How To Start A Shed Building Business [2024] Complete guide

If someone who enjoys working with hands, has a knack for craftsmanship and wants to start only for making money, then the shed building business can be the right decision.

In this post, you will get to learn how to start a shed business; we’ll discuss the basic steps such as research, planning, best-shed niche ideas, setup step, creative marketing strategy, selling, etc.

So, build your startup in the DIY-driven market, designing and constructing custom sheds for providing storage solutions for homeowners and businesses.

What is a shed building business?

Shed building is the process of constructing a shed. It is a type of DIY project, and the steps are required to learn the skills of making the best shed for target customers.

Shed buildings provide the opportunity for homeowners, businesses, and organizations to create a dedicated area and storage for their specific activities.

As a business owner, you can provide them with different types of services: installation, repair, customization, design, and custom shed-making services.

Who can start?

Anyone can start a shed-building business that has the right skill set, passion, resources, and a potential target market.

Many individuals have a passion for entrepreneurship, but they don’t have any skills in making sheds.

So they can also start but it will require proper planning and a skilled team of carpenters, builders, or skilled persons to make sheds.

Eligible person by skillset:

  • Carpenters and builders
  • Handypersons and DIY enthusiasts
  • Entrepreneurs and business-minded individuals

Important factors matter: Age, education, location, and capital (funds).

Benefits of a shed building business:

  • Financially:  High margins, recurring revenue, low overhead
  • Personally:  Creative freedom, accomplishment, flexible work
  • Market:  Growing demand, low competition, tangible product
  • Bonus:  Work outdoors, meet interesting clients

Challenges in the business – must know:

  • Seasonal fluctuations in the demand and sales
  • Competition -competition is increasing.
  • Permits, regulations, and local legalities
  • Marketing and sales challenges
  • Physical demand – requires manual labor
  • Management risks – supplies, equipment, and sheds
  • Need to deliver the best product or service

You must know the challenges, but with proper planning, strategy, and passion, these are manageable.

Is a shed business profitable?

Starting a shed business is a profitable and demanding opportunity; you need to research market competition, location, demand, marketing plan, and customer needs.

There are some strong reasons why we say the shed business is profitable, so the primary reasons are (low overhead cost, high demand, ease of start, good profit margin, scalability, recurring revenue, etc).

shed market size
Image source: researchandmarkets.com
  • According to the research and markets report, the North American outdoor shed market will reach US$ 2.51 billion by 2028.
  • Anticipated growth rate: 5% CAGR from 2021 to 2028.
  • Key drivers: increasing preference for metal sheds and rising online purchases of shed equipment and materials.
  • Key hindrance: high raw material costs.

Google Trends Analysis: 

As you can see in the given visual, the search trend of “shed building” is stable, and it is an evergreen business idea still. Depending on the season, you may get more service offers or some months lower, but the search trend shows that it demands year-round.

We provide state information related to the profitability and trends of the service, but there are many factors to consider to make the business profitable. 

You should understand the downside of the idea as well; there can be challenges and risks also.

How to Start a Shed Business

start a shed business

1. Choose your niche

Choose a shed niche or idea to start the shed-building business; you can build sheds for (gardens, art studios, workshops, offices, playhouses, and storage). 

Before choosing a niche, understand the market needs and the popular types of sheds that are mostly sold and people are looking to buy. 

Here are some ideas and the basic information you can consider them:

  • Storage sheds are the most common type of shed and are used for storing lawn and garden equipment, tools, and other outdoor items.
  • Garden shed: For storing tools, pots, equipment, plants, etc.
  • Art studio: The shed is used to create art (paintings, sculptures, or pottery).
  • Workshop: For projects, a work shed is most helpful (woodworking, metalworking, electronics).
  • Office Setup: The shed can be used for setting up offices, and workspace for businesses.
  • Pet grooming salon: Useful to set up a grooming salon (to groom dogs, cats, and other pets).
  • Mini-Mart: This type of shed is particularly made to sell snacks, drinks, and other items as a mini-mart. 
  • Custom shed: You can also offer custom shed service to your customers; it requires more skills and experience to make a custom design.

It doesn’t matter what type of shed business you want to start with; it depends on your research, skills, experience, market demand, customer needs, budget, and passion for this type of work.

2. Research and planning

research and planning

Research is important to analyze the market demand, target market, customers’ buying habits, and preferences. Through market research, you can get ideas about competitors and their business strategies.

That helps you to build your shed-building business with a solid foundation, by understanding the opportunity, competition, and marketing plan, you can able to get started.

Identity who are your primary target customers:

  • Homeowners: They needed services for creating extra storage space for storing their (garden tools, lawn equipment, bicycles, outdoor furniture, etc).
  • Gardeners and DIY enthusiasts
  • Small business owners
  • Farmer and agricultural businesses
  • Schools and organizations
  • Retail customers or property developers
  • Outdoor event organizer, etc.

What are the costs involved in starting a shed-building business?

The cost involved in setting up a shed business, depending on the size and scope of the business, and most important is your business planning:

  • Rental costs or for buying a space to set up a workspace
  • Material cost needed for building sheds
  • Equipment and tools: Such as saws, drills, and hammers.
  • Marketing and advertising costs to reach potential customers.
  • Legal, accounting fees, and insurance policy 

Write a Shed Building business plan

Once you have researched the market and understand the related expenses involved in the startup, write a plan to execute your idea into a profitable venture.

Having a business plan provides a roadmap, and it will help you to:

  • Define your target market.
  • Set your business goals.
  • Develop a marketing strategy.
  • Estimate your startup costs.
  • Secure funding

No matter your skills, experience, and knowledge, take the first step toward the crafting business. Create your roadmap to work accordingly.

Don’t rely on others to pave the way for you.

Never dwell on the possibility of failure. Instead, focus on achieving success.

Focus on learning, execution, and improving the skills for building sheds, starting from a small scale.

3. Obtain licenses and permits.

legal paperwork

Legal formalities such as business registration, licensing, permits, business name, taxation, and zoning regulation are required to operate the business.

However, the requirements vary on where your service or startup is located, so before taking any action, analyzing the local, state, and industry-specific regulations is a must.

You need to approach the appropriate department to obtain licenses and permits and to fulfill the necessary legal formalities.

Research both your local and state guidelines and check what is needed for your business; if you have no idea about it, then you must consult a legal attorney or advisor.

Resources to learn about licensing and registration: Small Business Administration (SBA).

4. Set up your shed business.

For providing storage and outdoor space solutions to your customers and for establishing a successful shed business, the next step is setting up the facility properly.

If you plan to build sheds on-site, then find a location with enough space to store materials for building sheds and showcase them to potential customers for selling.

Your strategic decisions and meticulous planning will provide you with great results, so setting up the shed Business, selecting a suitable location, buying the necessary equipment or tools, and having good staffing are also important.

Location Selection

When it comes to choosing a good location for the business, this is the most crucial and foundational decision that you need to take carefully.

You can find a location and consider the target audience and market insights, but you should have a good understanding of your Business goals.

Some basic things you to consider:

When you select a location, you must analyze the competition and demand and choose a targeted location. Visit the location, connect with potential buyers, and plan for making.

You need to check demand, competition, visibility, accessibility, cost, zoning, security, etc.

Find suppliers for material sourcing, transportation, and facility, and then set up other facilities.

Facility Setup

After finding a suitable location, you can now set up your layout & designs for creating a peaceful space where you can manufacture & build a shed to sell.

  • Layout Design:
    • Plan an efficient layout for manufacturing and storage areas.
    • Ensure a smooth flow of materials and products.
  • Security Measures:
    • Install security systems like cameras and alarms.
    • Implement measures to safeguard inventory and equipment.

If you want to learn how to build sheds, then refer to a Video that can be useful for you. Guide on YouTube

Buying Equipment, Tools, and Supplies

Buy the essential equipment, tools, and supplies for building sheds. List the required supplies, and then find the best supplier to buy them.

Depending on your sheds, building type, and customer requirements, consider the supplies.

Basic equipment required:

  • Saws: Miter saw, table saw, circular saw
  • Drills: Cordless drill, impact drill
  • Hammers: Framing hammer, a roofing hammer
  • Measuring devices: Tape measure, level, square
  • Power tools: Air compressor, nail gun, staple gun

Tools needed for the project:

  • Screwdrivers: Phillips head, flathead
  • Wrenches: Socket wrenches, Allen wrenches
  • Pliers: Needlenose pliers, wire cutters
  • Safety glasses: Always wear safety glasses
  • Gloves: Wear gloves to protect your hands from cuts and abrasions.

Supplies procurement

For building a shed, the materials and supplies you can buy as per the size, style, features, and requirements of the shed.

You may need other types of supplies depending on your shed building project, So do your research to prepare a supply procurement plan.

  • Shed Materials
  • Hardware and accessories
  • Lumber: plywood
  • Roofing materials: Shingles, roofing felt
  • Siding: Vinyl siding, wood siding
  • Windows: Vinyl windows, wood windows
  • Doors: Steel doors, wood doors
  • Hardware: Nails, screws, hinges, latches
  • Paint: Exterior paint, interior paint

We have only provided the basic information related to shed building supplies, equipment, and tools. Still, before creating your purchasing plan, you must consult a professional shed builder to prepare the supplies list.

Employee Training and Safety

The next important step is to provide proper training to your staff/employees so that they can prevent accidents and injuries and work in a productive workplace.

Hire both skilled or not skilled staff; divide the task according to their experience and skills.

  • Training programs:
    • Provide training to the staff for making shed and safety.
    • Emphasize safety protocols and best practices.
    • Learn from on-the-job training, classroom training, e-learning, etc.
  • Safety equipment:
    • Provide necessary protective gear like gloves and helmets.
    • Regularly inspect and maintain safety equipment.

Always try to prepare a productive staff, no matter how; the best practice is to provide proper training, know their strength and weaknesses, respect your staff, provide required facilities to them, and also share a good salary.

5. Learn and Build Your Sheds

shed building

To make your shed-building business successful and run on the right path, proper knowledge and experience are important.

It does matter if you are hiring skilled staffing or not; learning the process of building sheds, their supplies, and basic materials is a must to prepare a proper production strategy.

  • Gain appropriate knowledge and knowledge.
  • Learn process and skills.
  • Build a solid foundation.
  • Master in material selection
  • Plan to create a unique and best shed
  • Be creative in designing and painting.

You can learn online and offline hands-on practice, and practical training are more effective and valuable to becoming a professional shed builder.

Also, many resources are available online, such as platforms like Udemy and Coursera, which offer a variety of courses. You can also learn From YouTube tutorials, which provide you with hands-on insights.

Begin your journey with a solid foundation, select high-quality materials and supplies, and create a proper craft plan focusing on designs, measurements, sizes, and facilities.

By mastering these fundamental steps, you can create the best sheds for the market, that help to stand out from the market competition.

6. Choose a business name

Come up with a business name: Naming your service is important for providing a unique identity in the market.

Also, having a business name helps you in marketing, branding, building trust with customers, and standing out from competitors.

When choosing a name, some things to consider:

Choose a unique, easy-to-sell, service or product-related, web-friendly, SEO-friendly, location-based, easy-to-remember, attractive, non-copyrighted name for your business.

choose a business name

Be clear when picking the name; the name should be related to “Shed,” for example, some name ideas such as Shed Craft, Shed Masters, Crafted Homes, Build Pro, Custom Sheds, Elite Sheds, Shed Builders, etc.

These are the basic things that you need to follow; however, make sure a domain name is also available with the name (will required for creating a website).

Once you have finalized the business name that is suitable for your service, the next step is to register a domain (.com, .us, .in, or others).

Logo: Create a logo to visualize your business name.

create logos

When creating a logo, focus on – the business name, specialized niche (garden sheds, tool sheds, playhouses, etc.), brand personality, target audience, and brand colors or fonts.

7. Market your business

Once everything set is ready, the most important is marketing to grow and create identity in the market, so now is the time to start marketing and promoting your shed-building business.

For marketing and branding, some basic requirements you should have, such as a unique brand name, different social media profiles, a well-designed website, and skills for basic promotion.

Here are the basic steps for marketing:

  • Create a professional website.
  • Develop a strong online presence.
  • Social Media Marketing on (Facebook, Twitter, Instagram, and YouTube).
  • Digital marketing methods (influencer marketing, email marketing, paid advertising, SEO, content marketing, etc.).
  • Focus on local SEO and advertising.
  • Get involved in your community.
  • Partner with other businesses
  • Be creative with your marketing efforts.

With time, you can learn the proper marketing strategies, but always try to learn something new about your industry and focus on making the best shed with unique facilities.

Related post:

Frequently Asked Questions (FAQs)

Where can I sell my shed?

To sell your sheds, you can go in different ways (online selling, selling to dealers, and preparing for auction selling).
Online classifieds: List your shed for free on websites like Craigslist, Facebook Marketplace, and Kijiji.
Shed dealers: Sell your shed to a shed dealer who will buy used sheds.
Auctions: Sell your shed at an auction to reach a wider audience of potential buyers.

How much do shed dealers make?

The amount of money that shed dealers make depends on their skills, experience, working hours, location, selling strategies, etc, still According to the market data, in the United States, annually, they make $45,000 to $80,000+.

How much should I charge to build a shed?

How much you should charge for building a shed depends on market price, competition, location, material, size of the shed, your profit margin, and many more factors. You can charge around ($4,000-$5,000).

Can I turn my shed into a business?

Yes, why not? You can turn your shed into a business (shed building service, shed rental, shed workshop, shed office, etc.), but there are some things you need to consider before turning your shed into a business.

Final thought

Success depends on a strong foundation of market research, meticulous planning, passion for craftsmanship, dedication, creativity, and a commitment to excellence.

So you can start your exciting journey of starting a shed-building business by reading blog posts, doing your research, and learning from a professional.

Hopefully, we have provided you with a basic understanding of shed business; still, if there are any other doubts, let me in the comment.

Siddhant is the founder of this Guide Businesses blog. As a Founder and Lead Writer at GuideBusinesses, his insightful articles guide entrepreneurs toward success. Siddhant's passion for knowledge and dedication to building successful ventures and guiding beginners to provide the right path.

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Disclaimer: This guide is made to provide a general roadmap and guidance to get started a business, plush inspiration for you to start a business of your own. Our blog post is intended for general guidance. So, recommended to consult professionals for specific financial and legal advice. However, our contents are well researched and written by experts and professionals.

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