How to become a locksmith – setting up a locksmith business

Looking to start your own business in a trade with steady demand?

The locksmith industry in the UK offers promising opportunities for people with technical skills and an interest in security.

With the market evolving thanks to innovations like smart lock technology [PDF, 7MB], and the consistent need for emergency services, locksmithing combines traditional skills with modern security solutions.

Starting a locksmith business in the UK is easier than in many other trades because no licences or certificates are required.

Whether you’re looking to change careers, find work with flexible hours, or make extra money on the side, becoming a locksmith may be a way to work for yourself.

This guide will show you how to set up and run a successful locksmith business in the UK.

What are the different types of locksmith business?

Locksmithing covers many different areas, each with its own challenges and benefits.

Looking at what you’re good at and enjoy can help you choose a path that matches your goals and customers' needs.

Here are some types of locksmith businesses you could start:

• residential – help homeowners by installing, fixing and upgrading locks and providing emergency services when they’re locked out
• commercial – work with businesses that need advanced security by managing high-security locks, door entry systems, and setting up master key systems
• automotive – help vehicle owners using special skills and tools to replace car keys, program electronic keys, and unlock car doors
• safe and vault services – use expert knowledge to open, repair and install safes and vaults for homes and businesses
• mobile locksmithing – run a flexible, on-the-go service that reaches clients wherever they are, allowing you to respond quickly to emergencies and serve a wider area.

Why should I become a locksmith?

Becoming a locksmith could offer a range of opportunities for those looking for a rewarding and flexible career.

Running your own locksmith business may give you independence and control over your work life – you could set your own hours, choose which jobs to take, and create a work-life balance that fits your needs.

Depending on whether your existing employment permits it, locksmithing may also be a good side job, helping you make extra money alongside your main job to improve your financial situation.

Read our guide to juggling your current job and a start-up.

One of the advantages of locksmithing is that it can be learned and practiced at various stages of life, though it still requires training and physical capabilities.

Are there qualifications that I need to become a locksmith?

The UK locksmith industry isn’t regulated, so you don’t need any official qualifications to start a locksmith business.

However, gaining relevant qualifications could help improve your skills and build trust with potential customers.

You could take locksmith training courses from reputable organisations, such as the Master Locksmiths Association (MLA), to learn the basics and develop practical skills.

These courses often cover key cutting, lock picking, and working with security systems.

What skills do I need?

It could be important to have a good understanding of locksmith tools and equipment, and to know how to use them safely.

You’ll also need to be familiar with different types of locks and security systems, and be able to install, repair, and open them when needed.

People skills are also helpful – good communication, problem-solving, and attention to detail may help you succeed.

Locksmithing often involves solving problems on the spot, especially in emergencies.

Being able to reassure clients in stressful situations is valuable, and building trust could lead to repeat business and recommendations.

Precision may be critical when working with locks and keys, as even minor errors could lead to security issues or lock malfunctions.

What equipment do I need to start a locksmith business?

Having the right tools will allow you to perform tasks efficiently and offer a full range of services to meet client needs.

Typical equipment could include:

• key cutting machines
• lock pick sets
• screwdrivers of various sizes
• pliers
• hammers
• tension wrenches
• bump keys
• files
• key extractors
• drill and drill bits
• PPE (such as gloves and safety glasses)
• a private mode of transport.

The tools you need will depend on your specific area of locksmithing.

For example, if you specialise in automotive locksmithing, transponder key programming tools could be crucial for servicing modern vehicles.

Automotive specialists may require electronic key programming equipment for modern vehicles, while residential locksmiths might rely on a quality lock pick set and basic hand tools.

Choosing equipment that matches your focus could help you overcome the particular challenges in your field.

How to become a locksmith - setting up your business

1. Conduct market research

Market research can help you understand the demand for locksmith services in your area.

It can give you useful insights into your potential customer base, local competitors, pricing, and which services to offer.

You could also learn how customers prefer to find and use locksmith services.

Without regular market research, it may be harder to reach the right customers and grow your business.

Find out more with our complete guide on how to conduct market research.

2. Choose a business structure

The business structure you choose affects how your locksmith business runs and how much tax you pay.

Common options for locksmiths include working as a sole trader, forming a partnership, or setting up a limited company.

You may want to speak to a business advisor to decide which structure best suits your needs.

Read our guide to start-up business structures.

3. Write a business plan

A business plan is a working document that could be vital to the long-term success of your business.

It should cover details including:

• business objectives and goals
• timeframes for achieving those goals
• business structure
• target market research
• competitor analysis
• the services you offer
• financial projections
• marketing and sales strategies.

You should update this document regularly to keep your business on the right track toward growth.

Some lenders could ask to see your business plan as part of a funding application.

Download our free business plan template.

4. Register your business

All UK businesses must register with HMRC for tax purposes.

How you register depends on your business structure.

If you’re a sole trader, you need to register for self-assessment and file an annual tax return.

If you operate as a limited company, you need to register for corporation tax and register with Companies House so your locksmith business is legally incorporated.

5. Set up a business bank account

Keeping your business finances organised could make it easier for you to successfully grow your locksmith business.

One way to do this is to separate your personal and business finances by opening a business bank account.

This could make it easier to obtain funding, pay taxes reduce potential liability, and access business banking benefits.

Learn more small business bookkeeping tips for success.

6. Get insurance

As someone who works in people’s homes or workplaces, you may want to consider getting business insurance.

For example, public liability insurance protects you and your business if someone claims your work caused injury or property damage.

Tool and equipment insurance could also be a wise move in case your tools are stolen or damaged.

If your business grows and you need to hire staff to meet demand, you will need to take out employer’s liability insurance to protect your team.

7. Find funding

You may need to source funding to start your locksmith business.

Several funding options may be available to you, including bank loans, loans from friends and family, crowdfunding, local grants, and government loan schemes.

Research your options carefully before deciding which type of funding is best for you.

You might consider applying for a Start Up Loan – a government-backed personal loan scheme that offers loans of up to £25,000 at a fixed 6% interest rate and a year of free mentoring.

8. Advertise your locksmith business

You could promote your locksmith business in several ways.

If you focus on local customers, advertising in community hubs or sponsoring local events could help you get noticed.

If you plan to work in a wider area, you might consider placing ads in trade magazines or running targeted social media campaigns.

Having a business website could also help potential customers learn about your services and prices.
Discover more smart strategies with our essential guide to marketing.