Are you considering starting a construction or home improvement business?
If you are the process of getting started can seem a bit overwhelming at times. Where do you get started?
A Construction Company Startup Checklist
Starting any company is a major undertaking. It is not something that should be taken lightly. It can be a major hit to the company if key steps are overlooked. There are a lot of steps that need to be taken before you can contract your first project.
Have you ever climbed a mountain or gone hiking? The hike looks pretty easy if you are looking at the trail from the base of the mountain. Seasoned mountain climbers and hikers know better. They know they need to prepare and train before trying to take that mountain. Experienced hikers develop checklists based on their experiences. They use the checklists to insure that they are properly prepared.
There are all different size companies just as there are all different size mountains. Your preparation depends on the size mountain that you are looking to take.
In Florida, there town called Mount Dora. The elevation of Mount Dora is 184 feet above sea level. There are bumper stickers that poke some fun. They read “This Car Climbed Mount Dora”. Denali (Mount McKinley) has an elevation of 20,322 feet. Denali takes a lot more preparation than Mount Dora for a successful ascent.
Starting your own construction company is like attempting to take the mountain. Your preparation should match the size company that you are attempting to build.
Successful business leaders and successful mountain climbers have a lot in common. One of the common threads is the use of checklists. Climbers and the entrepreneurs use checklists to cover their bases.
11 Steps to Success: A Construction Company Startup Checklist
Here are 11 important steps that individuals who want to start a construction or home improvement company need to consider.
- Fund Your Company. No company can exist without cash or financing.
- Do you need a license to do business? Get your state license if it is a requirement for doing business.
- Create a Legal Entity. Are you going to be a sole proprietorship, LLC, S Corp, etc.?
- Setup Company Bank Account. Set up a checking and savings account for your company.
- Get Insurance. Talk with your broker/agent and buy the necessary insurance for your startup.
- Build Your Advisor Team. Your team consists of a banker, insurance agent, lawyer and accountant.
- Create Website. Create a good website with good graphics that you can use to build your brand.
- Develop letterhead, business cards, contracts. Most states require your business stationery to have your business name, license and place of business on them.
- Choose Accounting Program. Choose a good accounting program that can help you track your company’s performance.
- Purchase and Label Trucks. Many states require you to label your vehicles with your name, location and license number.
- Purchase Equipment and Tools. Once you have taken care of the other steps, invest in your tools and equipment.
Attempting to take a mountain without preparing and training for it can lead to a lot of problems. There have been many attempts to climb mountains like Mount Everest. Those attempts have resulted in death for the climbers.
Attempting to start a construction or home improvement company takes preparation. A lack of preparation and training will result in problems. Starting a company without being prepared can lead to death for the business.
Use this startup checklist to make sure that you are prepared. As you start your business build your own checklists. Each trade and each business are unique. Build your checklists that will help you manage your business and achieve your goals.
Are you looking for a system to help you run your new business?
Check out our course on How to Start and Manage a Successful Construction Company