Lawn mower mechanic salary. How to Start a Small Engine Repair Business

How to Start a Small Engine Repair Business

A small engine repair business will fix internal combustion engines for a variety of machines. Owners may work with private parties (e.g., neighbors with a broken lawn mower) and/or commercial parties (e.g., a construction company that needs their concrete mixer repaired.)

Learn how to start your own Small Engine Repair Business and whether it is the right fit for you.

Start a small engine repair business by following these 10 steps:

We have put together this simple guide to starting your small engine repair business. These steps will ensure that your new business is well planned out, registered properly and legally compliant.

STEP 1: Plan your business

A clear plan is essential for success as an entrepreneur. It will help you map out the specifics of your business and discover some unknowns. A few important topics to consider are:

Luckily we have done a lot of this research for you.

What will you name your business?

Choosing the right name is important and challenging. If you don’t already have a name in mind, visit our How to Name a Business guide or get help brainstorming a name with our Small Engine Repair Business Name Generator

If you operate a sole proprietorship, you might want to operate under a business name other than your own name. Visit our DBA guide to learn more.

When registering a business name, we recommend researching your business name by checking:

• Your state’s business records
• Federal and state trademark records
• Social media platforms
• Web domain availability.

It’s very important to secure your domain name before someone else does.

Business Name Generator

What are the costs involved in opening a small engine repair business?

Costs to start this business can be extremely low. You likely already have the space and tools you need to get started — especially if you don’t have a large client base as of yet. Owners should also consider buying additional liability coverage for their business. Anything from human error to natural disasters can destroy a small engine and the owner would be financially responsible for replacing any damaged machinery.

What are the ongoing expenses for a small engine repair business?

Expenses are typically on the low side for small engine repair businesses, but owners should factor in the cost of insurance, employees, and continuing education. They may also need to rent or buy additional space as their business continues to grow.

Who is the target market?

The target market can be anyone in the area with a small engine. From Go-Karts to wood chippers to chainsaws, there are plenty of machines that can fall under this category. Potential clients can include those from industrial, commercial, or personal applications.

How does a small engine repair business make money?

Owners make money by charging for their time and skill level. They’ll need to base their on the actual tools they use to repair the engines, plus the demand and the original cost of the item. For example, few people will pay 80 to repair their old lawn mower if a brand-new mower costs 100.

How much can you charge customers?

Customers will typically pay based on the type of machine and the extent of the damage. Most owners will charge for cost-of-labor plus parts. The average cost for a lawn mower repaired is about 60, which will likely be an hour’s worth of work or less.

How much profit can a small engine repair business make?

Small engine repair businesses can be extremely profitable, but they will need a high volume first. An owner would need to repair 6 – 8 lawn mowers a day at a 45 profit to make 90,000 a year.

How can you make your business more profitable?

Small engine repair owners may want to branch out to offer large engine repairs if they’ve noticed a heavy demand for it. They can also offer more general types of repairs to machinery to better serve their client base.

STEP 2: Form a legal entity

Establishing a legal business entity such as an LLC or corporation protects you from being held personally liable if your small engine repair business is sued.

Read our Guide to Form Your Own LLC

Have a Professional Service Form your LLC for You

Two such reliable services:

You can form an LLC yourself and pay only the minimal state LLC costs or hire one of the Best LLC Services for a small, additional fee.

Recommended: You will need to elect a registered agent for your LLC. LLC formation packages usually include a free year of registered agent services. You can choose to hire a registered agent or act as your own.

STEP 3: Register for taxes

You will need to register for a variety of state and federal taxes before you can open for business.

In order to register for taxes you will need to apply for an EIN. It’s really easy and free!

You can acquire your EIN through the IRS website. If you would like to learn more about EINs, read our article, What is an EIN?

There are specific state taxes that might apply to your business. Learn more about state sales tax and franchise taxes in our state sales tax guides.

STEP 4: Open a business bank account credit card

Using dedicated business banking and credit accounts is essential for personal asset protection.

When your personal and business accounts are mixed, your personal assets (your home, car, and other valuables) are at risk in the event your business is sued. In business law, this is referred to as piercing your corporate veil.

Open a business bank account

Besides being a requirement when applying for business loans, opening a business bank account:

• Separates your personal assets from your company’s assets, which is necessary for personal asset protection.
• Makes accounting and tax filing easier.

Recommended: Read our Best Banks for Small Business review to find the best national bank or credit union.

Get a business credit card

• Separate personal and business expenses by putting your business’ expenses all in one place.
• Build your company’s credit history, which can be useful to raise money later on.

Recommended: Apply for an easy approval business credit card from Divvy and build your business credit quickly.

STEP 5: Set up business accounting

Recording your various expenses and sources of income is critical to understanding the financial performance of your business. Keeping accurate and detailed accounts also greatly simplifies your annual tax filing.

Make LLC accounting easy with our LLC Expenses Cheat Sheet.

STEP 6: Obtain necessary permits and licenses

Failure to acquire necessary permits and licenses can result in hefty fines, or even cause your business to be shut down.

State Local Business Licensing Requirements

Certain state permits and licenses may be needed to operate a small engine repair business. Learn more about licensing requirements in your state by visiting SBA’s reference to state licenses and permits.

Most businesses are required to collect sales tax on the goods or services they provide. To learn more about how sales tax will affect your business, read our article, Sales Tax for Small Businesses.

Certificate of Occupancy

A small engine repair business is generally run out of a garage. Businesses operating out of a physical location typically require a Certificate of Occupancy (CO). A CO confirms that all building codes, zoning laws and government regulations have been met.

• If you plan to lease a location :

• It is generally the landlord’s responsibility to obtain a CO.
• Before leasing, confirm that your landlord has or can obtain a valid CO that is applicable to a small engine repair business.
• After a major renovation, a new CO often needs to be issued. If your place of business will be renovated before opening, it is recommended to include language in your lease agreement stating that lease payments will not commence until a valid CO is issued.

• If you plan to purchase or build a location :

• You will be responsible for obtaining a valid CO from a local government authority.
• Review all building codes and zoning requirements for your business’ location to ensure your small engine repair business will be in compliance and able to obtain a CO.

Labor Safety Requirements

In performing small engine repair, you and your employees will be working with various types of machines and engines. Work of this nature carrys various safety hazards, so it is important to ensure that your business follows all labor safety requirements which can be found here.

STEP 7: Get business insurance

Just as with licenses and permits, your business needs insurance in order to operate safely and lawfully. Business Insurance protects your company’s financial wellbeing in the event of a covered loss.

There are several types of insurance policies created for different types of businesses with different risks. If you’re unsure of the types of risks that your business may face, begin with General Liability Insurance. This is the most common coverage that small businesses need, so it’s a great place to start for your business.

Another notable insurance policy that many businesses need is Workers’ Compensation Insurance. If your business will have employees, it’s a good chance that your state will require you to carry Workers’ Compensation Coverage.

FInd out what types of insurance your Small Engine Repair Business needs and how much it will cost you by reading our guide Business Insurance for Small Engine Repair Business.

STEP 8: Define your brand

Your brand is what your company stands for, as well as how your business is perceived by the public. A strong brand will help your business stand out from competitors.

If you aren’t feeling confident about designing your small business logo, then check out our Design Guides for Beginners, we’ll give you helpful tips and advice for creating the best unique logo for your business.

Recommended: Get a logo using Truic’s free logo Generator no email or sign up required, or use a Premium Logo Maker.

If you already have a logo, you can also add it to a QR code with our Free QR Code Generator. Choose from 13 QR code types to create a code for your business cards and publications, or to help spread awareness for your new website.

How to promote market a small engine repair business

The best way to promote yourself depends on where you’re located. If most people in your town are tech-savvy, then you may want to look at community websites such as Craigslist or Nextdoor to start drumming up support. If not, then concentrate on paper flyers, newspaper ads, and general word-of-mouth.

How to keep customers coming back

Owners need to produce long-lasting repairs to keep customers coming back. Customer service will be important, but it won’t be as crucial to getting repeat business. Most people can put up with a little gruffness to save themselves from having to buy a new machine (or do the repairs themselves.)

STEP 9: Create your business website

After defining your brand and creating your logo the next step is to create a website for your business.

While creating a website is an essential step, some may fear that it’s out of their reach because they don’t have any website-building experience. While this may have been a reasonable fear back in 2015, web technology has seen huge advancements in the past few years that makes the lives of small business owners much simpler.

Here are the main reasons why you shouldn’t delay building your website:

• All legitimate businesses have websites. full stop. The size or industry of your business does not matter when it comes to getting your business online.
• Social media accounts like pages or LinkedIn business profiles are not a replacement for a business website that you own.
• Website builder tools like the GoDaddy Website Builder have made creating a basic website extremely simple. You don’t need to hire a web developer or designer to create a website that you can be proud of.

Recommended: Get started today using our recommended website builder or check out our review of the Best Website Builders.

Other popular website builders are: WordPress, WIX, Weebly, Squarespace, and Shopify.

STEP 10: Set up your business phone system

Getting a phone set up for your business is one of the best ways to help keep your personal life and business life separate and private. That’s not the only benefit; it also helps you make your business more automated, gives your business legitimacy, and makes it easier for potential customers to find and contact you.

There are many services available to entrepreneurs who want to set up a business phone system. We’ve reviewed the top companies and rated them based on price, features, and ease of use. Check out our review of the Best Business Phone Systems 2023 to find the best phone service for your small business.

Recommended Business Phone Service: Phone.com

Phone.com is our top choice for small business phone numbers because of all the features it offers for small businesses and it’s fair pricing.

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Is this Business Right For You?

This business is excellent for someone who enjoys working with their hands and working with a variety of tools. They must be excellent at taking apart machinery to understand how it works and flexible enough to handle new technology they may not have seen before. Owners should enjoy solving problems and experimenting with new ways to repair stubborn or severe breaks.

Want to know if you are cut out to be an entrepreneur?

Take our Entrepreneurship Quiz to find out!

What happens during a typical day at a small engine repair business?

Most of the day will be spent working on the actual engines, though owners will need to devote time to marketing their services and working with clients as well. They may need to practice simple project management to ensure that all repairs can be completed on time for their customers.

What are some skills and experiences that will help you build a successful small engine repair business?

Those who open this business should either be a professional repair person or a very skilled hobbyist. Ideally, they should have experience working with a wide variety of engines so there’s less of a learning curve when they step into the position.

FREE MOWERS! Will they run? Briggs and Stratton push mower Turning Shop Trash Into TREASURE!

What is the growth potential for a small engine repair business?

There are plenty of small engines in any given neighborhood, which should give owners a fairly steady stream of work. This is a local skill that would be difficult to outsource, so the growth potential can be substantial. The biggest hurdle is generally dealing with direct competitors located near you.

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Take the Next Step

Find a business mentor

One of the greatest resources an entrepreneur can have is quality mentorship. As you start planning your business, connect with a free business resource near you to get the help you need.

Having a support network in place to turn to during tough times is a major factor of success for new business owners.

Learn from other business owners

Want to learn more about starting a business from entrepreneurs themselves? Visit Startup Savant’s startup founder series to gain entrepreneurial insights, lessons, and advice from founders themselves.

Resources to Help Women in Business

There are many resources out there specifically for women entrepreneurs. We’ve gathered necessary and useful information to help you succeed both professionally and personally:

If you’re a woman looking for some guidance in entrepreneurship, check out this great new series Women in Business created by the women of our partner Startup Savant.

What are some insider tips for jump starting a small engine repair business?

Most small engine repair owners will start off fixing engines for other people as a side business to build up a clientele. They will need a substantial, consistent volume of customers to justify jumping to full-time immediately. To save on the cost of parts, consider buying up old machinery at garage or yard sales or cruising around the neighborhood on trash day to collect old lawn mowers, leaf blowers, etc. No matter how broken they may be, owners can still extract parts from them to use for their own repairs.

Owners also need to concentrate on appealing to their target base. There are plenty of small engine repairs that people can complete on their own, but they often don’t have the time to devote to it. Amateurs can actually inadvertently make the issue worse without meaning to. When marketing the business, concentrate on how you can actually save people money and increase the longevity of their expensive machinery.

It’s also important to research the competition to find out more about their reputation. Owners don’t have to disparage other businesses, but they may be able to find an angle that isn’t currently being served. For example, maybe the competition works on vacuum cleaners but not on home generators. Understanding the popular machines in an area will give you a good base of how to distinguish yourself.

Finally, owners should consider taking classes to improve upon and develop new skills both before getting started and as they’re building their business. As new machinery debuts, small engine repair owners may be asked to complete ever-more complex requests. Understanding the new additions to the market will give owners a better idea of how their current skills can be adapted to fit the technology changes of tomorrow.

How and when to build a team

Most small engine repair owners will start off alone. If the orders start to reach critical capacity, consider hiring a secretary before hiring another technician. This way, you can free up your own time to concentrate on completing the actual repairs. If you do need to hire a technician, make sure that you have the space and the resources to help them thrive first, and give each candidate several repair tests before deciding to take someone on.

How to Start a Small Engine Repair Business

Carolyn Young is a business writer who focuses on entrepreneurial concepts and the business formation. She has over 25 years of experience in business roles, and has authored several entrepreneurship textbooks.

David has been writing and learning about business, finance and globalization for a quarter-century, starting with a small New York consulting firm in the 1990s.

How to Start a Small Engine Repair Business

• Decide if the Business Is Right for You
• Hone Your Idea
• Brainstorm a Small Engine Repair Business Name
• Create a Small Engine Repair Business Plan
• Register Your Business
• Register for Taxes
• Fund your Business
• Apply for Small Engine Repair Business Licenses and Permits
• Open a Business Bank Account
• Get Business Insurance
• Prepare to Launch
• Build Your Team
• Run a Small Engine Repair Business. Start Making Money!
• Small Engine Repair Business FAQs

It’s inevitable — at some point your lawnmower, weed wacker or snowblower will break down and you’ll need somebody to come fix it. As more people acquire more of these gadgets, demand for small engine repair has increased — and is expected to continue to increase through 2030. If you like to tinker and know small engines, you could make good money and help people out by starting your own small engine repair business.

But in addition to mechanic skills, you’ll need to have a solid understanding of the entrepreneurial process. Fortunately, this step-by-step guide details everything you need to know about launching a lucrative small engine repair business.

Looking to 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.

Step 1: Decide if the Business Is Right for You

Pros and cons

Starting a small engine repair business has pros and cons to consider before deciding if it’s right for you.

Pros

• Flexibility – No shop required; do mobile repair or use your own garage
• Good Money – Make up to 100 per hour
• Save People Money – Customers won’t need to buy new equipment

Cons

• Skills Needed – Must have deep knowledge of a variety of engines
• Crowded Market – Compete with many other small engine repair services

Industry size and growth

There is no information available about the small engine repair industry since most small engine repair businesses are small, private companies. However, this will detail employment information in the industry.

• Industry size and past growth – From 2010 to 2020, employment opportunities for small engine mechanics increased 20%.((https://www.statista.com/statistics/255679/employment-of-small-engine-mechanics-in-the-united-states/))
• Growth forecast – From 2020 to 2030, small engine mechanic employment opportunities are expected to increase 9%.((https://www.bls.gov/ooh/installation-maintenance-and-repair/small-engine-mechanics.htm))

Trends and challenges

Trends in the small engine repair industry include:

• Small engine equipment rentals are on the rise, presenting an opportunity for small engine repair businesses to service equipment rental companies.
• Small engines are increasingly being used in industrial settings, which presents another potential customer base for small engine repair firms. This might include electric motors used in robotics.

Challenges in the small engine repair industry include:

• The availability of countless instructional videos on YouTube may curb demand for small engine repair mechanics.
• The evolving technology of small engines creates a need for small engine repair mechanics to update their skills.

Demand hotspots

• Most popular states – The most popular states for small engine mechanics are Alaska, Louisiana, and Arizona.((https://www.zippia.com/small-engine-mechanic-jobs/best-states/#colorado))
• Least popular states – The least popular states for small engine mechanics are Illinois, Kansas, and Colorado.

What kind of people work in small engine repair?

• Gender – 4% of small engine mechanics are female, while 96% are male.((https://www.zippia.com/small-engine-mechanic-jobs/demographics/))
• Average level of education – The average small engine mechanic is high school educated.
• Average age – The average small engine mechanic in the US is 45.1 years old.

How much does it cost to start a small engine repair business?

Startup costs for a small engine repair business range from 1,800 to 4,600. The largest cost is for a website to market your business. You also need a handful of tools.

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

How much can you earn from a small engine repair business?

Small engine repair rates range from 40 to 100 per hour, for an average of 70. Your profit margin should be about 90%.

In your first year or two, you could work 15 hours per week, bringing in 54,000 in annual revenue. This would mean 49,000 in profit, assuming that 90% margin. As your business gains traction, you could work up to 25 hours per week. With annual revenue of 91,000, you’d make a sweet profit of nearly 82,000.

What barriers to entry are there?

There are a few barriers to entry for a small engine repair business. Your biggest challenges will be:

• Having the specialized skills to repair all types of small engines
• Intense competition to stand out in a crowded market

Related Business Ideas

If you’re still not sure whether this business idea is the right choice for you, here are some related business opportunities to help you on your path to entrepreneurial success.

How to Start a Cell Phone Repair Business

Step 2: Hone Your Idea

Now that you know what’s involved in starting a small engine repair business it’s a good idea to hone your concept in preparation to enter a competitive market.

Market research will give you the upper hand, even if you’re already positive that you have a perfect product or service. Conducting market research is important, because it can help you understand your customers better, who your competitors are, and your business landscape.

Why? Identify an opportunity

Research small engine repair businesses in your area to examine their services, price points, and customer reviews. You’re looking for a market gap to fill. For instance, maybe the local market is missing a repair business for outdoor power equipment or a business that repairs small gasoline engines.

You might consider targeting a niche market by specializing in a certain aspect of your industry, such as carburetor repair or the repair of John Deere lawn tractors.

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

What? Determine your products or services

Your services will depend on your skills, but your best bet is to repair a variety of items so that you have a larger market of customers.

How much should you charge for small engine repair?

for small engine repair will depend on the item and range from 40 to 100 per hour. You should aim for a profit margin of about 90%.

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

Who? Identify your target market

Your target market will be broad, so you should spread out your marketing to include sites like TikTok, Instagram, and You can also try to connect with manufacturers and equipment rental firms 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 might need to hire workers for various roles and may need to rent out a shop space. 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 Small Engine Repair Business Name

Your business name is your business identity, so choose one that encapsulates your objectives, services, and mission in just a few words. You probably want a name that’s short and easy to remember, since much of your business, and your initial business in particular, will come from word-of-mouth referrals.

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 “small engine repair” or “mobile repair”, boosts SEO
• Name should allow for expansion, for ex: “MotorMedic Small Engine Shop” over “Mower Mechanics” or “Carburetor Care Shop”
• Avoid location-based names that might hinder future expansion
• Use online tools like the Step by Step Business Name Generator. Just type in a few keywords and hit “generate” and you’ll have dozens of suggestions at your fingertips.

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 with domain registration and social media account creation. Your business name is one of the key differentiators that sets your business apart. Once you pick your company name, and start with the branding, it is hard to change the business name. Therefore, it’s important to carefully consider your choice before you start a business entity.

Step 4: Create a Small Engine Repair Business Plan

Every business needs a plan. This will function as a guidebook to take your startup through the launch process and maintain FOCUS on your key goals. A business plan also enables potential partners and investors to better understand your company and its vision:

• Executive Summary: Brief overview of the entire business plan; should be written after the plan is complete.
• Business Overview: Overview of the company, vision, mission, ownership, and corporate goals.
• Product and Services: Describe your offerings in detail.
• Market Analysis: Assess market trends such as variations in demand and prospects for growth, and do a SWOT analysis.
• Competitive Analysis: Analyze main competitors, assessing their strengths and weaknesses, and create a list of the advantages of your services.
• Sales and Marketing: Examine your companies’ unique selling propositions (USPs) and develop sales, marketing, and promotional strategies.
• Management Team: Overview of management team, detailing their roles and professional background, along with a corporate hierarchy.
• Operations Plan: Your company’s operational plan includes procurement, office location, key assets and equipment, and other logistical details.
• Financial Plan: Three years of financial planning, including startup costs, break-even analysis, profit and loss estimates, cash flow, and balance sheet.
• Appendix: Include any additional financial or business-related documents.

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

Registering your business is an absolutely crucial step — it’s the prerequisite to paying taxes, raising capital, opening a bank account, and other guideposts on the road to getting a business up and running.

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’re planning to expand, you might consider looking elsewhere, as some states could offer real advantages when it comes to small engine repair businesses.

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 small engine repair business 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.
• 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.
• 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.

Form Your LLC

We recommend ZenBusiness as the Best LLC Service for 2023

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.

The IRS website also offers a tax-payers checklist, and taxes can be filed online.

It is important to consult an accountant or other professional to help you with your taxes to ensure you’re 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.
• Crowdfunding: Websites like Kickstarter and Indiegogo offer an increasingly popular low-risk option, in which donors fund your vision. Entrepreneurial crowdfunding sites like Fundable and WeFunder enable multiple investors to fund your business.
• 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 small engine repair business.

Step 8: Apply for Small Engine Repair Business Licenses and Permits

Starting a small engine repair 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 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.

This is not a step to be taken lightly, as failing to comply with legal requirements can result in hefty penalties.

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 small engine repair 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 RepairShopr, Orderry, or RepairTRAX, to manage your estimates, repair projects, invoicing, and payments.

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.

Develop your 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.

They are unlikely to find your website, however, unless you follow Search Engine Optimization (SEO) practices. These are steps that help pages rank higher in the results of top search engines like Google.

Marketing

Some of your business will come from casual online visitors, but you should still invest in digital marketing! Getting the word out is especially important for new businesses, as it’ll boost customer and brand awareness.

Once your website is up and running, link it to your social media accounts and vice versa. Social media is a great tool for promoting your business because you can create engaging posts that advertise your products:

• : Great platform for paid advertising, allows you to target specific demographics, like men under age 50 in the Cleveland area.
• Instagram: Same benefits as but with different target audiences.
• Website: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 “Book Now.” This can sharply increase purchases.
• Google and Yelp: For businesses that rely on local clientele, getting listed on Yelp and Google My Business can be crucial to generating awareness and customers.

Kickstart Marketing

Take advantage of your website, social media presence, and real-life activities to increase awareness of your offerings and build your brand. Some suggestions include:

• Flyering – Distribute flyers in your neighborhood and at industry events.
• Start a blog – Start a blog and post regularly. Change up your content and multiple sites.
• Paid ads on social media – Choose sites that will reach your target market and do targeted ads.
• Pay–per-click marketing – Use Google AdWords to perform better in searches. Research your keywords first.
• Do a webinar – Share your small engine repair expertise online with a video seminar.
• Testimonials – Share customer testimonials about how your small engine repair helped them.

Focus on USPs

Unique selling propositions, or USPs, are the characteristics of a product or service that set 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 small engine repair business 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 small engine repair business could be:

• Lawnmower died? We’ll come fix it in a jiffy.
• Guaranteed repair! We only charge you if we fix your broken gadget
• Top-notch motorcycle and small engine repair at your home

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 friend you met in college is now running a small engine repair business, or a LinkedIn contact of yours is connected to dozens of potential clients. Maybe your cousin or neighbor has been working in small engine repair 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 small engine repair. You’ll probably generate new customers or find companies with which you could establish a partnership.

How to Start a Small Engine Repair Business

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 small engine repair business include:

• Small Engine Mechanics – engine repairs
• General Manager – scheduling, parts ordering, accounting
• Marketing Lead – SEO strategies, social media

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. 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 Small Engine Repair Business – Start Making Money!

Looking to tinker with engines and make a good living at the same time? It’s totally doable. Small engine repair is a growing industry seeing increased demand, and you can make good money while helping people out of a domestic jam. Being successful will just require some skills, hard work, and a passion for what you do.

You’ve honed your business skills, so now it’s time to get your small engine repair business off the ground and reap the rewards!

Small Engine Repair Business FAQs

A small engine repair business can be very profitable. You just need the skills to do great work, and a passion for what you do, and success will follow.

You can go through an online small engine repair program at a place like Penn Foster. The program costs about 900 and it takes five to nine months.

The most common problem with small engines is often related to fuel-related issues. This includes problems with fuel quality, fuel filters, carburetor clogs, or fuel line blockages. Other common issues may include spark plug problems, ignition system malfunctions, or issues with the air filter.

To establish a reliable and trustworthy reputation for your small engine repair services, FOCUS on providing high-quality work and excellent customer service. Ensure that your technicians are experienced and properly trained in small engine repairs. Communicate clearly with customers, explain the repairs needed, and provide accurate estimates. Use quality parts and equipment for repairs. Offer warranties on repairs to instill confidence in your customers. Collect and share positive customer reviews and testimonials.

Specialize in specific types of small engines, such as lawn mowers, generators, or chainsaws, to establish expertise in a niche market. Offer additional services such as equipment maintenance, tune-ups, or preventative maintenance programs. Provide pick-up and delivery services for larger equipment or offer mobile repair services for on-site repairs.

Small Engine Repair School

Learn how to troubleshoot and repair small gasoline engines with our Penn Foster Career School’s accredited online Small Engine Repair Training Program. With self-paced classes, you can prepare for a hands-on career in the field on your schedule.

• Learn fundamental mechanical concepts including cooling, electrical, and fuel systems, servicing lawnmowers, tractors, and outboard engines, and more.
• Prepare for optional Outdoor Power Equipment Association (OPE) certification, which can help you stand out when applying for jobs.
• Students enrolled in the program receive a discount for Snap-on tools.
• Our online programs are flexible enough for you to finish them at a pace that works for you, based on how much time you can dedicate to your coursework each week.

Save up to 190 Ends 7/25/2023

59/month, Start for as low as 20

What You Will Learn

• How to describe the operation of carburetors, ignition systems, and starting systems, and explain how a transmission can be used to increase the output horsepower and torque of an engine.
• How to identify types of small-engine lubrication and cooling systems, as well as how to properly service and maintain these systems.
• How to troubleshoot and repair electrical systems for small engines.
• How to disassemble small gasoline engines, as well as repair and rebuild them.

Small Engine Repair Career Outcomes

Through the online small engine repair training program, you’ll prepare for work in the field. There are opportunities to use your small engine repair skills in a variety of locations, including dealerships, repair shops, hardware and other retail stores, equipment rental agencies, and even your own small engine mechanic business.

State Licensing Requirements

Licensing and/or certification requirements for small engine repair jobs are not the same in every state and may include educational, testing, and/or experiential requirements beyond those offered in the Penn Foster program. Prospective students should contact the state professional licensing board or similar regulatory body in the state(s) where they plan to work to determine their requirements before enrolling in this program. See the State Licensing page for contact information for state licensing/regulatory boards and certain industry licensing information.

Small Engine Repair Curriculum

Estimated completion time:

With Penn Foster, you can learn at whatever pace works best for you. Some learners will be more comfortable moving faster, and dedicating more time, and the fast track estimate will apply to them. The average track will apply to most learners who can dedicate a few hours per week to completing their coursework.

In our Small Engine Repair Diploma Program, you’ll learn the knowledge and skills that can help you prepare for a career as a small engine mechanic. Your online units include:

• Small Engine Ignition Systems
• Small Engine Fuel Systems
• Engine Disassembly and Reassembly
• OPE Transmission Systems

Small Engine Repair Student Experience

Our graduates have gone on to find work in mechanic shops, hardware shops, and dealerships. Learn more about their experience with the Penn Foster program.

Penn Foster Graduate, 2021

“It was an awesome program, and the flexibility is something that is needed in today’s fast-moving world.”

Looking for skilled trades training for your workers?

Penn Foster currently works with hundreds of leading employers to meet their unique organizational needs.

Small Engine Repair Program Tuition

Take the first steps toward a new career with our online Small Engine Repair Program. Simply choose from one of our low-cost customized payment plans and get started today!

Save up to 190 Ends 7/25/2023

Option 2: Monthly Auto Pay Plan

• Pay 59 per month
• Start for 20 down
• All major credit and debit cards accepted

Option 3: Monthly Mail Pay Plan

California residents please click here for Required California Disclosures.

Need more info or ready to enroll?

Looking for more information on transfer credits, military benefits, or our refund policy? Find this information and more about tuition and enrollment here.

We’re here to help. Call 1-800-275-4410 9AM. 9PM EST

Our Proven Automotive Repair Learning Model

• 24/7 access to online resources
• Online student community
• Student Portal Help Center

Related Programs

Learn how to repair and maintain motorcycles and ATVs with Penn Foster’s online Motorcycle Repair Technician Career Diploma Program.

Learn how to maintain and repair diesel-based engines and trucks with our online Diesel Mechanics/Heavy Truck Maintenance Career Diploma.

Prepare for ASE certification and learn the skills to become an auto mechanic with our Online Automotive Repair Technician Program.

What types of small engines will I learn to repair in this course?

Penn Foster’s online Small Engine Repair Program prepares students to repair typical two-stroke and four-stroke engines, outboard engines, and marine engines.

Why become a small engine mechanic?

Small engine mechanics play a vital role in servicing and repairing outdoor equipment such as lawn mowers and leaf-blowers. Mechanics who work on outdoor power equipment and other small engines will continue to be in-demand because of the widespread use of these engines in gardening, tree work, landscape construction, and similar activities. The average national salary for small engine mechanics was 39,050 in 2021, according to data from the Bureau of Labor Statistics.

How long does it take to become a small engine mechanic?

Depending on your education and experience, it can take up to a year to become a small engine mechanic. While postsecondary education isn’t required and many shops and businesses will provide some on-the-job training, job prospects are best for those who have completed training programs, according to the Bureau of Labor Statistics.

What qualities make a good mechanic?

Good small engine mechanics are detail-oriented, have strong troubleshooting and mechanical skills, and are able to work in a variety of environments. They should also have a strong understanding of customer service and organizational skills. Many skills can be developed through training in our online Small Engine Repair Program, including how to start your own repair business.

Bureau of Labor Statistics, U.S. Department of Labor. Small Engine Mechanics. Occupational Outlook Handbook. Accessed September 26, 2022.

Statements found in the United States Department of Labor Occupational Outlook Handbook are not a guarantee of any post-graduation salary, in part because the data used to create the Occupational Outlook Handbook includes workers from differing educational backgrounds, levels of experience, and geographic areas of the country.

Snap-on Student Excellence Program

Students enrolled in the small engine repair training program are eligible to participate in the Snap-on Student Excellence Program. This program allows students in trades and technology education programs to purchase high-quality Snap-on tools at a preferred student discount. Some restrictions may apply for total purchases and quantities of certain items. Click here to see the new Snap-on Catalog.

Outdoor Power Equipment Association Small Engine Repair Certification

This certification is voluntary and not required for employment, though it can help you stand out from other applicants when applying for engine repair jobs. The only way to become OPE-certified is to successfully complete their certification exam. Penn Foster Career School’s Small Engine Repair program includes the OPE Certification Exam Prep Book to help you prepare for the examination.

On average, learners can complete their program in as few as 7 months. Faster learners, or those with more time to dedicate to their coursework, can finish in as little as 4 months. If you don’t have lots of time to dedicate to your program, that’s ok too! You can learn at the pace that works for you and your schedule.

Small Engine Repair

Small engine repair is a trade that is always in demand and it is also a skill that applies to numerous machines. Small engines are used to power motorcycles, motorboats, lawnmowers, lawn equipment and other types of outdoor equipment. The ability to fix these various types of small engines can lead to a productive and long-lasting career. It is also a career with a positive employment outlook for the future, which can lead to job stability for years to come.

Small Engine Repair Education

Small engine repair education courses and curriculums are offered at a variety of post-secondary institutions. There are also online classes that teach the essentials of small engine repair. There is more than one option for those looking to pursue an education in small engine repair. The first option is to earn a certificate from an accredited post-secondary institution.

A certificate of completion denotes that a graduate has acquired all the necessary training to enter the working field as a small engine repair mechanic. The duration of a certificate program differs according to each institution and there are standards that are also specific to each curriculum.

The second option is to earn an Associate Degree from a community college. This program typically lasts two years and is accompanied by an array of core classes. It is more common to find a post-secondary program that offers a certificate in small engine repair as there are limited institutions that provide an Associate Degree in this discipline. However, there are Powersports Technician programs as well as motorcycle repair programs that deal with more specific concepts in relation certain types of small engines. Individuals looking for a broader education in small engine repair can choose from a variety of certificate programs throughout the country.

There are also numerous small engine repair courses offered at colleges and technical institutes. These courses FOCUS on fixing all types of small engines, including two-stroke, three-stroke and four-stroke engines. There are also high school technical programs that offer small engine repair classes, which serves as an excellent starting point for those looking to venture into the professional world as a small engine mechanic. Some of the fundamentals learned during small engine repair education are as follows:

• Small gas engine principles
• Two-stroke engine repair
• Four-stroke engine repair
• Safety and tools
• Lawnmower and snowblower repair
• Ignition system essentials
• Engine performance fundamentals

Some colleges and technical schools offer small engine repair as part of their Auto Mechanic Education programs. This generally features courses that provide an introduction to small engine repair and then expand on that foundation with more detailed instruction. Within these courses, students will learn engine repair on marine motors, ATVs, lawnmowers, snow blowers and other machines powered by small engines. Technical schools, vocational programs and two-year colleges are the most popular educational settings for those interested in small engine repair.

SMALL ENGINE CERTIFICATION

There is no mandatory law that requires small engine mechanics to be certified by one specific organization. However, there are options for those who are seeking out certification. The Equipment Engine Training Council (EETC) is the most recognized name when it comes to small engine repair certifications.

There are various EETC certifications in different areas of small engine repair. Those include two, three, and four-stroke engine repair certifications. There are different repair procedures for each of those types of small engines and to earn a certification, a mechanic must display an above-level knowledge of that discipline. Certifications can be used to bolster a mechanic’s credentials and improve the chances of obtaining employment. They may also be useful when negotiating a higher pay rate.

Post-secondary small engine repair certificates are not the same as an EETC certification. However, each one can serve as its own form of job qualification. The EETC has made it easier for mechanics to earn a four-stroke certification as it now offers non-proctored tests. This has been done to compensate for the shortage of small engine mechanics.

JOBS

Small engine repair does not encompass one small area, which means there are a variety of businesses looking to employ small engine mechanics. Businesses that sell and repair power equipment employ small engine mechanics and their work duties include repairing types of equipment powered by small engines. This may include the repair and service of lawnmowers, snowblowers, garden tractors, hedge trimmers and more. Powersports businesses and marine service shops also need small engine mechanics. Motorcycle repair is also defined as a type of small engine repair. Regardless of the specific work environment, small engine repair involves the following:

• Regular engine maintenance
• Spark plug replacement
• Engine inspection
• Parts replacement
• Disassemble engines
• Installation of new parts

salary

The U.S. Bureau of Labor Statistics has a specific distinction for small engine mechanics. This includes mechanics who work in the service and repair of power equipment and that also applies to powerboats and motorcycles. The BLS reports the average annual salary of a small engine mechanic at 37, 060 or roughly 18 per hour. However, there is the potential to earn an annual salary that greatly exceeds that average.

The BLS reported that the top 10 percent of small engine mechanics earn an annual salary of 59,060. There are various factors contributing to higher pay rates and they include experience, location and place of employment. The statistics provided by the BLS also show that small engine mechanics who specialize in servicing motorboats earn the highest annual salary at 40,180. That is followed by motorcycle mechanics, who average a yearly salary of 36,790 and that is followed by those who work on outdoor power equipment as that yearly amount is 35,400.

There are also differences in small engine repair pay rates by state. Some states have a much higher annual salary rate, as per figures reported by the BLS. Here is a look at the five highest paying states for small engine mechanics in the area of outdoor power equipment:

• Hawaii. 48,610
• Connecticut. 48,540
• New Jersey. 44,800
• Alaska. 43,510
• Massachusetts. 43,090

JOB Outlook

Most small engine mechanics are employed on a full-time basis and while there is work to be found all year long, the busiest times are during the summer months. That has to do with the heightened use of outdoor power equipment, boats and motorcycles when the weather is warmer. Those living in warmer climates are likely to find steadier work throughout the year. Meanwhile, small engine repair in southern states maintains a similar volume of business all year around.

There are favorable projections for the future careers of small engine mechanics. The BLS projects a 5 percent overall growth in small engine repair jobs between 2016 and 2026. The largest projected demographic is for mechanics who repair outdoor power equipment. There is projected growth for motorcycle mechanics and powerboat mechanics, although it is not as notable However, the promising news as there appears to be no drop-off as small engine repair specialists will be in demand for the following decade.

When it comes the setting for small repair mechanic jobs, it is generally expected to be relegated to the same environment. Power equipment repair shops, marine service centers, motorcycle repair shops, power equipment dealers and powersports service centers are expected to continue to be the primary place of employment for small engine mechanics.

CAREER ADVANCEMENT

Most entry-level jobs require a limited amount of experience, although the more sought-after small engine repair positions seek out candidates who have advanced further in their careers. That is acquired through experience and advanced training. The advent of technology has led to continual upgrades to outdoor power equipment. The integration of technology requires mechanic to learn the nuances of all those changes.

Over the course of a year, there are numerous seminars and workshops on small engine repair. There are also small engine repair conferences. Vocational schools and community colleges occasionally host these types of events. There are no formal degrees offered to small engine mechanics at advanced levels like there are for auto mechanics looking to earn master technician status.

There are, however, motorcycle repair programs that specialize in the service and repair of a specific brand of motorcycles. Small engine repair mechanics can earn these individual specializations by enrolling in programs that teach these disciplines. There are various motorcycle mechanic training programs that offer this type of education throughout the country.

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