The Associated General Contractors reports that there are more than 670,000 construction employers in the United States. Unfortunately, statistics also reveal that construction companies have a higher rate of failure than those in other industries.
You may be curious about what you can do to help your small construction business stand out from the competition and be successful. We’ve provided a brief overview of the things you can do to help grow your construction business in 2019.
Self-Reflect
If you’re looking to grow your small construction business this year, one of the first things you should do is self-reflect as a team and evaluate your company honestly. Perhaps start by asking every manager to come up with a list of the things you do well and the things you do poorly. Be honest, and don’t hold back. Then, sit down as a team to cross-compare the strengths and weaknesses you’ve outlined.
Once you’ve identified your deficiencies, come up with a tangible plan of action to help solve your issues. Don’t be afraid to make dramatic changes by implementing construction time card apps and other industry relevant technology. These changes may seem drastic initially, but they could go a long way toward making your small business more efficient.
Find Your Niche
During your self-evaluation, try to identify your company’s niche. When starting your company, there’s a good chance that you were willing to take on any project that you could get your hands on. Now, as you look to grow your company this year, you should begin to identify the areas where you’d prefer to focus your efforts. No matter if that’s pools, home remodeling, or high-rise buildings. Now is the time to define your niche and work to develop yourself in that specific industry. This will allow your growth to be much more strategic.
Invest In Your Company
If profits are low, it could be tempting to cut corners to try to increase your bottom line. This can happen in numerous ways, from hiring cheap talent to using poor materials. While these solutions may help in the short term, they’ll have disastrous results in the long run.
Have you ever heard of the saying, “You need to spend money to make money?” This is especially true in the construction industry. You must spend money to recruit top talent, maintain your equipment, and provide your customers with a product with which they’re satisfied.
The goal should be slow, sustainable growth that will lead to years of success. Repeat business is one of the easiest ways to help grow your revenue and increase profits. Your name speaks for itself, and you won’t need to invest in marketing to gain more business. One consideration? Provide customers with a discount on their next project if they refer a new customer to you.
Strengthen Your Team
Employees who are motivated to show up and work will reduce your risk of:
- Project delays
- Sloppy work
- Accidents in the workplace
Consider perks that you can offer your team to help build comradery. The opportunities to do so are endless. One such example? Tell your team that if they stay on track for a month, the entire team will receive a free vacation day. Or, you could one-up that and tell them that a day-long company retreat is available if you complete a project on time. Investing in and motivating your employees will allow you to produce projects of higher quality, therefore growing your business.