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After working with a few hundred coaching clients, I believe that the key to profitability in construction is staying focused on doing a few things well.

I see too many contractors trying to be all things to all people. The best example is building new homes and doing remodeling. Then there are the companies that advertise, “We Specialize In A, B, C, D, E, F, . . . .” Where is the specialty? They are like manure and bad news – all over the place.

Review your jobs over the last year. Calculate your percent of profit on every job. Put the jobs in order with the most profitable at the top and the least profitable (the one you lost your shirt on) at the bottom. Pick the top three type of jobs in order of profitability, and only take leads for that kind of work.

What, you say there aren’t enough leads? Then rethink your advertising program. Most, and I do mean well over 90% of all contractors do not advertise enough or correctly. This is a great time to begin.

Do what you make money at, and ignore the rest. Stay focused.

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