How to start a masonry business: build a strong foundation

Starting a masonry business can be a rewarding venture, combining skilled craftsmanship with business savvy. The industry is worth billions, with steady demand for quality brick and stonework in residential construction, commercial buildings, and outdoor living spaces.

This guide will take you through the practical steps of securing funding, obtaining necessary licenses, acquiring equipment, and building supplier relationships to help you launch a successful masonry business in the U.S.

Step 1: Plan your business and validate the market

First, gauge local demand. Visit your county clerk’s office to review recent building permits for new construction and major renovations. This data shows you exactly where work is happening. Also, connect with local general contractors and home builders to understand their needs for subcontractors.

Next, identify your competition. Look up masonry contractors on platforms like Angi and the Better Business Bureau to see their services, pricing, and customer reviews. Driving through new developments can also reveal which companies are most active in your target area.

Estimate your startup costs

Startup capital can range from $23,000 to $41,500. A frequent misstep is underestimating the cash needed for the first 3-6 months before payments start rolling in. Plan for both initial purchases and operating expenses. Your primary costs will likely include:

• Tools and small equipment: $5,000 - $10,000
• Used work truck: $15,000 - $25,000
• Initial insurance and licensing: $2,000 - $4,500
• Marketing and office setup: $1,000 - $2,000

Here are 3 immediate steps to take:

• Review your county’s building permit records from the last six months.
• Create a spreadsheet of 5-10 local competitors, noting their specialties.
• Draft a preliminary budget based on the cost ranges provided.

Step 2: Establish your legal structure and secure licenses

Choose your business structure

You might want to consider forming a Limited Liability Company (LLC). This structure protects your personal assets, like your home, if the business faces a lawsuit. It offers a vital shield you do not get as a sole proprietor, where your personal finances remain exposed.

With an LLC, profits pass through to your personal tax return, which avoids the double taxation of a C Corporation. You will also need a free Employer Identification Number (EIN) from the IRS to open a business bank account and hire employees.

Get the right licenses and permits

Once you have a legal entity, focus on licensing. Your state’s contractor licensing board is the main authority. For example, Florida requires a certified masonry contractor license. Requirements often include passing an exam and showing four years of experience.

You will also need local business licenses and job-specific building permits from your city or county. Also, familiarize yourself with OSHA standards for silica dust and scaffolding safety. Fines for non-compliance can be thousands of dollars, so do not skip this.

Here are 3 immediate steps to take:

• File for an LLC with your Secretary of State’s office.
• Apply for a free Employer Identification Number (EIN) on the IRS website.
• Check your state contractor board’s website for masonry license requirements.

Step 3: Secure insurance and manage risk

With your legal structure in place, the next move is to protect your business. Insurance is not just a formality; it is what keeps you in business after an accident. A client could claim your work damaged their property, or an employee could get hurt on site.

Key insurance policies for masons

General Liability insurance is your foundation. It covers third-party property damage and injuries. You should look for policies with at least $1 million in coverage. Also, Commercial Auto insurance is necessary for your work truck, as a personal policy will not cover business use.

If you hire anyone, even part-time, Workers’ Compensation is legally required in most states. It covers medical bills and lost wages for job-site injuries. Many new owners forget this, but state fines for non-compliance are steep. Consider providers like The Hartford, Hiscox, and Next Insurance that specialize in contractor policies.

Finally, do not overlook Inland Marine insurance. This policy protects your tools and equipment while they are in transit or at a job site. Given the value of your mixers, saws, and trowels, this coverage is a smart investment. Expect total annual premiums to range from $4,000 to $9,000 depending on your coverage.

Here are 3 immediate steps to take:

• Request quotes from three insurance providers that specialize in construction.
• Verify your state’s specific requirements for Workers’ Compensation.
• Ask for a sample Certificate of Insurance (COI) to see what clients will receive.

Step 4: Set up your location and buy equipment

You will need a space to store materials and equipment. Look for a small contractor yard, around 1,000-2,000 square feet, zoned for light industrial use. Check your local zoning laws for classifications that permit outdoor storage of construction materials.

Equipment and suppliers

Your biggest initial purchases will be equipment. A mistake some make is to buy everything new. You can find reliable used gear at equipment auctions or from rental companies that sell older inventory. This can cut your initial outlay by 30-50%.

Here is a breakdown of what you will need:

• Mortar mixer (6-9 cu. ft.): $2,000 - $4,000 new, or $1,000 - $2,000 used
• Masonry saw (14-inch wet cut): $1,500 - $3,000 new, or $800 - $1,500 used
• Scaffolding (frame and brace sets): $200 - $400 per set
• Basic hand tools (trowels, levels, hammers): $500 - $1,000

Once you have your equipment, build relationships with suppliers. Contact local brickyards and stone quarries. Also, find a distributor for pre-blended mortars like Spec Mix. Ask about delivery fees and minimum orders, which are often a full pallet of brick or a yard of sand.

Here are 3 immediate steps to take:

• Research local listings for contractor yards zoned for commercial storage.
• Price out a used mortar mixer and masonry saw on auction sites.
• Get price lists and delivery terms from two local masonry suppliers.

Step 5: Set up your payment processing

Payment terms and solutions

In masonry, it is standard to require a 30-50% deposit before work begins. This covers your initial material costs. A mistake some new contractors make is not getting this in writing. Always include payment terms in your contract, with the final balance due upon completion.

For a masonry business that needs to accept payments on-site, JIM offers a streamlined solution. With JIM, you can accept debit, credit, and digital wallets directly through your smartphone. Just tap and you are done. This is useful for collecting deposits or final payments on the job.

At just 1.99% per transaction with no hidden costs or extra hardware, its rate is competitive. Most other payment solutions charge between 2.5% and 3.5%. With JIM, you get a simple, low-cost way to manage your cash flow without waiting for bank transfers.

Getting started is straightforward:

• Get Started: Download the JIM app for iOS.
• Make a Sale: Type the sales amount, hit sell, and ask your customer to tap their card or device on your phone.
• Access Funds: Your money is available on your JIM card as soon as the sale is done.

Here are 3 immediate steps to take:

• Draft your standard payment terms to include in all client contracts.
• Download the JIM app to explore its features for on-site payments.
• Calculate the fee difference between JIM’s 1.99% and the typical 2.9% rate on a sample $5,000 job.

Step 6: Fund your business and manage finances

Secure your funding

Most masonry businesses get started with an SBA loan or equipment financing. The SBA 7(a) loan is a popular choice, but you will need a good business plan and a credit score of at least 680. Expect interest rates a few points above prime.

Equipment financing is another strong option. Lenders provide funds specifically for your mixer, saw, and truck. The equipment itself acts as collateral, which can make approval easier. Rates typically range from 5% to 15% depending on your credit and the equipment's age.

A mistake some new owners make is using personal credit cards for business expenses. The high interest rates can be a major drain. A business line of credit is a much better way to cover material costs before a client pays you.

Plan for working capital

Beyond your initial equipment purchases, you need cash for operations. This is your working capital. It covers payroll, insurance, fuel, and material deposits for the first 3-6 months before you have steady income from completed jobs.

You should aim to have at least $10,000 to $20,000 in a separate account for these expenses. This buffer ensures you can take on new projects and pay your bills on time without stress. It is a key part of a strong financial start.

Here are 3 immediate steps to take:

• Check your credit score and get a copy of your credit report.
• Contact your local Small Business Development Center (SBDC) for free help with your loan application.
• Calculate your estimated operating expenses for the first six months to determine your working capital needs.

Step 7: Hire your crew and set up operations

Your first hires

Your first hire should be a reliable mason tender. This person will mix mortar, carry materials, and set up scaffolding. Expect to pay a good tender between $18 and $25 per hour. A mistake some make is hiring cheap, unskilled labor, which often leads to slow work and quality issues.

Once you have a steady flow of projects, you can hire an experienced bricklayer. A skilled mason will cost $25 to $35 per hour, but their speed and precision will increase your profitability. As a general guide, aim to generate $100,000 to $150,000 in revenue per field employee.

Set up for safety and efficiency

Before anyone steps on a job site, ensure they have OSHA 10 certification. This basic safety training is a must. Also, provide specific training for scaffolding assembly, as this is a high-risk area. Proper training protects your team and your business from costly accidents and fines.

To manage your growing team, consider using software like Buildertrend or ClockShark. These platforms help with scheduling jobs, tracking employee hours, and managing project tasks from your phone. This organization helps you stay on schedule and makes payroll much simpler.

Here are 3 immediate steps to take:

• Draft a job description for a mason tender and post it on Indeed.
• Find a local OSHA-authorized trainer for safety certifications.
• Request a demo of a scheduling app like ClockShark to see how it fits your workflow.

Step 8: Market your business and get customers

Build your local presence

Your first customers will likely come from your local area. Start by ordering professional job site signs with your company name and phone number. Place them at every project. This simple step turns each job into a live advertisement for your work.

Also, continue to build relationships with general contractors and home builders. A single good connection can lead to a steady stream of subcontracting work. Many new owners focus too much on digital ads and neglect this direct networking, which often has a higher return.

Establish your online footprint

Create a simple website that showcases your best work. A portfolio with high-quality photos is your most powerful sales asset. Also, set up a free Google Business Profile. This makes you visible on Google Maps and in local search results when people look for masons.

Encourage satisfied clients to leave reviews. Positive reviews build trust and can improve your local search ranking. Aim to convert at least 10% of your qualified website leads into paying customers. This is a solid benchmark for a new service business.

Here are 3 immediate steps to take:

• Set up your Google Business Profile with photos of your work.
• Order 5-10 professional job site signs with your business name and phone number.
• Identify and contact three local general contractors to introduce your services.

Step 9: Price your services and create proposals

Your price determines your profit. For most residential jobs, you will price per square foot. A standard brick veneer might run $25-$40 per square foot. For smaller repairs or custom stonework, an hourly rate plus materials is often a better fit.

Calculate your costs and markup

First, calculate your job costs. This includes materials, labor, and overhead. A mistake some new masons make is forgetting overhead like insurance and fuel. You should add 15-20% to your direct costs to cover these expenses before you even think about profit.

With your total cost figured out, you can add your markup. A healthy net profit margin in masonry is between 15% and 25%. To achieve this, you will need to mark up your total job costs accordingly. This ensures you are not just breaking even.

Create professional proposals

Your proposal is your sales document. It should clearly detail the scope of work, materials to be used, a project timeline, and your payment terms. You can create a template in Google Docs or use software like Jobber to look more established.

Here are 3 immediate steps to take:

• Calculate your all-in hourly labor cost, including wages, taxes, and insurance.
• Price a sample 100-square-foot brick veneer project to practice your bidding.
• Create a detailed proposal template that you can reuse for future jobs.

Step 10: Control quality and scale your operations

Your reputation is built on consistent quality. Aim for uniform 3/8-inch mortar joints and ensure all courses are perfectly level. You can use a simple checklist for final walkthroughs with clients to confirm satisfaction and prevent callbacks. This builds trust and generates referrals.

Benchmarks for growth

Knowing when to expand is key. When you find yourself consistently booked three months in advance, it is a strong signal to consider hiring. Another solid benchmark is when your revenue per field employee surpasses $150,000 annually. This indicates you can support another mason.

A frequent misstep is expanding your crew before your cash flow can handle it. Before you hire, make sure you have enough working capital to cover at least three months of the new employee’s wages. As you add crews, software like Procore or Buildertrend helps manage multiple schedules.

Here are 3 immediate steps to take:

• Draft a quality control checklist to use during client walkthroughs.
• Look into the Mason Contractors Association of America (MCAA) certification program.
• Set a revenue-per-employee goal to help decide when to hire next.

Conclusion

Building a masonry business is about craftsmanship and smart planning. Your reputation is built one brick at a time, through quality work and solid relationships. You have the blueprint, now go lay the first course.

As you complete projects, getting paid should be simple. JIM turns your phone into a card reader, letting you accept payments on-site for a flat 1.99% fee. It helps you manage cash flow without hassle. Download JIM to get started.