Starting Junk Removal Business – Profitable Business Plan

You can find profitable business opportunities in the Waste Management Sector. Junk removal is one of these business lines that you can easily start in the United States. If you choose the right place, you can enjoy monopoly and competitive advantage as this business area is still not invaded by the business entrepreneurs. It is still unexplored, and hence, the sooner you get into this business, the better returns you can earn in the long run. 

Statistics have shown that the waste collection industry earns more than a billion dollars every year. Junk removal business requires you to get rid of the unwanted and used stuff of the customers in an eco-friendly manner. You might not require a physical office or huge capital investment to start this business. But you will surely need a vehicle (depending upon the nature of waste you collect) and a few trained helpers to assist you with the waste collection. 

But while you reflect on this business start-up, you cannot miss out on the business planning phases. You have to set the financial projections, sales forecasts, and expense predictions in the right way, and only a full-fledged business plan can help you. 

Following is the template for the junk removal business plan. 

Junk Removal Industry Overview 

Please note that there is a considerable difference between junk removal and garbage removal. The junk removal business falls under the broad category of waste collection and management. In the junk removal business, you will be responsible for collecting household, industrial or commercial waste, depending upon your preferences. 

You can observe that there is a rising pattern in the number of households and industries in the United States. So, the good news is that you have ample opportunities to collect waste since the waste-creating units are on the constant rise. As per the statistical reports, more than 11, 824 units are registered and are responsible for waste collection activities in the United States. The growth rate of this industry is around 1.7 percent, and there is a rising demand for more junk removal services in the country. 

It doesn’t matter whether you want to start a tiny waste collection business or a big-size junk removal service. If you have more capital, you can invest in huge trucks and serve the industrial sectors. If not, you can restrict your operations to households and a few commercial units in your area. 

Executive Summary 

  1. Corporation name – You can name it after your last name or the city name, or choose a generic name; it all depends on you. 
  2. Whether the corporation is bonded, licensed, and registered under the said laws. 
  3. Location of the office – It is not necessary to have a specific office space; you can even provide your mailing address as your vehicles will be carrying out the maximum tasks of waste collection from different places. There is not much desk job involved here. 
  4. Places where junk removal services will be provided – whether you will include the surrounding areas and suburbs or not. 
  5. Values – professionalism, ethics, environment sustainability, punctuality, and consistency. 
  6. Owners of the corporation – family business or sole proprietorship or a team (business partners). Experience and qualifications of the owners and specify whether it is related to junk removal or waste management services. 

Products and Services 

Here, it would be a broad spectrum of waste management service such as: 

  1. Removal of reusable and recyclable junk. This can be further sold to thrift stores and other shops. 
  2. Removal of construction waste or demolition debris. Further, it can be hauled into usable items. 
  3. Operating a waste transfer service or a set-up for the said purposes. 

Mission and Vision 

Mission – To develop and employ constructive ways of junk removal in professional and eco-friendly ways in specific cities and areas. To lay down an example of a perfectly functioning junk removal company in the country. To create new ways of junk removal and hauling and set unique standards for other companies. 

Vision – To start a junk removal business in the given area and surrounding cities and provide timely services to the clients. 

Target Audience/Customers 

The target customers of a junk removal service typically reside in commercial areas, residential places, and industrial sectors. You are supposed to remove junk and waste from their houses, offices, corporations, industrial units, construction and demolition sites, and other places. 

Business Structure

A small junk removal business might not require a massive workforce, but the one involved in junk removal of construction and industrial sites will surely need you to pack up your army. If you need big trucks to collect waste, you will also need staff to drive and maintain those heavy vehicles. 

Following are the job positions and roles that you need to fill in for your organizational operations: 

  1. CEO/Owner – He is the person responsible for all decision-making aspects of the junk removal business. He is the one who looks after the organizational successes and takes complete responsibility for the same. 
  2. Admin and HR Manager – He coordinates all the staff required in a junk removal service and takes care of the regular administrative tasks. 
  3. Transportation and Logistics Manager – He takes care of the IT systems, agreement matters, contract negotiation, safety standards, and scheduling pickups and deliveries of the junk removal service. 
  4. Business Development Executive – He is a person who taps new clients and identifies and deals with several business opportunities. 
  5. Accountant – He handles all the financial, budgeting, and financial forecasting matters of the business. 
  6. Junk Collectors – These persons look after the manual operations of pickup up reusable junk and hauling them for said purposes. 
  7. Drivers – They operate and maintain the waste collection trucks. 
  8. Customer Service Representative – They talk to the clients and help them acquaint them with the junk removal services. They are supposed to be friendly and warm towards the clients. 

SWOT analysis 

  • Strengths – Due to the well-equipped service, we can serve the clients living in the highest populated city of New Jersey or Delaware. Our workforce is our strength. Our drivers and waste collectors are pros in their said tasks, and we duly respect their services. Our bonding with the staff is an asset and acts as a distinguishing factor amongst other junk removal services in the city. 
  • Weaknesses – Due to insufficient funding, it is challenging to buy another big truck or hire more staff to carry out a massive junk removal activity for a business giant. 
  • Opportunities – Junk removal can only take place if waste is generated in a household or construction site. Hence, if there is no construction, no waste, and it means no business at all. 
  • Threats – There could be a change in the government policy or a hike in fuel prices, or an economic recession, leading to numerous threats for an organization. 

Market Analysis 

The primary seasons when junk removal takes place are spring and summer. There are more than 11,000 junk removal companies operating in the United States, and new ones are coming up every year. Every business, household, and an industrial unit requires a waste management business. Hence, one can safely state that this business has a knack for revenue and increasing demand in the market. 

As you evaluate the existing market trends, you can observe that the junk removal businesses are profitable and can be seen as shaping up by themselves. 

Market Segmentation 

  1. Commercial premises – Here, you will be dealing with the managers or owners of the corporations to assist them in waste handling. All commercial and construction waste will be picked up by a junk removal business such as electronic waste, old furniture, paper, construction-related materials, bricks, wood, etc. 
  2. Residential places – All residential and household waste such as electronic appliances, old mattresses, and apparel, garbage, garden or yard waste, basement waste, etc,. falls under this segmentation. 
  3. Industrial units – It could be a good manufacturing or a chemical producing unit. You have to ensure that you have incorporated safe disposal methods of such waste. 

Sales and Marketing Plans 

  1. Inviting organizations, residents, corporation owners, and CEOs for the grand opening of your junk removal services. 
  2. Official web portal and presence on the internet to attract clients whenever possible. 
  3. Advertise in all print and non-print mediums. 
  4. Presentations about your junk removal service and the unique points of your business to your prospective clients. 
  5. Offering discounts and other packages to your clients for stability. 
  6. Attendance at all fairs, exhibitions, conferences, and seminars. 
  7. Direct marketing methods. 
  8. Seek memberships and associations to market your junk removal services. 

Publicity and Advertising Plans 

  1. Sponsor events pertaining to waste management. 
  2. Conduct awareness campaigns offline and virtual webinars about proper waste management techniques and brief about your business methodology. 
  3. Using social media platforms for awareness of your brands and the importance of junk removal. 
  4. Distribution of fliers, bills, and placement of billboards at proper places. It sounds like old-school marketing but is still working for several business owners. 
  5. Branding of your business through T-shirts and overall identity. 


The two common charges involved in a junk removal business are: 

  • Size of the truck to collect the waste. 
  • The number of trips required to be done for waste collection. 

Your whole pricing system depends on these two vital charges. For a single household, the junk removal charges are $200, while for a professional company, it is around $400. 

Remember you have to provide discounts and offers, and hence, you have to set competitive charges for junk removal services you provide. 

Budget (for start-up)

To start a proper business of junk removal and cater to the waste management requirements of households and industrial units, you are required to invest approximately $100,000 in the business setup. You will require financial assistance to buy a truck, and an institution will help you in this regard. 

This junk removal business plan template is a brief overview of your final plan. We hope it helps you. 


1. What Type of Licenses, Permits or Certifications Do I Need to Start a Junk Removal Business?

Depending on your locality and the size of your business, you may need to obtain a business license, permits, and certifications. Check with your city and state to make sure you have the correct documents in place before you start.

2. What Equipment Do I Need To Operate a Junk Removal Business?

Depending on the scope of your business, you may need items like a dump truck, trailer, gloves, goggles, strong work gloves, sledgehammers, flat bar, shovels, wheelbarrow, truck racks, bed liners, and rope.

3. Do I Need Liability Insurance for My Junk Removal Business?

Yes, it is recommended to carry liability insurance for your business. This will protect you against any lawsuits or claims resulting from accidents that may occur while you are conducting business.

4. What Types of Materials Should I Accept in My Junk Removal Business?

This will depend on the scope of your business. Generally, typical materials accepted include appliances, furniture, electronics, mattresses, construction materials, yard debris, and other items.

5. How Should I Price My Services?

You should consider doing some research on the local market to see what similar businesses are charging for their services. You should also factor in the cost of labor, materials and insurance when pricing your services accordingly.

6. Who Are My Target Customers?

Your target customers could be homeowners, contractors, real estate agents, landlords, and commercial property managers.

7. How Can I Market My Junk Removal Business?

You can use digital marketing tactics, such as creating a website, utilizing social media platforms, or exploring local directories. You can also consider traditional forms of marketing such as postcards and door-hangers.

8. How Do I Ensure the Proper Disposal of Junk?

You should research local disposal centers and create contacts with the ones that accept junk from your business. Make sure they handle the material in an eco-friendly manner as well.