8 Top Tips For Setting Up A Construction Business

Building a business is an exciting venture, but it’s one that needs careful planning and evaluation in order to achieve success. From networking right through to managing your resources, here are 8 top tips for setting up a construction business. 

1. Start With A Clear and Concise Plan

The start of any business should begin with a solid business plan, and a construction business is no exception. A business plan should be clear, concise and thorough, as you won’t be the only one reading it – copies of your business plan will be required by the relevant organisations should you need to borrow funds at any point. The plan should incorporate a detailed proposal and strategy for each phase of the business, including funding and budgets along with a proposed timeframe for achieving your targets.

2. Research The Legal Jargon and Requirements

Setting up your own business means you need to become familiar with the legal aspects of the venture, or a lawyer needs to be hired to achieve this for you. Not only is this important when setting up your plan, but this aspect of the business will only become more relevant as you grow and become more successful. Legal terminology, as well as requirements such as permits, licences, certificates and registrations, all need to be understood and adhered to from the very start. Be aware that these can differ depending on the location of your company, too.

3. Consider Your Location and Equipment

The location will be a big factor in your construction business and should therefore be considered very early on in your business plans and proposals. It’s not just office space that will be required in this field of work, but also storage space for the many tools and equipment.

Aspects to consider associated with the location include ensuring you are providing enough parking spaces and hygiene facilities for your employees and making sure you have all the correct site equipment for every job. Fire protection, cleaning equipment and security devices are just some examples of the kit you will need to take into consideration.

4. Understand Your Budget and Finances

Understanding and securing your budget is vital in setting up a construction business. Make sure you either have (or have applied for) the funds to cover everything you’re going to need to pay out for. This includes costs further down the line such as tools and equipment, rent, construction software, any vehicles needed, general bills and payroll. You can never be too prepared with organising any of these factors, so be sure to sort and secure your finances as soon as you’re able.

5. Advertising and Marketing

Remember to also plan for and budget any advertising and marketing costs. Any type of new business needs advertising to help get the word around, whether this is through signs and posters or more contemporary styles of advertisements. There are many different routes you can take.

TV and radio are the two more traditional types of promotion, yet online marketing such as blogs, websites and social media channels are fast becoming the more popular ways of reaching an audience.

The marketing for your business should also include design factors such as business card designs and brand logos. All of these components are super beneficial in building both an audience and customer base.

6. Network As Much As You Can

When setting up your construction business, networking with as many different types of people as possible will establish good connections. You never know what the future will hold, so creating good relationships with other contractors, suppliers and building inspectors could make your life a lot easier in the future – different circumstances may require you to ask a connection for a favour. Networking with other industry professionals can not only help you to expand your knowledge of the trade but can also form positive ties for future arrangements.

7. Secure Employee’s Personal Protective Equipment

The safety of both your customers and your workers should always come first, which is why it’s so important to ensure your employees have the correct personal protective equipment (PPE) available to them.

PPE not only protects workers from hazardous circumstances but can also help them endure certain weather conditions and make them more comfortable while working. From hi-visibility clothing and headwear protection to first aid kits in case of emergencies, PPE in the construction industry is vital for ensuring safe and protected working conditions.

8. Commit To Great Customer Service

Committing to excellent customer service should always be a priority with any business but is an especially vital step to achieve when setting up a new company. All eyes will be on you as an up-and-coming business, and both word of mouth and referrals from your customers will really count in your first few years within the industry. Creating a good relationship will both new and existing customers will not only result in loyal ones but will also lead to more sales and deals in the future, which is when your construction business will truly start to thrive.