Junk Removal Business

How Much Does It Cost To Start A Junk Removal Business? (In 2024)

Pat Walls

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Updated: October 9th, 2024

Looking to start a junk removal business?

But curious about:

how much it costs to start a junk removal business?
what are the typical junk removal business startup costs?
or the actual cost of starting junk removal businesses?

Well, we have the data to prove it, supported by real junk removal businesses and how much they actually cost to start.

Let's go over it.

What is the average cost of starting a junk removal business?

Based on our data reported by actual junk removal business founders, the average cost of starting a junk removal business is between $1,000 and $250,000.

Additionally, our data shows that the the median startup costs for a junk removal business are around $25K.

Remember, though, not all junk removal businesses are the same - and neither are people's budgets. It's important to distinguish between different levels or types of junk removal businesses

Real World Examples: How much does it cost to start a junk removal business?

We asked real junk removal business founders and business owners how much it actually cost to get started?

Here is what they said:

Sam Evans

Founder of You Call We Haul Junk Removal ($25K/month)

"He helped me find a $1,000 truck on Craigslist, a 1991 Ford F-150."

Sam Evans is the founder of You Call We Haul Junk Removal, a junk removal business that started in 2016 in Harrisburg, Pennsylvania.

Read this case study

Read by 50,792 founders

Sal Polit-Moran

Founder of A+ Enterprises Junk Removal & Demolition ($41K/month)

"Between getting liability insurance, auto insurance, and the legal filings, my actual startup costs were roughly $4,000."

Sal Polit-Moran is the founder of A+ Enterprises Junk Removal & Demolition, a junk hauling and demolition service that has been growing consistently since its inception in August 2017.

Read this case study

Read by 27,344 founders

Matthew Jones

Founder of MJ Home and Truck Services ($4K/month)

"The major expense I had with starting was purchasing a truck because in my business I do a lot of hauling."

Matthew Jones is the founder of MJ Home and Truck Services, a waste management company that started in 2017 and has been in high demand since its inception.

Read this case study

Read by 6,799 founders

Dustin

Founder of SOCO Waste ($230K/month)

"This business was started in December of 2016 with my pick up truck, a $35k loan and a lot of determination!"

Dustin Maze is the founder of SOCO Waste, a residential waste removal business based in Colorado Springs, Colorado, that started in 2016 and is projecting $700-800k in sales for 2020.

Read this case study

Read by 14,563 founders

Ben Sharpe

Founder of Junk B Gone ($100K/month)

"While I initially considered a bank loan, I ultimately decided to pay cash, supplemented by a short-term seller note. This gave us the flexibility to make immediate changes without the constraints of loan repayments."

Ben Sharpe is the founder of Junk B Gone, a junk removal service business in Seattle, acquired and modernized by him in 2023.

Read this case study

Read by 2,991 founders

Lewis Vandervalk

Founder of Integrity Junk Removal & Demolition ($15K/month)

"The startup costs totaled about $25,000 and we are on track to recover those costs within 3 months."

Lewis Vandervalk is the co-founder of Integrity Junk Removal And Demolition, an eco-friendly junk removal business that started generating significant revenue within its first few months.

Read this case study

Read by 5,434 founders

Enjoyed reading these real world examples?

Our platform is full of case studies of successful junk removal businesses that you can learn from.

Starting a junk removal business - what you should know:

Starting a junk removal business involves various factors that can significantly impact your initial and ongoing costs.

Initial Investment Costs

The initial investment for a junk removal business can range from $10,000 to $50,000. Essential expenses include purchasing a reliable truck, which could cost between $15,000 and $25,000 for a used model and up to $50,000 or more for a new one. Additionally, you'll need to budget for equipment such as dumpsters ($500 to $2,000), safety gear ($200 to $500), and marketing and branding materials ($1,000 to $3,000).

Licensing and Permits

Costs for licensing and permits can vary widely depending on your location. Typically, a business license will range from $50 to $400. Additionally, you may need special permits for handling certain types of waste, which can add another $100 to $500. Don't forget about insurance, which is crucial for your business and could cost between $1,200 and $2,000 annually.

Operating Costs

Recurring monthly expenses are another crucial aspect. Fuel for your truck can cost between $500 and $1,000 each month, depending on your service area. Dumping fees can also add up, ranging from $30 to $150 per ton. Furthermore, marketing expenses like digital ads and community sponsorships could range from $200 to $1,500 per month.

Labor Costs

If you plan to hire employees, labor costs must be considered. Hourly wages for workers in this industry typically range from $12 to $20 per hour. Depending on your workload, you might need anywhere from two to five employees, adding a significant amount to your monthly expenses.

By carefully evaluating these elements, you can more accurately estimate the total cost of starting and running a successful junk removal business.

Potential Costs of Starting a Junk Removal Business

Starting a junk removal business involves a variety of costs, ranging from equipment and vehicle expenses to marketing and regulatory fees. Below is a detailed breakdown of these potential costs to give you a clearer picture of the financial investment required.

Category	Item	Estimated Cost	Notes
Vehicles	Used Pickup Truck	$10,000 - $25,000	Necessary for hauling large items; price varies by make, model, and condition.
	Vehicle Insurance	$1,500 - $3,000 annually	Required for business protection; costs vary based on coverage level.
	Fuel Costs	$2,000 - $5,000 annually	Dependent on service area and frequency of jobs.
Equipment & Tools	Dolly or Hand Truck	$80 - $200	Essential for moving heavy items.
	Ramps	$200 - $500	Useful for loading items into the truck.
	Tarps and Straps	$100	To secure loads during transport.
	Shovels, Rakes, and Brooms	$50 - $100	Basic tools for clean-up tasks.
	Work Gloves & Protective Gear	$50 - $100 per worker	Safety gear to prevent injuries.
	Waste Disposal Fees	$200 - $500 per month	Costs for dumping fees or transfer station costs.
Office & Admin	Business License	$50 - $500	Varies by city and state.
	Regulatory Permits	$100 - $1,000	Depending on local regulations.
	Accounting Software	$20 - $50 monthly	For tracking expenses and income (e.g., QuickBooks).
	Office Supplies	$100 - $300 initial	Basic office necessities like paper, pens, and a filing system.
	Website Hosting Fees	$50 - $150 annually	For maintaining a professional online presence.
Marketing	Website Development	$500 - $2,000	Initial setup cost; can vary based on complexity.
	Ongoing Website Maintenance	$100 - $300 per month	Updates and technical support.
	Google Ads	$100 - $1,000 per month	Depends on advertising goals and market competition.
	Social Media Advertising	$100 - $500 per month	Costs vary by platform and reach.
	Print Materials (Flyers, Business Cards)	$200 - $500	Design and printing costs.
Labor	Initial Hiring Costs	$1,000 - $3,000	Recruiting and training expenses.
	Employee Wages	$15 - $25 per hour per worker	Dependent on skill level and region.
	Workers' Compensation Insurance	$500 - $1,500 annually	Mandatory insurance for employees.
	Uniforms	$100 - $200 per employee	Branded clothing for professional appearance.
Miscellaneous	Initial Miscellaneous Costs	$200 - $500	Unexpected expenses or additional small tools.

By considering these various costs, you can better prepare for the financial investment needed to start and successfully operate a junk removal business.

Part of

Starting A Junk Removal Business: Everything You Need To Know

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