How to Start a Profitable Yard Sign Business: A Step-by-Step Guide

Want to start a profitable side hustle that gets you outside and working with your hands? Consider launching a yard sign business.

Yard signs are in high demand for real estate agents, political candidates, businesses promoting sales or events, and more. The startup costs are low, the work is flexible, and the earning potential is surprisingly high.

In this blog post, we'll walk you through how to start your very own yard sign business, step by step. You'll learn how to find customers, design effective signs, source affordable materials, handle the installation and removal, set competitive prices, and scale your new venture into a full-time income.

If you like working outdoors, meeting new people, and building something from the ground up, the yard sign business could be the perfect fit. Let's get started!

The Yard Sign Business Landscape

The yard sign market serves a wide range of local customers across many industries. Your target audiences will include:

•Real estate agents promoting open houses or new listings. Real estate is a huge market for yard signs.

•Political candidates running for office. Campaign season brings lots of opportunity for sign installations and removals.

•Local businesses advertising sales, grand openings, or events. Everything from pizza shops to car washes use yard signs to reach potential customers.

•Non-profits spreading awareness for a cause or upcoming fundraiser. Charities and community organizations frequently turn to yard signs to get the word out.

This is a local, mass market business. While you can charge a premium for higher-end clients like real estate agents, much of your work will be fairly standard yard signs for small, hometown companies. The key is building a customer base through networking, referrals, and pounding the pavement in your area.

Developing Your Yard Sign Product

Your product is the yard signs themselves. To stand out, focus on the following:

•High quality, weather-resistant materials: Use corrugated plastic or aluminum signs that can withstand sun, wind, and rain. They will last longer and convey a professional image.

•Eye-catching designs: Work with your customers to create simple but compelling designs, with large text, an uncluttered layout, and strategic use of color. You want signs that people can read quickly as they drive by.

•Clear installation and removal: Explain that your service includes both installing the signs before an event or listing and then removing them afterwards. This full-service approach will appeal to many clients.

•Customization options: Be willing to modify standard signs or create completely custom signs to suit different needs. The more you can tailor your product to each customer, the more value you provide.

•Bundled pricing: Offer bundle deals for customers who want to place multiple signs, like real estate agents with several listings or politicians campaigning over a large area. Bundles make your services more affordable and convenient.

Deliver your product by meeting with customers, creating a design proof, sourcing the necessary materials, building the signs, installing them at the requested locations, and then removing them by the agreed upon date. Develop your product line over time based on customer feedback and the types of signs that prove most popular and profitable. The key is finding ways to streamline the process while still providing high quality, customized service.

The Financials of a Yard Sign Business

The economics of a yard sign business are appealing because the costs are low and the profit margins can be high. Here's how the numbers work:

•Cost of goods sold: Your main costs will be materials for the signs like corrugated plastic, aluminum, wooden posts, and paint or vinyl lettering. These range from $2 to $10 per square foot depending on the quality. You'll also need basic equipment like a ladder, work gloves, wire cutters, etc. Total cost of goods sold should remain under $500 to $1,000 to start.

•Pricing structure: Charge by the sign, not by the square foot. A typical range is $30 to $100 per sign depending on size, materials, and complexity. Offer bundle discounts for larger orders. Price at a level that delivers a 50% profit margin or higher after accounting for your costs.

•Low overhead: Aside from materials and equipment, your overhead costs are very low. You can operate this business from home with no dedicated office space required.

•Multiple revenue streams: In addition to sign installations and removals, offer related services like design consulting, long-term sign maintenance for a monthly fee, or storage space rental for off-season signs. These extras can provide income year-round.

•Scalability: As you build your reputation and customer base, you can scale the business by hiring contract workers to help with installations and removals during your busiest seasons. Your role will transition to sales, marketing, customer service, and oversight.

With the right pricing and low costs, a yard sign business can generate over $50,000 per year in net profit working part-time. If you scale to a full-time operation with contract labor, that figure can increase to $75,000 or more. The key is keeping your expenses low while charging premium rates, especially for high-volume clients. Yard signs require more labor than materials, so your time and skills are where you add the most value.

Marketing Your Yard Sign Business

Effective marketing is key to attracting new customers and growing your yard sign business. Focus on the following strategies:

•Search engine optimization (SEO): Optimize your website for local search terms like "yard signs near me" or "yard sign installation [your city name]". Provide your business name, contact info, and service area prominently on the site. SEO will drive traffic from local searchers.

•Social media marketing: Build profiles on Facebook, Nextdoor, and LinkedIn to raise awareness of your business in the local community. Post updates about your latest sign designs, new service offerings, customer testimonials, or promotions. Engage with followers and join local networking groups.

•Direct outreach: Call on local real estate agencies, political organizations, businesses, charities, and community groups to pitch your sign services. Offer a 10% introductory discount to secure new customers. Get referrals from happy clients to continue growing your base.

•Local advertising: Place ads in neighborhood newsletters, coupon mailers, and charity event programs. Sponsor a Little League team or charity fundraiser. Put an ad in the Yellow Pages. While less targeted, local ads raise general visibility.

•Promotions and bundles: Run periodic promotions offering a free sign installation or removal with the purchase of multiple signs. Create bundled packages for high-volume customers at a discount. Promotions and bundles make your services more appealing and affordable.

•Customer service: Provide friendly, responsive service to turn first-time customers into lifelong clients. Ask for reviews and testimonials to build social proof. Strong customer service, combined with a quality product, is the best form of marketing.

•Word-of-mouth: Don't underestimate the power of word-of-mouth marketing. Satisfied customers will refer others in the neighborhood and spread the word about your business. This type of organic, peer-to-peer marketing is both free and highly effective. Focus on remarkable service and your reputation will grow.

Sales Strategies for a Yard Sign Business

To land new customers and keep the sales pipeline full, implement these sales strategies:

•Cold calling: Pick up the phone and call local businesses, political campaigns, real estate agencies, and community groups to pitch your sign services. While cold calling has a low success rate, it only has to work occasionally to generate new leads.

•Door-to-door: Visit businesses in your neighborhood in person to introduce your company and drop off business cards or flyers. Face-to-face interaction allows you to make a memorable first impression.

•Canvassing: Walk or drive around your service area looking for yards that could benefit from professional signs. Note addresses and follow up with a call or visit to the property owner to suggest your sign solutions.

•Networking: Join your local chamber of commerce and attend industry events to connect with potential customers. Look for opportunities to partner with complementary businesses like printers, graphic designers, or marketing firms. Networking leads to referrals and new clients.

•Upselling: Once you have an initial order from a customer, upsell them additional signs or related services like design, storage, or maintenance. It's easier to sell more to an existing happy client than to find a new customer.

•Bundling: Offer bundled packages with a lower overall price to make signage more affordable and appealing, especially for higher-volume clients. Bundles also lock in customers for repeat business.

•Promotions: Run special limited-time promotions like a free sign installation or removal with a minimum purchase. Discounts and special offers motivate customers to buy now rather than delaying a decision.

•Reviews and referrals: Ask satisfied clients for online reviews and referrals to their contacts. Positive reviews and personal referrals are extremely persuasive to potential new customers in your area. They see you as a trusted, reputable service provider.

Operations and Execution

To run a successful yard sign business, focus on the following operational areas:

•Streamlined production: Develop efficient systems for designing, producing, and installing yard signs. Use templates to speed up the design process. Build signs in batches to minimize production time. And schedule installations/removals in a logical route to reduce travel. The more you can streamline operations, the higher your profit margins.

•Organized inventory: Keep an organized inventory of materials on hand like corrugated plastic sheets, wooden posts, vinyl lettering, paint, brushes, and other supplies. Monitor inventory levels and reorder before you run out of anything to avoid delays.

•Clear contracts: Require all customers to sign a contract that specifies the number of signs, material and design details, installation and removal dates, total price, payment terms, and any additional services included. Contracts protect you and your customers by documenting the exact agreement.

•Timely installation and removal: Meet the installation and removal dates listed in each customer contract. Yard signs are time-sensitive, so punctuality is important for providing good service. Keep a master schedule of all installation and removal commitments to stay on track.

•Solid customer service: Respond quickly to all customer calls and emails. Address any issues or concerns right away to ensure satisfaction. Ask for feedback and reviews to continuously improve your service. And reach out periodically to see if existing clients need any additional signs or services. Good customer service builds loyalty.

•Scalability: Once demand grows beyond your capacity, hire and train part-time contract workers to help with sign installations and removals. Your role will shift to sales, marketing, customer service, and general oversight. Learn how to effectively delegate and manage contractors to scale the business.

With efficient operations, quality products, and strong customer service, a yard sign business can run very smoothly. But as with any venture, there will be challenges to overcome. The key is anticipating obstacles, adapting quickly, and maintaining a continuous improvement mindset. Your operational processes should evolve over time based on experience, customer feedback, and new technologies or methods that increase productivity and profitability.

Legal Requirements and Regulations

Before launching your yard sign business, research all local regulations regarding sign placement and permits. Many cities and homeowners associations have rules on the size, height, and location of yard signs allowed on both commercial and residential properties. You will need to comply with all applicable ordinances to avoid legal issues. Some key areas to check include:

•Zoning laws: Make sure any location you install a sign is properly zoned for commercial signage. Residential yards may be prohibited.

•Permit requirements: See if your city requires any permits for placing temporary yard signs on commercial or residential land. If so, you will need to obtain the proper permits before any installation.

•Size and height restrictions: Many cities limit the square footage and height of yard signs to avoid obstructing views or distracting drivers. Review the specific size and height maximums in your area.

•Location guidelines: There may be rules on how close yard signs can be to property lines, intersections, streetlights, and other signs. Check to ensure you place all signs in approved locations.

•Duration of display: Most cities limit how long temporary yard signs can be up to avoid clutter and blight. Be aware of the maximum display periods to properly inform your customers.

•Homeowners association rules: If installing signs in a neighborhood with an HOA, you must follow their guidelines which may be even more restrictive. Get approval from the HOA before putting up any signs.

Failure to comply with local regulations can result in legal penalties for both you and your customers. Do thorough research upfront and connect with your city planning department if anything is unclear. Following the rules properly is essential for operating a legitimate yard sign business.

The Opportunity of a Lifetime

A yard sign business provides an incredible opportunity to build something meaningful with your own two hands. You get to tap into your creativity, work outdoors, set your own schedule, and make a positive impact on local customers. While the work can be demanding at times, the rewards of growing a successful small business are well worth it.

If you're looking for a flexible side hustle with low costs and strong earning potential, starting a yard sign company should be at the top of your list. Do your research, develop efficient systems, provide impeccable service, and don't be afraid to start small and scale up over time. With some hustle and determination, you can turn a fledgling yard sign venture into a highly profitable, full-time business and a source of pride. The opportunity is there--you just have to take the first step.