How to Start a Screen Repair Business

A screen repair business helps people repair electronic devices that have sustained physical trauma. Whether it’s a cell phone, tablet, or laptop, an experienced screen repair technician can help restore technology for a reasonable cost without the client having to buy an expensive replacement.

Learn how to start your own Screen Repair Business and whether it is the right fit for you.

Start a screen repair business by following these 9 steps:

You have found the perfect business idea, and now you are ready to take the next step. There is more to starting a business than just registering it with the state. We have put together this simple guide to starting your screen repair business. These steps will ensure that your new business is well planned out, registered properly and legally compliant.

STEP 1: Plan your Business

A clear plan is essential for success as an entrepreneur. It will help you map out the specifics of your business and discover some unknowns. A few important topics to consider are:

Luckily we have done a lot of this research for you.

What are the costs involved in opening a screen repair business?

Total costs will depend on whether or not an owner decides to open up a formal space. You likely already have many of the tools they need on hand to perform repairs (e.g., scissors, screwdrivers, etc.) If not, the costs are usually around $50 or less to purchase. In addition, you'll need an inventory of replacement screens available so that you don't have to make customers wait for you to order a new one. This will likely cost several hundred dollars to get the parts you need.

Additional costs include employee salaries if the business requires extra help, advertising dollars to get the word out, and website software to ensure easy online communication with customers.

What are the ongoing expenses for a screen repair business?

Most technicians will want an available inventory to work with rather than ordering new screens every time, so they’ll need to keep up with replenishing their available stock. Owners will also have to factor in mortgage/lease payments if they have an office, and liability insurance on the off-chance they irreparably damage someone’s phone or a natural disaster (e.g., flooding, etc.) destroys their customer's electronic devices.

Who is the target market?

The target market is anyone with a broken electronic device who doesn’t want to spend full price on a new device. The most common repair request will usually be for smartphone screens.

How does a screen repair business make money?

Screen repair businesses charge based on the time they spend making the repairs, the equipment they use, and the nature of the physical device itself. For example, certain phones require more expertise to fix, which means owners can charge a premium for those screens.

How much can you charge customers?

Because screen repair is a valuable skill, it’s not unusual to charge around $80 – $100 for each repair. Look up the rates of the competitor’s in your area for a better idea of how to price your services.

How much profit can a screen repair business make?

The cost of operations for a screen repair business is on the low side, so it’s not unusual for each repair to make high returns. If you're charging $100 a repair at an 80% profit margin, you would only need to repair 20 phones in a week to make $1,600 in profit. Considering a dropped phone is a common occurrence, 20 customers a week may not be difficult to achieve.

How can you make your business more profitable?

As you grow your clientele and your confidence, you can start offering additional repairs besides screens. For example, fixing phones and laptops with water damage or replacing broken components to ensure the longevity of the device. You may also want to start buying old, broken devices from customers so you can fix and sell them (either online or in-person) for a profit.

What will you name your business?

Choosing the right name is very important. If you don’t have a name in mind already, read our detailed guide on how to name a business or get some help brainstorming a name with our Screen Repair Business Name Generator.

Then, when registering a business name we recommend checking if the business name is available in your state, federally by doing a trademark search, searching the web, and making sure the name you choose is available as a web domain to secure it early so no one else can take it.

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After registering a domain name, consider setting up a professional email account ( Google's G Suite offers a business email service that comes with other useful tools, including word processing, spreadsheets, and more. Try it for free

STEP 2: Form a legal entity

Establishing a legal business entity such as an LLC prevents you from being personally liable if your screen repair business is sued. There are many business structures to choose from including: Corporations, LLC's, and DBA's.

Form Your LLC

Read our Guide to Form Your Own LLC

Have a Professional Service Form your LLC for You

Two such reliable services:

Check out the Top Business Formation Services from our friends at StartupSavant.

You should also consider using a registered agent service to help protect your privacy and stay compliant.

STEP 3: Register for taxes

You will need to register for a variety of state and federal taxes before you can open for business.

In order to register for taxes you will need to apply for an EIN. It's really easy and free!

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You can acquire your EIN for free through the IRS website, via fax, or by mail. If you would like to learn more about EINs and how they can benefit your LLC, read our article, What is an EIN?.

STEP 4: Open a business bank account & credit card

Using dedicated business banking and credit accounts is essential for personal asset protection.

When your personal and business accounts are mixed, your personal assets (your home, car, and other valuables) are at risk in the event your business is sued. In business law, this is referred to as piercing your corporate veil.

Additionally, learning how to build business credit can help you get credit cards and other financing in your business's name (instead of yours), better interest rates, higher lines of credit, and more.

Open a business bank account

  • This separates your personal assets from your company's assets, which is necessary for personal asset protection.
  • It also makes accounting and tax filing easier.
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Recommended: Read our Best Banks for Small Business review to find the best national bank, credit union, business-loan friendly banks, one with many brick-and-mortar locations, and more.

Get a business credit card

  • This helps you separate personal and business expenses by putting your business' expenses all in one place.
  • It also builds your company's credit history, which can be useful to raise money and investment later on.

STEP 5: Set up business accounting

Recording your various expenses and sources of income is critical to understanding the financial performance of your business. Keeping accurate and detailed accounts also greatly simplifies your annual tax filing.

STEP 6: Obtain necessary permits and licenses

Failure to acquire necessary permits and licenses can result in hefty fines, or even cause your business to be shut down.

State & Local Business Licensing Requirements

Certain state permits and licenses may be needed to operate a screen repair business. Learn more about licensing requirements in your state by visiting SBA’s reference to state licenses and permits.

Most businesses are required to collect sales tax on the goods or services they provide. To learn more about how sales tax will affect your business, read our article, Sales Tax for Small Businesses.

For information about local licenses and permits:

Certificate of Occupancy

A screen repair business is sometimes run out of a storefront. Businesses operating out of a physical location typically require a Certificate of Occupancy (CO).  A CO confirms that all building codes, zoning laws and government regulations have been met.

  • If you plan to lease a location:
    • It is generally the landlord’s responsibility to obtain a CO.
    • Before leasing, confirm that your landlord has or can obtain a valid CO that is applicable to a screen repair business.
    • After a major renovation, a new CO often needs to be issued. If your place of business will be renovated before opening, it is recommended to include language in your lease agreement stating that lease payments will not commence until a valid CO is issued.
  • If you plan to purchase or build a location:
    • You will be responsible for obtaining a valid CO from a local government authority.
    • Review all building codes and zoning requirements for your business’ location to ensure your screen repair business will be in compliance and able to obtain a CO.

STEP 7: Get Business Insurance

Just as with licenses and permits, your business needs insurance in order to operate safely and lawfully. Business Insurance protects your company’s financial wellbeing in the event of a covered loss.

There are several types of insurance policies created for different types of businesses with different risks. If you’re unsure of the types of risks that your business may face, begin with General Liability Insurance. This is the most common coverage that small businesses need, so it’s a great place to start for your business.

Learn more about General Liability Insurance.

Another notable insurance policy that many businesses need is Workers’ Compensation Insurance. If your business will have employees, it’s a good chance that your state will require you to carry Workers' Compensation Coverage.

Recommended: Learn what business insurance for your Screen Repair Business will cost.

Business Insurance for
Screen Repair Business

STEP 8: Define your brand

Your brand is what your company stands for, as well as how your business is perceived by the public. A strong brand will help your business stand out from competitors.

How to promote & market a screen repair business

A screen repair business can be promoted on social media, with paper flyers, and through digital advertisements. You should also have a website that’s both memorable and easy to navigate. Once you start building up a clientele, word of mouth business should continue to compound your revenue.

How to keep customers coming back

The best way to impress a customer is to provide courteous, efficient service all while making their device look as good as new.

STEP 9: Establish your Web Presence

A business website allows customers to learn more about your company and the products or services you offer. You can also use social media to attract new clients or customers.

Start A Screen Repair Business In Your State

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Select your state below for an in-depth guide on completing each of these steps in your home state.

Is this Business Right For You?

This business is right for someone who loves technology. As new devices come out and screens change, owners will need to keep up with new demands while still being able to work with older devices.

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Want to know if you are cut out to be an entrepreneur?

Take our Entrepreneurship Quiz to find out!

Entrepreneurship Quiz

What happens during a typical day at a screen repair business?

The majority of the day will be spent scheduling appointments and fulfilling repair commitments. There should also be time devoted to marketing, budgeting, and general equipment maintenance.

What are some skills and experiences that will help you build a successful screen repair business?

Owners should have some experience repairing a variety of screens, whether they learned their skills in a classroom, on the clock, or just tinkering around at their home. As devices change from year to year, owners should be just as comfortable handling a 10-year old device as they are with a brand-new model. You'll also need some experience in customer service to be able to handle customer disputes and general requests.

What is the growth potential for a screen repair business?

Smartphone repairs are a multi-billion dollar industry, and there’s still plenty of room to capitalize on the activity. Electronic devices have become truly ubiquitous in the world today, and their popularity is unlikely to change anytime soon. While new production methods will undoubtedly yield tougher, more resilient glass as years go by, it’s unlikely it will eliminate the need for a skilled screen repair technician.

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Take the Next Step

Find a business mentor

One of the greatest resources an entrepreneur can have is quality mentorship. As you start planning your business, connect with a free business resource near you to get the help you need.

Having a support network in place to turn to during tough times is a major factor of success for new business owners.

Resources to Help Women in Business

There are many resources out there specifically for women entrepreneurs. We’ve gathered necessary and useful information to help you succeed both professionally and personally:

  • Funding
  • Events
  • Guides
  • Support

If you’re a woman looking for some guidance in entrepreneurship, check out this great new series Women in Business created by the women of our partner Startup Savant.

What are some insider tips for jump starting a screen repair business?

The first think you'll need to do is decide on a specialty for your business. Few people can fix every type of device in the world, so choose based on the demographics of the neighborhood. Fads aren’t just for teenagers, so it should be easy to spot whether people seem to favor Apple, Samsung, HTC, or Google devices.

You'll also need to decide if a storefront is worth it to you. Storefronts give you an opportunity to house your inventory in one place, and makes it possible to work on several devices at once. It also gives you more credibility with your customers because you look like an established business. Finally, you can likely choose a storefront in a less expensive section of town because you just need a consistent space to work — not necessarily to impress customers.

However, a mobile business that allows you to visit customers at their home cuts out many of your initial start-up costs, and offers your customers the all-important convenience factor. It can still be a good way to build rapport and credibility as you service different clients (albeit, one at a time.)

Owners should also consider the angles they want to use to attract their customers. It’s important to put some time into determining your prices — especially as the cost of technology continues to go down. If you charge the same price as a used version of a current model, it will be difficult for a customer to justify spending the money to have their screen repaired. You may also be able to increase your revenue by marketing to those who want to keep their nostalgia devices (e.g., first-generation iPods, etc.) up to par.

How and when to build a team

You don’t necessarily need to hire a team at the beginning. In fact, it’s not recommended if you’re trying to keep your costs low. Use management tools such as online calendars to keep your appointments straight until you have enough customers (and revenue) that you absolutely need to hire help.

Next Steps

Get more ideas with our Business Ideas Generator.

Check out our How to Start a Business page.

Sign up at the Business Center to access useful tools for your business.

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