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    You are at:Home » 8 Easy Tips on How to Start a General Contracting company
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    8 Easy Tips on How to Start a General Contracting company

    biplabBy biplabDecember 17, 2021Updated:October 11, 2022No Comments4 Mins Read
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    Last Updated on October 11, 2022 by Hamna Nouman

    Starting your own general contracting company can be a daunting task. There are many things to consider before you take the plunge. But with careful planning and execution, you can make your business a success. Here are eight easy tips to help get you started.

    1) Write A Business Plan

    If you want to be successful in starting your general contracting company, then you must write up a business plan before you begin. You will need this later when deciding what types of projects to pursue and who will manage which aspects of the work. Some of the things to be included in your business plan are as follows:

    • The purpose of your company
    • A list of the products or services your company will sell
    • Details about how these products or services are better than those offered by competitors
    • The target market for your products or services

    2) Register Your Business Name with Your Local Government Entity

    Contact your city or state government office to find out if there are any rules for registering your company name. If so, follow the guidelines and register your business name within the designated period.

    3) Determine where you will base your company

    You must decide which location is best suited for the type of work you expect to do. If a regional general contracting firm offers services in several states, it might be more cost-effective to have bases of operation in each region. However, basing your company locally may make more sense if you intend only to perform services in one area. If you expect large jobs to come through from far away, perhaps it would be wise to invest in good transportation.

    4) Purchase Equipment

    If you are opening a construction company, you will need to purchase several pieces of equipment before starting your business (e.g., tools, vehicles, etc.). To ensure everything arrives on time and in good condition, contact vendors directly or check out books discussing various construction topics.

    5) Develop Relationships with Subcontractors

    You may not want to manage every aspect of each project yourself; therefore, it is wise to develop relationships with subcontractors to help you complete jobs efficiently and on time. Make sure you let them know how they can expect to be paid. You might even consider giving them some work upfront, so they know that the relationship is mutually beneficial.

    6) Hire Employees

    One of the most important decisions you will make when starting your general contracting company is who to hire. It would help if you had knowledgeable individuals in this field, have good work ethic, and represent your company positively. Interview prospective employees thoroughly and check their references before making a final decision.

    7) Market Your Company

    It is important to let potential customers know that you exist when you are just starting. Creating a website and engaging in digital marketing efforts on social media are just some strategies to increase your business’s visibility. Another way to market your general contracting company is through public relations. This may include working with local newspapers, holding press conferences when launching new projects, or opening a branch office.

    8) Have proper insurance coverage

    Public liability insurance should protect you from accidents at worksites as well as claims brought by an individual against another person’s property (e.g., medical expenses resulting from an injury). Commercial general liability will protect if someone slips and falls on your premises or sustains damages because of your business operations. It is important to have the right type and amount of coverage to protect yourself and your business.

    Opening a general contracting company can be a hectic task, but if you follow these easy tips, you will be well on your way to becoming a successful business owner.

    Read More: Start Your Business with These 11 Steps

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