Starting a Pest Control Business: The Guide for 2023

Starting a pest control company is a big decision. In many cases, it’s the natural progression of working for a pest control company for many years, and finally feeling that you can do it better. It could also be someone looking to start a side hustle and knowing that folks will pay handsomely for handling the pest problems.

In either case, starting a pest control business can be profitable and provide long-term job security. But how do you start a pest control business? Don’t worry, this guide will help.

Note: As of the publishing of this article, there are NO affiliate links. RiddaBugs does not have any affiliate partnerships at this time, so any links are purely for your information. As we add affiliates, we will update these posts.

What is a Pest Control Company?

A pest control company responds to customers’ and clients’ homes and businesses and removes insect infestations, wild animals, and rodents through both chemical and mechanical means. These companies also provide ongoing preventative treatments, consultations about how to prevent pests in the future, and more.

For folks who haven’t worked in the pest control industry yet, it’s a good idea to define what this line of work really is. Business owners or employees will work out of a central location, drive to different areas, handle pest control issues, and move on to the next job. It can involve early mornings, late nights, some hazardous materials or working conditions, but also plenty of job satisfaction.

Customers are typically happy to pay quite a bit for pest control services because they’re unwilling or unable to handle the issue themselves. Unlike other industries, these pest control customers are happy to see technicians and, if they do a good job, will spread the good word. This translates to greater profits, sure, but it also means knowing that what you do makes a difference and that people appreciate you.

How To Start a Pest Control Business

While the decision to start your own pest control business may be relatively easy (for some folks, it’s long overdue), it’s important to note that a lot goes into getting a business off the ground. The following are some of the very most important factors to consider and tackle when considering a pest control company.

Assess the Competition

The first thing any prospective pest control business owner should do is assess the competition in their area. If multiple pest control outfits are operating within the county, the market may be too saturated. However, if there appears to be a bit of a market gap, it might be worth starting.

Also, don’t just assume that multiple pest control businesses in the area means you can’t be successful. Look at what service offerings they provide and see if there’s room for your business. If everyone is offering rodent control but not wildlife removal, it may be a good service to offer. Also, if most of the companies in the area focus on termites and ants, you might consider rodent or bed bug services.

One more thing before we move on: Assess their service areas and see if there is a gap on the map without an overload of pest control companies. It might mean you need to drive, but it could be the key to getting your business off the ground.

Choose a Business Name and Unique Logo

Once you’re confident that your market can sustain your business, it’s time to choose a business name and logo.

In regards to a business name, our suggestion is to use something catchy and simple. “Big Brian and Bud’s Best Bed Bug Busting Business” or “Bug Annihilation Hit Squad” might get the point across, but they may be too much for some customers. “Brian’s Pest Control” or “The Bug Crew” are easier to remember and sound more professional.

Use the same concept when determining a logo. If your company truck looks more like a SWAT vehicle than a pest control business, you might be alienating half of your potential customers. Everyone knows pest control companies kill bugs; crosshairs and grenades aren’t necessary.

Our suggestion for coming up with a logo:

We’ve used Fiverr in the past with great success. There are thousands of design pros specializing in logo and marketing creation, and they’ll be able to work with you on the perfect design.

We’ve also used Canva to design our own logos and marketing materials. Canva has a free platform as well as a Pro platform that costs around $7.00 per month, and it is an incredible resource.

Choose a Business Structure

The business structure refers to the type of business and how you’ll register it with the state and federal government. There are really four main structures that apply here: sole proprietorship, partnership, limited liability company (LLC), and corporation.

A sole proprietorship is generally the easiest business form to create and these owners can use their social security numbers for their business ID. But, sole proprietors don’t have much protection against legal action, and with a business like pest control, it’s not a great fit.

Partnerships are similar to sole proprietorships with the exception that they involve two or more people. Again, these aren’t ideal for pest control businesses because they don’t offer a ton of protection.

Limited liability companies are well-suited for pest control companies, as they provide some protection for the company owner but aren’t incredibly difficult to set up. There are also greater tax benefits to LLCs than SPs, so this is one of the best platforms for service-based businesses.

Corporations are generally for large companies with a board of directors. This platform yields incredible tax benefits but can be difficult to set up. Also, it’s likely overboard for the typical pest control business, particularly when just starting.

For more help determining the type of pest control business structure that’s right for you, we suggest LegalZoom. We’ve used LegalZoom in the past and found that the professionals there understand your needs and how to best set your company up for success.

Define Which Business Services You’ll Offer

We’ve already touched on this a bit when assessing the competition, but it’s important to determine which business services you’ll offer as a pest control business. First, let’s look at treatment frequency.

Most pest control businesses offer repeat services such as baiting and trap setting, repeat termite control treatments, roach and ant treatment, and more. If this is a part-time, side hustle situation, committing to repeat services and contracts may be too much of an undertaking. But for full-time businesses, contracts with service intervals are the company bread and butter.

Next, let’s look at the types of pest service you’ll offer. It’s best to look at this from a pest-first point of view. Will you offer:

• Carpenter ants, termites, and other wood-destroying insect treatments
• Roach treatments
• Pantry services like moths and drugstore beetles
• Wasp and bee control
• Rodent control like mice and rat traps and poisons
• Detection and removal of bed bugs
• Mosquito fogging and treatment
• Facility control like malls, hospitals, office buildings, and more

Finally, what forms of pest control will you offer? Choices include chemical, biological, electronic, or physical/mechanical options.

Identify Your Ideal Customer

Now that you’ve got an idea of the type of business you’ll be running and the services you’ll offer, it’s time to identify your ideal client. In marketing, this is often referred to as the “avatar.”

Think about who you’d like to work with the most. Is it a residential homeowner, a landlord, a business, or a campus? Do you want to drive from job to job and handle residential pest infestations, or would you rather spend an entire day at one complex applying preventative treatments? Knowing who you want to work with leads to better job satisfaction and an easier time finding your client.

Meet the Appropriate Legal Requirements

To run a business in the pest industry, there may be some legal requirements that you must meet. These

could include certain licenses from your state’s environmental agency. For instance, New York requires pest technicians to hold Pesticide Applicator Licenses issued by the NYS DEC. In Colorado, a Pesticide Applicator License is required, and these are issued by the state’s Department of Agriculture.

Check with your state pest control board in order to find out exactly what licenses, certifications, and classes you need for the services you plan to offer.

You will also have to register your business with the state small business administration. These government agencies track the businesses operating within the state (mainly to ensure they’re paying their taxes and meeting licensing requirements).

Obtain Business Insurance

It might not seem important to get insurance for a one-man show, but your business absolutely needs it because accidents do. First, most states require General Liability insurance. Second, if anything were to happen as a result of something you did, you could be held liable for it if you don’t have general liability insurance.

GL insurance protects business operators in the event that an unforeseen event or accident spurs claims or lawsuits. If the lawsuit is successful, the insurance policy will cover settlements, awards, and legal fees. This isn’t just accidentally misusing pesticides. It also covers property damage, injuries to folks who don’t work for you, and more.

If you have employees, you’ll also be required to carry worker’s compensation insurance. This insurance policy covers employees who get hurt while working for you and can keep them from suing you if it wasn’t your fault.

For more information on obtaining the best insurance advice, we recommend Next Insurance. Next Insurance is something of the online authority for insurance information and has a long history of meeting its customers’ needs.

Setup Business Bank Account and Accounting Program

If you want to start making money, you’re going to need a place to hold it. Setting up a bank account doesn’t take long, but it does allow the company owner to establish a relationship with a bank, get business checks, and make electronic transfers.

It may also be a good idea to open a business credit card with a bank. These cards help the business establish credit rather than everything falling on the owner’s personal finances.

Equally as important is finding an accounting program that fits pest control services’ needs. There are several programs out there that are tailored to service industries, making balancing books, scheduling, taking electronic payments, issuing payments, and more a breeze. Generally speaking, even very small pest services can benefit from an accounting software program.

Determine Your Pricing

You need to figure out how much you’re going to charge for all of your services. This is a challenge that all small business owners have to face. The price needs to be low enough to attract customers, but high enough to make a decent profit.

The guidelines and values on the internet for pricing your services are all over the place, and quite frankly, don’t feel legitimate. The factors in determining these prices range from the area in which you work, the types of pests you’ll be handling, and even the customer’s property size. A lot goes into establishing pricing.

The best bet is to check competitor pricing and consider whether you’re able to beat it while still making a decent profit. If not, you’ll have to raise your price or not offer that service. If you can, price it under the competitor’s price a bit to attract new customers.

Note: Remember that the cost has to cover the materials, insurance, taxes, vehicle payment, equipment cost, and hourly wage to you or your employee. Factoring in overhead is important.

Build a Pest Control Company Website

Depending on which side of the street you’re on, designing a website can be one of the most exciting or dreadful experiences pest control business owners have to face. But, it’s necessary so your customers can find you, get to know your business and its services, and get a better understanding of whether you’re a good fit for them.

This is another situation where Fiverr might be the best option. Fiverr designers can build a website quickly and easily. However, it’s also possible to purchase a domain and hosting from Bluehost, use a page template, and build your own website in just a few hours, saving big bucks in the process. We suggest WordPress.

One other thing: This is also the time to register social media accounts. Our minimum suggestion is starting a LinkedIn profile, but updating customers with news on TikTok, YouTube, Facebook, or Instagram can be an excellent way to keep in touch and remind them that you’re around to help with their pest issues.

Purchase Pest Control Equipment

You’ll need equipment before your company gets too far. These items include sprays and applicators, foamers, fumigation machines, personal protective equipment, chemicals, baits, traps, repellents, and a vehicle.

In most cases, it pays to set up an account with a local supplier. This ensures you’ll have access to the tools and materials you need. That way, when that single gallon sprayer slips off the ladder and breaks, you can replace it quickly. You can even open a line of credit in some cases.

As far as a vehicle goes, there are a few options. One option is to purchase a pickup truck and organize the bed in such a way that it carries everything you need it to. Another option is to purchase a service van with shelving. Finally, any car may do for small operations, but expect to grow out of it quickly as you add services and clients.

Market Your Business to Potential Customers

It’s time to start marketing your pest control brand. There are lots of ways to do this. You can:

• Take out ads in papers
• Place flyers in mailboxes
• Advertise on your truck or van
• Pay for Google Ads
• Pay for Facebook ads
• Use social media
• Pay for YouTube ads
• Offer customer incentives for word-of-mouth referrals
• Start networking with other business owners at Chamber of Commerce meetings
• Set up an affiliate program for influencers
• Optimize your website for SEO (hint: start a pest control blog and end up on RiddaBugs’ Best Pest Control Companies list).

Find Your First Clients

Using your marketing strategies, it’s time to find and land your first customers. Sometimes, the best option is choosing a neighborhood and knocking door to door, and handing out flyers. Folks will get to know you, and you’ll get to hone your sales skills in the process.

Once you find your first clients (potentially), it’s important that they feel you’re going to do your best for their needs. Be responsive to their questions, explain your process, and be honest. Many customers will ask about chemical use, humane traps, and other concerns, and it’s important that you’re honest, even if they don’t like the answer.

Draw Up Service Contracts

Your accounting software will likely handle invoices and other forms, but setting up pest control service contracts for ongoing treatments is something you’ll have to do on your own as a new business.

Your contract needs to include items such as the types of pests you’ll be treating, how often you’ll return, what happens if pests return in between the regularly scheduled intervals, what the homeowner will be expected to do, and a disclaimer. That disclaimer should state something to the effect that if the resident’s lifestyle continues to attract pests, your company will charge additional fees for subsequent treatments.

Hire Pest Control Employees

If you start to expand and build upon your business, taking on pest control workers might be the natural progression. But hiring is hard. How do you know you’re hiring the right person? It takes time and intuition, but there are some baseline thresholds to shoot for.

The idea is to have the employee cover the overhead associated with them, their hourly rate, and bring in some additional revenue for the business. If they’re doing those things, showing up to work on time, and staying out of trouble in their personal lives, you’re hiring the right people.

What Are the Startup Costs Involved in Opening a Pest Control Service?

The costs associated with starting a pest control business vary widely. However, there are some of the most common startup costs.

Pest Control Licensing

Generally speaking, the cost of a pest control license course is between $300 and $400. The fees to take the exams are between $25 and $450, depending on the state and exam.

Pest Control Insurance

On average, the typical pest control business spends between $400 and $700 each year on general liability insurance, and this buys them up to $1 million in coverage.

Pest Control Truck or Van

Truck and van pricing went through the roof again recently, but new companies can expect to pay between $25,000 and $50,000 for a relatively barebones truck, and $35,000 to $55,000 for a basic full-size service van.

Office Costs and Utilities

A small office will cost at least $1,500 each month to rent. For this reason, many new businesses operate from the owners’ homes or garages until they’re bringing in enough income. Budget an extra $50 to $100 each month for utilities from home, but utilities for an office could be $200 to $300 in electricity, internet, and other materials.

Do understand that there are often serious tax benefits to operating out of a home. Parts of the mortgage, utilities, trash pickups, and other normal costs associated with owning a home could be tax deductible.

Pest Control Equipment

The basic equipment to get started will cost around $10,000 to $12,000. This includes sprays, fumigators, respirator masks, traps, baits, chemicals, and the other items required to get started with pest removal. Again, start purchasing from a local supplier to build a great relationship.

Pest Control Marketing Costs

Here is where things get really tricky. Successful business marketing can range from $0 to thousands and thousands of dollars, depending on the company’s chosen route. Social media is typically free and can be extremely effective. Ads can be very expensive, but they can target your ideal client and have very high conversion rates.

How Much Profit Can a Pest Control Service Make?

As of 2022, Pest Control Technology states that the average pest control company in the US grosses around $1 million. Considering that a good profit margin is between 20 and 30%, that means an average pest control business could make up to $200,000 in profit (some make much, much more).

Small Business Taxes

If you start your own pest control business, keep in mind that there is more to cash flow than startup expenses. Small businesses need to keep enough cash on hand to cover their taxes, as well.

FAQs

That’s a lot of information on starting a pest removal business. But there may still be some additional questions.

How profitable is a pest control business?

A good profit margin is between 20 and 30%. Those are decent profits, considering most industries strive for around 10% margins.

How do I start a successful pest control business?

First, ensure that there is room for another pest removal business in your area. Then, choose a business name, logo, and structure. Obtain all the important licenses and insurance, determine the services you’ll offer, and determine your prices. Next, build a website, buy your equipment, and market yourself to customers.

Is pest control worth it as a job?

Yes, it is. Pest control technicians are always in demand. Also, techs are always helping customers feel better about their homes by removing pests. Then, there is always the potential to start a pest control business after a few years of experience.

Is pest control a good side hustle?

Many businesses started as a side hustle. As long as you have the drive and can find the clients, it’s absolutely a good side hustle to operate for extra cash or a more successful future.