6 Steps to Starting Your Own Elevator Company

So, you’re thinking about starting your own elevator service company? First off, congratulations on being brave enough to take the leap! Getting a business off the ground is tedious, time-consuming, and takes an immense amount of brain power.

I started Madden Elevator out of the basement of our house with no plan, no capital, and no customers. I still remember feeling the weight of the world and our future on my shoulders. I was always the man with the plan until I wasn’t. Back then, social media was just coming on the scene and the resources for a guy like me were limited.

I had to network as often as I could and ask the right people the right questions to get the answers to all of the ancillary tasks that come with starting a business.

Who was the best in the game for business insurance? What was my best route for getting our name out there? How do I keep track of our jobs and the cash coming through the door?

These were all very important questions. And now, I’ve answered them all in an 8-page resource guide that I’ve designated the Start-Up Elevator Company Checklist.

This blog gives an overview of what the checklist offers and the details I wish I would have known when I first became an elevator business owner.

Step 1: Get clear on your business purpose and build everything else around it

I’ve found most clients skip this step because it doesn’t feel urgent. Or they have to dig through files to find it because they crafted their purpose and never thought about it again.

Before you do anything else, you want to define:

• Your Mission
• Your Vision
• Your Core Values
• Your Unique Value Proposition
• Your BHAG (Big Hairy Audacious Goal)

I didn’t take the time to write this stuff down in the beginning (a choice I later regretted). But once I did, it became our compass for every decision we made.

This is the foundation you’ll build the rest of your business on.

Step 2: Cover your assets (literally)

Let’s talk about insurance and compliance — even though we don’t want to, right? It’s like brushing your teeth twice a day… you’ve got to take care of business or you’ll suffer the consequences.

My main points:

• Register your business and get your EIN
• Choose your legal structure (LLC, S-Corp, etc.)
• Confirm all state licensing and compliance requirements
• Secure business insurance (general liability and workers' comp are the big ones)
  
  

You will absolutely lose sleep — and probably a lot of money — if you don’t have these things finalized from the start. Don’t get caught red-handed and noncompliant. I dig into more of this, with linked resources, in my Start-Up Elevator Company Checklist.

Step 3: Make a name for yourself

Despite what the kids might say these days, I still believe first impressions matter. Your reputation will precede you in this industry, so build it wisely.

Here’s a few things to focus on first:

• Pick a name that clearly ties to the elevator industry so people know what you are selling
• Lock in your domain name and email address
• Get a simple logo, define your brand colors, and order a few company polos (our shirts coming in was admittedly my favorite milestone during the MEC era)
• Claim your Google Business Profile and social media handles
  
  

In the early days, I wore my branded polos to networking events so people knew who I was and what I did before I even opened my mouth. It set the tone for every conversation I had.

It was even cooler once people started to recognize that logo because they had heard of the company before meeting the owner. My reputation at Madden Elevator Company made for an easy first impression!

Step 4: Build your backbone

Every single elevator business owner’s favorite topic: systems. You either love ‘em or you hate ‘em. I have an engineering brain and have always been a numbers guy, so building structure in my business helped me put all of the moving pieces together.

My advice? KISS (not literally but, Keep It Simple Smart):

• Open a business bank account 
• Set up an accounting system
• Organize your digital files
• Use a project tracker (yes, even an old school spreadsheet still gets the job done)
• Block time to review financials monthly (even weekly to keep a pulse on the business)
  
  

When you're ready to grow, having tools like an elevator business operating system will help you organize your leadership meetings, KPIs, and team accountability.

I used to keep job notes on post-its and attach them to the computer. That way, I’d do whatever was needed before I sat down and got busy with something else.

But that’s not scalable — and I obviously know that now. Heck I knew it then, I just wasn’t ready to get my butt in gear and throw in another tech to the stack.

Don’t be like me in that aspect. Set the organizational boundary from day 1. It’s much easier than trying to implement new systems when you’re over a dozen employees in and on track for your first million dollar year.

Step 5: Know your numbers—or figure them out quick

There’s no way around it in this industry. If you don’t understand your numbers, you will not be able to make confident business decisions that don’t cripple your company.

Start with:

• Tracking revenue vs. expenses
• Calculating your break-even point

• Understanding gross profit by job

• Reviewing your budget monthly (finances should be discussed weekly)
• Using a Chart of Accounts to keep things clean
  
  

At one point, we were booking jobs and still coming up short because cash was coming through the door, but going right back out. I had to figure out how to read our financials and figure out where we were losing money on the backend.

I will always say, you don’t have to be a financial expert, but you do have to know what to look for. Don’t blindly trust anyone when it comes to your numbers.

Step 6: Lead like you mean it

Even if it’s just you right now, start thinking ahead of the team you’ll eventually hire. 

Start considering:

• Defining your first 1–2 roles (field or admin)
• Writing simple job descriptions
• Choosing a payroll system
• Setting growth goals for the next 1–3 years
• Network. Everyday.
  
  

It is so critically important that you as the business owner know where your company is headed. This lays the foundation for every person you bring on board to help you get there. You’re only as good as your weakest link and that rings true in our industry.

Think you’re ready for my full checklist?

The Start-Up Elevator Company Checklist is everything I wish I had when I was starting out as an elevator business owner. I organized and linked every resource I could think of to get you started off on the right foot.

35+ years of industry experience compiled into these essential steps you need to start (and grow) your business.

Get your copy today by clicking here!

Your future business will thank you for it.