Despite creating one of the most profitable industry sectors, construction businesses are not a popular choice for young entrepreneurs. Indeed, the industry, despite being one of the largest in the country, presents challenges for small companies with a limited budget. Big corporate brands flourish without needing to worry about their cash flow, while family companies can struggle to make a living when they focus only on private, residential projects.
Consequently, it’s crucial for family businesses to develop their market position and land significant building projects if they want to keep the company afloat. There’s only one hiccup: How do you attract big projects when you’re in a local market? The secret is to expand your business presence strategically without breaking the bank!
Look out for new clients
There is no denying it: Your construction business needs to grow if you want to maximize its potential. Practically, the safest strategy to expand out of your local market is to actively acquire new customers who can help you to reach out to a broader audience. You can join regional networking communities to stretch out your outreach radius. Something as simple as networking outside of your region to launch cold pitches with new buyers can already promote your brand in a new market. Advertising is rarely effective in those circumstances, especially as you’ll be facing locally established competitors.
You don’t have to pay full price for everything
Who says major sites says new equipment. It’s likely that the tools you needed for individual residential construction contracts won’t suffice on large building sites. If you’re struggling with a limited budget, buying new equipment may not be a cost-effective option, you can take a close look at professional construction auctions to find affordable machinery. For small companies that can secure significant cash flow, you can also take advantage of tax deductions at your company level to invest in brand new equipment – which lets you leverage the cost immediately.
Find Reliable Suppliers
Having reliable suppliers is important for any construction business, no matter how big or small. It’s important that you can get quality materials for affordable prices so the customers are happy and you stay on top of your costs. However, when you start taking on bigger jobs, it’s crucial that you work with a construction supply company you can trust. Big clients will have higher expectations in terms of quality, and that all starts with good materials. They will also be less forgiving about any delays and on a long job, any delays will cost you a lot of money. If you’re working with a supplier that doesn’t turn up on time and brings the whole job grinding to a halt, you will soon go over budget and that eats into your profit margins.
The diversity of materials is also much greater with big jobs. When working on a residential property, many of the jobs will be similar and require the same materials. But once you start taking on the big jobs, you need a supplier that can provide a wider range of materials. Finding a company that can fulfil all of these requirements and give you a good price can be tough, so make sure to shop around.
Showcase your expertise outside of your community
Local building projects are still worth shouting about. Indeed, small projects have their challenges and require as much expertise and know-how than a more substantial construction site. Consequently, you can repurpose your experience as a way to promote your company to new clients. A building portfolio that showcases your best projects and explains the approaches you’ve suggested for each construction challenge can be a creative brand awareness solution. Remember to add a filter choice which allows visitors to select the criteria that are the most relevant to their needs, such as home remodeling, renovation, or even structure extension.
Send out your experts
Last, but not least, you can also infiltrate regional or national construction sites by providing contracted experts. Whether it’s about specific machinery management or providing a solution to a particular issue, you can use your position as a contractor or subcontractor to promote your brand to a new network. Most large construction sites publish contract vacancies to cover roles they can’t provide or to increase workforce on site.
When it comes to growing your business presence, small companies need to be smart about their approaches. Indeed, with a limited budget, you need to focus on leveraging your expertise and resources through cost-effective solutions.
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