For those in the trade, building a construction company from the ground up is a worthwhile and profitable endeavor. But, a successful business doesn’t just materialize out of sawdust.
If you are planning to start your own company, this list of what to do and what not to do will help you build a strong foundation for your new business.
A New Owner’s Blueprint for Success
Just like any big project, new owners benefit from creating a well thought out blueprint for their construction company. They need to make sure they have secured essential elements like upfront capital, employees and, of course, clients.
Research the Business Landscape
Approach your business’ launch with the same care and attention as a new construction job.
Your plan should include:
- Researching available financial resources
- Considering obstacles
- Gathering as much information as possible
- Doing online research
- Buying relevant business books
Build a Strong Foundation
Once you’ve established a working plan, it’s time to take the steps to make it a reality. Start-up construction businesses who gain a foothold in the industry have rock-solid foundations and good habits.
There are a few things you’ll want to do before putting your first shovel in the ground:
- Incorporating your company
- Opening a business bank account
- Enrolling in an insurance plan
- Buying a website domain name
- Opening social networking accounts
New Construction Company Mistakes to Avoid
When starting a new construction business, avoiding big mistakes can be just as important.
The first thing to avoid is trying to tackle too much, too soon. As a new owner, biting off more than you can chew can cause serious problems for your business.
Many entrepreneurs focus on their product or service but neglect branding, marketing and networking, which are all important elements of establishing a strong business identity. Before you launch a promotional campaign, check to see you are legally permitted to use the business name of your choice.
Other common construction mistakes include:
- Choosing the wrong business structure
- Neglecting to set up a business bank account
- Not having a strategy and tactics for achieving your end goal