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In order to succeed in a construction business you have to be able to mark up the price of your jobs to cover overhead expenses and make a decent profit. The problem is how much to mark it up. You don't want to lose jobs because you charge too much, and you don't want to work for free because you've charged too little. If you know how much to mark up you can apply it to your job costs and arrive at the right sales price for your work. This book gives you the background and the calculations necessary to easily figure the markup that is right for your business. Includes a CD-ROM with forms and checklists for your use.
In order to succeed in a construction business, you have to be able to price your jobs to cover all labor, material and overhead expenses, and make a decent profit. But calculating markup is only part of the picture. If you're going to beat the odds and stay in business -- profitably, you also need to know how to write good contracts, manage your crews, work with subcontractors and collect on your work. This book covers the business basics of running a construction company, whether you're a general or specialty contractor working in remodeling, new construction or commercial work. The principles outlined here apply to all construction-related businesses. You'll find tried and tested formulas to guarantee profits, with step-by-step instructions and easy-to-follow examples to help you learn how to operate your business successfully. Includes a link to free downloads of blank forms and checklists used in this book.
Veteran remodeling contractor R. Dodge Woodson provides all the guidance and details necessary for success in the lucrative remodeling business. This practical guide covers every phase of starting, running, and operating a profitable business and delivers insider advice on everything from getting a license to renting an office to remodeling an entire home. Sidebars and Tip Boxes provide valuable at-a-glance information Real world case studies drive home key points from the text How to start on a part-time basis Buying trucks, tools, equipment, and materials Mistakes that can kill a business -- and how to avoid them
This is the book you should have bought the day you decided you could make more money running a construction company than banging nails for somebody else. It provides you with the answers to those business questions that plague contractors: what am I doing wrong and what's stopping me from making the money that I deserve? You'll meet Mike, a remodeler who thought he owned a business but actually had a low-paying job. Many contractors start out like Mike. This book, in a very simple and easy to understand way, follows Mike as he learns to understand his numbers, adopts new systems, and creates a repeatable process for profit. "Every contractor should read this book. It is the first and only book that makes the numbers game easy to understand, but, more importantly, easy to incorporate into a contractor's business. Bravo!" - Shawn McCadden, CR, CLC, CAPS, award-winning remodeler, columnist, and nationally recognized remodeling industry specialist. "The authors have distilled many of the mysteries of the small-business person who can no longer manage the business by quick thinking and fast actions." - Mike Gorman, CR, construction industry author and speaker. "Contractors love a good story, and that's what they get. All of the basics are covered, including cash flow analysis, distinguishing job costs from overhead expenses, and calculating mark-up." - Sal Alfano, Editorial Director, Hanley Wood Business Media. Melanie Hodgdon (Business Systems Management, Inc.) and Leslie Shiner, MBA (The ShinerGroup) both manage successful consulting and coaching companies. With over 40 years combined experience, they help contractors better understand and improve business practices and maximize profits. In 2007, they began to work on a series of joint projects that would capitalize on their combined talents. This book is one product of that collaboration.
The book is concerned with the business of residential construction, including the maintenance, restoration, renovation, and construction of private homes and related properties.
If you dream of running your own construction company, this is the book for you. The authors specialize in remodeling, but the information they share is just as valuable to spec builders and subcontrctors. A step-by-step through the process of setting up a new company. Learn about several ways to structure your company, and the benefits and disadvantages of each of them. Learn how to make a good impression on clients, how to work with architects, inspectors and bankers and where to look for more help when you need it.
Business owners often learn how to run a successful company the hard way--through trial and error. You don't have to rely on this haphazard approach to entrepreneurship. As a home builder, you can have the wisdom and experience of NAHB members who have weathered the ups and downs of the housing cycle behind you and avoid reinventing the wheel. Survive and Thrive in Building: Fundamentals of Business Management covers basic but essential knowledge for running a successful company, whether you're a veteran builder or new to residential construction. You'll learn how to - Find a sustainable market niche - Get financing for your projects - Market your homes - Achieve an optimal balance between sales volume and profit margin - Understand financial reports - Organize and insure your company to minimize risk - Find and keep the best employees and trade contractors This comprehensive resource will help you to become informed about the details of marketing, estimating, contracts, purchasing, and accounting, which are as important to the potential success of your business as knowing your construction guidelines. You will also understand the knowledge, skills, and strategies you can apply to foster lasting success in the home building industry. Survive and Thrive in Building includes a list of resources, illustrations, and a glossary. "This practical easy-to-use book is an essential tool for builders. It is a resource that provides invaluable insight into all aspects associated with the development of a successful home building business. It will help you succeed as a small-volume builder." Bob Jones, CGB, CGP, CAPS CEO, Robert R. Jones Homes, Bloomfield Hills, MI Past Chairman, National Association of Home Builders
Only 43 per cent of U.S. construction firms remain in business after four years. Why? Inadequate management, according to the U.S. Small Business Administration. This is surprising because most construction firms are formed by ambitious construction project managers, executives and tradesmen who have excelled at what they have been doing. But as experienced as these entrepreneurs may be, they are not likely prepared to take on the full range of responsibilities forced on them in managing the business of construction in its entirety. While this business failure rate and its causes are based on U.S. experience, available data from a number of other industrialized countries shows they are similar. This book describes in detail what the business side of the construction equation requires of the construction firm owner. The contractor who quickly learns these requirements can identify and avoid or manage around the pitfalls that cause the high failure rate in our industry and put his or her construction firm on a level playing field with the best-run companies in the business. The detailed duties of the owner, whether in the U.S., U.K., Australia or Canada, are a common theme throughout the book. The author, Nick Ganaway, speaks peer-to-peer, and the book is sprinkled with supporting examples from his own experience. He is immersed in the industry and this book is "based on the things I've learned, used, and refined as a light-commercial general contractor in the course of starting and operating my own construction firm for 25 years." The contractor doing $5 million or $50 million or more in annual sales or the equivalent amount in other countries, or the entrepreneur who is just starting up, can use the tried and proven material in this book to build a business that is profitable, enjoyable, and enduring. Additionally, the book devotes a chapter to specializing in chain-store construction.