Are you itching to get into the construction industry?
It’s no secret that the construction business is alive and well all over the country. Thus there’s never been a better time to take advantage of a market that needs skilled construction professionals like general contractors.
In fact, becoming a contractor might be the perfect career move. Here we take a look at how to start a contracting business from scratch. The key is to understand the fundamentals of a successful contracting business so you can rise above the competition. Keep reading to learn more.
Make Sure You Have the Right Skills
Becoming a general contractor in the construction industry requires a specific set of skills. For starters, you need to be familiar with every aspect of construction, from foundations to framing to roofing, and everything in between.
Keep in mind that it takes years to learn everything you need to know, so take the time to fully educate yourself before launching into business on your own.
Start With a Business Plan
Once you’ve determined that construction is the right occupation for you, you’ll need to create a business plan. This is a document that lays out everything your investors will need to understand about the business, including the amount of startup capital you’ll need and your forecast for becoming profitable.
Form a Legal Business Entity
There are four core business entities you can register for. This includes sole proprietorship, LLC, partnership, or a corporation. Each type of entity offers different advantages and disadvantages, so you’ll need to seriously consider which one will best serve your business goals.
Apply for Your EIN
Next, you will need an Employer Identification Number. This is also known as your Federal Tax Identification Number and is used by the IRS to identify your business for tax purposes. You can apply on the IRS website.
Obtain the Necessary Licenses and Insurance
You won’t be able to start a contracting business until you’ve received the necessary licenses. You’ll also need to be insured against potential accidents, which is a requirement that’s intended to protect your employees and clients.
Must Read: Concrete Polishing for Countertops
Open a Bank Account For Your Business
The next step is to open a bank account for buying supplies and paying your employees. Keep in mind that it’s crucial to always separate your personal finances from your business finances.
Develop a Marketing Plan
The key is to be as creative as possible to keep marking expenses low. For starters, you’d be wise to invest in a contracting website and focus on generating leads.
Click here to find valuable resources that can help generate leads for your contracting business.
A Guide to Becoming a Contractor
The construction industry is bigger and better than ever. That’s why this could be the perfect time to use your skills to create a thriving contracting business. Fortunately, this guide to becoming a contractor will help make your dreams come true.
Continue reading the articles on this blog to discover more content filled with unique and helpful lifestyle and home improvement-related tips and advice.