We know growing your construction company is your number one priority. That’s why we compiled a list of the eight most impactful ways to build your construction business. Whether you’re new to the industry or a seasoned construction veteran, we know you’ll learn something new.
1. Build The Right Construction Team
Collaboration is the key to any successful business, especially in the construction industry. Who you hire can impact not only your business’ day-to-day but also your overall company culture.
Traits of a Solid Team Member
When making personnel decisions, you must ensure each team member is:
You can count on this team member to show up, speak up, and buck up. They don’t roll into work an hour late. Instead, they take pride in their projects. When they see something’s not right, they’ll let you know (even if it was their mistake).
A knowledgeable team member goes beyond their education—they bring experience and forethought into all their construction projects. When they work on a build, they understand how each part fits into the project’s grand scheme. That also means they’ll ask the right questions and provide thoughtful insight when necessary.
Skill isn’t just whether someone can correctly use a miter saw. A skilled team member knows to measure twice and cut once. They know the common pitfalls of the rookie, and they avoid them.
Construction projects often run on a tight schedule. Each stage impacts the next, so there’s no room for inefficiency. An efficient team member asks: “How can we do this better?” They are considerate of others’ time.
Do They Have The Right Mindset?
The right team member all boils down to the right mindset. How does your team member feel about:
- The company?
- Their team?
- The client?
- Their work?
Before asking a potential hire (or a current team member) these questions, determine what you want each answer to be. Refer back to your company’s mission, and consider what type of culture you want to create.
2. Lead Your People (No One Follows a Manager)
First, who are your people? Your people include everyone from the project management team to the construction crew—really, anyone touching your project.
Second, what does “leading” mean? Leading is not the same as managing. Managers tell people to get to work, while leaders get their hands dirty (metaphorically and literally) right alongside their team.
A leader energizes their team and makes them excited to come to work. Happy team members lead to satisfied clients and, by consequence, more work opportunities.
3. Be Particular When Choosing Your Projects
When there’s a lack of projects in your area, bidding wars can make profit margins razor-thin. It can become tempting to take any job you can get. (You need money coming in, right?) However, this strategy can get your company into trouble.
The Dangers of Taking on Anything
Don’t sign up for a project way out of your wheelhouse. This “learning experience” could cause delays and cost you money, depending on your original bid.
And while it might seem obvious, you also must consider how much work your team can realistically handle. If your company is juggling too many projects, mistakes are bound to happen (again, costing your business time and money).
Know Your Strengths To Win More Bids
Your company should be bidding for projects that match your team’s specific skills. Is your team particularly good with bathroom renovations? Or do you have a crew member with decades of custom cabinetry experience? Lean into your specialties and get really good at them.
The more efficient the team, the larger the profit margin. Then you can bid accurately and aggressively for the ideal jobs.
4. Get The Word Out (Now's Not The Time To Be Shy)
You can only win more bids if people know who you are. If you’ve assembled the right team, led your people, and chose the right projects, you’re already doing great! Ideally, you will execute every project flawlessly. You want to give your clients something to talk about.
Don’t be shy in asking for referrals. If a client is happy with your work (and they should be), they’ll be glad to give you access to their network.
5. Quality is King
Don’t cut corners. We’ll say it again: Don’t. Cut. Corners. At best, cut corners will annoy clients down the road when they find a careless mistake (and they will). At worst, your company could be on the hook for code violations or potential lawsuits.
This Isn’t Your Client’s Building—It’s Yours
We always suggest that you treat every project like it belongs to you or a family member. Would you use low-quality materials or skip subcontracting an electrician in your mom’s business? Nope. So don’t stint your clients either.
Give every project your best, and you’ll gain a reputation for being the best.
6. Provide Excellence (Keep Your Clients In The Know)
Excellent customer service will elevate your business above the rest. Do your clients feel heard? Do you involve them when making decisions? Collaboration with clients is easier when you use project management software. RedTeam’s award-winning construction management platform can help you stay connected with your clients from start to finish.
Furthermore, your ability to handle the inevitable mistake speaks volumes about your business. Empathy and open communication make a good contractor great, and clients will recognize that. They’ll want to hire you again or at least recommend you to their buddies (see tip number four).
7. Get Involved With Associations
This one’s easy—get involved with one or more local/national construction associations. These associations are chock full of networking opportunities, lead groups, and other resources that can help your business flourish. Here are a few associations to consider:
- American Road & Transformation Builders Association (ARTBA)
- American Subcontractors Association, Inc. (ASA)
- Associated Builders and Contractors, Inc. (ABC)
- The Associated General Contractors of America (AGC)
- Mechanical Contractors Association of America (MCAA)
- National Association of Surety Bond Producers (NASBP)
- National Association of Women in Construction (NAWIC)
8. Market On Your Existing Jobsites
Every time someone walks through your jobsite, your company is making a first impression. It’s up to your team to decide whether it’s positive or negative. An organized and safe construction site breeds trust, while a scrambled and borderline-dangerous one will leave clients and potential clients with a bad taste in their mouths.
Finally, if your logo isn’t plastered all over every one of your jobsites, then you’re wasting a marketing opportunity. Not only does it get your name out there, but it also holds you and your team accountable. With signage hanging everywhere, it’s vital to keep the site clean—no one wants their name on crappy work!