How to Start an Engineering Firm

An engineer doesn't have to keep working at an already existing company. Once you have acquired experience working in your area of specialization, you can start your own engineering firm. Like most business ventures, starting an engineering firm can be a challenge, but with proper research, good amount of effort and time, it can be parlayed into a lucrative business.

How to Start an Engineering Firm

1. Research the market. Make sure the market you intend to go into isn't saturated with engineering companies providing the same services you plan to offer. Study these competitors' offers and determine specialty areas you can provide that they don't. 


2. Apply for legal documents. Call or visit the business licensing office in your city and inquire about all the business registrations, permits and licenses required to start an engineering firm. Once you get all the information, follow the instructions given to you and obtain these legal documents. Also you will need liability insurance to protect you and your engineering firm against any personal injury and property damage.


3. Create a marketing plan. You need to develop a solid marketing plan that emphasizes the kind of engineering services you'll offer to clients. Also explain the promotional and marketing strategies you are going to utilize to reach these clients and how you plan to make your business financially successful. Make sure you include information on how much money is needed to start up the business.


4. Secure the needed start-up capital. There are many sources of funding for a new business. You can apply for a business loan at a bank or credit union. You can approach private investors to raise the funds you need. Also you can contact the Small Business Administration and ask for their assistance or advice regarding obtaining funding for your engineering firm.


5. Set up an office for your company. Find an office space in a commercial area of the city. You'll need to purchase the essential office equipment and supplies such as computers, telephones, fax machine, files and folders, desks and chairs, pens and a few other items.


6. Hire staff. You need qualified staff to work in your engineering firm. Look at the ads in trade publications for the kind of employees you want. You can also find qualified staff through personal contacts, as well by searching online resources. Another great source of finding staff is employment agencies as they check the background of the individual before sending them to you.


7. Advertise your engineering firm and start to secure projects. You can develop business by advertising in trade publications. Another effective way to obtain projects is by establishing relationships with government officials and project managers.