The main advantage of the construction business is the presence of constantly growing demand. Every day, several potential customers are looking for contractors who can carry out repairs, build a cozy home, or install a fence around an existing building. Of course, there are many representatives of the stronger sex who will take up the job themselves, but not every man can install a double-glazed window, replace a pipe or build a cabinet.
About what to start the construction business with and what pitfalls can lie in wait for a businessman in this field, and further discussion will go. The main rule that every entrepreneur should remember is that you cannot refuse a single client who is willing to pay money.
Market monitoring
So, the idea came to my mind to try myself in such an area as the construction business. Where to begin? Many will say that with the appeal to the tax office. Not! With serious preparatory work related to a detailed study of the market.
Currently, many companies are open, ready to build both an apartment building and a private cottage.
Every aspiring entrepreneur should understand that competitors can be organizations that have worked on the market for more than one year. This means that they have the trust of customers and supplier partners. Therefore, the only right decision is to stand out “from the crowd”. Leadership should be expressed either in the volume of attracted capital, or in a fundamentally new approach to construction.
Activity Registration
How to start a construction business? A thorough market analysis should be followed by official registration. The most suitable form is a limited liability company.
After that, you can proceed to the selection of a suitable company name, the search for the optimal location of the office, the creation of registered capital and the selection of founders. About each item - more.
How to start a construction business from scratch: a plan
- With a unique and easily recognizable name.
- From the location of the company's office in an accessible place for customers.
- From the authorized capital invested by the founders or from the starting capital, without which the company will not be able to begin its stable operation.
- From the collection of documents required for the registration of the company - the passport of each founder, information about the location, main activity, as well as the size of the authorized capital and the method of its formation.
All these actions can be performed independently or seek help from the appropriate specialists.
Professionalism and organizational skills. What is more important?
How to start a construction business from scratch and achieve success? An invaluable assistant in this matter is experience. However, some problems disappear on their own. Although, according to statistics, there are many people who began to realize themselves in this area from scratch and still rose very high in the business ladder.
Organizational abilities, the ability to create a professional team, find a common language with any partner or client are the main components of success.
In addition, you need to determine how the work will be carried out - independently or with the involvement of additional companies. Thus, the experts agree that it is better to go along the path of construction activity together with good partners and solid sponsors who can support any, even a global project or provide all possible assistance during the absence of at least some significant order.
Brigade
How to start a business from scratch in the construction industry? It is necessary to find conscientious skilled workers. This profession is recognized as the most needed in the world.
A large enterprise with a personnel reserve can apply any measures to an unscrupulous employee up to dismissal, without fearing anything. But a small company, left without a specialist, may lose the order due to failure to meet deadlines.
Therefore, if a workable team was not assembled at the beginning of the activity, then it is not worth starting the work.
By the way, it is necessary to complete the collective base only from qualified employees, and then to recruit newcomers as the company expands.
Within the framework of a modern market economy, everything needs to be done quickly and efficiently. That is, the specialist hired yesterday must immediately begin to implement the plan.
Tighter requirements for staff are observed due to the fact that construction is not only a responsible, but also a lengthy process. After all, the appearance of cracks or biting midges, not to mention collapses, is not an ordinary breakdown of household appliances.
Colleagues
How to start a repair and construction business? Any competitive environment requires professional interaction - linking to the master plan, coordinating the project, connecting communications, etc. In view of this, you must first notify your colleagues about planned actions, about a niche found for yourself, about the sequence of work.
Sudden popping up can turn into big problems, for example, a complete misunderstanding with the state structure, because development must be carried out in strict accordance with the law.
Financial part
How to open a construction business from scratch? It is necessary to negotiate with investors and discuss with them the initial "infusion".
The amount of investment costs is approximately 12 million rubles. and includes the purchase and rental of several units of special equipment, the development of design documentation, as well as the conduct of geological and geodetic surveys. About 1,000,000 rubles will have to be spent on tools and protective clothing. Office rental will cost about 150,000 rubles / year. In addition, you need to think about travel and hospitality expenses - 200 000 rubles / year, as well as membership fees, promotional events and website promotion - 100 000 rubles / year. Total initial expenses amount to 13,450,000 rubles.
To calculate the income and payback period, you need to arm yourself with the average value of the profitability of a small construction company. In a megalopolis, this indicator can equal 100%, but only a beginner is unlikely to be able to take root here. A subsidized outback is able to provide no more than 25-30%. Orders are also present here, but require a large number of trips. The average profitability in Russia is about 60%, which results in a payback of 20 months. True, you need to consider that winter time for the most part refers to downtime.
Permits
How to start a construction business? From the decision to join the self-regulatory organization of builders. An entrepreneur avoiding this point will have to pay a fine of at least 5,000 rubles. Each company that joined the SRO pays contributions, the amount of which is established by the local authorities in the region (but they are unlikely to be small). So, only a compensation fund requires 400,000 rubles. in year. Not all construction organizations are able to cope with such costs, so they often prefer semi-legal work.
Joining the SRO is not required for the following organizations:
- construction and repair companies, whose activity involves only the repair and decoration of premises and facades;
- construction and installation companies that install lightweight structures: windows and doors.
How to start a construction business? By sequentially performing the following steps:
- Collection of papers allowing to engage in construction.
- Obtaining a license for the design of various kinds of designs.
- Obtaining permits for engineering surveys.
You will also need to visit the Rospotrebnadzor and the emergency department.
What does a construction company do?
You can open a highly specialized or large-format small construction business. Where to begin? Decide on the range of services demanded among the population. So, a construction company can:
- to erect various buildings and structures both partially and "turnkey";
- engage in repair and installation work;
- to lease machinery, equipment and construction tools;
- to develop projects;
- trade in building materials.
The breadth of the field of activity directly affects the number of investors needed to start.
Staff needed
A construction company cannot do without:
- architect or designer;
- accountant;
- personnel officer;
- a supplier;
- foreman.
It will not be superfluous to have your own lawyer.
Each team should include qualified painters, plasterers, carpenters and electricians. The issuance of a state license in many respects depends on the availability of higher education for the bulk of the company’s employees.
If we are talking about a small company, it is much more advisable to use the services of a hired accountant. The advantage lies in the absence of a monthly salary, since payment is made upon the completion of work.
Where to look for orders?
You can receive an order using one of the following methods:
- Victory in the tender. Before applying, you must carefully read the conditions.
- Signing a contract with a construction company. For example, some can build walls, while others can finish.
- Become a subcontractor of a large organization - an executor of a large-scale project.
The most reliable way to become popular in the construction industry is a responsible approach to the implementation of any order. A positive market reputation has not hurt anyone.