How to Write a Snow Removal Business Plan [Free Template]

1.  Create a cover page and table of contents

When putting together your business plan, a cover page and table of contents will help make your plan look polished and easy to navigate.

This step is especially important if you’re sharing the plan with potential partners, lenders, or investors. But it can also keep you organized when referencing different sections of your plan.

Your cover page should include:

• The name of your snow removal business
• Your logo
• Business address
• Contact information like phone number and email address
• The date the plan was created

Clearly label the document as your “snow removal business plan” so anyone looking at it knows exactly what it is.

A table of contents is another useful element, giving readers a clear overview of what’s included in the plan. It allows them to jump to specific sections, such as pricing, marketing, or services. This is particularly helpful if your business plan is rather long or will be reviewed by different stakeholders with varied interests.

If your plan is on the short side (like just a few pages), you could skip the table of contents. But it’s generally a good idea to have one for longer or more detailed plans.

Adding these components makes your business plan more professional and sets the tone for how organized your approach to the operations of snow removal will be.

2.  Introduce your business

The introduction section of your snow removal business plan should start with an executive summary and a business overview. These will give readers a snapshot of your business, its purpose, and how it will operate.

Executive summary

The executive summary is a brief, one-page overview of your business and its key details. It explains what your business is all about and what sets your services apart from the competition. The rest of your business plan will provide further details.

Here’s what to include:

• Business description: What does your snow removal business do? Highlight the primary services you’ll offer, such as driveway and sidewalk snow clearing, ice removal, or salting.
• Company background: How did you decide to start the business? Share your journey, any relevant experience you have, and who your business partners or team members are.
• Service differentiation: What makes your services unique? Do you offer the fastest response times, eco-friendly deicing solutions, or special packages for frequent customers?

3.  Add your license information

If your state or local government requires a license for removing snow, be sure to include those details in your business plan. This section will show investors and clients that you’re compliant with local laws and regulations. People will have confidence in your ability to operate legally and safely.

Here’s what to include:

• The type of license or permit you have for snow removal services (e.g., a snowplowing permit or commercial snow removal license)
• The agency or governing body that issued your license (e.g., your state’s Department of Transportation or City Hall)
• How often your license needs to be renewed or any other continuing certification requirements
• Check if there are any additional snow plow insurance requirements tied to your license, as this can also impact your business operations. Keeping track of renewal deadlines helps you avoid any disruptions in service during peak snow removal season.

4.  Research your snow removal market

When writing your business plan for snow removal, research the market in your area. This helps you figure out the types of customers who may need your services and how to meet their needs.

In the market analysis section of your plan, cover topics such as:

• Whether you’re targeting residential, commercial, or both types of clients
• How many potential customers are in your local area
• Key demographics, like income level, age, and type of property (e.g., single-family homes, businesses with large parking lots)
• Specific problems your snow removal services will solve, such as clearing driveways, parking lots, or sidewalks
• What your ideal customers are willing to pay for snow removal services
• Customer priorities, such as reliability, fast response times, or price
• Any industry rules or regulations related to snow removal in your area

Stay up to date with trends that might impact your industry, such as changing weather patterns or advancements in snow-clearing technology.

5.  Look at your competition

When crafting your snow removal business plan, understanding who your competitors are and what makes them successful can help you identify opportunities to differentiate your business.

By evaluating their strengths and weaknesses, you can fill service gaps and offer better value to potential clients.

In your analysis, consider the following:

• What services your competitors provide (e.g., residential vs. commercial snow removal, salting, sidewalk clearing)
• How their pricing strategy compares to yours
• The size of their team and whether they have the capacity for large jobs
• How long they’ve been in business and their reputation
• The strength of their brand and how recognizable they are
• Reasons why clients might choose their services over yours

A thorough competitor analysis will give you a clearer picture of your local market and help you position your business for success.

6.  Choose the services you’ll offer

Consider the types of services that fit your equipment, client needs, and market demand. The services you offer will depend on factors such as:

• The snow removal equipment you own or plan to rent (e.g., plows, snow blowers, deicing equipment)
• The services your competitors offer and their pricing structures
• Client demand for specific services, like residential or commercial snow removal
• Opportunities for additional services, such as deicing or salting
• The size and frequency of snowfalls in your region, which can influence how often your services will be needed

Your snow removal business plan should outline a clear list of services you’ll offer and how often you’ll provide them. Start with a few essential services and expand as your business grows.

7.  Determine how you’ll price your services

Once you’ve outlined the services you’ll offer, you can then figure out your pricing structure. Proper pricing helps you stay profitable and cover your expenses, all while providing value to your clients.

When determining how to price your snow removal services, consider the following factors:

• Hourly rate: Calculate your hourly rate, factoring in employee wages (if applicable) and your own time.
• Overhead and equipment costs: Include the cost of maintaining and repairing snow removal equipment, insurance, and fuel for your vehicles.
• Consumable materials: Add the cost of consumables like salt, sand, or deicing chemicals.
• Special services and conditions: Adjust pricing for specific services like roof snow removal or for difficult weather conditions.
• Desired profit margin: Include the markup you’ll need to reach your profit margin after covering costs.
• Taxes and fees: Account for local taxes and any required permits or fees.

READ MORE: How much to charge for snow removal

8.  Create a marketing and sales strategy

Strong marketing and sales are key to building a successful snow removal business. To stand out in a competitive market and attract more clients, consider including these strategies:

• Creating and maintaining a company website
• Staying active on social media sites like Facebook and Instagram
• Starting a customer referral program
• Using wraps and decals for your vehicles and equipment
• Creating a profile on lead generation sites
• Networking with other local businesses
• Sending email marketing campaigns to existing customers
• Sharing flyers and door hangers
• Handing out business cards
• Advertising on Google and Facebook

READ MORE: Snow removal ads to attract customers

9.  Plan how you’ll grow your team

In your business plan for snow removal, it’s important to account for labor costs and plan how you’ll grow your team. Labor costs typically make up a significant portion of your operating expenses.

When creating the employee section of your business plan, consider:

• Wages or salaries: Outline how much you’ll pay each employee, whether it’s hourly or a set salary, based on local labor rates and the cost of living.
• Number of employees: Estimate how many employees you’ll need to handle the workload during the busy winter season. Snow removal is a time-sensitive service, so you need to have enough staff to clear snow quickly.
• Hiring process: Think about the time and cost it will take to recruit, interview, and train people to join your team.
• Workload management: Analyze how many jobs you expect to complete per day (or week) and match your staffing levels accordingly. For example, you may need more employees during heavy snowfall periods, or for larger contracts like clearing parking lots.
• Revenue targets: Estimate how much revenue you need to generate per job to cover employee wages and still make a profit.

When you’re just starting out, you might do all the work yourself. But as your business grows, having a plan to expand your team will help you avoid being short-staffed during peak snow removal times.

10.  Make a financial plan

The financial section of your snow removal business plan maps out how your goals will translate to profitability. It allows you to project your income, expenses, and overall cash flow, so you can plan for both everyday operations and future growth.

Your financial plan should include:

• Business model overview: Describe your services, such as residential driveway clearing, commercial parking lot plowing, and salting or de-icing options.
• Startup funding: Detail any money you need to start, including costs for equipment, trucks, and snow removal supplies.
• Current loans: If you’ve taken out loans, include the amount, purpose, interest rate, and payment schedule.
• Overhead costs: List regular expenses, like vehicle maintenance, fuel, insurance, and storage costs for equipment.
• Sales forecast: Estimate how much you expect to make per job or per client.
• Employee costs: Plan for your labor expenses, including wages, benefits, and hiring costs.
• Budget for expenses: Include a breakdown of other expenses, such as marketing, software, and permits.
• Cash flow statements: Predict how cash will flow in and out of your business.

READ MORE: How to create a small business budget (with free template)