As the economy remains solid and businesses generally are doing well, most construction contractors have likely thought about ways to continue growing their companies. By investing in a minority stake in a business, strategic equity partners can provide capital for growth or shareholder liquidity and help take the business to the next level.
Prevailing business wisdom holds that the way to reduce credit risk is to limit credit lines, be stingy in allowing credit and freeze orders on past due accounts. This line of thought posits that it is generally impossible to lower “bad debt” losses without adverse consequences to sales and business expansion.
Verify Clients’ Credit History and Cash Flow to Protect the Bottom Line Construction Contractors Must Research Potential Clients to Ensure Timely Payment
Most construction contractors don’t consider how the creditworthiness and cash flow of their customers can impact their bottom line. But they should. More than 40 percent of small businesses have customers that are more than 90 days late on a payment, according to a survey by RocketLawyer.
Back in Session New era of K-12 construction requires contractors to excel at meeting tight schedules by working efficiently
After years of stagnation, construction of K-12 schools is finally ramping back up in many districts across the country. In fact, institutional construction is expected to increase 10 percent this year to $118.5 billion, according to Dodge Data and Analytics’ 2017 Dodge Construction Outlook. This number largely is driven by the education sector, which comprises more than 40 percent of the institutional market.
How to Make the Best Decisions for New Company Leadership Construction Contractors Need to Evaluate Values to Select the Best New Leaders
Business leaders have always been scrutinized for their decision making. In 1914, Henry Ford was both denounced as a fool and praised for doubling wages of factory employees from $2.34 to $5 per day. In 1987, Merck & Company decided to give away a cure for river blindness for free, an unfathomable choice for most pharmaceuticals, because they recognized the cost of the drug would be too high for impoverished international markets.
Use Technology to Prevent Labor Trafficking in Your Supply Chain Construction contractors must be aware of human trafficking signs to prevent exploitation
Tips and Tools to Streamline Communication Construction contractors can be more productive with the right communication methods
The key to success on any team is communication. For many teams, this is easier said than done, mainly because setting up an environment that is conducive to effective and efficient communication can seem like a daunting task. Too often, this is because people overcomplicate what is necessary for a quality communication infrastructure.
It’s hard to go to a construction tradeshow or read an analyst report without hearing about a new drone company or how drones are going to eventually impact construction. Today, advanced drone hardware is available at low prices, and U.S. regulation has enabled commercial drone use to be easy for companies and service providers to adopt. Most importantly, companies have built custom software solutions to suit the exact needs of construction companies.
With employees working at multiple jobsites and varying project completion dates, it can be difficult for a construction executive to virtually manage operations across different locations. While cell phones have made it easier to stay in touch with team members working onsite, construction executives that want to promote a communicative, collaborative and accountable work environment should consider implementing advanced software that offers intuitive mobile applications.
At the World of Concrete conference in Las Vegas earlier this year, I took a course called No Bad Jobs: Pre-Con That Every Contractor Must Embrace, by Brad Humphrey. He spoke at the conference for the past 16 years and has written several books including The 21st Century Supervisor. Continue »
Staying on budget and schedule is a front-and-center priority for any project team and ultimately how performance is evaluated. While there are many tools to control projects, having the best controls doesn’t matter if the job is destined, from its inception, to fall behind on schedule and cost more than expected. There are two reasons this occurs, each with its own cure.
The person in charge of preconstruction essentially sets up the project for either success or failure. First, the preconstruction manager has the daunting task of developing an accurate, realistic budget to win the construction project, while also making a fair profit. Then, the preconstruction manager functions as one of the most important members of the construction team.