Checklist for Starting a Construction Company
If you are thinking about starting a construction company, you have chosen the right time. The American Institute of Architects has predicted there will be a 4 percent increase in spending for non-residential construction in 2019. So, especially if you want to get into the commercial construction business, you are in luck. Having a construction company can be very lucrative, as it is likely that for as long as humans live on Earth, there will be construction needs. If you are looking to start a construction company, you should follow this list of steps to make sure your business thrives.
1. Fund your construction company
The first thing you will want to do before you get too deep into your business plan is to make sure you can secure adequate funding. When thinking about funding, it is important not to count anything out. You can get a small business loan, try out crowdfunding, or perfect a business pitch to ask for funding from people who are already in your network.
2. Research and acquire necessary licenses
After you have secured enough funds to get your business off the ground, you want to make sure that you are conducting business legally. Research your state or region to make sure you have all the proper licensing in order to do construction in your area. There is no use doing business at all if your company is going to be shut down for administrative reasons!
3. Make sure you’re insured
Because of the highly physical, and therefore occasionally dangerous, nature of construction, you will want to make sure that you have business insurance as well as insurance for your employees. You will definitely want to get liability insurance and may also want to look into insurance for any of your larger or more expensive machinery.
4. Hire and train a great team
Construction workers make construction companies work! While it may seem like an obvious step, it is vital that you build and train a highly knowledgeable and skilled team. You may need to invest in some extra safety trainings for your employees, but it is always worth it to keep your employees and clients safe. You will also want to make sure that your employees are trained in building safety in all areas: training using fire escapes, roof access ladders, and other emergency and accessibility infrastructure is highly important. Having safety mechanisms means nothing if your employees do not know how to use them.
5. Market, market, market
After your company is ready to start building, you will want to market your new business in any way you can. Social media, print media, and advertisements on local radio and television can prove extremely beneficial when looking for new clients. In the modern age, it is also important that your new company has an informative and attractive website, as that could be the main way that people are alerted to your business’s existence. Make sure you list your company’s location and contact information on your website, so that interested potential customers know who to call for their construction needs!
6. Maintain good relationships going forward
The last step after your construction company has gotten off the ground and built a few structures is to make sure you are maintaining positive relationships with your customers. This is incredibly valuable, as you’ll want to create ongoing relationships. Additionally, they may spread the word about your business either online or in person. Word of mouth marketing is sometimes underrated but is highly effective when it comes to marketing a newer business!