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Electrical Service Work #25205
04/30/03 06:52 PM
04/30/03 06:52 PM
bfdpoc221  Offline OP
Joined: Nov 2002
Posts: 11
Bucyrus Ohio USA
I have visited this board many times and really enjoy all the topics and info covered here. I have a question about starting my own service company. Many people ask me about doing work for them and I am wondering what kind of insurance I should carry? I will only be doing small jobs to start with, replacing panelboards, adding recps, replacing defective parts, and so forth. None of the contractors here seem to want to do these jobs anymore. I work as an industrial electrican and keep up with the code. I just want to make sure I am covered since things do go wrong.

Work Gear for Electricians and the Trades
Re: Electrical Service Work #25206
04/30/03 08:57 PM
04/30/03 08:57 PM
spkjpr  Offline
Joined: Dec 2000
Posts: 218
Sedalia,MO, USA
Hello, I do the same thing. Work mids in industry and evenings for myself doing resi work. I carry $1 million in liability but the bad news may be that most insurance companies in my area won't even write a policy unless you have been in business for 3 years. That stinks!

Re: Electrical Service Work #25207
05/01/03 08:52 AM
05/01/03 08:52 AM
nesparky  Offline
Joined: Jun 2001
Posts: 642
Check with the state/local AHJ in your area. You will have a number of thing to do to be a legimate business. Business regristration, tax numbers, permit requirements, labor law compliance, etc are very important. If any thing goes wrong and you do not have these legal issues covered, you can be in for severe financial loss and possibly some jail time.
If you want to do the work do it right and CYA.
Most of the EC's in my area carry $1,000,000 with a $2,000,000 umbrella for the business insurance. Permit bonds as required by the permitting authority add to the bill.
Good Luck

Re: Electrical Service Work #25208
05/01/03 11:02 AM
05/01/03 11:02 AM
Big A  Offline
Joined: Jan 2003
Posts: 46
Lynchburg, VA
Hello All,

Here in my neck of the woods (Virginia), the state requires a contractors license. To get one, you must prove your qualifications (masters license $85) and, if you are going to do less than $7,500 per job or $50,000 per year, $90
Once you get this, you need to get a business license from your locality (free if you do less than $10,000 a year). Want a name other than your own? $10. Then you need insurance. $400. Now you are ready to go to work.
Keep track of all reciepts, mileage, tools bought, income, expenses...etc. You'll need all this come tax time. Also, I keep thirty cents on every dollar I make for taxes. Don't always need it all but just in case.
Find a good accountant the first year because you will have a bunch of questions.
I'm not trying to scare anybody, just letting people know what it takes to be legit. Did I miss anything? Adam

Re: Electrical Service Work #25209
05/01/03 01:14 PM
05/01/03 01:14 PM
wocolt  Offline
Joined: Dec 2002
Posts: 110
Since you live in Ohio, you need to get 'State Certified',This is sponsored by the OCIEB that is an 8-hour test. which can be taken in Akron.
After that you need to apply for a county or city or both registration.
Each city or county requires a Bond and a registration fee, these are anual.
In addition you will need and annual 10 hours of continuing education sponsored by the state.
the address is:
Ohio Department of Commerce
Division of Industrial Compliance
Ohio Construction Industry Examining
6606 Tussing Rd.
Reynoldsburg, OH 43068-9009

the phone number is :1-614-644-3493

They can give you all the information you need.



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