Starting A Construction Business? Here Are 4 Things To Remember So You Don’t Fall At The First Starting Block
The construction industry is fraught with a number of potential pitfalls, but it's also one of the most lucrative industries out there.
Author:Frazer PughReviewer:Emmanuella SheaNov 17, 202228.2K Shares532.5K Views
The construction industry is fraught with a number of potential pitfalls, but it's also one of the most lucrative industries out there. If you are looking to start a business in construction, when you do it right, it is very profitable. Starting your own construction company comprises a number of key considerations to ensure you set a solid foundation. Let’s show you some of the things that you would need to bear in mind to create an effective one.
Prioritize Safety Training
New construction companies fall foul of improper safety protocols. Many organizations can forgo safety when a project is hitting its deadline. There are many ways an organization can fall at the first hurdle in terms of its safety, including:
- Hiring staff that hasn't had safety training.
- Not prioritizing safety for the sake of getting a project done on time.
- Not defining risks clearly.
- Not having regular meetings that reiterate the dangers of working on a construction site.
There are many things you can do as an organization to create a far more effective building site. Training is one aspect, but technology is another. Even modern technology like drones is making a positive impact on construction sites. You can read how drones are improving construction safety standards, but you need to avoid cutting corners that may result in a project being done on time because it could be to the detriment of your staff.
Not Focusing on Proper Promotion
Setting up a construction business comprises a lot of legwork, from registering the business to getting the right members of staff, as well as acquiring business insurance, but the most important thing in any construction setting, whether it's as a solo contractor, or as a large construction company, you need to promote yourself to get the important clients. There are a number of things that you can do, and these include the following:
- Having a presence on accreditation and referral websites.
- Build your own website.
- Using word of mouth for recommendations.
- Utilize social media.
One of the biggest misconceptions about the construction business is that they are not au fait with modern methods of marketing, but this is what will set your business apart.
Setting Realistic Expectations
The preliminary stage of setting up a business is the business plan. Any self-employed individual that is looking to start a business needs a business plan that is scalable but sticks to the core values.
Within the construction industry, there can be a number of things that cause construction companies to fall flat. These may include higher-priced materials or unrealistic deadlines set by a client. It is critical that, as part of your initial work in setting up the company, you do not allow your expectations to exceed the realities of the work. When we have unrealistic expectations and place pressures on employees, it's going to hit their productivity, and if we look at the best ways to motivate construction workers, we may think that if we give them more perks we get the desired results, but we must remember that for businesses to be effective and efficient, we must place priority on our employees' health and well-being.
If the work is not achievable, your employees are overworking themselves to exhaustion. Understanding the industry standards and recognizing the average timelines for specific projects and planning for growth in an organic way are two approaches that can ensure that your business is properly prepared.
Looking After Employee Welfare
One of the toughest aspects of the construction industry is how antiquated it can be. We need to prioritize health and safety, but we also need to have a holistic approach to the welfare of the people that do the work for us. The problem the construction industry suffers from is that it can be firmly rooted in the past.
There are many parts of the industry that are incredibly modern, but predominantly this relates to technology. Construction workflow softwareis in its prime and can make businesses far more efficient in their workload, however, it can mean that we focus more on the technological aspects, rather than the human ones. For employees to feel valued, they must be a part of a framework that is working towards a common goal, and this means that we need to find workers who are not just good at the job, but understand that they should voice concerns.
A construction site is fraught with perils, not just in terms of the equipment or the safety practices, but the fact that employees don't necessarily feel they are able to voice their concerns. The foreman on a construction site can be akin to that teacher everybody hated in school, so the more employees voice their concerns, the more they feel like they could be punished for this. This is why embedding change within the construction industry starts at the cultural level.
It's also critical to recognize that, for the sake of a level playing field, we don't just hire for skill, but for diversity. Ultimately, the workers need to be able to do the job, but thankfully, now there are more women than ever going into the construction industry, which means that they will be able to start slowly spearheading change at a more cultural level. When it comes to the health and well-being of an employee, it's critical to have those people in place that are more inclined to voice their concerns, rather than thinking that it is a sign of weakness.
Any form of business requires discipline to ensure that it can fulfill its goals at the outset. But for any company, the goal is to achieve grand ambitions and when you start to scale your businesson an international scale and make a name for yourself in your industry, you are able to make more substantial changes. Ensuring your business is achieving its goals but is about understanding those fundamental mistakes that organizations cannot change a few years down the line. When you make considerations and goals at the outset, you will achieve much more.
Frazer Pugh
Author
Frazer Pugh is a distinguished expert in finance and business, boasting over 6 years of experience. Holding an MBA in Finance from Stanford University, Frazer's credentials underscore his authority and expertise in the field.
With a successful track record in executive roles and as a published author of influential articles on financial strategy, his insights are both deep and practical.
Beyond his professional life, Frazer is an avid traveler and culinary enthusiast, drawing inspiration from diverse cultures and cuisines.
His commitment in delivering trustworthy analysis and actionable advice reflects his dedication to shaping the world of finance and business, making a significant impact through his work.
Emmanuella Shea
Reviewer
Emmanuella Shea is a distinguished finance and economics expert with over a decade of experience. She holds a Master's degree in Finance and Economics from Harvard University, specializing in financial analysis, investment management, and economic forecasting.
Her authoritative insights and trustworthy advice have made her a highly sought-after advisor in the business world.
Outside of her professional life, she enjoys exploring diverse cuisines, reading non-fiction literature, and embarking on invigorating hikes.
Her passion for insightful analysis and reliable guidance is matched by her dedication to continuous learning and personal growth.
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