<iframe src="https://www.googletagmanager.com/ns.html?id=GTM-WCK3FXN" height="0" width="0" style="display:none;visibility:hidden" title="gtm-frame"></iframe>How to start a business as an electrician | Trade Direct Insurance
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How to start your own business as an electrician

If you’ve decided to start your own business as an electrician, your next move is likely to focus on what you need to do to get started. What’s involved? What do you need? Who should you speak to? Read on, as we guide you through the essentials.

Do I need additional qualifications or experience?

If you already work as an electrician, but are employed by someone else, you may have all the experience and qualifications you need. If you’re new to the profession, you will probably need both. 
Start by looking at what qualifications and courses are available in your area. If you’re not sure where to begin, contact your local college. They should be able to tell you what’s on offer.

Don’t forget to consider any apprenticeships that may be available; these can be a great way to learn as you work.

How do I set up a business?

One of the first decisions you’ll need to make is whether to run your business as a limited company, as a sole trader or as a partnership. There are different legal and tax considerations depending on which you choose.

Setting up as a sole trader is relatively easy, but you will be personally liable for any debts and liabilities. As a partnership or company there are certain things you must do to be legally compliant.

If you’re not sure, or don’t know much about it, speak to an accountant or solicitor first.

How do I get clients?

First, consider whether you need a website. These are not necessarily expensive to set up and don’t have to be complicated.

You should also consider having social media pages related to your business. It will be important to decide which social media platforms would be best for engaging with your potential clients.

For offline meetings, consider attending professional networking events relevant to your industry. You may want a set of business cards to give out at these events, or when meeting with potential clients to provide a quote.

It’s also a good idea to join a trade association, as membership boosts your credibility in the eyes of customers. Likewise, consider joining any web-based recommendation and review platforms where clients can leave feedback and ratings.

Finally, decide whether you want to add branding to your vehicle which contains your contact details.

How do I manage clients?

You will need some sort of customer management system. There are several affordable solutions available which allow you to send professional estimates and invoices. Many also allow you to keep track of clients, e.g. when you last worked for them, etc.

Shop around before choosing a solution and consider what you need it to do for you.

Do I need insurance?

In certain circumstances, you are legally required to have insurance. Regardless, it’s important that you are properly insured.

Many clients (particularly large organisations) will expect you to have public liability insurance and won’t work with you if you don’t have it.

Public liability insurance protects you in the event something you do (or fail to do) results in damage to a third party’s property or causes them an injury.

If you plan to employ anyone, even an apprentice, you are legally required to have employers’ liability insurance. This protects you if an employee suffers injury or harm as a result of working for you and decides to sue you.

You may also need professional indemnity insurance if you provide professional advice as part of your services. It offers protection if you give negligent advice which results in a financial loss for a client. The insurance covers the costs if the client successfully sues you.

Finally, you should always make sure your tools are properly insured, as you are unlikely to be able to work without them.

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