A contracting business is a living, breathing organism that needs to be fed. If unhealthy, that organism will put tight constraints on a contractor’s ability not only to grow, but also to make payroll and fund projects. When nurtured properly, the business will flourish, minimizing stress in an inherently high-stress industry.
In today’s construction landscape, contractors won’t run out of work; but if their accounting strategies aren’t up to par, they will run out of money. The good news is: this is an avoidable issue. The bad news is: many contractors aren’t properly managing cash flow, and with time (approximately five to 10 years), 70 percent of small- to medium-size contractors will be closing their doors.
Industry analysts are optimistic about the construction industry, as non-residential construction spending is forecast to jump by 8.3 percent in 2016 and by 6.7 percent in 2017.
Turn Inefficient Pools Into Assets During Commercial Renovations Construction Contractors Experienced in Indoor Can Lower Energy Consumption and Improve Indoor Air Quality
Swimming pools can be found in most American hotels and have been a mainstay of institutional construction for decades. While more modern and newly built facilities benefit from advanced environmental controls, upgrading indoor pools in older buildings is a unique opportunity for contractors to improve buildings’ air quality and energy consumption.
Ensure Your 401(k) Plan Complies With Legal Requirements Construction Business Owners Must Be Diligent Amid Increased Plan Scrutiny
One of retirement plan sponsor’s most important duties is to ensure the plan is in compliance with legal requirements. This is no easy task, especially for construction firms with high employee turnover. The Employee Retirement Income Security Act (ERISA) and the Internal Revenue Code (IRC) have specific requirements that plan sponsors must follow, and the current regulatory environment has led to increased scrutiny of plan practices.
The New Year has arrived. Goals have been set. Resolutions have been made. 2017 is sure to be full of many wins in life and business. But, the truth is, most contractors will not reach their goals. Most will come out of the gate with fire in their eyes, ready to conquer the world, but will lose steam at some point and settle back into old habits—and the same old results.
Create a Long-Term Career Strategy The Hot Construction Market Provides a Great Time for Employees to Reconsider Their Career Plan, and Employers Should Be Prepared
The construction industry is in a hot cycle right now. The economy is growing and a steady stream of new projects are keeping construction professionals busy across the United States.
Eight Tips to Avoid Business Stagnation in 2017 Construction Contractors Must Be Strategic for Continued Growth
A U.S. Bureau of Labor Statistics report revealed nearly half of all small businesses fail in the first four years of their existence. While there are many proven causes, including owner incompetence, inexperience, fraud and neglect, one killer culprit often flies under the radar: stagnation.
Prepare Now to Meet 2017 Sales Goals A Clear Vision for Can Help Construction Contractors Increase Profits
Top business leaders know the importance of finishing the year strong and building plans for strong execution—beginning right out of gate in January. Successful companies are focused on being ready to start the new year with a clear vision of success and a focus on the first quarter.
Six Ways to Determine If a New Strategic Business Plan Is Necessary Construction Contractors May Benefit From Altering Their Strategy Instead
For many companies in the construction industry, strategy updates happen like clockwork on a set schedule. In fact, 64 percent of architecture, engineering and construction (AEC) firms that have more than 250 people engage in some form of formalized strategic planning an average of every 3.5 years, according to data compiled from ParCons’ State of Strategy in the AEC Industry study. While such a disciplined approach to strategy may sound admirable, it may actually create an adverse effect on a business.
Create a Succession Plan to Ensure a Smooth Ownership Transition Construction Business Owners Must Start Now to Develop a Plan for Continued Growth
If there is any industry that appreciates the importance of planning, it is the construction industry. When so many moving parts need to come together for a construction project to be completed on time and on budget, planning and communication are the foundation of success.
In the story of a business, succession can be the most challenging chapter. Owners are often so consumed with growing their companies that they put off succession planning—but they do so to their own detriment. With a large number of baby boomers set to retire over the coming years, owners who are not prepared for succession will find themselves at a competitive disadvantage when it comes to transitioning their business.