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A Comprehensive Guide to Becoming an Electrical Contractor

Advancing up to the level of an electrical contractor is like climbing up the hierarchy as an electrician. You have slogged yourself during your apprenticeship stage and gained considerable on-field work hours as a journeyman and a master electrician. And now, it is time to ditch the employee life and be your own boss. But how do you do that? It’s simple: you get your licensure as an electrical contractor and start your own electrical contractor business.

Electrical workers are an indispensable part of our society. As the dependency on electrical systems increases daily, the demand for these individuals is directly proportionate to the same. According to the U.S. Bureau of Labor Statistics, the job outlook for electricians in the coming decade is expected to rise by 6%. This means more opportunities are waiting in the future, without the job becoming obsolete in the next few years.

Although there are a plethora of terms used to describe electrical workers, pretty much all can perform basic installation, repair, and maintenance. This is why it can become confusing for some individuals to understand the difference between an electrical contractor and an electrician.

In this blog post, we will provide you with an in-depth guide on what electrical contractors are, their roles and responsibilities, how they distinguish from electricians, and how you can become a successful electrical contractor.

Here What We Cover

Who And What Are Electrical Contractors?

In simple terms, electrical contractors are advanced-level electricians who can legally start a business and hire electricians to work for them. Unlike specialized electricians, electrical contractors often work on large and complex electrical system projects that require considerable planning and resources.

There are various types of electrical contractors:

  1. Outside Contractors: These individuals work on high-voltage transmissions that are generated from the power plant before they are used to power facilities, homes, and industrial buildings.

  2. Inside Contractors: These individuals work within the boundaries of a property and are responsible for the design, installation, and maintenance of building electrical systems and other components such as outdoor lighting, cables, etc.

  3. VDV (Voice/Data/Video) Electrical Contractors: Also referred to as Integrated Building Systems (IBScontractors, these individuals work with low voltage electrical needs such as back up power, wireless networks, energy-efficient lighting, and other similar projects.

Service Technicians

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Electrical Contractor Vs. Electrician

Electricians want to open their own electrical contracting business mainly to have entrepreneurial freedom and significantly increase their revenue. Electricians are skilled technicians who like working with their hands and are looking to become the best in their field, progressing towards becoming master electricians.

How To Start Your Journey As An Electrical Contractor

Becoming an electrical contractor is easy once you have enough expertise and skillset to lead other electricians while simultaneously managing all aspects of your business. Let’s look at the process step by step:

Step 1: Fulfill Educational Requirements

To start your training journey as an electrical contractor or even as an electrician, you need basic educational qualifications. You must be at least 18 years old and have a high school diploma or equivalent, like a GED. Focusing on subjects like math, science, and English is advantageous, as it can help in the long run when studying for licensure exams.

 

Step 2: Gain Relevant Experience As An Electrician

The first and foremost step would be to get into an apprenticeship program or technical school to help you develop the required expertise and skillset as an electrician. The programs or schools provide 2 to 5 years long courses that encompass classroom instruction hours and adequate on-field experience. This helps aspiring electricians start their journey, guided by senior-level electricians.

After completing their apprenticeship, they take their licensure exams to work as journeyman electricians and move further up the ladder to become master electricians. The total number of working hours can reach 16,000 to 20,000 before they can finally apply for an electrical contractor license.

 

Step 3: Get Electrical Contractor Licensure

Once you have gained considerable experience working as a master electrician, it’s time to take your first step to becoming an electrical contractor – get your licensure. In most states and regions, you need a valid electrical contractor license to start your business. this license acts a valid proof that you as a professional in the electrical field, has adequate knowledge and hands on experience to work on electrical projects, along with the insurance to run a service business company.

 

Step 4: Plan Your Business

Now, you have got your electrical contractor license with you. What’s next? You need to make a thorough plan for your business. It should include:

  • An executive summary

  • Company Overview

  • Market analysis

  • Services offered

  • Sales and marketing strategy

  • Operations and management

  • Finances

These are some of the basics that you can start with. Later, you need to be super thorough about every detail of your business. For instance, regarding finances, you need to secure your funding, decide on branding aspects of your new business, choose a business structure, obtain insurance, gather tools and equipment, and set the pricing structure for your vegetables.

 

Step 5: Get Your Electrical Contractor Business Started

After you’ve completed all the preliminary steps mentioned above, it’s time to get your business up and running!

In the initial phases, you may not have all the resources you need or be required to manage a lot of redundant tasks single-handedly. But don’t worry. Just be at it, and gradually, you will find everything falling back into the right places. As your business grows and revenue increases, you will be able to hire more employees who will help you operate your business with ease.

 

And with respect to managing repetitive administrative tasks that consume too much time, we have something for you!

ZenElectrical At Your Rescue!

Managing repetitive paperwork can be quite bothersome. When you’re trying to direct all your efforts toward increasing your business revenue, you are stuck with tedious administrative tasks that take up half of your valuable time. Furthermore, dealing with paperwork in 2024 is quite outdated and takes up potential time that could have been spent on revenue-generation operations.

This is where ZenElectrical comes to your rescue. Our field service software, tailored specially for your electrical business, is the best partner in business success you can ask for. With a plethora of features right at your fingertips, ZenElectrical enables you to:

  • Turn invoices into professional estimates efficiently with a single click.

  • Schedule jobs easily with Smart Call integration – obtain customer information and service history at a glance.

  • Handle recurring jobs and service agreements easily with automated reminders, ensuring you have the right staff and resources to meet your customers’ requirements.

  • Get real-time information on the performance of your services with monthly and quarterly business reports.

  • Monitor and track technicians to view their status anywhere, anytime. 

  • Streamline your payments with customizable options, enabling automatic and secure processing with real-time payment status tracking

  • Operate your business and stay updated with push notifications with our comprehensive mobile application, even when you’re out of the office.

  • Seamlessly transfer your financial data with the help of our team and maximize your earnings with QuickBooks online and offline sync features.

  • Enable customers to book appointments on your website with the help of our web booking feature and secure more jobs for increased revenue.

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Take The Call Today

Worried about managing redundant recurring operations? ZenElectrical is right there to take the load off your feet and turn your business into a revenue-generating machine. With easy invoicing, AI-enabled call booking, and instant quotes from deficiency reports, tick off all your admin tasks in seconds and free up more time to focus on the bigger picture.

To get started on the journey today, book a free personalized demo call with us and let us show you how we can sprinkle magic dust on your business. Reach your revenue goal with ZenEectrical and see your electrical business rise to the top!

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