The construction industry is dynamic and challenging, and a business's success or failure can hinge on various factors. As we approach the end of another year, it's essential to take a step back and assess your company's successes and challenges.
Contracting is notorious for its complexities and ever-changing landscape. It is crucial to evaluate what worked well, what didn't, and what lessons we can carry into the following year. These are my key takeaways from phone chats and emails with our clients, industry friends, and followers. Use this as a template - remove, add, and reflect on this list to hold yourself accountable for what you can improve.
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Topics:
Construction Strategy,
Systems And Processes,
BPM,
Business Plans,
Processes,
Construction Systems And Processes,
Construction Business Review
When you're ready to take your construction business to the next level, you might start thinking about "scaling." No, it's not just a fancy term for growth; it's about doing more with less. Scaling is about increasing your revenue without proportionately increasing your resources—fancy yet practical, right? It's like sending an email: your effort is the same whether you send it to 100 people or 100,000.
But, as of now, we also probably feel like we are in the thick of a cost-of-living crisis. This challenges entrepreneurs and is a nerve-wracking time for many small construction business owners.
If you've had sleepless nights worrying about how you'll pay your suppliers or support your staff, you're not alone. You've likely already considered where to cut costs, but it seems impossible when suppliers raise prices.
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Topics:
Construction Strategy,
Profit and Growth Strategies For Contractors,
Success In Owning A Construction Business,
MAP vs. PAM,
Construction Business Inflation,
Scaling Your Construction Business
When a business starts, it’s natural for the owner to be a jack-of-all-trades. You may not have the capital to hire specialists or access the technology to help you. As your business grows–or as you look to take a minor role in your construction company–you may find the industry has become over-reliant on you, which makes it difficult for you to take a step back.
Have you M.A.P.ped your business yet? Consider this before retreating and delegating:
- Marketing - never sells more than Production can provide; on-time and on-budget
- Accounting - manages the money to maintain operations and produce a reasonable profit
- Production - delivers the project intending to exceed customer expectations
As you know, we are big on Marketing, Accounting, and Production; having a basic operation manual in place for your office, remote, and field employees pays off in the long run.
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Topics:
Construction Strategy,
Systems And Processes,
Construction Company Cash Flow,
Contractor Tips,
Contractor Guidance
How are you and your construction business? Have you considered what you'd like to achieve in the coming twelve to eighteen months? Or maybe your set of priorities for the next half of 2021?
Contractors like you are typically highly creative and optimistic; thus, you often have difficulty narrowing down your ideas from among all the exciting possibilities, whether it's an opportunity to expand to a new market or choose a better time management strategy.
While some of you love planning, others feel overwhelmed by the process. So how do you decide on just a handful of goals that take priority, with so many moving parts that make up a construction business?
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Topics:
Construction Strategy,
Systems And Processes,
Secrets Of Highly Successful Contractors,
Contractor Operating Tips,
Construction Business Goals
Organizations and industries, no matter the career discipline, is fully invested in coordinating and taking part in conferences, summits, expos, and exhibits. Industry trade fairs are remarkably relevant to construction company owners because it leverages traditional marketing practices without being intrusive (because your target market comes to you), fosters real, solid relationships, and promotes camaraderie among your associations.
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Topics:
Construction Strategy,
Relationships,
Contractor,
Contractor Tips,
successful contractor,
Seattle Home Show,
Trade Show
The Four Most Important Words Your Construction Clients Say:
- "While it's open anyway...." (the walls, floors, ceiling)
- "Since we're this far..." (in the project, remodel, new house)
- "I have an idea..." (for more work to be done, change something)
- "Now my wife wants..." (more, more and more)
Highly profitable and very successful Contractors like you respond with...
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Topics:
Construction Profits,
Construction Strategy,
Increase Cash Flow
There will come a time when you will pass your construction company on to the next generation, sell it or simply close it down. If this is something, you are considering in the near future or perhaps several years down the road it is never too early to begin planning for it.
Prior Planning Prevents Poor Performance
Planning hurts! Because it involves "thinking" which is, some of the hardest work you will ever do and it is the most profitable in the long run. Just knowing the answers or at least having a strategy for finding answers can mean the difference between comfortable lifestyle and the all too common "Work-Till-You-Die" treadmill that far too many contractors are on.
Start by asking yourself two simple questions:
- If your construction company were for sale, would you buy it?
- How much would you be willing to pay for it?
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Topics:
Construction Strategy,
Construction Inheritance
Are You Upgrading Your Equipment Now Or Later?
Black Friday followed by Cyber Monday was the day for SHOPPING. The real question is what equipment is on your business shopping list. It is all a question of your budget, income, cash flow, profit & loss and Taxes.
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Topics:
Construction Strategy,
Upgrading Construction Tools And Equipment,
Business Process Management For Contractors,
Section 179,
BPM
