Finding Your Edge in 2026

Hello home service operators,

In plain English: 2026 is not the “copy the 2018 playbook” era anymore. Consolidation is changing the game, competition is heavier, and multiples will compress in the most crowded trades.

So you win by being more strategic upfront and more operationally tight once you’re running.

And that’s what we’re talking about today. But first…

• The real AI talent war is for plumbers and electricians

• Don’t forget to sign up for Service Scalers’ “Booked Solid” event, March 3 -5

• Google’s latest Veo update generates lively, dynamic clips that feel natural and engaging…could that help your marketing efforts?

• Cold temperatures, snow, and ice are expected to sweep a large portion of the country this weekend. Are you ready to handle emergency calls?

• Come join me for an exclusive shop tour at Wilson HQ (February 24)

Start Running Your Business by the Numbers

If you’re doing $4M–$12M in HVAC, plumbing, or electrical, you’ve probably felt this:

Revenue is up.
The team is bigger.
But cash always feels tighter than it should.

Payroll, materials, and timing start creating stress, and you end up making big decisions (hiring, pricing, equipment, marketing) without real financial visibility.

That’s where CFO Made Easy comes in.

Tyler Martin provides fractional CFO support built for home service businesses focused on:

• Cash flow

• Margins

• Forecasting + decision-making

And you work directly with Tyler, not a junior team. He’s also scaled and sold a $25M service business, so the advice is operator-tested, not theory.

Want proof?

One of his clients was stuck in a cash crunch from slow-paying commercial work and outdated pricing. After tightening job mix and pricing, they increased bottom-line profit 11% over two years while stabilizing cash flow.

It could be the edge you need in 2026.

Pick Better, Build Simpler, Market Harder

If you’re building a home service business in 2026, you don’t get to “just pick a trade” and grind your way to success.

The market is more competitive than it was even 3–5 years ago (even 2025). Consolidation has pulled the best operators into big groups. Marketing channels are less predictable. And the easy “copy + paste” growth tactics from the late 2010s don’t work the same way anymore.

So if you want to win, you need to approach this like an investor and an operator, not like a technician.

Step 1: Start With Research, Not A Trade

The #1 mistake new operators make is starting with what they know, not what the market needs.

You don’t win because you picked HVAC. You win because you picked a market where the demand is high and the competition is weak.

What “Good Research” Actually Looks Like

You’re looking for a pocket where the work already exists and nobody is serving it well.

Use this checklist:

• Demand exists: people actively need the service year-round

• Competition is low: few strong operators, weak marketing, low review volume

• Market has money: home values/income levels support your ticket size

• Hiring is possible: enough trade labor in the region to staff the business

• Growth runway exists: nearby expansion markets you can move into later

Actionable Research Playbook

Use this 3-part method before you ever buy or start:

1. Google Maps Reality Check

Search your market like a customer would:

• “Plumber near me”

• “Drain cleaning near me”

• “Leak detection near me”

• “Water heater installation near me”

Then look for:

• Companies with low reviews ranking in the top 3

• Gaps where only 1–2 companies dominate

• Weak businesses sitting on page one (bad photos, poor branding, inconsistent posts)

2. Review Velocity Test

The fastest way to see how strong competitors are:

• Top competitors getting 30+ reviews/month = you’re going to war

• Top competitors getting 5–10 reviews/month = opportunity

• Top competitors getting 0–3 reviews/month = jackpot

3. “Underserved Need” Identification

Ask: what is expensive, urgent, inconvenient, and ignored?

Examples that often show opportunity:

• Leak detection

• Drain cleaning

• Jetting / grease trap services

• Duct cleaning

• Septic / well services

• Water filtration

• Chimneys

• Mold remediation (in the right markets)

Step 2: Don’t Chase The Hot Industry. Chase The Underpriced One.

Consolidation changes the economics.

When an industry is early-stage and fragmented, you have time:

• Less sophisticated competition

• More inefficiency to exploit

• Better acquisition targets

• Higher upside

When an industry is late-stage and consolidated:

• Targets get expensive

• Competition is better funded

• Growth becomes harder

• Multiples eventually compress

Practical Guidance: What To Avoid vs. What To Target

Avoid (or move fast):

• Heavily consolidated categories where everyone is already competing aggressively

• Markets where the top 5 companies are owned by big groups and dominate Google

Target:

• Services that are not yet fully consolidated

• “Boring” niches with clear buyer demand later

• Categories where you can win with smart marketing + repeatable execution

Step 3: Pick A “Boring” Service With A Clean Path To Scale

Pick one boring service and dominate it.

You’re not building a complicated company with 14 service lines.

You’re building a repeatable machine.

What A “Perfect” Service Looks Like

You want something that hits most of these:

• High urgency (customer wants it solved now)

• High margin

• Simple dispatch + execution

• Limited SKUs (you can standardize)

• Easy to teach + train

• Clear bolt-on value to a bigger platform later

Examples

Drain cleaning/jetting

• Insanely profitable when standardized

• B2B + B2C optionality

• Recurring contracts available

Leak detection

• Little competition in most markets

• Clear adjacency: plumbing + restoration + insurance

Duct cleaning

• Sellable into HVAC rollups

• Easy add-on / bundle

Water filtration

• Sells well in affluent areas

• Strong service agreements

Septic / wells

• Underserved in many markets

• Strong ticket + recurring pumping

Step 4: Scale Through Locations, Not Service Expansion

This part is a massive mindset shift.

Most operators scale by adding more services:

• HVAC → add plumbing → add electric → add restoration → chaos

The better model (in many cases) is:

• Pick one service

• Standardize it

• Open additional branches

• Repeat

A Simple Multi-Location Blueprint

Start with one branch and build a “2–5 million unit”:

• 1 branch manager

• 1 CSR/dispatcher

• 4–6 techs

• Standardized offer + pricing

• Standardized training

• Standardized KPIs

Then copy it.

If you can’t explain your operating model in 30 seconds, it’s too complex to scale.

Step 5: Build A Business That Doesn’t Need A-Players To Survive

This is where most service companies break.

They scale with 1–2 monsters who produce half the revenue, and then:

• The culture becomes unstable

• The company becomes fragile

• Growth caps out

Instead, build a company that thrives with strong systems.

The “System > Hero” Checklist

• Consistent onboarding

• Standardized scripts

• Clear KPIs per role

• Tight quality control

• Weekly coaching + review cadence

• Pricing + discount rules (no freelancing)

If the business requires a superstar to work, it’s not a business. It’s a job with a logo.

Step 6: 2026 Winners Speak EBITDA, Not Revenue

This is the part that separates serious operators from amateurs.

In slower markets and weird demand cycles, revenue can lie.

EBITDA tells the truth.

What To Do This Year (Actionable EBITDA Focus)

• Cut dead spend aggressively

• Eliminate “nice-to-have” software

• Renegotiate vendor contracts

• Get labor efficiency tight

• Fix dispatch leakage (drive time, idle time, bad routing)

• Raise pricing on your bottom 20% jobs

Rule: if you’re not profitable, growth is just accelerating failure.

Step 7: Get Scrappier In Marketing (Because Channels Are Shifting)

Marketing today is not just SEO + LSA + PPC.

It’s attention.

Customer attention is moving:

• TikTok

• Short-form video

• Neighborhood groups

• Direct outreach

• Door-to-door

Scrappy Marketing Moves That Still Work

• Canvassing in ideal neighborhoods

• B2B referral partnerships (property managers, plumbers, HVAC companies)

• Content that educates consumers (especially for visual issues like mold)

• Local Facebook + Nextdoor presence

• Aggressive review generation by technician

The best operators are willing to do what everyone else avoids because it’s uncomfortable.

That’s why it works.

Your Next Move

If you want to win in 2026, don’t start with “what trade should I pick?”

Start with:

• What market is underserved

• What niche is still fragmented

• What offer can be standardized

• What model can scale cleanly

• What business is sellable later

Then build the simplest machine possible, market aggressively, and run it like a real business.

That’s how you avoid hard mode.

Scale in 2026

Big Reputation helps home service owners turn their Google Business Profile into a legit lead machine without adding more work to their plate.

More visibility, more trust, more calls. All from the asset you already own, your Google Business Profile. AI won’t replace your team, but it can replace the busywork (like this) that keeps your profile from ranking.

…and that’s how you find your edge when starting, buying, and/or growing a home service business in 2026.

👊 John

Disclosure: Some of the content and links in this newsletter are sponsored or affiliate links, which means we may receive payment or earn a commission if you click through or purchase. However, all opinions expressed are entirely my own.

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