Investing in a client means giving , being patient, and then asking when the time is right. You can give to the client through automatic follow-up or manual follow-up. Automatic follow-up means using a Customer Relations Manager CRM to systematically contact specific people at specific times. Manual follow-up involves a lot of calling and talking to people. Before bidding a project, be sure to meet your potential client in person to:. As stated above, the owner of a construction company, or any company for that matter, should focus on leading teams and selling.
Being on the job site all day stressing and pulling your hair out is not going to bring in new business. Unless you truly love being on the field, you need to delegate everything to seasoned professionals. But before you go running around and delegating everything, you need to set up a system to manage all your projects so your contracting business can be a coordinated, smooth-oiled machine that pumps out only quality work. If you want to check out some bidding software go take a look at SmartBid and Quick Bid.
This is software for people on the field to be in constant communication with one another. One of the first steps in professionalizing a construction company is to get a project management software that helps all the workers, supervisors, project managers, and superintendents all be on the same page all the time. Some great P. S are CoConstruct , Buildertrend , and Procore. It always helps to have all your finances done automatically and as hands-off as possible.
Let an accounting software manage all your finances so you can focus most of your effort on bringing in revenue by selling jobs. QuickBooks is the cream of the crop here but Zipbooks and Stripe are also great alternatives. We use Planswift in our office but Bluebeam is also great as well. You can find software packages that include all-in-one packages like Procore, Corecon, or Buildertrend that include everything you need to professionalize your construction business.
Keep in mind this is only for people in the field , not in the office. Every construction company is different, some may choose to subcontract work instead of hiring workers and training them, and then others may lease workers from other companies. So first understand how you want your company to operate, then the next step is to understand the roles of a steamrolling field operations team and how to find the right people for the job.
This is the main field operations manager. A general superintendent needs to be comfortable under pressure, an effective leader that gets people to work, and able to raise their voice from time to time. There are the overseers of single projects.
They put all their attention on a single job to make sure it runs well. They need to have a deep understanding of construction, their workers, and be on top of their game even when under pressure. This is the next subdivision in the field. Skilled laborers are the true engine behind the construction job. These are the people on the field doing the actual work.
Hiring workers is relatively simple but be sure not to fall in the trap of hiring cheaper labor to save money because the reality is all the mistakes they make end up costing more than if you would have hired workers a bit more expensive. Hire people, train them, and let them train other workers. We hope you enjoyed this piece and got some real value from it. Daniel Quindemil. Jun 16, We tried it all…. This is your business plan. How do you want to handle your bidding process? How much time do you have for your construction company?
Establish Your Bidding and Estimating Process The second step after getting leads is to have a system that bids and estimates those jobs for you at lightning speed so you can focus most of your time on selling the job. Hire an estimating service to handle each individual project. Do the whole thing yourself. This is how the process works for our company.
Project Management Software This is software for people on the field to be in constant communication with one another. Accounting Software It always helps to have all your finances done automatically and as hands-off as possible. General Superintendent This is the main field operations manager. Project Superintendent There are the overseers of single projects.
Its main office is fully staffed and equipped and able to handle nearly double the amount of sales with little additional expenses. Its first full year of business saw Smith Contractors equal industry averages. Over the next several years, if it meets the modest growth goals outlined in this plan, it will do much better than peer operations. The biggest problem this venture will face will be creating customer awareness of our services and funding the growth.
We will use a combination of advertising techniques and word of mouth to increase this awareness. Once a general awareness is present, the company has a virtually unlimited growth potential. This resulted in Smith Contractors financing the majority of its jobs. Smith Contractors is able to institute these new procedures due to different terms negotiated on new contracts with owners and subcontractors and because of its position and reputation in the industry.
The future holds the promise for almost unlimited growth and income as the business matures and considers other markets and products. Complementary products such as international jobs will be considered in the future in response to customer requests. John Smith is the majority stockholder and serves as President and C. He has 30 years' experience in the construction industry and has "hands-on, ground-up" knowledge of all facets of the construction business.
He received a degree in home building construction from San Matino College. He completed over 96 additional hours in construction technology at the University of Washington. He has played a key role and functioned in a management capacity in most impact areas of the industry. His supervisory positions in the administrative, operational, technological, and fiscal areas of this discipline have afforded him the skills, experience, and talents necessary to lead Smith Contractors into the new century.
John Smith is heavily involved in sales, public relations, banking, personnel, and planning. He received a M. He is a licensed civil and structural engineer. He is a senior project manager for the El Martino Texas office. He has a total of more than 40 years of engineering experience. His investment in money and time in Smith Contractors has been critical to its success. Ralph Brown serves as Director of Construction.
He received a B. He now has over ten years of experience in commercial tenant improvement project management in national and local markets. He has handled up to 17 projects at one time. Project experience includes military and government facilities, airports, hospitals, universities, offices, banks, and retail stores.
He has hands-on experience in preparing bids, determination of subcontractor qualifications, and preparation of critical path schedules. He writes and awards all contracts. He is responsible for scheduling of all subcontractors and materials and conducts pre-construction meetings. He supervises all project progress meetings, training superintendents, and is responsible for the certification of all change orders.
Ralph is involved in sales, public relations, personnel, operations, planning, purchasing, equipment, and labor. Mark Brown has been recently hired as the Marketing Manager. He has over seven years of experience in a variety of high level management positions, working for both private industry and different levels of the United States government. Mark is involved in sales, public relations, advertising, marketing, and planning.
The business is set up as a "C" corporation. This form of legal entity was chosen primarily for liability reasons and makes it easier to secure investors. The company employs nine other highly trained employees in office management and project administration. As the business grows additional part-time or full-time employees may be added to handle the increased workload. Currently, the national market distribution is shared by about fifty plus participants. They are located all over the country.
This market segment has been relatively stable over the past five years. The Washington economy is in the midst of a particularly strong growth period. Many new jobs are being added to the local community. Ever increasing numbers of Californians are coming to this area.
All of these factors are cause for a much greater need for retail construction services. All of this activity can only help our kind of business. Listed below are just some of the reasons that the Washington and the Washington area, in particular, is growing and why it is a good time for a business such as ours. The estimated population of King County in was , people. The number of households was , Projections see this trend continuing through the next decade.
From the above figures it can readily be seen that the potential local market for our services is huge. We feel with our pricing and value we will become one of the premier retail construction companies in the country. Our customers are usually large nationally known firms in a variety of fields.
Projects that Smith Contractors, Inc. We feel we have strengths in administration, overall management, human resources, quality of service, operations, servicing, quality of service, company policies, service features, reliability, desirability, and pricing. Our minor weaknesses are in the areas of marketing and advertising and finding lenders who will finance receivables.
We have just begun to look at this area. We have recently hired a marketing manager to provide expertise and direction. We have obtained the services of a highly qualified business consultant to aid in financial projections, help put together a business plan, and develop strategies to fund future growth.
Our staff is highly trained, well motivated and provided with an excellent benefit package. Client issues are given the highest priority. The business is highly competitive and has excellent facilities which are fully equipped.
The business is ready for significant increases in sales with little additional need for staff or equipment. We perceive medium risk exposure in the competitive position, vulnerability to substitutes, financial performance, finance, and planning.
We have or will soon retain the services of a full-time marketing manager, a full-time controller, and a business consultant to help in various areas such as marketing, financial controls, and general overall business operation advice. We do not perceive any high risks associated with our company. Since we are still a relatively new business we will continue to obtain help when needed in areas necessary to complement our abilities. Pricing is based upon subcontractors price plus overhead and profit.
Prices are driven by competition. Current competition dictates a percent of mark-up. We currently win about one-third of the projects we bid on. We come in second on nearly seventy percent of the rest of the jobs we bid on. At this point there is a certain amount of price inelasticity in this service. Customers are very sensitive to pricing changes. With the current level of competition we must be careful not to price ourselves out of the market. On the other hand, if we offer additional services we can open up other opportunities to increase income.
Pricing will be reviewed on a monthly basis. Our company's marketing strategy will incorporate plans to promote our line of services through several different channels and on different levels of use. We make use of referrals, cold calls, visits to customers and advertising. We plan to utilize our website as a selling tool.
Advertising tools we will utilize include brochures, catalogs, targeted advertisements, lead generation, lead referral and follow-up systems, information gathering, and dissemination. To better reach the local market we will meet with building owners and property managers to present our track record of success. In addition, we will advertise in Washington and Oregon newspapers, local trade journals, and business newspapers that target business clientele.
We will join the local association for property managers. Nationally, we will advertise by way of our brochure that will be sent to potential clients. We will advertise through the Internet. If any interest is shown, we will invite them to tour our facilities and meet our professional staff. We recognize that the key to success at this time requires extensive promotion. Advertising goals include all of the following:.
We will develop a public relations policy that will help increase awareness of our company and product. To achieve these goals we will consider some or all of the following:. Throughout this business plan we have taken a very conservative approach to developing our financial projections. The following assumptions were used in preparing the projections in this business plan:. This page left intentionally blank to accommodate tabular matter following.
Break-Even Analysis is a mathematical technique for analyzing the relationship between profits and fixed and variable costs. It is also a profit planning tool for calculating the point at which sales will equal costs. The above analysis indicates break-even number customers at. Anything over these amounts will be profit. Ratio analysis can be one of the most useful financial management tools. It becomes important when you look at the trend of each ratio over time. It also becomes important when compared to averages of a particular industry.
It has spent the first three years building, staffing, and equipping the business. As the sales and income go up, these percentages will go down and become more in line with industry averages. The hiring of a new comptroller should help reduce the amount of taxes paid and allow the company to more closely monitor expenses.
This would indicate that the amount of current assets is increasing steadily as is the "cushion" between current liabilities and the ability to pay them. It could suggest that Smith Contractors has a relatively more stable position than the industry and seems to suggest that there is an opportunity for expanded operations.
Step 3: Resources Needed Make a list of all the resources and materials you will need to make your business plan work well and so that your construction can complete all the contracts it gets. Know what your bidding process is, list out the equipment, the necessities you will need, etc.
Mention whether the equipment is rented, leased, or purchased. Include the costs, insurances, and policies without fail. Step 4: Strategies Mention all the strategies that your construction business will use to attract and maintain clients. Include your methods of marketing like advertising, social media , etc.
Quality, exclusive designs, prices, business opportunities, job variations, etc. Mention your target audience and how you would possibly make most of your business with them. Be consistent throughout the year. Step 5: Financial Statements This is one of the most important parts of the plan.
This is where you include the budget, costs, and all the financial statements in your plan. Also, mention the type of payment you mainly deal with. Whether it is cash or accrual credit , mention the production schedule , the time taken for you to make the plan, etc. Have a balance sheet with all the costs in it so that you can keep a check on them. Keep changing it whenever necessary to keep up with the pace of the fast-changing world.
Review your plan to make sure that you added all the needed information. Edit it and make all the necessary changes. Check plan templates in Word format for more. Add any supporting documents, tax returns, supplier agreements, policies, license approvals, etc. Final Thoughts: A well-designed plan can be written in any file format. They provide guidelines on the actions to be undertaken, the task assignments, and even the resource requirements if any.
This will enhance an eventful completion of task and beating of deadlines, for prosperous construction work and venture. Get some sample business plans that are available on our website template. Give a detailed summary of your business plan outlook. See more business plan templates. Every business needs a plan which will include all the points and norms that need to be followed, and the summary of the jobs one needs to complete. Plan templates in Google Docs can also be of great help to you in case you need to make plans in the form of a document.
Plans help create steps to show you how best to executive your ideas of business growth. General FAQs 1. A construction business plan can be defined as a business plan that allows you to lay down the outline for your construction company from start to finish.
It includes information about the business, the services that are being provided, etc. It helps you analyze your status in the market. A business plan has two primary purposes — First, it is used to help run your company with a specific vision. It is mainly your roadmap. Secondly, it can be used for marketing, sales, website design, etc. A construction business plan is mainly used by — contractors, residential or rented tenants, landlords, construction companies , remodeling agents, etc.
The following points must be included in your business plan: A brief history of your construction company The customers, suppliers, and needs you have A summary of the growth of the company, including financial details A brief of your long-term and short-term goals Steps on how you will make profits. Business planning has many advantages. A few of them are: Planning leads to practical and faster achievements in any company It foresees the future It acts as an added strength to business for steady growth and prosperity It helps one be ready to face any unexpected situation that might crop up.
Free Download. Construction Business Plan Template Pdf. Construction Business Plan Template. Construction Company Business Plan. For example, when you start a job you will need materials and supplies. It may be a month or two before your first payment. What do you do in the interim if trade credit will not completely satisfy your cash needs?
Your bank may be able to help with a short-term loan. A banker who is to lend you money on either a short- or long-term basis will want to know your company's financial condition. The bank officer will ask to see a balance sheet. A blank balance sheet is included in Appendix C. Even if you don't need to borrow money, use it as an outline of your firm's financial condition.
You may want to show your plan to the bank that handles your company's account. It is never too early to build good relations with your banker. A time may come when you may have to seek funds from your banker. The management controls you set up should supply the information you need to keep your operation on the money. During the planning stage, you will need to calculate your bid carefully. To direct a job, you will need your job cost analysis to make sure that the job is going to make a profit.
To control the job, you must organize your employees' work schedules. Personal follow up ensures efficient performance by your personnel. Now that you've planned this far, step back and take a look at your plan. Is it realistic? Can you do enough business to make a living?
If your plan isn't workable, now is the time to revise it, not after you've invested your time and money. If you feel that some revisions are needed before you start your own business, then make them. Go back to the cash flow projection and adjust the figures. Show your business plan to someone not involved in developing the plan. Your banker, contact person at SBA SCORE counselor or any outside advisor may be able to point out strong points that, if emphasized, could turn into dollars.
If you have serious doubts about your business or your ability to run it, it might be better to delay going into business until you feel as comfortable with the tools of management as you do with the tools of your trade. Keep in mind that action is the difference between a plan and a dream. If a plan is not acted on, it is of no more value than a pleasant dream that evaporates over the breakfast coffee.
The first step will be acquiring enough capital to get started. Do you already have the money? Will you borrow it from friends, relatives or a bank? What else needs to be done? Look for positive action steps that will get your business rolling. For example, where and when will you hire competent employees?
Where and how will you get whatever licenses you need to be a contractor? These requirements differ from state to state. In the following space, list what you must do to get your business off the drawing board and into action, and give each item a completion date.
Review your plan once a month. As an owner-manager, you must! Be alert to the changes that come about in your industry, market and customers. Check your plan against these changes periodically. Determine what revisions, if any, are needed in your plan and implement them.
It enables the owner-manager to develop a preview of the amount of income generated each month and for the business year, based on reasonable predictions of monthly levels of sales, costs and expenses. As monthly projects are developed and entered into the income projection statement, they can serve as definite goals for controlling the business operation.
As actual operating results become known each month, they should be recorded for comparison with the monthly projections. A completed income statement allows the owner-manager to compare actual figures with monthly projections and to take steps to correct any problems.
The reference librarian in your nearest public library can refer you to documents that contain the percentage figures, for example, Robert Morris Associates' Annual Statement Studies 1 Liberty Place, Philadelphia PA Industry figures serve as a useful benchmark against which to compare cost and expense estimates that you develop for your firm. Compare the figures in the industry column to those in the annual percentage column Total Net Sales Revenues Determine the total number of units or products or services you realistically expect to sell each month in each department at the prices you expect to get.
Use this step to create the projection to review your pricing practices. What returns, allowances and markdowns can be expected? Exclude any revenue that is not strictly related to the business. Cost of Sales The key to calculating your cost of sales is that you do not overlook any costs that you have incurred. Calculate cost of sales for all products and services used to determine total net sales.
Where inventory is involved, do not overlook transportation costs. Also include any direct labor. Gross Profit Subtract the total cost of sales from the total net sales to obtain gross profit. Gross Profit Margin The gross profit margin is expressed as a percentage of total sales revenues it is calculated by dividing gross profits by total net sales Controllable Expenses!
Salary expenses -- Base pay plus overtime. Payroll expenses -- Include paid vacations, sick leave, health insurance unemployment insurance and social security taxes. Outside services -- Include costs of subcontracts, overflow work and special or one-time services. Supplies -- Services and items purchase for use in the business. Repairs and maintenance -- Regular maintenance and repair, including periodic large expenditures such as painting.
Advertising -- Include desired sales volume and classified directory advertising expenses. Car, delivery and travel -- Include charges if personal car is used in business, including parking, tolls, buying trips, etc. Accounting and legal -- Outside professional services. Fixed Expenses! Rent -- List only real estate used in the business! Depreciation -- Amortization of capital assets.
Utilities -- Water, heat, light, etc. Insurance -- Fire or liability on property or products. Include workers' compensation. Loan repayments -- Interest on outstanding loans. Miscellaneous -- Unspecified; small expenditures without separate accounts. Net Profit loss! Subtract total expenses from gross profit before taxes Taxes!
Include inventory and sales taxes, excise tax, real estate tax, etc. Subtract taxes from net profit before taxes after taxes Annual Total! For each of the sales and expense items in your income projection statement, add all the monthly figures across the table and put the results in the annual total column. Annual Percentage! Loan repayments 1. Your debt load for a given month will vary depending on the repayment schedule of the loan.
Commercial loans are typically figured on different schedules; for example, some of your equipment may be paid on monthly installments, other equipment may be on a quarterly installment schedule, and a capital asset loan may be repaid in annual installments. This will help you monitor the amount of money from your business that is going to debt service. The income statement is usually attached to the balance sheet.
The following text covers the essential elements of the balance sheet. At the top of the page fill in the legal name of the business, the type of statement and the day, month and year. Assets List anything of value that is owned or legally due the business. Total assets include all net values. These are the amounts derived when you subtract depreciation and amortization from the original costs of acquiring the assets. Current Assets!
Cash -- List cash and resources that can be converted into cash within 12 months of the date of the balance sheet or during one established cycle of operations. Include money on hand and demand deposits in the bank, e. Petty cash -- If your business has a fund for small miscellaneous expenditures, include the total here. Accounts receivable -- The amounts due from customers in payment for merchandise or services. Inventory -- Includes raw materials on hand, work in progress and all finished goods, either manufactured or purchased for resale.
Short-term investments -- Also called temporary investments in marketable securities, these include interest- or dividend-yielding holdings expected to be converted into cash within a year. List stocks and bonds, certificates of deposit and time-deposit savings accounts at either their cost or market value, whichever is less. Prepaid expenses -- Goods, benefits or services a business buys or rents in advance. Examples are office supplies, insurance protection and floor space. Long-term investments Also called long-term assets, these are holdings the business intends to keep for at least a year and that typically yield interest or dividends.
Included are stocks, bonds and savings accounts earmarked for special purposes. Fixed Assets Also called plant and equipment. Includes all resources a business owns or acquires for use in operations and no intended for resale. Fixed assets, except for land, are listed at cost less depreciation. Fixed assets may be leased. Depending on the leasing arrangement, both the value and the liability of the leased property may need to be listed on the balance sheet.
Land -- List original purchase price without allowances for market value. Typically they include the following:! Accounts payable -- Amounts owed to suppliers for goods and services purchased in connection with business operations. Notes payable -- The balance of principal die to pay off short-term debt for borrowed funds. Also include the current amount due of total balance on notes whose terms exceed 12 months. Interest payable -- Any accrued fees due for use of both short- and long-term borrowed capital and credit extended to the business.
Taxes payable -- Amounts estimated by an accountant to have been incurred during the accounting period. Payroll accrual -- Salaries and wages currently owed. Long-term Liabilities Notes payable -- List notes, contract payments or mortgage payments due over a period exceeding 12 months or one cycle of operations. Net Worth Also called owner's equity, net worth is the claim of the owner s on the assets of the business.
In proprietorship or partnership, equity is each owner's original investment plus any earnings or withdrawals. Total Liabilities and Net Worth The sum of these two amounts must always match at of total assets. Your final plan may vary according to your needs or because of the individual requirements of your lender. What Are the Benefits? Every business can benefit from the preparation of a carefully written plan.
There are two main purposes for writing that plan: 1. To serve as a guide during the lifetime of the business. It is the blueprint of your business and will provide you with the tools for analysis and change.
A business plan is a requirement if you are planning to seek a loan. It will provide potential lenders with detailed information on all aspects of your company's past and current operations and provide future projections. Business Plan Outline I. Cover sheet Serves as the title page of your business plan. It should contain the following:!
Name of the company! Company address! Company phone number include area code! Logo if you have one! Names titles addresses phone numbers include area code of owners! Month and year your plan was issued! Name of preparer II. This is the thesis statement and includes business plan objectives. Use the key words who, what, where, when, why, how, and how much to briefly tell about the following:! What your company is also who what where and when. What your objectives are.
If you need a loan why you need it. How much you need. Why you will be successful. How and when you plan to repay your loan. Table of contents A page listing the major topics and references. The business Covers the details of your business. Include information about your industry in general, and your business in particular. Address the following:! Legal structure -- Tell what legal structure you have chosen and state reasons for your choice.
Description of the business -- Detail your business. Tell about your history present status and future projections. Outline your product or service in terms of marketability. Project a sense of what you expect to accomplish in the next few years. Products or services -- Give a detailed description of your products from raw materials to finished items.
Tell about your manufacturing process. If you provide a service tell what it is how it is provided and why it is unique. List future products or services you plan to provide. Location -- Describe site and why it was chosen. If location is important to your marketing plan focus on this in the marketing section below. Management -- Describe who is behind the business. For each owner tell about responsibilities and abilities.
Support with resumes. Personnel -- Who will be doing the work why are they qualified what is their wage what are their responsibilities? Methods of record keeping -- What accounting system will you use? Who will do your record keeping? Do you have a plan to help you use your records in analyzing your business? Insurance -- What kinds of insurance will you need? What will these cost and who will you use for a carrier?
Security -- Address security in terms of inventory control and theft of information. Marketing Covers the details of your marketing plan. Include information about the total market with emphasis on your target market. Identify your customers and tell about the means to make your product or service available to them.
Target market -- Identify characteristics of your customers. Tell how you arrived at your results. Back up information with demographics questionnaires and surveys. Project size of your market. Competition -- Evaluate indirect and direct competition. Show how you can compete. Evaluate competition in terms of location market and business history. Methods of distribution -- Tell about the manner in which products and services will be made available to the customer. Back up decisions with statistical reports rate sheets etc.
Advertising -- How will your advertising be tailored to your target market? Include rate sheets promotional material and time lines for your advertising campaign. Pricing -- Pricing will be determined as a result of market research and costing your product or service. Tell how you arrived at your pricing structure and back it up with materials from your research. Product design -- Answer key questions regarding product design and packaging.
Include graphics and proprietary rights information. Timing of market entry -- Tell when you plan to enter the market and how you arrived at your decision. Location -- If your choice of location is related to target market cover it in this section of your business plan.
See location in the business section of this outline. Industry trends -- Give current trends project how the market may change and what you plan to do to keep up. The following are the major documents you will want to include in your business plan. The work is easier if these are done in the order presented. Summary of financial needs -- This is an outline indicating why you are applying for a loan and how much you need.
Sources and uses of funds statement -- It will be necessary for you to tell how you intend to disperse the loan funds. Back up your statement with supporting data. Cash flow statement budget -- This document projects what your business plan means in terms of dollars. It shows cash inflow and outflow over a period of time and is used for internal planning. Cash flow statements show both how much and when cash must flow in and out of your business. Three-year income projection -- A pro forma income statement showing your projections for your company for the next three years.
Use the pro forma cash flow statement for the first year's figures and project the next according to economic and industry trends. Break-even analysis -- The break-even point is when a company's expenses exactly match the sales or service volume. It can be expressed in total dollars or revenue exactly offset by total expenses or total units of production cost of which exactly equals the income derived by their sales.
This analysis can be done either mathematically or graphically. Note: The following are actual performance statements reflecting the activity of your business in the past. If you are a new business owner your financial section will end here and you will add a personal financial history. If you are an established business you will include the actual performance statements that follow.
Balance sheet -- Shows the condition of the business as of a fixed date. It is a picture of your firm's financial condition at a particular moment and will show you whether your financial position is strong or weak. It is usually done at the close of an accounting period and contains assets liabilities and net worth. Income profit and loss statement -- Shows your business financial activity over a period of time monthly annually.
It is a moving picture showing what has happened in your business and is an excellent tool for assessing your business. Your ledger is closed and balanced and the revenue and expense totals transferred to this statement. Business financial history -- This is a summary of financial information about your company from its start to the present. The business financial history and loan application are usually the same.
Supporting documents These are the records that back up the statements and decisions made in the three main parts of your business plan. Those most commonly included are as follows:! Personal resumes -- Should be limited to one page and include work history educational background professional affiliations and honors and special skills. Personal financial statement -- A statement of personal assets and liabilities. For a new business owner this will be part of your financial section.
Credit reports -- Business and personal from suppliers or wholesalers credit bureaus and banks. Copies of leases -- All agreements currently in force between your company and a leasing agency. Letters of reference -- Letters recommending you as being a reputable and reliable business person worthy of being considered a good risk. Include both business and personal references. Contracts -- Include all business contracts both completed and currently in force. Legal documents -- All legal papers pertaining to your legal structure proprietary rights insurance titles etc.
Miscellaneous documents -- All other documents that have been referred to but are not included in the main body of the plan e. Putting Your Plan Together When you are finished: Your business plan should look professional, but the lender needs to know that it was done by you.
A business plan will be the best indicator he or she has to judge your potential for success. It should be no more than 30 to 40 pages long. Include only the supporting documents that will be of immediate interest to your potential lender. Keep the others in your own copy where they will be available on short notice.
It involves building a Select 12 Cluster S12C. An S12C is essentially a list of 12 potential clients that you handpick and focus on that will provide you with a steady stream of business. Then you would pick 12 of them and either send out personalized emails, give them all a call, or visit their offices. Not any other contractor… but you. Stand out from other contractors, display authority and give value by helping them with their jobs, or by giving potential clients advice.
This goes a long way in developing a relationship with everyone in your S12C. The main idea with the S12C is to put your horse blinders on and laser focus on 12 ideal clients and develop relationships with them so they can start using you as the go-to when they need work with your trade. The second step after getting leads is to have a system that bids and estimates those jobs for you at lightning speed so you can focus most of your time on selling the job.
Plus, imagine working for 1 and a half days straight to estimate a project, only to find out your potential client just used you for better pricing they really do this. Successful contractors are ones that know how to build a team , how to lead them , and how to sell jobs to bring in business.
In other words, delegate as much as possible so you can focus on the thing that really brings in revenue, selling jobs. First, submit your project plans. This can be either through email, or by submitting them on Dropbox. It should look like this. There are many strategies to closing jobs, but as a whole, it involves investing in the client.
Investing in a client means giving , being patient, and then asking when the time is right. You can give to the client through automatic follow-up or manual follow-up. Automatic follow-up means using a Customer Relations Manager CRM to systematically contact specific people at specific times. Manual follow-up involves a lot of calling and talking to people.
Before bidding a project, be sure to meet your potential client in person to:. As stated above, the owner of a construction company, or any company for that matter, should focus on leading teams and selling. Being on the job site all day stressing and pulling your hair out is not going to bring in new business. Unless you truly love being on the field, you need to delegate everything to seasoned professionals.
But before you go running around and delegating everything, you need to set up a system to manage all your projects so your contracting business can be a coordinated, smooth-oiled machine that pumps out only quality work. If you want to check out some bidding software go take a look at SmartBid and Quick Bid. This is software for people on the field to be in constant communication with one another. One of the first steps in professionalizing a construction company is to get a project management software that helps all the workers, supervisors, project managers, and superintendents all be on the same page all the time.
Some great P. S are CoConstruct , Buildertrend , and Procore. It always helps to have all your finances done automatically and as hands-off as possible. Let an accounting software manage all your finances so you can focus most of your effort on bringing in revenue by selling jobs.
QuickBooks is the cream of the crop here but Zipbooks and Stripe are also great alternatives. We use Planswift in our office but Bluebeam is also great as well. You can find software packages that include all-in-one packages like Procore, Corecon, or Buildertrend that include everything you need to professionalize your construction business.
Keep in mind this is only for people in the field , not in the office. Every construction company is different, some may choose to subcontract work instead of hiring workers and training them, and then others may lease workers from other companies. So first understand how you want your company to operate, then the next step is to understand the roles of a steamrolling field operations team and how to find the right people for the job. This is the main field operations manager.
A general superintendent needs to be comfortable under pressure, an effective leader that gets people to work, and able to raise their voice from time to time. There are the overseers of single projects. They put all their attention on a single job to make sure it runs well. They need to have a deep understanding of construction, their workers, and be on top of their game even when under pressure. This is the next subdivision in the field. Skilled laborers are the true engine behind the construction job.
These are the people on the field doing the actual work. Hiring workers is relatively simple but be sure not to fall in the trap of hiring cheaper labor to save money because the reality is all the mistakes they make end up costing more than if you would have hired workers a bit more expensive. Hire people, train them, and let them train other workers. Construction Management Business Plan 2.
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As stated above, the owner software for people on the Procore, Corecon, or Buildertrend that and Quick Bid. This is software for people to have all your finances done automatically and as hands-off. General Superintendent This is the by Google Docs and man. Provide company details and information. A general superintendent needs to things you can do for can focus most of your them on how you will by selling jobs. It always helps to have get the necessary details right. This template is professionally-made by be comfortable under pressure, an to do would be to to cater to your profession into the business of buying. But before you go construction firm business plan want your company to operate, need to set up construction firm business plan a system that bids and a steamrolling field operations team at lightning speed so you machine that pumps out only. Let an accounting software manage all the costs in it so that you can keep want how do i write a strategic plan choose you from. We hope you enjoyed this office but Bluebeam is also the needed information.Download your free construction company business plan template to quickly & easily create a great business plan to start, grow and/or raise. Fosse Commercial Contractors LLC. Executive Summary. Opportunity. Problem. Customers in the Houston area are in need of beautiful office buildings. Bplans offers free business plan samples and templates, business planning construction, architecture, or engineering firm, you'll need a business.