Are you considering career options for the upcoming year and thinking about starting your own business as a general contractor? Although it is a big venture and requires a particular set of skills and knowledge, becoming a general contractor could be an excellent option if you have some construction industry experience. Keep in mind there is a significant difference between being an expert laborer or even a supervisor, and leading a construction project. To ease into the process, consider these tips for starting a contracting business.
Get Licensed
First, you will need a contractor’s license, which requires passing the contractor’s license exam. Yes, you will have to study for an exam, but construction projects are complex, and the hazards that you and your workers will come across on the site are serious. The majority of the expenses involved means you must be knowledgeable and prepared for any issues that you may face. Luckily, there are training sites designed to help you work as a general contractor.
Surety Bonds
A surety bond protects you and your clients and is legally required for a construction company to operate. This protection can be secured through a third-party source, guaranteeing that if something should arise and you cannot finish a project, your client can get their money back.
When applying for this bond, be certain your application covers all the details, such as an estimated time that the contractor project should be completed and financial documentation required. Those assessing your application must determine the risk level of granting you the surety bond by checking your bidding history and project completions. It is in your favor to have all the bases covered; otherwise the bond could get denied.
Industry Regulations
With the knowledge of the regulations for working on a construction site, you hopefully will understand all the ins and outs of how industry compliance works. Staying updated and informed regarding various construction industry regulations is the best way to protect yourself and your investment.
OSHA Certification
Being Occupational Safety and Health Act (OSHA) certified protects both your workers and your investment. Suppose you pursue a government contract without a valid OSHA certification. In that case, you risk losing your contract, being fined or imprisoned for failing to meet OSHA regulations, and the business could even be shut down. Stay up on OSHA requirements changes such as submission deadlines and the most recent OSHA certification for the Injury Tracking Application (ITA).
Hire Labor
After you have the administrative side of businesses taken care of, you are then ready to hire employees. You will want to consider bringing skilled laborers, hiring managers and crew leaders on your team who you can depend on to oversee the daily operations.
Construction Management Software
It is in your best interest to take full advantage of the technology that is out and available to make your life easier. There is a wide variety of construction management software systems on the market today that are designed to help general contractors handle many of the tedious details of completing a project efficiently and accurately. Customizable construction management software can meet specific industry needs and your business’s unique needs.
Marketing
Give thought to your marketing tactics. Branding campaigns are an essential component that should be included in your marketing plan. Consider branding your company with promotional products, as having a cohesive and consistent image can catch the eye of potential customers and establish legitimacy for your new company. It is also crucial to remain active on social media and engage with your followers to grow your audience.
About Sine Insurance
At Sine Insurance Group, we are dedicated to providing you with custom-tailored insurance policies to protect your assets. Our comprehensive packages have been expertly crafted to serve St. Louis and the surrounding areas for the past 25 years. For more information about our products, contact us today at (855) 700-0889.