Our goal is to help contractors build more profitable businesses, but how do you measure success? How do you know your pricing will result in a profit?
Purchasing commercial insurance can be a frustrating experience for many construction businesses.
Unit cost estimating is breaking down a project to simple assemblies. It’s the best way to consistently acquire accurate estimates.
No matter how careful you are, you, your crew, or one of your subcontractors will upset a client. How you handle customer complaints says a lot about your business and your character.
All price proposals need a deadline because you never know when material and labor costs will increase rapidly.
Construction sales take time and your time is valuable. Avoid these common time-wasters when selling construction services.
Cash flow in construction is no different than any other business. There must be more cash flowing in than flowing out or the business won’t survive.
Quoting a firm fixed price is riskier when material costs are increasing rapidly, which is why your contract needs to address unexpected material cost increases.
The purpose of a design agreement is to get a commitment from your client to design the project so you don’t have to do the design for free. How do you keep the design within the budget?
Having to return to a previous job and fix something that’s wrong costs money. Knowing the cost of a callback helps you or your crew to be more diligent to avoid them in the future.
It can a challenge to finish a project, especially when it was priced too low for a difficult client and with a weak contract.
Are your habits helping your company grow, or are they holding you back?
If you thought you were the captain of your ship, 2020 taught otherwise.
A construction website should be a lead generating asset. It doesn’t have to be expensive, but if it doesn’t generate leads it’s a waste of time and effort.
Almost all conflicts contractors face could be avoided or quickly resolved if there is a clear, detailed construction contract between the parties.
You can be the most ethical person in the world and if you aren’t charging enough for your work, you stand a good chance of cheating someone else.
It’s not unusual to find a contractor who sells by deliberately underpricing or underbidding jobs and making up the difference with change work orders.
Should specialty contractors require down payments even when working through a General Contractor?
A business owner in the UK asked a question that illustrates that remodeling sales challenges are the same regardless of your location.
A compendium on change work orders on a new home, remodeling or renovation project; why they matter, how to price them, what to include, and more.
I take many calls from contractors whose business is more like a low-paying job than a successful construction business. Some ask, “Is it even possible in today’s economic climate? Can my business make money?”
Our goal is to help construction-related business owners build a better business. We receive many phone calls and notes from our clients, and most of the time we hear good things. Sometimes we hear another side of the story.
Getting a commitment from potential clients is critical if you want to save yourself a ton of time and work putting together an estimate that won’t go anywhere. You have better things to do with your time.
One of the concerns a homeowner has when they’ve hired a contractor is whether they’ll do what they said they’ll do. It is a legitimate concern. They don’t know what’s going on in your head, only what’s happening with their job.
Training in construction is important, especially with a shortage of employees. A general contractor asked about a subcontractor who is training an apprentice.
Budget doesn’t need to be a major worry during the design and build of a project if you handle it properly during the sales call.
Why cost plus and time & material contracts should be avoided, for both contractors and building owners.
If you’re doing residential construction, you’ve met all kinds of people. There are also all kinds of contractors, and some of them don’t operate ethically.
Our last newsletter triggered a question on estimating labor.
Estimating the cost of a remodeling, renovation or specialty project accurately is critical if you want to be profitable.