Electric vehicle (EV) charging is quickly expanding in the US, with more than 64,000 publicly accessible stations available across the US as of 2024. In the same year, fast-charging EV stations not affiliated with Tesla doubled their average utilization from 9% at the beginning of January to 18% by the end of December. This suggests that the EV charging station business is a lucrative venture worth exploring. So, the big question is how to start a mobile EV charging business.
Although EV demand has experienced a slow growth rate recently, the overall demand is still rising each year with anticipated further growth in 2025 and beyond. If you wanted to start a mobile EV charging service, is it still worth giving a shot? In this post, we’ll show you a step-by-step process of how to do it successfully.
Is It Worth Investing in an EV Charging Station Business?
The International Energy Agency reported that there were about 2.7 million publicly accessible charging stations across the globe by 2022. That number has grown, but it’s still not enough to meet the rapidly growing demand. Recently, it’s been established that only a single public EV charger is accessible to 10 EVs. When you look at countries that have heavily invested in public EV charging infrastructure like Norway or China, that ratio is highly imbalanced.
In most countries, the disparity between the available charging stations and active EVs is even bigger. Experts claim that it’s the lack of public EV charging stations that derail EV adoption, majorly in countries such as the US.
When you look at sales projections, EVs could make up more than two-thirds of all passenger vehicle sales by 2030, expanding the global market to $693 billion. Europe is increasingly registering plug-in vehicles while hybrid-electric and fully electric vehicles continue to break sales records annually in the US. Surprisingly, even oil-rich nations in the Middle East are also making strides in adopting EVs.
These facts show the immense business opportunities in this industry. Estimates show the global EV charging market value in 2023 was around $16.43 billion, $22.45 billion in 2024, and is expected to reach $257 billion by 2032. That’s a compound annual growth rate (CAGR) of 35.6% in the course of the forecast period. The future is bright for the EV charging station business, so there’s no better time to invest in this industry than now. Many nations around the world are increasingly allocating bigger budgets for public charging infrastructures. In the US, the government is continually investing more resources into expanding public charging infrastructure with tax incentives to encourage even more investors to hop in. So, it’s important to learn how to start a mobile EV charging business if you want to be part of the future of sustainability in transportation.
Step-by-Step Guide on How to Start a Mobile EV Charging Business
Are you yearning to be a Wallbox business owner or perhaps want to start a mobile EV charging service business? There are numerous ways to get things running, but your success depends on many factors. So, it’s vital to do due diligence during the planning phase for your business. Check out this comprehensive step-by-step guide on how to start a mobile EV charging business.
Do Thorough Market Research
Like any other business, market research is the pillar for a better start. But in EV charging business, it’s even more important. While EV adoption is quickly growing globally, it’s much stronger in certain areas than others.
Your market research should look into EV registration data, analyze charging trends, and identify areas with bigger opportunities. Once you understand the needs of your market, it becomes easier to establish a business that meets its EV charging demands. It will also help you understand your competition to create a well-informed business strategy.
Consider Federal and State Regulatory Requirements
Another hurdle you’ll need to overcome when setting up your venture is federal and local EV charging point regulations. EV charging is a venture still under development, and regulatory requirements vary according to where your business is located. Other than this, you’ll also have to factor in zoning laws and non-utility classifications.
Get the necessary licenses and permits needed to run the EV charging business in your location. Follow all local, state, and federal laws on safety and environmental standards. All these regulatory considerations can seem overwhelming so, it’s worth consulting with legal experts to ensure you’re compliant and mitigate any potential risks.
Create A Comprehensive Business Plan
This sounds obvious, but it is still worth mentioning. In your business plan, you should outline the business model of choice, detailing all the services you’re going to offer. Also, include your pricing strategies and operational plans.
A good business plan for an EV charging business shouldn’t miss financial projections, marketing tactics, and growth strategies. This ensures your venture has a clear roadmap.
Secure Funding For Your Business
Unless you’re Elon Musk-rich, you certainly need a bit of funding, even if you already have your own money set aside for the project. Start by projecting your startup costs based on the business model you plan on setting up and the associated equipment. This can vary between $50,000 and $20,000, covering costs like mobile charging units, vehicles, and operational expenses.
Luckily, the government offers various funding options, such as the National Electric Vehicle Infrastructure (NEVI) Formula Program and the Discretionary Grant Program. There’s also the option of angel investors, venture capital, and leasing equipment to cut your initial setup costs.
Acquire the Required Equipment
Another important consideration on how to start a mobile EV charging business is acquiring the right equipment, such as mobile charging units and vehicles for transportation. During acquisition, do thorough research on the compatibility of the charging equipment with different EV models. Also, ensure that they meet the necessary safety standards.
While at it, don’t forget that EV adoption substantially relies on technology, so factor it in. Tech-savvy customers are more likely to choose an EV over gas-powered vehicles. Therefore, you should implement the appropriate technology to meet the demands of the tech-focused audience in your target market. This should include establishing a mobile app to allow consumers to monitor real-time charging availability, process payments, and more.
Establish An Efficient Operational Logistics
Logistics presents one of the biggest hurdles in any mobile service delivery, so it’s crucial to create an efficient model of operation. Your operational logistics should have efficient methods for dispatching charging units, handling customer requests, and maintaining equipment.
Have a user-friendly booking system (better if it’s via a mobile app) to streamline your operations and give your customers a reason to come back.
Execute Marketing Strategies
In a highly competitive landscape, no business can survive without marketing, so have a marketing strategy to promote the services you’re offering. Make use of digital marketing platforms and social media or partner with local businesses to increase your venture’s popularity. Another hack for achieving better business fame is participating in community events to strengthen your brand awareness and attract more EV owners.
Launch and Scale Your EV Charging Business
You can kick off your mobile EV charging service business by targeting a limited area to allow you to test operations and collect feedback from customers. Refine your EV charging services from the insights gathered before expanding to the surrounding regions. Actively monitor the trends and technological advancements so you can adapt and expand your business with minimal resistance.
The government has also made available many resources, such as EV charging maps, to assist drivers in locating public charging points. Ensure your charging station appears on local maps to increase the adoption of EVs in your area.
The Profit Margins and How To Fund Your EV Charging Venture
That’s a broad question because profit margins depend on many different factors. However, you can expect profit margins for EV charging station operators to vary between 15% and 30%. That’s a fair profit margin; you can use the proceeds of the venture to cover your upfront investments within a 10-year timeframe.
Financing and Managing Mobile EV Charging Business
To start reaping the rewards of your EV charging investments, you need to finance the business. Even though securing funding is typically overwhelming for startups, there are plenty of opportunities in the EV charging market.
For instance, you could do a business loan application, of course, after doing some market research. If you did thorough due diligence, you can use your findings and revenue earning potential to demonstrate to lenders that the venture is worth investing in.
There’s also the option of exploring federal loan programs. An example of this is the United States Department of Agriculture (USDA) with a loan program that can lend up to $1 million to finance EV charging infrastructure in rural areas.
The government also offers grants at federal and state levels to those who want to set up EV charging infrastructure. You can also take advantage of tax breaks to recover some of your expenses. Just research thoroughly to know and understand what’s accessible to you.
Lastly, another way to secure funding for your mobile EV charging service business is through angel investors. Many investors are recognizing the immense potential of EV charging and are ready to take the plunge. With a good business plan, it’s easy to attract and convince investors to fund your business.
Final Thoughts
EV charging is rapidly expanding with increasing EV adoption, not just in the United States but globally. It presents a great opportunity for investors to capitalize in and reap big. So, instead of debating whether it’s a good idea to invest in the EV industry, it’s advisable to start learning how to start a mobile EV charging business.
Invest in emerging markets to generate big revenue and be part of the EV revolution. The secret recipe to success in the EV charging sector is to stay informed and become proactive when new opportunities and challenges arise. Don’t hesitate to push the boundaries in technological innovations to make your business rise above the competition.