If you're in the construction industry, you probably know this has been a good year for growth. In fact, the first three months of 2018 showed a four percent increase in construction projects when compared to 2017. But what about your construction business? Has your construction firm been around for several years but still isn't growing? Then, it may be time to expand your company.
Or perhaps you are growing quickly but are doing so without a plan or strategy for growth in place. Here are six tips for expanding your construction business the smart way, along with what not to do:
1. Use the Internet for Marketing Your Company
Even though word-of-mouth is still the best way to get new customers, you need to take advantage of the internet when promoting your construction business. This means having your construction business visible on sites including LinkedIn, Facebook, yellowpages.com and other platforms.
Furthermore, create a professional website for your business that includes pertinent details about your company, such as its services and past projects. Include a contact form, and make sure your website is designed with strong SEO in place so potential new customers can find you.
2. Develop a Reputation for Delivering Exceptional Services
For your construction company to grow quickly, it needs to be known for providing exceptional, high-quality service. A huge way to develop a good reputation is to be known for being accessible when clients try to contact you. Moreover, when you don't notify customers that you're running late for an appointment, don't expect them to give you more business or write positive reviews.
Look for customers whom you know you can easily satisfy and who will likely to give you lead to referral business. The more clients you can retain, the less you'll need to spend for marketing. Additionally, you won't have to devote as much time seeking new customers for replacing the ones who have left.
3. Earn a Reputation for Safety
As the construction trade is at a higher risk for accidents than most industries, it's important your company has a good reputation regarding safety. In addition to having mandatory meetings on how to safely do each job, provide seminars on safety procedures. It's also important to have a solid safety plan in place.
Networking with other people is critical if you want to get more work for your company. For example, get involved in trade associations or your local Chamber of Commerce, so you can find more vendors and generate more leads. Also, giving back to your community by volunteering is another effective way to network for your company.
5. Choose a Niche Market
The key to success for a small business is finding and choosing a niche. Determine what you want your construction company to be known for doing well. In other words, emphasize your business's strong points. Do you want to have a reputation for providing general contracting services, or would you rather be known for a specific service, such as renovating older buildings while maintaining their original character? When a company specializes or finds a niche market, it stands out as unique from its competitors.
6. Be Willing to Invest Money and Time into Your Business
For your construction company to grow, you'll need to invest money and time into it. Regularly update your technology and buy new equipment, when needed. It can also be worth your time and money to provide ongoing training for your workers.
What Not to Do
- Don't hire people off the street. Always ask for references and do comprehensive background checks. Only hire skilled, knowledgeable and dependable workers To keep your top employees, offer them benefits, rewards and promotions.
- Don't cut corners to reduce expenses since this can tarnish your construction company's reputation.
- Don't be afraid to adjust to new ways of doing things. Instead, be adaptable and open to new ideas, remembering that change can be a positive thing. Consider that not keeping up with the current trends can be detrimental for your business.
- Don't expect new jobs and customers to magically "fall into your lap" without doing any legwork. If you want your construction business to grow, you'll need to be more proactive. This entails reaching out to general contractors and architects, asking them about their upcoming projects. If you're reactive, rather than proactive, chances are, your company won't expand. Even worse, you could be forced to go out of business.
- Don't expect to be "all things to all people." This means being honest and realistic about what you can and cannot do.
Learn More About Harbor America's Wide Range of Services
Another smart move is to hire a PEO (Professional Employer Organization) like Harbor America, so you can have more time to run your growing business. Please contact us for a free quote and learn more about our wide range of services.