Is your business designed to scale or fail? How do you scale a construction business?
If you’re reading this, chances are you’re no stranger to the exhilarating chaos that comes with running a construction business.
But as your ventures gain momentum and projects pile up, it’s only natural to start thinking about the next big step. After all, people who don’t want to scale their construction business are selfish.
Yes, you read that right.
Not wanting to scale is a selfish act because you’re more concerned about your comfort and ideas rather than helping other customers avoid falling into some subpar contractors or creating more income opportunities for your team.
So, in this blog post, we’re delving headfirst into the exciting topic of scaling a construction business and laying the right foundations for scaling.
Let’s get building!
Debunking the Common Scaling Myths
Scaling a construction business comes with its fair share of challenges, but often, these challenges are amplified by myths and misconceptions that, in most cases, hinder growth.
So, let’s break down two of the most common myths and set the record straight on scaling a construction business.
Myth 1: You must work 40-80 hours a week to succeed in business.
While scaling demands dedication, it doesn’t mean sacrificing your personal life. If you believe you have to work 40-80 hours a week in your business, well, you’re wrong.
Here’s the reality: You’re a business owner, not a shopkeeper or an operator. And you certainly don’t own a job. Your business should run without you.
You need to start thinking about how your business can run on systems instead of certain people, especially yourself.
Myth 2: Construction is chaotic.
For most of you, when you think of construction, the first word that comes to your mind is chaos. While it’s true that construction sites can be busy, what separates successful construction businesses from the rest is the presence of well-defined systems that make construction less chaotic.
If you think that construction ought to be chaotic, think again.
Believe it or not, scaling a construction business often leads to more streamlined operations.
Your Business Needs Systems
Scaling without systems is like building a skyscraper on shaky ground.
Systems fortify your foundation, ensuring your business is ready to go tall. They are the backbone that transforms your construction chaos into streamlined success. Systems bring order to the construction frenzy–from pre-construction to project management to procurement.
So, what are the signs that your business needs new systems?
In general, the signs that construction business owners need new systems point to the reality when you hit a ceiling of complexity and your current systems no longer work or what I’d typically call system deficiencies.
Here are just a few system symptoms that tell your construction business new systems in place.
1. If you’re constantly dealing with schedule overruns.
2. If your team is chasing each other around looking for information.
3. If customer satisfaction is trending downward.
4. If you find your customers are scrutinizing your projects, and punch lists are a nightmare.
5. You’re not closing out projects in a timely manner.
6. If you’re dealing with rework or unsolicited charity where you’re doing work for free. And that’s either because you had an allowance bust and found it too late in the game to bring it up to the client.
7. If you’re dealing with giveaways, throwing stuff in at the end of the project just to make the customer happy, or there’s a bunch of change orders piled up at the end of the project, and you end up eating the cost.
8. You get handcuffed to projects that you’re working IN the business rather than ON the business.
These are just some of the symptoms that your business lacks systems, or you’ve already outgrown your current systems.
So, how do you solve all these system deficiencies so you can scale your business and eventually make it run without you?
Listen in or watch the full episode HERE as I answer the most common questions in scaling a construction business and the available resources that can help your business turn into a well-oiled machine.
– Apply for your FREE customized blueprint of the 5 Piece Bridge to Escape Operations HERE
– Join the FREE Get Paid for Estimates Masterclass HERE
– Hear our clients’ success stories HERE
– The E-Myth Revisited: Why Most Small Businesses Don’t Work and What to Do About It by Michael E. Gerber
The Construction Leading Edge Podcast helps construction business owners maximize their revenue, eliminate chaos, systematize their work, and win back their time.
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