identify an opportunity

You’re looking for a market gap to fill. For instance, maybe the local market is missing a fencing company that installs vinyl fences or aluminum fences.  

This could jumpstart your word-of-mouth marketing and attract clients right away. 

What? Determine the type of fences you’ll be installing

There are a host of types of fences you could install including:

• Chain-link fences
• Picket fences
• Wood fences
• Vinyl fencing
• Aluminum fences

You could also offer fence repair. 

How much should you charge for fence installation?

The average price for fence installation is $5 to $15 per linear foot. This price does not include fencing materials, which will be purchased by your customers.  After your costs of fuel and marketing, you should aim for a profit margin of about 80%. 

Once you know your costs, use this Step By Step profit margin calculator to determine your mark-up and final price points. Remember, the prices you use at launch should be subject to change if warranted by the market.

Who? Identify your target market

Your target market will mainly be homeowners, who are a more established group that you can find on Facebook or Instagram. You may also be able to find apartment complex managers or business owners with fencing needs on LinkedIn.

Where? Choose your business premises

In the early stages, you may want to run your business from home to keep costs low. But as your business grows, you’ll likely need to hire workers for various roles and may need to rent out an office. You can find commercial space to rent in your area on sites such as Craigslist, Crexi, and Instant Offices.

When choosing a commercial space, you may want to follow these rules of thumb:

• Central location accessible via public transport
• Ventilated and spacious, with good natural light
• Flexible lease that can be extended as your business grows
• Ready-to-use space with no major renovations or repairs needed

Step 3: Brainstorm a Fencing Company Name

Here are some ideas for brainstorming your business name:

• Short, unique, and catchy names tend to stand out
• Names that are easy to say and spell tend to do better 
• Name should be relevant to your product or service offerings
• Ask around — family, friends, colleagues, social media — for suggestions
• Including keywords, such as “fencing” or “fence installation”, boosts SEO
• Name should allow for expansion, for ex: “Jim’s Bakery” over “Jim’s Cookies”
• A location-based name can help establish a strong connection with your local community and help with the SEO but might hinder future expansion

Once you’ve got a list of potential names, visit the website of the US Patent and Trademark Office to make sure they are available for registration and check the availability of related domain names using our Domain Name Search tool. Using “.com” or “.org” sharply increases credibility, so it’s best to focus on these. 

Finally, make your choice among the names that pass this screening and go ahead and reserve your business name with your state, start the trademark registration process, and complete your domain registration and social media account creation. 

Your business name is one of the key differentiators that sets your business apart. Once you pick a name, reserve it and start with the branding, it’s hard to switch to a new name. So be sure to carefully consider your choice before moving forward. 

Step 4: Create a Fencing Business Plan

Here are the key components of a business plan:

• Executive Summary: Summarize the key points of your business plan, including your target market, unique value proposition, and financial projections.
• Business Overview: Provide an overview of your fencing business, its location, the types of fencing you offer (e.g., residential, commercial, industrial), and any specialty services (e.g., custom designs, repairs).
• Product and Services: Detail the fencing products and services your company provides, including materials used (e.g., wood, vinyl, metal), installation, maintenance, and any additional offerings like gate automation.
• Market Analysis: Analyze the demand for fencing services in your target area, considering factors like population growth, construction trends, and the need for security and privacy.
• Competitive Analysis: Identify and assess competitors in the fencing industry, highlighting your company’s strengths, such as quality workmanship, competitive pricing, or unique design options.
• Sales and Marketing: Explain your strategies for reaching potential customers, including local advertising, online presence, partnerships with contractors, and referrals.
• Management Team: Introduce key members of your team, emphasizing their experience in the fencing industry, certifications, and any relevant licenses.
• Operations Plan: Describe the day-to-day operations of your fencing business, covering aspects like sourcing materials, project management, safety protocols, and customer service.
• Financial Plan: Present financial projections, including revenue forecasts, pricing strategies, expense budgets, and cash flow analysis, to demonstrate the financial feasibility and growth potential of your business.
• Appendix: Include any supplementary materials, such as photos of completed projects, customer testimonials, industry certifications, or partnerships, to support your business plan.

If you’ve never created a business plan, it can be an intimidating task. You might consider hiring a business plan specialist to create a top-notch business plan for you.

Step 5: Register Your Business

Plus, registration is exciting because it makes the entire process official. Once it’s complete, you’ll have your own business! 

Choose where to register your company

Your business location is important because it can affect taxes, legal requirements, and revenue. Most people will register their business in the state where they live, but if you are planning to expand, you might consider looking elsewhere, as some states could offer real advantages when it comes to fencing companies. 

If you’re willing to move, you could really maximize your business! Keep in mind, it’s relatively easy to transfer your business to another state. 

Choose your business structure

Business entities come in several varieties, each with its pros and cons. The legal structure you choose for your fencing company will shape your taxes, personal liability, and business registration requirements, so choose wisely. 

Here are the main options:

• Sole Proprietorship – The most common structure for small businesses makes no legal distinction between company and owner. All income goes to the owner, who’s also liable for any debts, losses, or liabilities incurred by the business. The owner pays taxes on business income on his or her personal tax return.
• General Partnership – Similar to a sole proprietorship, but for two or more people. Again, owners keep the profits and are liable for losses. The partners pay taxes on their share of business income on their personal tax returns.
• Limited Liability Company (LLC) – Combines the characteristics of corporations with those of sole proprietorships or partnerships. Again, the owners are not personally liable for debts. Here’s how to form an LLC.
• C Corp – Under this structure, the business is a distinct legal entity and the owner or owners are not personally liable for its debts. Owners take profits through shareholder dividends, rather than directly. The corporation pays taxes, and owners pay taxes on their dividends, which is sometimes referred to as double taxation. Read how to start a corporation here.
• S Corp – An S-Corporation refers to the tax classification of the business but is not a business entity. An S-Corp can be either a corporation or an LLC, which just need to elect to be an S-Corp for tax status. In an S-Corp, income is passed through directly to shareholders, who pay taxes on their share of business income on their personal tax returns.

We recommend that new business owners choose LLC as it offers liability protection and pass-through taxation while being simpler to form than a corporation. You can form an LLC in as little as five minutes using an online LLC formation service. They will check that your business name is available before filing, submit your articles of organization, and answer any questions you might have. 

Step 6: Register for Taxes

The final step before you’re able to pay taxes is getting an Employer Identification Number, or EIN. You can file for your EIN online or by mail or fax: visit the IRS website to learn more. Keep in mind, if you’ve chosen to be a sole proprietorship you can simply use your social security number as your EIN. 

Once you have your EIN, you’ll need to choose your tax year. Financially speaking, your business will operate in a calendar year (January–December) or a fiscal year, a 12-month period that can start in any month. This will determine your tax cycle, while your business structure will determine which taxes you’ll pay.

It is important to consult an accountant or other professional to help you with your taxes to ensure you are completing them correctly.

Step 7: Fund your Business

Securing financing is your next step and there are plenty of ways to raise capital:

• Bank loans: This is the most common method but getting approved requires a rock-solid business plan and strong credit history.
• SBA-guaranteed loans: The Small Business Administration can act as guarantor, helping gain that elusive bank approval via an SBA-guaranteed loan.
• Government grants: A handful of financial assistance programs help fund entrepreneurs. Visit Grants.gov to learn which might work for you.
• Friends and Family: Reach out to friends and family to provide a business loan or investment in your concept. It’s a good idea to have legal advice when doing so because SEC regulations apply.
• Personal: Self-fund your business via your savings or the sale of property or other assets.

Bank and SBA loans are probably the best option, other than friends and family, for funding a fencing business. 

Step 8: Apply for Fencing Business Licenses and Permits

Starting a fencing business requires obtaining a number of licenses and permits from local, state, and federal governments.

Federal regulations, licenses, and permits associated with starting your business include doing business as (DBA), health licenses and permits from the Occupational Safety and Health Administration (OSHA), trademarks, copyrights, patents, and other intellectual properties, as well as industry-specific licenses and permits. 

You may need a contractor’s license to install fences. Check with your state for requirements. In some areas, you may need a permit to build a fence, which will require knowing the property boundaries and going through the permitting process. 

You may also need state-level and local county or city-based licenses and permits. The license requirements and how to obtain them vary, so check the websites of your state, city, and county governments or contact the appropriate person to learn more. 

You could also check this SBA guide for your state’s requirements, but we recommend using MyCorporation’s Business License Compliance Package. They will research the exact forms you need for your business and state and provide them to ensure you’re fully compliant.

If you feel overwhelmed by this step or don’t know how to begin, it might be a good idea to hire a professional to help you check all the legal boxes.

Step 9: Open a Business Bank Account

Before you start making money, you’ll need a place to keep it, and that requires opening a bank account.

Keeping your business finances separate from your personal account makes it easy to file taxes and track your company’s income, so it’s worth doing even if you’re running your fencing business as a sole proprietorship. Opening a business bank account is quite simple, and similar to opening a personal one. Most major banks offer accounts tailored for businesses — just inquire at your preferred bank to learn about their rates and features.

Banks vary in terms of offerings, so it’s a good idea to examine your options and select the best plan for you. Once you choose your bank, bring in your EIN (or Social Security Number if you decide on a sole proprietorship), articles of incorporation, and other legal documents and open your new account. 

Step 10: Get Business Insurance

Business insurance is an area that often gets overlooked, yet it can be vital to your success as an entrepreneur. Insurance protects you from unexpected events that can have a devastating impact on your business.

Here are some types of insurance to consider:

• General liability: The most comprehensive type of insurance, acting as a catch-all for many business elements that require coverage. If you get just one kind of insurance, this is it. It even protects against bodily injury and property damage.
• Business Property: Provides coverage for your equipment and supplies.
• Equipment Breakdown Insurance: Covers the cost of replacing or repairing equipment that has broken due to mechanical issues.
• Worker’s compensation: Provides compensation to employees injured on the job.
• Property: Covers your physical space, whether it is a cart, storefront, or office.
• Commercial auto: Protection for your company-owned vehicle.
• Professional liability: Protects against claims from a client who says they suffered a loss due to an error or omission in your work.
• Business owner’s policy (BOP): This is an insurance plan that acts as an all-in-one insurance policy, a combination of the above insurance types.

Step 11: Prepare to Launch

As opening day nears, prepare for launch by reviewing and improving some key elements of your business. 

Essential software and tools

Being an entrepreneur often means wearing many hats, from marketing to sales to accounting, which can be overwhelming. Fortunately, many websites and digital tools are available to help simplify many business tasks.  

You may want to use industry-specific software, such as Housecall Pro, Jobber, or bqe, to manage your fence projects, appointments, invoicing, and expenses. 

Accounting

• Popular web-based accounting programs for smaller businesses include Quickbooks, Freshbooks, and Xero. 
• If you’re unfamiliar with basic accounting, you may want to hire a professional, especially as you begin. The consequences for filing incorrect tax documents can be harsh, so accuracy is crucial.

Create a website

Website development is crucial because your site is your online presence and needs to convince prospective clients of your expertise and professionalism. You can create your own website using services like WordPress, Wix, or Squarespace. This route is very affordable, but figuring out how to build a website can be time-consuming. If you lack tech-savvy, you can hire a web designer or developer to create a custom website for your business.

Your customers are unlikely to find your website, however, unless you follow Search Engine Optimization (SEO) practices. SEO will help your website appear closer to the top in relevant search results, a crucial element for increasing sales. 

Make sure that you optimize calls to action on your website. Experiment with text, color, size, and position of calls to action such as “Schedule Quote Now” or “Contact Now”. This can sharply increase purchases.

Marketing

Here are some powerful marketing strategies for your future business:

• Local Partnerships and Sponsorships: Forge partnerships with local real estate agents, landscaping companies, or home improvement stores, and sponsor community events to increase visibility and credibility.
• Local SEO — Regularly update your Google My Business and Yelp profiles to strengthen your local search presence.
• Targeted Social Media Advertising: Utilize social media platforms like Facebook and Instagram to run targeted advertising campaigns, showcasing your expertise in fencing and reaching homeowners in your service area.
• Before-and-After Portfolio: Create a visually appealing portfolio showcasing before-and-after photos of your fencing projects. Use this as a powerful tool to demonstrate the quality and transformation potential of your work.
• Customer Referral Program: Encourage satisfied customers to refer your services by implementing a referral program that rewards them with discounts or other incentives for every successful referral.
• Seasonal Promotions: Offer seasonal promotions, such as discounts on fence installations during spring or special winter maintenance packages, to attract customers during peak times and generate consistent business throughout the year.
• Educational Workshops and Seminars: Host educational workshops or seminars in your community to share insights about different fencing options, maintenance tips, and property security benefits, positioning your company as an authority in the field.
• Vehicle Branding: Maximize the visibility of your business by investing in professional vehicle branding. A well-branded vehicle serves as a mobile advertisement, promoting your services wherever you go.
• Google My Business Optimization: Optimize your Google My Business profile with accurate information, high-quality photos, and positive customer reviews to improve local search visibility and attract potential customers in your area.
• Community Engagement: Participate actively in community events, fairs, or local markets to engage with potential customers face-to-face, fostering a personal connection and building trust in your brand.
• Offer Free Estimates: Advertise free on-site estimates to make it easy for potential customers to assess their fencing needs without commitment, demonstrating transparency and customer-centric service.

Focus on USPs

Unique selling propositions, or USPs, are the characteristics of a product or service that sets it apart from the competition. Customers today are inundated with buying options, so you’ll have a real advantage if they are able to quickly grasp how your fencing company meets their needs or wishes. It’s wise to do all you can to ensure your USPs stand out on your website and in your marketing and promotional materials, stimulating buyer desire. 

Global pizza chain Domino’s is renowned for its USP: “Hot pizza in 30 minutes or less, guaranteed.” Signature USPs for your fencing business could be:

• Protect your family with a wood privacy fence
• Keep kids safe with a custom pool fence
• Affordable fencing – done fast and made to last! 

Networking

You may not like to network or use personal connections for business gain. But your personal and professional networks likely offer considerable untapped business potential. Maybe that Facebook friend you met in college is now running a fencing business, or a LinkedIn contact of yours is connected to dozens of potential clients. Maybe your cousin or neighbor has been working in fencing for years and can offer invaluable insight and industry connections. 

The possibilities are endless, so it’s a good idea to review your personal and professional networks and reach out to those with possible links to or interest in fencing. You’ll probably generate new customers or find companies with which you could establish a partnership. 

Step 12: Build Your Team

If you’re starting out small from a home office, you may not need any employees. But as your business grows, you will likely need workers to fill various roles. Potential positions for a fencing business include:

• Laborers – assist with fencing installation
• Dispatcher – direct workers to jobs
• General Manager – scheduling, accounting

At some point, you may need to hire all of these positions or simply a few, depending on the size and needs of your business. You might also hire multiple workers for a single role or a single worker for multiple roles, again depending on need. 

Free-of-charge methods to recruit employees include posting ads on popular platforms such as LinkedIn, Facebook, or Jobs.com. You might also consider a premium recruitment option, such as advertising on Indeed, Glassdoor, or ZipRecruiter. Further, if you have the resources, you could consider hiring a recruitment agency to help you find talent. 

Step 13: Run a Fencing Company – Start Making Money!

A fencing business can be a lucrative venture, as evidenced by the size of the market. If you have fencing skills, you’d be helping homeowners maintain privacy and protect their family while making a living. And what’s better than working out in the sunshine?

Now that you’ve done your business homework, you’re ready to get your tools out and start fencing your neighborhood, town, and maybe the whole state!