business plan construction companies

Construction Business Plan Template

Written by Dave Lavinsky

Construction Business Plan

You’ve come to the right place to create your construction business plan.

We have helped over 100,000 entrepreneurs and business owners create business plans and many have used them to start or grow their construction companies.

Sample Construction Business Plan Outline

Below is a construction business plan example to help you create each section of your own construction business plan:

Executive Summary

Business overview.

VB Residential Construction Company is a startup construction company located in Milwaukee, Wisconsin. The company is founded by two cousins, Victor Martinez and Ben Schmidt. Together they have over 20 years of experience in constructing homes from design concept, remodeling and renovating homes. They are highly skilled in all aspects of construction and have garnered a positive reputation in the local construction community for their ethical practices and competitive skill set. Now that Victor and Ben have an extensive network of clients and contacts, they have decided to begin their own residential construction company.

Product Offering

The following are the services that VB Residential Construction Company will provide:

• Custom home building/design build
• Home remodeling and renovation
• Project Management
• Kitchen and bath construction

Customer Focus

VB Residential Construction Company will target those individuals and industry professionals requiring home construction services in Milwaukee, Wisconsin. Those individuals are landowners looking to develop homes on their lots, architects who have clients needing homes built, developers who have the vision but need a company to make it a reality, and households needing home remodeling services.

Management Team

VB Residential Construction Company will be led by Victor Martinez and Ben Schmidt. Together they have over twenty years of construction experience, primarily in residential builds, remodeling, and renovation. They both started at a young age working and learning from their fathers. When they graduated from high school, their fathers got them jobs at the construction company they were employed at. The four family members worked together for ten years at the construction company. The fathers recently decided they were going to retire from the industry which prompted Victor and Ben to branch out on their own and start their own residential construction company.

Success Factors

VB Residential Construction Company will be able to achieve success by offering the following competitive advantages:

• Friendly and knowledgeable contractors who are able to take any project from concept to reality.
• Unbeatable pricing – Clients will receive the best pricing in town for services on any project while maintaining the best quality and customer satisfaction.

Financial Highlights

VB Residential Construction Company is seeking $200,000 in debt financing to launch its construction business. The funding will be dedicated towards securing a small office space, purchasing two trucks, and purchasing all the construction equipment and supplies. Funding will also be dedicated towards the advertising agency and three months of overhead costs to include payroll of the staff, rent, working capital, and monthly fees to the accounting and human resources firm. The breakout of the funding is below:

• Trucks: $40,000
• Construction equipment, supplies, and materials: $100,000
• Advertising agency in charge of promotions: $10,000
• Three months of overhead expenses (rent, payroll, HR and accounting firms): $40,000
• Working capital: $10,000

Company Overview

Who is vb residential construction company.

VB Residential Construction Company is a newly established contracting company located in Milwaukee, Wisconsin. Founded by cousins, Victor Martinez and Ben Schmidt, they have over 20 years experience in the construction industry. VB specializes in residential remodeling, kitchen and bath construction, as well as custom home building. VB Residential Construction Company also offers residential design, construction, and project management services. VB prides itself in delivering a level of expert craftsmanship to fulfill the vision for the client while exceeding expectations at exceptional value.

Company History

VB comes from the initials of the owners, Victor Martinez and Ben Schmidt, two cousins who have been working in the construction industry most of their lives. Both of their fathers spent decades as contractors and raised their sons working and learning the construction trade. The four have been working for another residential contractor in Milwaukee and have built and remodeled numerous homes for multiple builders and clients. Now that both of their fathers are retiring from the construction industry, Victor and Ben have decided to start their own residential construction company and use their years of experience, expertise, and contacts to be an independent residential contractor.

Since incorporation, VB Residential Construction Company has achieved the following milestones:

• Registered VB Residential Construction Company, LLC to transact business in the state of Wisconsin.
• Located a small office space to have a physical address for the company as well as a receptionist.
• Reached out to their numerous contacts to include real estate agents, developers, architects, and landowners to advise them on their upcoming construction company in order to start getting construction contracts.
• Began pricing out costs for trucks and necessary construction equipment.
• Began recruiting a team of contractors that cover different areas of construction to include mechanical, plumbing, electricians, and roofing.

The following will be the services VB Residential Construction Company will provide:

Industry Analysis

Revenue for the Construction industry is expected to continue growing over the five years as demand for new housing expands. Revenues are expected to reach $107 billion.

Relatively low interest rates, coupled with rising per capita disposable income, is expected to support individual investment in new homes, providing an opportunity for industry revenue growth over the next five years.

Per capita disposable income is expected to rise steadily over the next five years, while concurrently, unemployment will drop, proving favorable conditions for industry growth.

Housing starts are expected to rise an annualized 2.9% and this growth is projected to stem partly from forward-looking consumers that choose to purchase homes while interest rates are low. Relatively low housing stock and relatively low interest rates are expected to lead demand for industry services to increase over the next five years.

Customer Analysis

Demographic profile of target market.

The precise demographics for Milwaukee, Wisconsin are:

Customer Segmentation

VB Residential Construction Company will primarily target the following customer profiles:

• Households in search of home remodeling services
• Landowners who would like to build homes on their lots
• Architects who have clients that need home building or remodeling services
• Developers who have already partnered with landowners and/or architects and are in search of a residential contractor

Competitive Analysis

Direct and indirect competitors.

VB Residential Construction Company will face competition from other companies with similar business profiles. A description of each competitor company is below.

JM Remodeling

JM Remodeling has been in business in Milwaukee, Wisconsin since 1990. They are a full-service design and build company. JM Remodeling specializes in residential and commercial restoration and renovation including custom carpentry, kitchens, bathrooms, roofing, siding, dormers, additions, home gyms, home offices, porches and decks, and mechanical services. JM Remodeling carries a staff of plumbers, electricians, journeymen carpenters, restoration specialists, roofers, siders, sheet metal workers, and expert estimators. JM Remodeling also has an apprenticeship program to train employees within the company. They are licensed, bonded and insured and also part of the National Association of Remodeling Industry (NARI). JM Remodeling also provides warranties on all their services. The work is guaranteed by labor warranties, factory warranties, and extended warranties.

Cream City Construction

Cream City Construction has more than 50 years experience in home design, remodeling and renovation in the Greater Milwaukee area and Southeastern Wisconsin. The home remodeling services they provide are additions, whole house remodeling, kitchens, bathrooms, lower levels, master suites and historic renovations. Cream City Construction is a design build company that works with the client to create the design plans, generate project costs, and build the project.

Cream City Construction is owned and managed by Todd Badovski and Jim Grote. Together they have decades of experience and have spent years refining the skills required to run a high end, quality driven remodeling company. The majority of their projects come from repeat business or referrals from clients delighted with their previous service. Cream City Construction is also a member of the National Association of Remodeling Industry (NARI) as well as the Historic Milwaukee Incorporated.

Sazama Design Build Remodel, LLC

Former restaurant owner Don Sazama established Sazama Design Build Remodel, LLC in 1987 after becoming a Master Carpenter. He wanted to merge his passions of business and design and expand his skills in carpentry and architecture. Don’s firm has completed over 700 homes and won 11 awards from the Milwaukee Home and Living magazine. Sazama Design Build Remodel builds homes that are modern and luxurious and have completed many large remodels of bathroom and kitchen renovations. Sazama likes to collaborate with firms such as Ivy Interiors and an award-winning landscape designer, Gingko Leaf Studio. Sazama Design Build Remodel can build and design all aspects of a home – from a home office, outdoor entertaining area, serene spas, and inviting kitchens. The team at Sazama is able to do a historic renovation, build or renovate into something modern and posh, or keep it traditional.

Competitive Advantage

VB Residential Construction Company will be able to offer the following advantages over their competition:

Marketing Plan

Brand & value proposition.

VB Residential Construction Company will offer the unique value proposition to its clientele:

• Highly trusted and professional contractors with over 20 years of experience remodeling, renovating, and building homes.
• Unbeatable pricing to its clients – VB Residential Construction Company does not mark up its services at a large percentage. They will offer the lowest prices in town.

Promotions Strategy

The promotions strategy for VB Residential Construction Company is as follows:

Word of Mouth/Referrals

Victor and Ben have built up an extensive list of contacts over the years providing home construction services for numerous highly satisfied clients. Most of the clients are repeat customers and have also referred them to other associates for home projects. These referrals and repeat customers are very likely to use VB Residential Construction Company instead of the previous construction company Victor and Ben were employed at.

Professional Associations and Networking

VB Residential Construction Company will become a member of construction and professional associations such as the National Association of Remodeling Industry (NARI) and the Milwaukee Chamber of Commerce. VB will also become a member in associations where other builders, developers, and architects are a part of. They will focus their networking efforts on expanding their client network.

Print Advertising/Billboard

VB Residential Construction Company will invest in professionally designed print ads to display in programs or flyers at industry networking events. They will also invest in two billboards to display in highly trafficked areas of town.

Website/SEO Marketing

VB Residential Construction Company will utilize the same advertising company that designed their print ads and billboards to also design their website. The website will be well organized, informative, and list all their services that VB is able to provide. The website will also list their contact information and a gallery of pictures that show their previous projects. The advertising company will also manage VB’s website presence with SEO marketing tactics so that anytime someone types in the Google or Bing search engine “Milwaukee residential contractor”, “contractor near me”, or “residential contractor near me”, VB Residential Construction Company will be listed at the top of the search results.

The pricing of VB Residential Construction Company will be moderate and on par with competitors so customers feel they receive value when purchasing their services.

Operations Plan

The following will be the operations plan for VB Residential Construction Company.

Operation Functions:

• Victor Martinez and Ben Schmidt will be the owners and managers of the company. They will oversee all staff, contractors, and subcontractors. They will also act as project managers for every job they receive and handle all pricing and bids to the client.
• Victor and Ben will employ a team of contractors under them that will have an array of skill sets. The contractors will be trained and experienced either in plumbing, mechanical, electrical, roofing, or siding. Not all contractors need to be certified in all trades, but they need to be certified in at least one of the trades.
• Office manager/assistant to be located at the small office. This person will handle all incoming calls, assist with visiting clients, bookkeeping and maintain files.
• Victor and Ben will utilize a third-party human resources company to handle all hiring, onboarding, payroll, and benefits for the staff. The HR company will also handle all employee issues.
• Victor and Ben will also pay a third-party accounting firm to manage all the high level accounting and tax payments.

Milestones:

VB Residential Construction Company will have the following milestones complete in the next six months.

3/1/202X – Finalize contract to lease small office space

3/15/202X – Execute advertising agency contract 4/1/202X – Begin networking and placing bids for construction jobs

5/1/202X – Begin recruiting and hiring team of contractors

5/15/202X – Purchase all necessary construction equipment, supplies, and trucks

6/1/202X – Start on first official job as VB Residential Construction Company

Victor and Ben are highly skilled at project management and residential construction. They are also both certified in plumbing, electrical, and mechanical. In the next few years, they will be certified as Master Carpenters.

Financial Plan

Key revenue & costs.

The revenue drivers for VB Residential Construction Company are the upcharge they will charge to the clients for their services. VB will purchase or subcontract a service at cost and will charge a 15% markup in order to obtain the markup fee. 15% is below the normal 25%-30% that other competing residential contractors charge.

The cost drivers will be the overhead costs required in order to maintain a construction company. The expenses will be the costs to purchase and maintain construction equipment and trucks, payroll and overhead costs for the staff, and rent and utilities. Other expenses will be the cost for the advertising agency, accounting firm, human resources firm, and membership association fees.

Funding Requirements and Use of Funds

VB Residential Construction Company is seeking $200,000 in debt financing to launch its construction business. The funding will be dedicated towards securing a small office space, purchasing two trucks, and purchasing all the construction equipment and supplies. Funding will also be dedicated towards the advertising agency and three months of overhead costs to include payroll of the staff, rent, and monthly fees to the accounting and human resources firm. The breakout of the funding is below:

Key Assumptions

The following outlines the key assumptions required in order to achieve the revenue and cost numbers in the financials and in order to pay off the startup business loan.

• Initial Monthly Average Contract Amount: $20,000
• Growth in Average Monthly Contracts: 10%

Financial Projections

Income statement, balance sheet, cash flow statement, construction business plan faqs, what is a construction business plan.

A construction business plan is a plan to start and/or grow your construction business. Among other things, it outlines your business concept, identifies your target customers, presents your marketing plan and details your financial projections.

You can  easily complete your construction business plan using our Construction Business Plan Template here .

What Are the Main Types of Construction Companies?

Construction companies can be classified according to the type of constructions that they perform. Some are small renovation contractors, others are new home builders and others are commercial construction companies.

What Are the Main Sources of Revenues and Expenses for a Construction Company?

Construction companies get their primary source of revenue from individual contracts for new homes, remodeling projects or commercial projects.

The key expenses for construction companies are office space rent, salaries and wages, and equipment costs. 

How Do You Get Funding for Your Construction Business Plan?

There are many options for financing a construction company like SBA loans, commercial loans, personal loans, or line of credit. There are also equipment funding opportunities that cover expenses associated with necessary tools, machinery and other equipment. Personal savings, credit card financing and angel investors are also popular forms of funding.

What are the Steps To Start a Construction Business?

Starting a construction business can be an exciting endeavor. Having a clear roadmap of the steps to start a business will help you stay focused on your goals and get started faster.

1. Develop A Construction Business Plan - The first step in starting a business is to create a detailed construction business plan that outlines all aspects of the venture. This should include potential market size and target customers, the services or products you will offer, pricing strategies and a detailed financial forecast.  

2. Choose Your Legal Structure - It's important to select an appropriate legal entity for your construction business. This could be a limited liability company (LLC), corporation, partnership, or sole proprietorship. Each type has its own benefits and drawbacks so it’s important to do research and choose wisely so that your construction business is in compliance with local laws.

3. Register Your Construction Business - Once you have chosen a legal structure, the next step is to register your construction business with the government or state where you’re operating from. This includes obtaining licenses and permits as required by federal, state, and local laws. 

4. Identify Financing Options - It’s likely that you’ll need some capital to start your construction business, so take some time to identify what financing options are available such as bank loans, investor funding, grants, or crowdfunding platforms. 

5. Choose a Location - Whether you plan on operating out of a physical location or not, you should always have an idea of where you’ll be based should it become necessary in the future as well as what kind of space would be suitable for your operations. 

6. Hire Employees - There are several ways to find qualified employees including job boards like LinkedIn or Indeed as well as hiring agencies if needed – depending on what type of employees you need it might also be more effective to reach out directly through networking events. 

7. Acquire Necessary Construction Equipment & Supplies - In order to start your construction business, you'll need to purchase all of the necessary equipment and supplies to run a successful operation. 

8. Market & Promote Your Business - Once you have all the necessary pieces in place, it’s time to start promoting and marketing your construction business. This includes creating a website, utilizing social media platforms like Facebook or Twitter, and having an effective Search Engine Optimization (SEO) strategy. You should also consider traditional marketing techniques such as radio or print advertising. 

Learn more about how to start a successful construction business:

• How to Start a Construction Business

Where Can I Get a Construction Business Plan PDF?

You can download our free construction business plan template PDF here . This is a sample construction business plan template you can use in PDF format.

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• Business plans

Construction Company Business Plan

Used 4,997 times

The objectives and tactics of a construction company are described in a business plan for a construction company. For the creation of your business plan, use this Construction Company Business Plan Template.

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Created by:

​ [Sender.FirstName] [Sender.LastName] ​

​ [Sender.Company] ​

INTRODUCTION

This business plan is for a construction company that will offer a wide range of services to residential, commercial, and industrial clients. The company will be owned and operated by [Sender.FirstName] [Sender.LastName] , who has (insert number) years of experience in the construction industry.

COMPANY DESCRIPTION

​ [Sender.Company] will be located in [Sender.City] , [Sender.State] and will serve the surrounding area. The company will be registered as a(n) (LLC/Corporation) and will have (insert number) employees at the start, including the owner. The company will offer a range of services, including new construction, renovations, and repairs for residential, commercial, and industrial clients. The company will also offer project management and design services.

MARKET ANALYSIS

The construction industry is expected to grow at a rate of (percentage) over the next five years. The demand for construction services is driven by population growth, economic development, and the need to update and improve existing buildings. [Sender.Company] will target residential, commercial, and industrial clients in the [Sender.City] area, focusing on high-quality workmanship and customer satisfaction.

MARKETING STRATEGY

​ [Sender.Company] will use a combination of traditional and digital marketing techniques to reach potential clients. This will include advertising in local newspapers and industry publications, as well as utilizing social media platforms and email marketing to promote services and specials. The company will also rely on word-of-mouth referrals from satisfied customers.

​ [Sender.Company] will have a team of skilled contractors and tradespeople who will be responsible for completing projects promptly and professionally. The company will have a project manager who will oversee all projects and ensure that they are completed to the highest standards. The company will maintain a well-stocked warehouse with a variety of construction materials and equipment to ensure that projects can be completed efficiently.

FINANCIAL PLAN

​ [Sender.Company] will generate revenue through the sale of construction services to residential, commercial, and industrial clients. The company will also generate revenue through the sale of construction materials and equipment. The company will have operating expenses, including payroll, rent, utilities, and insurance. The company expects to generate (Amount) in revenue in the first year, with a projected growth rate of (Percentage) per year.

​ [Sender.Company] is well-positioned to take advantage of the growing demand for construction services in the [Sender.City] area. With a team of experienced contractors, a focus on high-quality workmanship, and a commitment to customer satisfaction, the company is confident that it will be successful in the competitive construction market.

​ [Client.FirstName] [Client.LastName] ​

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Construction Company Business Plan

Growing a construction company is much more difficult and taxing than completing projects.

From acquiring a new project to meeting deadlines, managing the budget, and many more things in between- you will find yourself drowning in responsibilities when you start a construction company.

A construction  business plan can come to your rescue in such burdensome situations. If prepared well, it can become a reference point for your company as it continues to grow.

Confused about how to write a business plan?

Well, this article will serve you perfectly. It will help you understand the contents of the business plan and offer a sample template for your construction company.

So let’s build a solid construction company business plan with this detailed guide.

Let’s dive right in.

Why do you need a construction company business plan?

Apart from the fact that investors and banks would ask for a business plan when you seek funding, here are a few more reasons you need a business plan.

• A business plan offers a roadmap to your business. It acts as a guiding block that has answers to all your how, when, where, and what.
• It helps in determining the exact target market for your business and formulating strategies to cater accordingly.
• There are millions of construction companies competing in the industry. You can identify your strengths through a business plan and design a competitive edge to stand apart.
• A well-rounded plan prepares you for emergencies that may arise in your business by making a plan for every situation.
• A whole lot of business processes repeat every day. A business plan helps bring consistency by establishing SOPs for various business activities.

And of course, you get your desired funding with a solid business plan that vouches for the potential of your construction company.

Key components of a construction business plan

Writing a business plan gets much easier with a structurally defined flow. Well, let’s have a look at key components that a construction company business plan must have.

Executive Summary: A brief summary of an entire business plan that will encourage the readers to read further.

Company Overview: A brief company description including every detail from company structure to its mission statement and future goals.

Market Analysis: A thorough analysis of the construction industry and your target market. It also includes sections for competitor analysis, future market trends, and scope of growth.

Construction Services: Outline the construction services that your company will offer. Highlight any additional services that will make you a distinct player.

Marketing and Sales Strategy: It includes a strategic plan to achieve success through marketing and sales. Determine the best course of action for your business.

Management Team: Introduce key personnel in managerial and leadership roles. Discuss their roles, qualifications, experience, and expertise.

Operations Plan: A detailed plan that streamlines the everyday operations right from construction methods to hiring employees.

Financial Plan: A financial plan highlights the prominent figures and key reports of your construction company by making necessary financial projections.

Let’s dive further into these topics and get a detailed understanding of writing your business plan.

How to create a construction company business plan?

A poorly written plan serves no purpose. However, with this step-by-step guide on writing construction company business plan, you will uncover every detail that goes into making a fantastic and purpose-serving business plan.

1. Write an executive summary

The executive summary is a concise yet insightful description of your entire business plan.

This one-page document summarizes the most important questions that a reader might have and offers a peek into what they are about to uncover. Investors take a brief glance at your executive summary before deciding whether to proceed further or not.

An executive summary must outline the following details of your construction business in persuasive consecutive paragraphs.

• The exact business opportunity
• The target market
• The problem and the solution to it
• Products and services offered by you
• Market size and growth potential
• Financial highlights
• Management team

Maintain a personal storytelling tone while writing this section and encapsulate every minute detail that can make a difference.

But wait, don’t start writing yet. Write your executive summary only after you are done writing an entire plan. This will help you summarize effectively.

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2. Prepare a company overview section

This section of a business plan will focus entirely on the details of your construction company.

From the type of construction company to the construction company’s goals- everything in this section is about your company description.

To begin with, highlight the type of construction business you will start. For instance, a residential construction company, general contracting company, industrial construction company, or specialty trade construction.

Clarify, if this will be a new business or an extension of existing business. If the business is already operating, offer a brief description of the business history.

After that, highlight the business structure of your construction company. Are you going to be a sole trader or start a limited liability company (LLC) or a limited partnership firm? The business structure you choose will decide how the finances and taxes will work in your business.

Now, this section is your chance to weave magical stories around your construction company. Present the mission statement, company’s objectives, and future goals over here.

For instance,

Mission statement : Syncore aims to become a trusted name for sustainable residential construction projects in Arizona by 2028. With our commitment to the highest quality standards, we will penetrate the market with our premium budgeted solutions.

Business goals :

• Onboarding and signing 15 construction projects in a span of 6 months.
• Generating revenue of $2 million by 2025.

Like this, you will write this entire section in parts by offering a brief overview of your construction business.

3. Conduct a competitive and market analysis

In this section of a business plan, you begin with industry analysis and then narrow it down to your particular market segment. This is important to show your potential investors that there are promising opportunities in this market.

Using market research practices determine the target market for your construction business. Create a buyer persona to identify what your ideal customer will look like.

Further, highlight your competitors in this competitive construction industry. Using SWOT analysis and PESTEL, determine the strengths and weaknesses of competing construction companies. In this section, you will also highlight your strengths to gain a competitive edge over existing players.

Don’t limit your market study to merely understanding the current scenarios. Extend the research and identify future trends and growth possibilities in your targeted market.

If you are a residential construction company focused on sustainable building practices, you must include the following details in your market analysis section.

• How large is the construction industry?
• What segment of the construction market will you capture?
• Who will avail of the construction services?
• What is the spending capacity of your target customers?
• Who are the top competing construction companies?
• What are the emerging trends in the industry and how will you leverage those?
• What is the growth potential of your target market?

Focus on quality market research as this will form the base of your further projections and strategies.

This screenshot of the construction business plan example highlights only the market size for HDFL construction. You can also include details like competitors analysis, growth potential, and market trends here.

4. Describe your construction service offerings

What construction services will you offer your potential clients?

Offer a detailed answer to this question, as you write a business plan section for service offerings.

Overall, this section should highlight every service offering that will bring you money. This could include services like,

• General contracting services
• Design and Engineering
• Construction
• Renovation and remodeling
• Project management
• Specialty services i.e. concrete work, HVAC installation, Roofing services
• Maintenance and repairs

Offer a brief understanding of these service offerings and highlight construction jobs you will specialize in. For instance, remodeling of kitchen and bathroom.

Now, will your construction company sell any construction materials for profit? If so, include details for that as well.

It’s important to consider the breadth of your service offerings to keep the customers coming back.

Overall, this section is your chance to prove to potential investors that your services can stand solid in the competitive construction industry.

5. Propose marketing and sales strategies

According to the IBIS world report , there are more than 3,787,470 construction businesses in the USA. Starting a construction company will add one more to this list, but hey- How do you wish to make a brand that your target audience can recall easily?

All the market assessment and understanding of your potential clients will come in handy at this stage as you make your marketing plan and sales strategies.

Take an opportunity to lay out your sales plan in this section. If you have existing customers, explain how you plan to retain them.

After you are done making your sales strategies, touch the marketing aspect.

Firstly, identify the way you want your brand to be recognized- as an ordinary construction firm, a luxury construction company, a sustainable solutions firm, or an affordable construction company. This will help you make a marketing plan.

Your marketing strategy should answer the following questions:

• Which marketing channels will you use-  Online, offline, or a mix of both?
• How will you generate more leads?
• Online marketing methods- search engines, social media, Email marketing, content marketing, etc.
• If you are going to be utilizing social media platforms- which ones?
• How much will you budget for paid ads?
• Will you use billboards, pamphlets, and newspaper advertisements to market your business?

Keep in mind the marketing channels where you can find your potential customers. For instance, you are more likely to find conversions through Email campaigns than social media campaigns, if you are finding clients for commercial construction.

All in all, in this section you have to draw potential investors’ attention with your sales and marketing strategy.

6. Introduce your management team

Everyone is aware of the cutthroat competition in the construction industry. Knowing that you need an able team to transform your business plan into a successful venture.

After laying out your marketing strategy, it’s time to introduce the key management and leadership team to your business plan.

It’s okay to brag about the talented individuals you have in your company. From construction heads to project managers, highlight the achievements, experience, and expertise of these people and prove their asset-worthiness for your company.

Also, draw the hierarchical map to give potential investors an idea of your organizational structure.

This is your time to prove that you have both the means and manpower to run a successful company.

7. Outline your operational plan

You may know construction, but do you know how to run a construction business?

As someone said, “ Seamless operations are the silent engine of extraordinary business achievements”

Before even taking the first project, it’s important to define operations and SOPs for different business activities. Make it so thorough that it can act as a guidebook whenever a problem arises in your construction company.

As you write a business plan for this section, focus on answering the following questions:

• What construction materials will you use?
• What will be the supply chain process in your construction company?
• Who will oversee the project management on site?
• What will be the timeline for completing projects?
• What will be health and safety protocols for construction workers?
• What will be the process of construction work?
• How will the communication flow within an organization?
• What technologies and equipment will you use?
• How will you ensure quality work?
• How will you hire employees?
• What accounting software will you use?

This is just a general gist of questions that can help you prepare this section. Consider it as a living document that will undergo various changes as the business commences and grows.

A thorough operations plan will lay a clear groundwork for running a company. Moreover, it will instill investors’ faith in your ability to run a construction company.

8. Create a financial plan

Writing a sound financial plan is a challenge but nothing that your determined mind can’t handle.

Whether you plan to raise funds or get bank loans, you need a sound financial plan. Investors will analyze this section and only if they find your business financially viable, will they invest.

In this section, you will make financial projections and estimates for your construction company. This includes forecasting sales, estimating startup costs , projecting overhead costs, and making a pricing plan.

Using the startup costs projection, determine how much funding is essential to start your own construction company.

Also, prepare different reports like income statements, cash flow statements, balance sheets, and break-even analyses using the projections made earlier.

To make a financial plan more relevant, consider various progressive and aggressive situations.

Lastly, prepare graphs, charts, and diagrams to make this section visually appealing and easy to grasp.

Now, stop. Don’t start writing a financial plan yet. You need a financial forecasting tool from Upmetrics to help you with projections and calculations of cash flow, sales, revenue, and everything else. Simply enter the data and it will make detailed and precise calculations for you.

Trust us, you don’t want to scratch your heads writing the entire plan from ground level.

And that’s it! With all this information you pretty much know everything that a construction business plan must have.

Construction Industry Highlights 2023

Now that you are almost set to open a construction company, here are a few industry statistics that might interest you.

• Market size : The US construction market sector was valued at 1.8 trillion US dollars in 2022.
• Growth of the virtual construction market : The global BIM market is 7.9 billion US dollars . North America is projected to be a market leader capturing 30% of this market.
• Rise in prefabrication and modular construction : Healthcare facilities followed by hotels/motels and educational institutions are most likely to avail of modular construction facilities.
• Major concerns : The leading concerns encircling the construction industry are inflation and supply chain disruptions faced by nearly 90% of constructors.
• Sustainable and green building : There is a continuous increase in demand for sustainable and green building solutions. As for 2021, the green building market in the USA was reported to be approximately 83 billion dollars .
• Growing investment in smart cities : According to IDC, the investment in smart cities is expected to grow to 203 billion dollars by 2024.

From sustainability to tech-centric processes, the construction industry is making huge shifts in trends. Both, small businesses and large have to evolve according to changing times to keep themselves relevant.

Download a Sample Construction Company Business Plan

So, ready to create a construction business plan from scratch but need more guidance? Look no further; download our free construction company business plan pdf and start writing.

It’s an advanced investor-friendly template that has been crafted with construction businesses in mind. It comes with step-by-step instructions and examples to assist you in developing your own business plan. Use this sample business plan as a guide.

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Frequently Asked Questions

What kind of market research should i include in my construction business plan.

The market research for your construction business plan must include the following details:

• The market size of your targeted market, i.e. commercial construction, residential construction, etc.
• The target audience of your services and their buyers’ persona
• Top competing firms and companies offering similar services
• Emerging trends in your market
• Growth potential for your firm

Is a SWOT analysis necessary for a construction company business plan?

Absolutely yes. There are more than a billion construction companies in the USA itself. Starting another business won’t guarantee success unless you have a business that can withstand the dynamic competitive environment. SWOT analysis will make you aware of the company’s strengths, weaknesses, and the opportunities it can avail

What are the initial startup costs for a construction company?

It is possible to start a construction company with as little as $10,000. However, if you plan to set up a mid-sized construction company, expect to spend anywhere around $50,000-$250,000 on getting a basic setup. This includes accounting for licenses, insurance, office setup, construction materials, and payroll for the initial months.

Can I get government grants for a construction business?

Yes, you can apply for government grants to start your construction business. Check the local, federal, and state regulations to see which grants are applicable to your business. Check the eligibility and apply accordingly.

How often should I update my construction business plan?

A business plan is a living document that can guide you toward success if mapped properly. Ideally, you should update your business plan every 4-6 months to make it relevant. Set aside time to do so as a renewed plan will offer deep and meaningful insight into your business goals.

About the Author

Upmetrics Team

Upmetrics is the #1 business planning software that helps entrepreneurs and business owners create investment-ready business plans using AI. We regularly share business planning insights on our blog. Check out the Upmetrics blog for such interesting reads. Read more

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Construction Contractor Business Plan Template & PDF Example

• September 4, 2024

Creating a comprehensive business plan is crucial for launching and running a successful construction contractor business. This plan serves as your roadmap, detailing your vision, operational strategies, and financial plan. It helps establish your construction contractor business’s identity, navigate the competitive market, and secure funding for growth.

This article not only breaks down the critical components of a construction contractor business plan, but also provides an example of a business plan to help you craft your own.

Whether you’re an experienced entrepreneur or new to the service industry, this guide, complete with a business plan example, lays the groundwork for turning your construction contractor business concept into reality. Let’s dive in!

Our construction contractor business plan is meticulously structured to include all essential aspects necessary for a robust strategy. It outlines the company’s operations, marketing strategy, market environment, competitors, management team, and financial projections.

• Executive Summary : Presents an overview of your construction contractor business concept, including market analysis , management structure, and financial strategies.
• Company Information: Describes the company’s foundation, areas of expertise in the construction industry, and the operational standards that define the business.
• Services : Details the comprehensive range of construction services offered, from residential building to commercial projects, including any specialized services such as eco-friendly constructions or renovations.
• Target Market : Outlines the specific demographic and geographic segments the company aims to serve, emphasizing any particular needs of these markets like affordability, durability, or luxury finishes.
• Key Stats: Provides statistics on the construction industry’s size and growth trends relevant to your market area.
• Key Trends: Identifies significant trends affecting the construction sector.
• Key Competitors: Evaluates primary competitors in the area and outlines your competitive advantages.
• SWOT : Conducts a Strengths, Weaknesses, Opportunities, and Threats analysis.
• Marketing Plan : Outlines effective strategies for attracting and retaining clients.
• Timeline : Lists key milestones and objectives from the start-up through the initial years of operation.
• Management: Shares information about the management team, detailing who manages the company and their respective roles.
• Financial Plan: Forecasts the company’s 5-year financial performance, including revenue, profits, and significant expenses.

Construction Contractor Business Plan Template (Download)

Fully editable 30+ slides Powerpoint presentation business plan template.

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Executive Summary

The Executive Summary introduces your construction contractor’s business plan, offering a concise overview of your company and its services. It should detail your market positioning, the range of construction and remodeling services you offer, its location, size, and an outline of day-to-day operations.

This section should also explore how your construction business will integrate into the local market, including the number of direct competitors within the area, identifying who they are, along with your company’s unique selling points that differentiate it from these competitors.

Furthermore, you should include information about the management and co-founding team, detailing their roles and contributions to the company’s success. Additionally, a summary of your financial projections, including revenue and profits over the next five years, should be presented here to provide a clear picture of your construction business’s financial plan.

Construction Contractor Business Plan Executive Summary Example

Business Overview

When detailing the  business overview  in your executive summary, it’s crucial to provide clear and concise information. This includes the name of your construction company, its location, and an overview of the types of construction projects you undertake.

These details not only introduce your business but also set the stage for its unique qualities. Indeed, a  unique selling proposition  ( USP ) is what sets your construction company apart from the competition. Whether it’s your expertise in green building practices, your use of cutting-edge technologies like BIM, or your focus on client-centric service, your USP should be a focal point of your executive summary. It’s what captures the interest of your audience and showcases the unique value your business brings to the market.

Example: For instance, “Superior Builds,” located in the industrial hub of Metro City, operates from a well-equipped office on Builders Lane. Established in 2010, they specialize in commercial and residential projects, incorporating sustainable building practices and advanced technologies such as BIM. Their USP is their commitment to eco-friendly construction methods, which not only appeal to environmentally conscious clients but also provide long-term value through energy efficiency.

Market Overview

Understanding and presenting the  market size , growth trends, and industry dynamics are integral parts of the  market analysis . This section should highlight the potential of the U.S. construction market, backed by relevant data like market value and growth rates. Discussing industry trends, such as the adoption of green building materials and BIM, provides insight into the evolving landscape and where your construction company fits within it.

Equally important is the competitive landscape. Your executive summary should identify  key competitors  and explain how your construction company positions itself in this environment. Whether you focus on specialized construction services, superior project management, or innovative construction solutions, this is your opportunity to showcase how your company is poised to stand out in a crowded market.

Example: Consider “Superior Builds” within the general contractor industry, part of a $112 billion market. Despite intense competition from 493,728 companies nationwide, “Superior Builds” differentiates itself by focusing on sustainable building solutions and advanced project management using BIM, catering to a growing segment of the market that values environmental responsibility and efficiency.

Management Team

The management team’s background and expertise are significant assets to your business. In your executive summary, highlight the key qualifications and experiences of your team members.

This might include the CEO’s extensive background in sustainable construction or the CFO’s expertise in financial management within the construction industry. Demonstrating the team’s expertise not only builds credibility but also assures potential investors and partners of your construction company’s capability to succeed.

Example: At “Superior Builds,” the team is led by CEO John Carter, a pioneer in green construction with over 20 years of industry experience, and CFO Linda Smith, who has a robust track record of managing finances for large-scale construction projects. Their combined expertise ensures the company’s strategic positioning and operational efficiency.

Financial Plan

The financial plan overview should succinctly summarize your financial goals and projections, including revenue targets and profit margins, to provide a clear picture of your construction company’s financial trajectory.

Example: “Superior Builds” aims for $16 million in annual revenue by 2026, with a profit margin of 7-20%. The financial strategy includes leveraging high-profile, sustainable construction projects and expanding into new markets, with sales growth driven by a strong reputation and strategic partnerships, positioning the company for profitability and industry leadership within the next few years.

For a construction contractor, the Business Overview section can be concisely divided into 3 main slides:

Company Information & Location

Our construction company specializes in handling diverse projects, including residential, commercial, and industrial builds. Located strategically near major transport hubs, our headquarters offer easy access to key construction sites, providing logistical benefits and enhanced service delivery to our clientele.

Services & Specialization

We offer a comprehensive range of services from general contracting to specialized projects like energy-efficient constructions. Our expertise in custom designs and turnkey solutions sets us apart in the industry, ensuring high-quality project management and client satisfaction.

Target Market

Our target market includes homeowners, real estate developers, and public sector contracts. We cater to clients seeking reliable, high-quality construction services, with a focus on innovation and efficiency to meet the unique needs of each segment, ensuring we are the go-to contractor for diverse construction demands.

Industry Size & Growth

In the Market Overview of your construction contractor business plan, start by examining the size of the construction industry and its growth potential. This analysis is crucial for understanding the market’s scope and identifying expansion opportunities.

Key Market Trends

Proceed to discuss recent market trends , such as the increasing consumer interest in sustainable building practices, energy-efficient homes, and smart technology integration in construction. For example, highlight the demand for green building certifications and the rising popularity of renovations that focus on improving energy efficiency.

Competitive Landscape

A  competitive analysis  is not just a tool for gauging the position of your construction contractor in the market and its key competitors; it’s also a fundamental component of your business plan.

This analysis helps in identifying your construction contractor’s unique selling points, essential for differentiating your business in a competitive market.

In addition, the competitive analysis is integral in laying a solid foundation for your business plan. By examining various operational aspects of your competitors, you gain valuable information that ensures your business plan is robust, informed, and tailored to succeed in the current market environment.

Identifying Your Competitors in the Construction Industry

The initial step in a competitive analysis is recognizing who your competitors are. Start by identifying other local construction contractors, especially those who specialize in the same type of projects as your business, such as residential building or commercial renovations. Also, consider larger construction firms and indirect competitors like DIY stores or prefabricated building suppliers.

Utilize tools like Google Maps for a geographical overview of where competitors are located. Platforms like Yelp and Angie’s List can provide customer testimonials and ratings, giving you an insight into your competitors’  strengths and weaknesses . For instance, if multiple reviews praise the reliability and craftsmanship of “Quality Constructions,” this is a significant strength of your competitor.

Construction Competitors’ Strategies

To understand the competitive landscape, consider several factors:

• Project Portfolio : Review the variety of projects completed by competitors. If “Green Build Contractors” are gaining traction for their eco-friendly building solutions, it suggests a  market trend  towards sustainable construction.
• Building Techniques:  Evaluate the construction methodologies used. A contractor like “Heritage Builders” that excels in restoring historical properties might attract a niche market compared to “Innovate Structures,” known for employing state-of-the-art building technologies.
• Pricing Strategy :  Compare your pricing with that of your competitors. Are your services priced competitively with “Budget Builders,” or do they align with the high-end services of “Elite Constructions”?
• Marketing Tactics:  Examine how competitors market their services. Do they leverage robust digital  marketing strategies , or do they depend on referrals and local advertising?
• Customer Relations : Assess the quality of customer service offered. For example, “Client-Centric Constructions” may be favored for its customer-focused approach and excellent project management.
• Operational Efficiency:  Notice if competitors use advanced technology or innovative practices to enhance efficiency, such as “Streamline Construction” with its integrated project management software.

What’s Your Construction Contractor’s Value Proposition?

Reflect on what makes your construction contracting business unique. Perhaps you are known for your rapid turnaround times, or maybe you specialize in luxury residential renovations that are unmatched in your region.

Identify market gaps through client feedback and industry trends. For instance, the increasing demand for smart homes and energy-efficient buildings might be a lucrative opportunity if competitors have not yet fully embraced this niche.

Consider your location: A contractor in a rapidly developing urban area might focus on commercial and high-density residential projects, while one in a more rural setting might specialize in custom homes and renovations that align with the local aesthetic.

First, conduct a SWOT analysis for the construction contractor , highlighting Strengths (such as advanced project management skills and a wide array of building services), Weaknesses (including dependency on the economic cycle and market competition), Opportunities (for example, growing trends in sustainable construction and smart home technologies), and Threats (such as potential economic recessions that may reduce investment in new construction projects).

Marketing Plan

Next, develop a marketing strategy that outlines how to attract and retain clients through targeted advertising, promotional discounts, strong online presence, and community involvement. Focus on showcasing your company’s unique capabilities and successful project completions to build trust and credibility in the market.

Marketing Channels

Utilize various marketing channels to increase brand awareness, engage potential clients, and secure construction projects.

Digital Marketing

Embrace online platforms to expand your reach:

• Website Optimization:  Create a professional website showcasing your portfolio, client testimonials, and a blog featuring industry insights and project case studies. Implement SEO strategies to improve your website’s visibility in search results.
• Social Media Presence:  Utilize platforms like LinkedIn for professional networking, Instagram and Pinterest to showcase completed projects, and YouTube for construction project walkthroughs or tutorials.
• Email Marketing:  Build an email subscriber list by offering valuable content such as construction tips, project spotlights, and industry updates. Send regular newsletters to maintain engagement.

Local Advertising

Connect with your local community:

• Networking Events : Attend local trade shows, industry conferences, and business networking events to establish connections with potential clients, architects, and developers.
• Community Engagement:  Sponsor community events, participate in local charity initiatives, or offer workshops related to construction and home improvement to increase visibility and build trust.
• Print Media and Direct Mail:  Advertise in local newspapers, and magazines, or send direct mailers showcasing your construction projects and services to targeted neighborhoods.

Partnerships and Collaborations

Leverage collaborations to expand your reach:

• Industry Partnerships:  Collaborate with architects, interior designers, real estate agents, or suppliers to create referral programs or joint marketing initiatives.
• Client Referral Program:  Incentivize existing clients to refer your construction services by offering discounts or rewards for successful referrals.

Promotional Activities

Attract potential clients with enticing offers:

• Seasonal Promotions:  Introduce seasonal promotions like ‘Spring Renovation Specials’ or ‘Summer Outdoor Remodeling Deals’ to generate interest and urgency.
• Free Consultations:  Offer free initial consultations to prospective clients, providing insights and recommendations, showcasing your expertise, and building rapport.
• Limited-Time Discounts:  Create limited-time offers for larger projects or exclusive discounts for early project bookings.

Sales Channels

Deploy effective sales strategies to convert leads into projects and maximize revenue.

Consultative Selling

Develop relationships with potential clients:

• Client Education:  Provide comprehensive information about construction processes, materials, and project timelines to build trust and credibility.
• Tailored Proposals:  Customize proposals that address the specific needs and preferences of potential clients, showcasing your expertise and understanding of their project requirements.
• Project Add-Ons:  Suggest additional services or features that could enhance the value of the project during client interactions or proposal presentations.

Client Relationship Management

Focus on client retention and satisfaction:

• Post-Project Follow-ups:  Conduct follow-ups after project completion to ensure client satisfaction and address any concerns promptly.
• Referral Requests:  Ask satisfied clients for referrals and testimonials that can be used in future marketing efforts.
• Customer Service Excellence:  Prioritize exceptional customer service throughout the project lifecycle to foster long-term client relationships.

Technology Integration

Leverage technology for efficiency and convenience:

• Project Management Tools:  Utilize software or applications for project scheduling, progress tracking, and communication with clients to ensure transparency and efficiency.
• Online Project Quoting: I mplement online quoting tools or calculators on your website to provide quick estimates, streamlining the initial inquiry process for potential clients.
• Virtual Presentations:  Use virtual meeting platforms to conduct project presentations, share design concepts, and collaborate with clients remotely.

Strategy Timeline

Finally, create a detailed timeline that outlines critical milestones for the construction business’s project completions, marketing initiatives, client relationship building, and expansion objectives, ensuring the business progresses with clear direction and purpose.

The Management section focuses on the construction contractor business’s management and their direct roles in daily operations and strategic direction. This part is crucial for understanding who is responsible for making key decisions and driving the construction contractor business toward its financial and operational goals.

For your construction contractor business plan, list the core team members, their specific responsibilities, and how their expertise supports the business.

The Financial Plan section is a comprehensive analysis of your financial projections for revenue, expenses, and profitability. It lays out your construction contractor business’s approach to securing funding, managing cash flow, and achieving breakeven.

This section typically includes detailed forecasts for the first 5 years of operation, highlighting expected revenue, operating costs and capital expenditures.

For your construction contractor business plan, provide a snapshot of your financial statement (profit and loss, balance sheet, cash flow statement), as well as your key assumptions (e.g. number of customers and prices, expenses, etc.).

Make sure to cover here _ Profit and Loss _ Cash Flow Statement _ Balance Sheet _ Use of Funds

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How to Write a Construction Company Business Plan (12 Steps)

You are starting a construction business. You own a construction company. Do either of those statements sound like you? If so, you need a construction company business plan. Building a construction company is hard work, but you don’t reach success on hard work alone. You also need strategic planning, an in-depth understanding of the competition, and a way to finance your business. These are all things that construction business plans address. In this post, we take a deep dive into how to write a business plan for a construction company. Read on to learn everything you need to know.

Why Do You Need a Business Plan for Your Construction Company?

Before you get too deep into “how” to write a home-building business plan, it’s helpful to understand “why” you should write one. There are three main considerations here: competition, growth, and financing.

Competition

The 50 U.S. construction companies with the highest annual revenue all made more than $1.5 billion in 2020 , with the highest-grossing company topping $14.4 billion. This is the level thousands of construction companies in the U.S. and around the world are trying to reach, and the fight to get there is fierce. With that in mind, you need to understand your competition. This is a primary purpose of a construction company business plan. You probably already know who your competitors are, but you need to do market research and write it all down. A construction or general contractor business plan will force you to do that.

Like it or not, if you’re not growing, you’re more than likely dying in the construction industry. And your financial backers will want to see that you intend to grow. That means you need to have a plan for growth — how to achieve it and how to manage it when it happens.

How are you going to fund the expansion of your business? How will you get the initial capital to buy equipment? There are plenty of questions related to finances when you’re building a construction company. And any large or small construction company business plan will answer them and help you get the financing you need in the process.

Two Types of Information to Include in a Construction Business Plan

The information you include in your commercial or residential construction business plan will fall into two categories: industry information and general business information. Both are important to your business for different reasons. Perhaps the most important reason to include thorough information in your business plan is that it demonstrates your knowledge of the industry and business in general to the investors and banks who will read the plan when considering you for a loan. See below to learn more.

Industry information:

What do you know about the construction industry that others don’t? In other words, what makes your approach to your construction business different from the rest? This is what investors in your business will want to know as they try to gauge your chance of success. Don’t rely on empty buzzwords here — words like friendly, service, reliable, and the like. These are fine words, but you need to be more specific. How does what you know about the construction industry make you capable of running a successful construction business? Make sure those points are clear in your construction company business plan.

General business information:

In addition to your expertise in home building, you need to demonstrate some knowledge of general business practices. That means construction business plans need to have detailed information on the basic running of the business, the plan to get construction jobs, cash flow, corporate taxes, and similar items.

How to write a construction business plan

A business plan for a construction company is not a single page of text. It’s a complex, multi-part document that requires a lot of information. While not all construction company business plans are the same, most of them have a similar format. They include 12 key sections, which we explore in more detail below.

Executive Summary

Your executive summary is your introduction. It needs to summarize the rest of the document but not go into too much detail. Try to limit the executive summary section to a single page if at all possible, and cover topics like the following:

• The reason you are starting a construction company
• Your goals for the business
• Where you plan to operate and offer residential construction services
• Your estimated business expenses and profits
• How your home building business will fit into the existing market

Again, don’t go into too much detail here. The details will come later in the business plan. Just hit the high points.

Company Description

The second part of your construction business plan will echo some of the points you raised in the executive summary, but it will go into deeper detail. In the company description section, the takeaway point for a reader should be why you think your business will be successful. To that end, you need to describe any specialties you or your business partners have, any special positioning you can achieve within the market, and any revenue streams or reduced expenses that can make you more competitive. You will also need to describe the existing competition here. Who are your competitors, how successful are they and why do you expect to outperform them? These are all questions your company description should answer.

Operational Plan

You will get into even more detail in this section. But instead of focusing on who you are and what your business will be, you will use the operational plan section to describe how your business is going to run day in and day out. You’ll need to cover a few key areas: Technology: List and describe the pieces of technology and equipment you will use in the operation of your construction business. This can include initial construction equipment purchases and office technology like computers, programs, and even home design software .

Bidding processes: How do you plan to bid on residential construction jobs? This is an important part of generating revenue for your construction company, so it needs to be described in detail in your business plan.

Production schedules: When you get a home-building job, you are instantaneously on a tight schedule. As you know, it takes a lot to take a home from paper to real life, and the logistics behind that process are complex and unforgiving. So, make sure your business plan demonstrates your knowledge of production schedules and, more specifically, how you plan to structure your company’s production schedules.

Inventory partners: Being willing to build homes is one thing, but having the right partnerships in place to get the job done is entirely another. Which vendors and suppliers will you work with? Why? Do you have any existing relationships that could prove beneficial to your business? Answer these and any related questions in your operational plan.

Market and Competition

You’re probably not going to be the first construction company in town. Who else is already established in your intended service area? How successful are they? Your construction company’s business plan needs to contain an in-depth analysis of the competition you’re going to face, as well as the market for residential construction services in the place you plan to operate. The reason why is simple. You need to know who your competitors are so you can see what they’re doing and look for ways to grab some market share from them. And you need to know whether people want the service you are going to provide. This section will cover all of that — for both your knowledge and that of your financial backers.

Construction is a service, but it contains within it multiple related services that you can choose to offer or not offer to your customers. This is going to be an important part of your business plan — starting a construction business without a list of services you will provide is like opening a store without knowing what you’re going to sell inside it. So, make a list. Here are some of the construction-related services you may want to consider:

• Residential construction
• Commercial construction
• Home design
• Landscape work

Sales & Marketing

You may not be a marketer at heart, but you’re going to have to have a plan to market your construction business and bring in home-building jobs. The sales and marketing plan you write in your business plan should be as detailed as possible. Include information on the following subtopics:

• Your marketing budget
• Your company’s marketing assets, such as a website
• Advertising plans (such as billboards, newspaper ads, and search engine advertising)
• Whether and how you plan to leverage social media
• Loss leader plans, such as offering free home design consultations
• How you will measure the success of your marketing efforts

In addition to marketing, this section of your construction company business plan will need detailed information on your sales processes. Will you have dedicated salespeople? How will your sales team get leads? Will salespeople be paid on commission? Answer these questions and more.

Managers can make or break a construction business. These are the leaders of your company — the ones who will define the path your business follows and bear the responsibility for the successes and failures you have along the way. That’s why this is an essential part of your home-building business plan. Management may shift over time, but at the start, you need to have a good idea of who’s going to be in charge of what. You will also need to include an explanation of why you have chosen these people, who they answer to, and what you are planning to pay them.

For financial backers, this is going to be one of the most important sections of your business plan. They want to know how you plan to manage the money they may give you so they have an idea of whether this is a sound investment. Give them as much detail as possible. Cover everything from your revenue projections and operational costs to employee wages and the price of your services. Wherever possible, you need to include exact figures based on hard data and research instead of soft estimates based on your own beliefs. Remember — lenders and investors have a head for numbers, so they will immediately notice if you’ve left something important out.

The funding section of a business plan for a construction company is an extension of the finance section, but it’s not the same thing. This is where you describe how you plan to obtain the money you need to start, run, and expand the business. The audience reading your business plan will hopefully play a part in the funding — that’s the whole idea, anyway — but you need to convince them that you will be able to use their funds wisely to generate revenue. Be specific about how much startup funding you’re going to need and why. Go into detail about how you will repay a loan or generate returns for investors. Describe how initial funding will be used in your business — to buy equipment, hire talented employees, market your business, and so on. With these bases covered, you will set yourself up to receive the funding you need to get this business off the ground.

Financial Projections

You’re hoping for a bright future for your new construction company. That’s a given. But you need to show that bright future with the financial projections in your business plan. Include projections for revenue, expenses, and profits for five years out from your starting date. Don’t just say you plan to bring in $100 million by the fourth quarter of year three — show the numbers behind how you’ll get there. You will be able to reference the information from the other sections of your business plan to support your projections.

Funding Request

If you need investments or a loan to start your construction business, you need to include in your business plan a specific funding request. This is where you ask for the money you need. Here again, you need to provide some detail:

• How much money do you currently have for the business?
• How much are you contributing alongside the investment or loan you are seeking?
• What assets do you already own, and what assets do you still need to acquire?

Many of the facts and claims you have made in other sections of your construction company business plan will have supporting information or related documents that won’t quite fit. The appendix is where you include those references. Any extra information that could help financial backers understand your proposed business should be included here. And don’t worry — this section will not likely be read in its entirety, so you can include everything. In general, more information in a business plan is better than less.

Final Thoughts

Writing a construction company business plan is a big task, but if you break it down into small steps, you can get it done. From the executive summary to the appendix, your business plan needs to demonstrate your ability to achieve success in the residential construction industry. With your business plan written and your company started, you’ll need to get home-building jobs and please your clients. Cedreo can help with that. Our home building software can help you quickly create 3D home designs to help clients visualize the project and make them much more likely to close the deal with you. Interested? Learn more about our home building software here, or contact us for more information.

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How To Write a Winning Construction Company Business Plan + Template

Creating a business plan is essential for any business, but it can be especially helpful for construction company businesses who want to improve their strategy or raise funding.

A well-crafted business plan not only outlines the vision for your company, but also documents a step-by-step roadmap of how you will accomplish it. To create an effective business plan, you must first understand the components essential to its success.

This article provides an overview of the key elements that every construction company business owner should include in their business plan.

Download the Ultimate Construction Business Plan Template

What is a construction company business plan.

A construction company business plan is a formal written document describing your company’s business strategy and feasibility. It documents the reasons you will succeed, your areas of competitive advantage, and it includes information about your team members. Your business plan is a key document that will convince investors and lenders (if needed) that you are positioned to become a successful venture.

Why Write a Construction Company Business Plan?

A construction company business plan is required for banks and investors. The document is a clear and concise guide of your business idea and the steps you will take to make it profitable.

Entrepreneurs can also use this as a roadmap when starting their new company or venture, especially if they are inexperienced in starting a business.

Writing an Effective Construction Company Business Plan

The following are the key components of a successful construction company business plan:

Executive Summary

The executive summary of a construction company business plan is a one to two page overview of your entire business plan. It should summarize the main points, which will be presented in full in the rest of your business plan.

• Start with a one-line description of your construction company
• Provide a short summary of the key points in each section of your business plan, which includes information about your company’s management team, industry analysis, competitive analysis, and financial forecast among others.

Company Description

This section should include a brief history of your company. Include a short description of how your company started, and provide a timeline of milestones your company has achieved.

If you are just starting your construction business, you may not have a long company history. Instead, you can include information about your professional experience in this industry and how and why you conceived your new venture. If you have worked for a similar company before or have been involved in an entrepreneurial venture before starting your construction firm, mention this.

You will also include information about your chosen construction company business model and how, if applicable, it is different from other companies in your industry.

Industry Analysis

The industry or market analysis is an important component of a construction company business plan. Conduct thorough market research to determine industry trends and document the size of your market. Questions to answer include:

• What part of the construction industry are you targeting?
• How big is the market?
• What trends are happening in the industry right now (and if applicable, how do these trends support the success of your company)?

You should also include sources for the information you provide, such as published research reports and expert opinions.

Customer Analysis

This section should include a list of your target audience(s) with demographic and psychographic profiles (e.g., age, gender, income level, profession, job titles, interests). You will need to provide a profile of each customer segment separately, including their needs and wants.

For example, a construction company business’ customers may include:

• Businesses (e.g., office complexes, restaurants, retail stores)
• General contractors
• Other construction companies

As you conduct your customer analysis, keep in mind that your target customers may not be aware of your company or product right away. You will need to have a marketing strategy to reach them and get them interested.

You can include information about how your customers make the decision to buy from you as well as what keeps them buying from you.

Develop a strategy for targeting those customers who are most likely to buy from you, as well as those that might be influenced to buy your products or construction company services with the right marketing.

Competitive Analysis

The competitive analysis helps you determine how your product or service will be different from competitors, and what your unique selling proposition (USP) might be that will set you apart in this industry.

For each competitor, list their strengths and weaknesses. Next, determine your areas of competitive differentiation and/or advantage; that is, in what ways are you different from and ideally better than your competitors.

Marketing Plan

This part of the business plan is where you determine and document your marketing plan. . Your plan should be clearly laid out, including the following 4 Ps.

• Product/Service : Detail your product/service offerings here. Document their features and benefits.
• Price : Document your pricing strategy here. In addition to stating the prices for your products/services, mention how your pricing compares to your competition.
• Place : Where will your customers find you? What channels of distribution (e.g., partnerships) will you use to reach them if applicable?
• Promotion : How will you reach your target customers? For example, you may use social media, write blog posts, create an email marketing campaign, use pay-per-click advertising, launch a direct mail campaign. Or you may promote your construction company business via word-of-mouth.

Operations Plan

This part of your construction company business plan should include the following information:

• How will you deliver your product/service to customers? For example, will you do it in person or over the phone only?
• What infrastructure, equipment, and resources are needed to operate successfully? How can you meet those requirements within budget constraints?

The operations plan is where you also need to include your company’s business policies. You will want to establish policies related to everything from customer service to pricing, to the overall brand image you are trying to present. Finally, and most importantly, in your Operations Plan, you will lay out the milestones your company hopes to achieve within the next five years. Create a chart that shows the key milestone(s) you hope to achieve each quarter for the next four quarters, and then each year for the following four years. Examples of milestones for a construction company business include reaching $X in sales. Other examples include hiring a certain number of employees, signing up a certain number of customers, or completing a certain number of projects.

Management Team

List your team members here including their names and titles, as well as their expertise and experience relevant to your specific construction industry. Include brief biography sketches for each team member. Particularly if you are seeking funding, the goal of this section is to convince investors and lenders that your team has the expertise and experience to execute on your plan. If you are missing key team members, document the roles and responsibilities you plan to hire for in the future.

Financial Plan

Here you will include a summary of your complete and detailed financial plan (your full financial projections go in the Appendix). This includes the following three financial statements:

Income Statement

Your income statement should include:

• Revenue : how much revenue you generate.
• Cost of Goods Sold : These are your direct costs associated with generating revenue. This includes labor costs, as well as the cost of any equipment and supplies used to deliver the product/service offering.
• Net Income (or loss) : Once expenses and revenue are totaled and deducted from each other, this is the net income or loss.

Sample Income Statement for a Startup Construction Company

Balance sheet.

Include a balance sheet that shows your assets, liabilities, and equity. Your balance sheet should include:

• Assets : All of the things you own (including cash).
• Liabilities : This is what you owe against your company’s assets, such as accounts payable or loans.
• Equity : The worth of your business after all liabilities and assets are totaled and deducted from each other.

Sample Balance Sheet for a Startup Construction Company

Cash Flow Statement Include a cash flow statement showing how much cash comes in, how much cash goes out and a net cash flow for each year. The cash flow statement should include:

• Cash Flow From Operations
• Cash Flow From Investments
• Cash Flow From Financing

Below is a sample of a projected cash flow statement for a startup construction business.

Sample Cash Flow Statement for a Startup Construction Company

Finish with an appendix section which will include:

• Your complete financial projections
• A complete list of your company’s business policies and procedures related to the rest of the business plan (marketing, operations, etc.)
• Any other documentation which supports what you included in the body of your business plan.

Writing a good business plan gives you the advantage of being fully prepared to launch and/or grow your construction company. It not only outlines your business vision but also provides a step-by-step process of how you will accomplish it.

A well-written business plan is an essential tool for any construction company. The tips we’ve provided in this article should help you write a winning business plan for your construction company.  

Finish Your Construction Business Plan in 1 Day!

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Business Plan Template for Construction Companies

• Great for beginners
• Ready-to-use, fully customizable Subcategory
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Starting a construction company is no easy feat. To succeed in this competitive industry, you need a solid business plan that outlines your goals, strategies, and financial projections. With ClickUp's Business Plan Template for Construction Companies, you can create a comprehensive plan that will impress investors, secure funding, and guide your operations.

This template will help you:

• Outline your company's mission, vision, and values
• Define your target market and competitive advantage
• Develop a detailed marketing and sales strategy
• Create financial projections and budgets
• Plan your operational processes and project management

Don't let the complexities of starting a construction company hold you back. Use ClickUp's Business Plan Template and build a roadmap to success today!

Business Plan Template for Construction Companies Benefits

A business plan template specifically designed for construction companies can provide numerous benefits, including:

• Streamlined planning process, ensuring that all essential elements are included in the business plan
• Clear communication of business goals and strategies to potential investors, lenders, and stakeholders
• Thorough analysis of the construction market, competition, and target audience, leading to better decision-making
• Accurate financial projections, helping construction companies secure funding and manage cash flow effectively
• Comprehensive operational plans, guiding construction projects, resource allocation, and project management
• Increased credibility and professionalism, positioning construction companies as reliable and trustworthy in the industry

Main Elements of Construction Companies Business Plan Template

When it comes to creating a solid business plan for your construction company, ClickUp has you covered with our Construction Business Plan template!

Here are the main elements you'll find in this template:

• Custom Statuses: Keep track of the progress of each section with statuses like Complete, In Progress, Needs Revision, and To Do.
• Custom Fields: Capture important information such as Reference, Approved, and Section to ensure that all necessary details are included in your business plan.
• Custom Views: Explore five different views to gain a comprehensive understanding of your business plan. These include Topics, Status, Timeline, Business Plan, and Getting Started Guide.
• Document Collaboration: Collaborate seamlessly with your team by using ClickUp's Docs feature to easily edit and share your business plan.
• Goals and Milestones: Set goals and milestones to stay on track and ensure that your construction company is meeting its objectives.
• Task Management: Break down your business plan into actionable tasks, assign them to team members, and track progress with ClickUp's task management features.
• Gantt Chart: Visualize and manage the timeline of your business plan with ClickUp's Gantt chart.
• Integrations: Connect ClickUp with your favorite tools and apps to streamline your workflow and increase productivity.

With ClickUp's Construction Business Plan template, you'll have all the tools you need to create a comprehensive and effective business plan for your construction company.

How To Use Business Plan Template for Construction Companies

Creating a business plan for your construction company is crucial for success. Follow these steps to effectively use the Business Plan Template in ClickUp:

1. Define your company's mission and vision

Start by clearly defining your construction company's mission and vision. What is the purpose of your business? What do you hope to achieve in the long term? This step will set the foundation for your entire business plan.

Use a Docs feature in ClickUp to outline your mission and vision statement.

2. Identify your target market and competition

Understand your target market and competition in the construction industry. Who are your potential clients? What sets you apart from your competitors? Conduct market research to gain insights into your target audience and competition.

Create tasks in ClickUp to gather information about your target market and competition.

3. Outline your services and pricing

Clearly define the services your construction company will offer. Will you specialize in residential or commercial projects? What types of construction services will you provide? Determine your pricing structure and how you will remain competitive in the market.

Use custom fields in ClickUp to outline your services and pricing details.

4. Develop a marketing strategy

Create a comprehensive marketing strategy to promote your construction company. How will you reach your target audience? Which marketing channels will you use? Develop a plan for online and offline marketing, including website development, social media marketing, and networking events.

Use a Table view in ClickUp to outline your marketing strategy and track progress.

5. Establish financial projections and budget

Develop financial projections for your construction company, including revenue forecasts, expenses, and profit margins. Create a budget that outlines your expected costs, such as equipment, materials, and labor. This step is crucial for understanding the financial feasibility of your business.

Use Dashboards in ClickUp to track your financial projections and monitor your budget.

6. Set goals and milestones

Determine specific goals and milestones for your construction company. These could include targets for revenue growth, project completion timelines, or client acquisition. Break down your goals into actionable steps and set deadlines to keep you and your team accountable.

Create milestones in ClickUp to track your progress towards your goals.

By following these steps and utilizing the Business Plan Template in ClickUp, you can create a comprehensive and effective business plan for your construction company. Good luck!

Get Started with ClickUp’s Business Plan Template for Construction Companies

Construction companies can use this Business Plan Template to streamline their planning process and ensure all aspects of their business are covered.

First, hit “Add Template” to sign up for ClickUp and add the template to your Workspace. Make sure you designate which Space or location in your Workspace you’d like this template applied.

Next, invite relevant members or guests to your Workspace to start collaborating.

Now you can take advantage of the full potential of this template to create a comprehensive business plan:

• Use the Topics View to organize and outline the different sections of your business plan, such as Executive Summary, Market Analysis, Financial Projections, and more
• The Status View will help you track the progress of each section, with statuses like Complete, In Progress, Needs Revision, and To Do
• Utilize the Timeline View to set deadlines and milestones for each section, ensuring you stay on track
• The Business Plan View provides a holistic overview of your entire plan, allowing you to easily navigate between sections and make updates
• The Getting Started Guide View offers step-by-step instructions and tips on how to effectively use the template and create a successful business plan
• Customize the template by adding custom fields like Reference, Approved, and Section to provide additional context and organization
• Collaborate with team members to brainstorm ideas, gather data, and refine your business plan
• Regularly review and update your plan to reflect changes in the industry or your business goals
• Share your business plan with stakeholders, investors, and lenders to secure funding and support for your construction company.
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Here is a free business plan sample for a construction company.

If you're poised to lay the foundation of your own construction company but feel uncertain about the initial steps, this is your blueprint for success.

In the content that follows, we will present to you a comprehensive sample business plan tailored for a construction company.

As any seasoned builder knows, a robust business plan is the cornerstone of a thriving enterprise, providing a clear blueprint for your company's structure, objectives, and growth strategies.

To erect a solid plan with precision and speed, you can utilize our construction company business plan template. Our specialists are also on hand to offer a complimentary review and refinement of your plan.

How to draft a great business plan for your construction company?

A good business plan for a construction company must cater to the unique aspects of the construction industry.

Initially, it is crucial to provide a comprehensive overview of the construction market. This includes up-to-date statistics and an analysis of emerging trends within the industry, as illustrated in our construction company business plan template .

Your business plan should articulate your vision clearly, define your target market (such as residential, commercial, or government contracts), and establish your company's distinctive positioning (e.g., specializing in green building, luxury homes, or cost-effective commercial structures).

Market analysis is a vital component. It requires a thorough understanding of the competitive landscape, regional construction demands, and the economic factors influencing the industry.

For a construction company, it is imperative to detail the services you will provide. This could range from design-build services, general contracting, or project management. Explain how these services align with the needs and requirements of your intended client base.

The operational plan is of paramount importance. It should outline the location of your business, the structure of your project management teams, the procurement process for materials, and the approach to managing construction projects.

In construction, it is essential to highlight your commitment to safety standards, quality control measures, and adherence to building codes and regulations.

Address your marketing and sales strategies next. How do you plan to secure contracts and maintain a robust pipeline of projects? Consider your approach to bidding, networking, client relationships, and reputation management.

Embracing digital strategies, such as maintaining an updated website and leveraging construction management software, is also crucial in the modern business environment.

The financial section is a cornerstone of your business plan. It should encompass the initial capital investment, projected cash flow, ongoing operational expenses, and the point at which you expect to break even.

In the construction industry, where project costs can vary significantly, it is vital to have a precise and well-researched financial plan. For assistance, you may refer to our financial forecast for a construction company .

Compared to other business plans, a construction company's plan must pay closer attention to risk management, the acquisition of skilled labor, and the potential for delays due to weather or supply chain disruptions.

A detailed business plan is not only a roadmap for the business owner but also a tool to attract investment or secure loans.

Lenders and investors are looking for comprehensive market analysis, realistic financial projections, and a solid understanding of the operational complexities of a construction business.

By presenting a thorough and substantiated plan, you showcase your professionalism and dedication to the success of your construction company.

To achieve these goals efficiently, consider using our construction company business plan template .

A free example of business plan for a construction company

Here, we will provide a concise and illustrative example of a business plan for a specific project.

This example aims to provide an overview of the essential components of a business plan. It is important to note that this version is only a summary. As it stands, this business plan is not sufficiently developed to support a profitability strategy or convince a bank to provide financing.

To be effective, the business plan should be significantly more detailed, including up-to-date market data, more persuasive arguments, a thorough market study, a three-year action plan, as well as detailed financial tables such as a projected income statement, projected balance sheet, cash flow budget, and break-even analysis.

All these elements have been thoroughly included by our experts in the business plan template they have designed for a construction company .

Here, we will follow the same structure as in our business plan template.

Market Opportunity

Market data and figures.

The construction industry is a cornerstone of the global economy with substantial market size.

Recent estimates place the global construction market at over 10 trillion dollars, and forecasts suggest continued growth driven by urbanization, infrastructure upgrades, and population increases.

In the United States, there are over 700,000 construction companies, contributing to an annual revenue of approximately 1.3 trillion dollars for the construction sector.

These statistics underscore the construction industry's vital role in shaping the built environment and its significant contribution to the national economy.

Emerging trends in the construction industry are indicative of a shift towards innovation, sustainability, and efficiency.

Green building practices are becoming more prevalent, with a focus on energy-efficient materials and sustainable construction methods to minimize environmental impact.

Technological advancements such as Building Information Modeling (BIM), prefabrication, and modular construction are streamlining project workflows and reducing waste.

Smart home technology and automation are increasingly integrated into new construction projects, catering to the demand for connected and intelligent living spaces.

Additionally, the industry is experiencing a surge in the use of drones and robotics for site surveying and monitoring, enhancing safety and precision.

These trends demonstrate the construction industry's commitment to embracing new technologies and sustainable practices to meet the evolving needs of society.

Success Factors

The success of a construction company hinges on several critical factors.

Quality of workmanship is paramount. A construction company that consistently delivers well-constructed, durable projects will build a strong reputation.

Innovation in construction techniques and materials can set a company apart in a crowded market.

Strategic location of operations can influence the ability to secure local projects and tap into regional growth.

Exceptional customer service and project management are essential for client satisfaction and repeat business.

Lastly, effective cost control, adherence to safety standards, and the capacity to adapt to industry trends, such as eco-friendly construction and smart technology integration, are vital for the sustained success of a construction company.

The Project

Project presentation.

Our construction company project is designed to address the increasing need for reliable and high-quality construction services. Situated in a region experiencing growth in residential and commercial development, our company will specialize in constructing modern, energy-efficient, and sustainable buildings. We will offer a comprehensive range of services, from initial design and planning to construction and project management, all tailored to meet the unique requirements of each client.

The emphasis will be on the use of innovative building techniques, materials, and sustainable practices to deliver projects that are not only aesthetically pleasing but also environmentally responsible and cost-effective.

Our construction company aims to set a new standard in the building industry, becoming a trusted partner for clients and a leader in sustainable construction practices.

Value Proposition

The value proposition of our construction company lies in our commitment to delivering high-quality, sustainable, and innovative building solutions. We understand the importance of creating structures that stand the test of time, both in terms of durability and environmental impact.

Our dedication to client satisfaction, attention to detail, and adherence to best practices in sustainable construction sets us apart, ensuring that every project we undertake is completed to the highest standards.

We are committed to fostering long-term relationships with our clients, providing them with peace of mind and confidence in their investment, and contributing to the betterment of our communities through responsible construction practices.

Our construction company is poised to become a cornerstone in the industry, championing the integration of green building techniques and materials to enhance the quality of life for our clients and future generations.

Project Owner

The project owner is a seasoned professional with a wealth of experience in the construction industry.

With a background in civil engineering and a passion for sustainable development, he is dedicated to establishing a construction company that excels in delivering projects that are both innovative and environmentally conscious.

Armed with a strategic vision for growth and a commitment to excellence, he is determined to lead the company to new heights, ensuring that each project not only meets but exceeds client expectations.

His expertise and drive for continuous improvement are the bedrock of the company, inspiring a culture of quality, integrity, and sustainability that will redefine the construction industry.

The Market Study

Market segments.

The market segments for this construction company are diverse and cater to various needs within the construction industry.

Firstly, there are residential clients looking to build or renovate their homes, seeking reliable and quality construction services.

Next, we have commercial clients who require the construction of retail spaces, offices, or other commercial properties, emphasizing timely delivery and adherence to safety standards.

The market also includes real estate developers focused on multi-unit residential or commercial developments, who value scalability and project management expertise.

Lastly, government and institutional clients for public infrastructure projects, such as schools and hospitals, can be a significant segment due to their need for compliance with strict regulations and standards.

SWOT Analysis

A SWOT analysis of this construction company project highlights several factors.

Strengths include a strong track record of completed projects, a skilled workforce, and robust project management capabilities.

Weaknesses might encompass the cyclical nature of the construction industry and the challenges of maintaining a skilled labor force.

Opportunities can be found in the growing demand for sustainable and green construction practices, as well as in technological advancements that can improve efficiency and reduce costs.

Threats may include economic downturns affecting the construction industry, increasing material costs, and the competitive landscape of the construction market.

Competitor Analysis

Competitor analysis in the construction sector indicates a highly competitive environment.

Direct competitors include other local and regional construction firms, as well as national construction companies with a presence in the area.

These competitors vie for projects based on cost, quality, reputation, and the ability to deliver on time.

Potential competitive advantages for our company include a strong reputation for safety, innovative use of technology, and a customer-centric approach to project management.

Understanding the strengths and weaknesses of competitors is crucial for carving out a niche in the market and ensuring client satisfaction.

Competitive Advantages

Our construction company's dedication to safety, quality, and customer satisfaction forms the cornerstone of our competitive edge.

We leverage advanced construction technologies and methodologies to enhance efficiency and deliver projects on schedule and within budget.

Our commitment to sustainability and green building practices not only meets the growing demand for environmentally responsible construction but also provides long-term value to our clients.

Moreover, our transparent communication and personalized service ensure that we understand and meet our clients' specific needs, fostering lasting relationships and repeat business.

You can also read our articles about: - the customer segments of a construction company - the competition study for a construction company

The Strategy

Development plan.

Our three-year development plan for the construction company is designed to establish us as a leader in sustainable and innovative building solutions.

In the first year, we will concentrate on building a strong reputation in the local market by delivering high-quality construction services and exceptional customer service.

The second year will be focused on expanding our services to neighboring regions and investing in advanced construction technologies to enhance efficiency and reduce environmental impact.

In the third year, we aim to diversify our portfolio by entering the commercial construction space and forming strategic alliances with real estate developers and architects to broaden our project scope.

Throughout this period, we will adhere to our core values of sustainability, integrity, and continuous improvement to meet the evolving demands of our clients and stay ahead in the competitive construction industry.

Business Model Canvas

The Business Model Canvas for our construction company targets both residential and commercial clients seeking reliable and eco-friendly construction services.

Our value proposition is centered on delivering sustainable building solutions, timely project completion, and transparent pricing.

We offer our services through direct contracts and partnerships, utilizing our key resources such as skilled labor, modern equipment, and industry expertise.

Key activities include project management, sustainable building practices, and client engagement.

Our revenue streams are generated from construction contracts, while our costs are mainly associated with labor, materials, and equipment maintenance.

Find a complete and editable real Business Model Canvas in our business plan template .

Marketing Strategy

Our marketing strategy is built on showcasing our commitment to sustainability and innovation in construction.

We aim to educate our target market on the benefits of green building and position ourselves as a thought leader in the industry. Our approach includes participation in industry events, content marketing through blogs and case studies, and leveraging client testimonials.

We will also establish partnerships with suppliers of eco-friendly materials to enhance our brand image.

Additionally, we will utilize social media and digital marketing to increase our visibility and engage with potential clients on a more personal level.

Risk Policy

The risk policy for our construction company is designed to mitigate risks associated with project execution, workplace safety, and financial management.

We comply with all construction regulations and safety standards, ensuring that our work sites are secure and our employees are well-trained.

We conduct thorough project planning and risk assessments to prevent delays and cost overruns. Moreover, we maintain a conservative financial strategy to manage cash flow effectively.

We also carry comprehensive insurance to protect against any unforeseen events that could impact our projects or business operations. Our priority is to deliver safe, high-quality construction services while safeguarding the financial stability of our company.

Why Our Project is Viable

We are committed to establishing a construction company that stands out for its dedication to sustainability and modern building practices.

With a growing demand for eco-friendly construction and our focus on quality and customer satisfaction, we are poised for success in this dynamic industry.

We are enthusiastic about the opportunity to contribute to the development of sustainable communities and look forward to the growth and evolution of our construction company.

We remain adaptable to market changes and are eager to embrace the challenges and opportunities that lie ahead in the construction sector.

You can also read our articles about: - the Business Model Canvas of a construction company - the marketing strategy for a construction company

The Financial Plan

Of course, the text presented below is far from sufficient to serve as a solid and credible financial analysis for a bank or potential investor. They expect specific numbers, financial statements, and charts demonstrating the profitability of your project.

All these elements are available in our business plan template for a construction company and our financial plan for a construction company .

Initial expenses for our construction company include acquiring construction equipment, vehicles, and tools necessary for various building projects, obtaining licenses and permits, insuring our operations, and investing in safety training for our workforce. Additionally, costs will be allocated for establishing a strong brand presence and executing targeted marketing strategies to attract potential clients in the residential and commercial sectors.

Our revenue assumptions are based on a thorough market analysis of the local construction industry, taking into account the current demand for new construction and renovation services, as well as the competitive landscape.

We expect a gradual increase in contracts, starting conservatively and expanding as our reputation for quality and reliability grows within the community.

The projected income statement outlines expected revenues from our construction services, direct costs (materials, labor, subcontracting), and operating expenses (office rent, marketing, salaries, equipment maintenance, etc.).

This leads to a forecasted net profit that is essential for assessing the long-term profitability of our construction business.

The projected balance sheet presents assets unique to our company, such as construction machinery, vehicles, and material inventories, alongside liabilities including loans and projected operational costs.

It provides a snapshot of the financial standing of our construction company at the end of each fiscal period.

Our projected cash flow statement details the inflows and outflows of cash, enabling us to predict our financial needs at any point in time. This is crucial for maintaining a healthy cash balance and steering clear of liquidity issues.

The projected financing plan identifies the specific sources of funding we intend to tap into to cover our initial outlays.

The working capital requirement for our construction company will be diligently managed to ensure we have sufficient funds to support day-to-day activities, such as procuring materials, managing inventory, and disbursing wages.

The break-even analysis for our venture will calculate the volume of business we need to achieve to cover all our costs, including the initial investments, and to begin generating profits.

It will signal the point at which our company becomes financially sustainable.

Key performance indicators we will monitor include the profit margin on our construction projects, the current ratio to evaluate our ability to meet short-term obligations, and the return on investment to gauge the efficiency of the capital we have deployed into the business.

These metrics will assist us in assessing the financial health and overall success of our construction company.

If you want to know more about the financial analysis of this type of activity, please read our article about the financial plan for a construction company .

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Manage a Business

The Ins and Outs of Writing a Construction Business Plan (Free Template)

June 26, 2024

5  min read

By Homebase Team

Table of contents

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Join the 100K+ small businesses using Homebase for time clocks, schedules, payroll, and HR.

A strong foundation is essential for a construction job—and starting a construction business. And how do you do that? By setting up your business for success with a solid construction business plan. Read on to learn about why you need a construction business plan, how to create one in six easy steps, and a free template to get you started.

What’s a business plan for a construction company?

A business plan is a document that outlines a company’s business activities, goals, and how its activities will help achieve its objectives. It documents a business’s market research, financial projections, mission statement, and offerings. Every construction business can benefit from a business plan, whether you're established or just starting. A construction business plan can help you secure funding, document your business model, forecast future business demands, and function as a guiding light for you and your team.

The benefits of having a construction business plan

Most businesses start with a business plan—it’s a natural way to get your thoughts onto paper and organize them into actionable steps. Business plans can take a lot of time, but when done right, your business plan can function as your manual to move your business forward. If you’re still unsure whether your construction business needs a business plan, these four benefits might help you decide.

Apply for funding

You'll need a business plan if you’re looking for a business loan or planning to apply for business grants. Most financial lenders won’t even consider giving you a business loan without a well-thought-out business plan. A business plan is a way for lenders to gauge the risk level they’re taking if they lend your business money. Your business plan should show lenders how to use their money and how to pay it back. It also allows you to build confidence in your ability to run a business from an organizational standpoint.

Attract top talent

Hiring the right people is important for any business, but it can make or break a construction business. Giving potential hires a complete understanding of your vision for your construction company can be the difference between finding the right employees versus the right now employees. Creating a business plan will give you a clear vision for your company that you’ll easily be able to communicate to any potential hires.

Understand your competition

Industry and competitor research and analysis are a big part of creating a business plan. You might start your business plan thinking you know exactly what makes you stand out, but then again, you might not. Researching who your competitors are and what they do helps you solidify how your business can be differentiated from your peers. Finding what’s unique to your business is a huge factor in outbooking other local construction businesses.

Gives you clarity

Trying to get your business off the ground can feel like you get lost in the weeds of it all. Creating a business plan can help you clarify key elements of your company. A business plan gives you the big picture and lets you identify the priorities and milestones you need to focus on for your business.

How to write a business plan for a construction company

Writing a business plan for your construction company is essential in building your business. Whether you’re looking for funding or you're looking for clarity, a business plan can help set you on the right path. Here are six key components of a successful construction business plan.

1. Executive summary

An executive summary is an overview of your construction business plan. Think of it as the CliffsNotes version of your business plan—it gives readers the basics of your business’s goals, financial projections, strategies, and more. This should be the first section of your business plan, but it’s usually the last thing you write because your plan informs it. An excellent executive summary reflects your construction business and should excite the reader about your company and its potential.

2. Company description

The company overview and description section is the second section in your construction business plan. This section outlines vital details about your company, like your location, the size of the business, what you do, and what you hope to do in the future. When writing your company description, try to include the following information:

• The official company name
• Type of business structure (sole proprietorship, LLC, corporation, etc.)
• Names of the owners/management team
• The business location
• A company history that outlines when the business started, why you created it, and what it does
• Mission and vision statements

3. Market analysis

A robust market analysis gives you the foundation to create a strong construction business plan with the best chance at success. Market research is the best way to test whether your business will succeed. It can help you mitigate risks, give insights into customer preferences, and even help you decide on location and pricing. There are two main types of market research: primary and secondary. Primary research is gathered directly from consumers—think surveys, interviews, and focus groups you administer. Secondary research is compiled from external sources—think government census data, polling results, and research conducted by third parties. Both primary and secondary are great on their own; together, they’ll give you a fuller picture.

4. Operations plan

There are a lot of moving parts that go into running a construction business. The operations plan lets you lay out all those parts and explain how you’ll run your company. This includes everything from your physical location, facilities, staffing needs, and equipment you’ll require. You can outline the types of projects your construction business will undertake, how many projects you’ll take on at once, and what resources you’ll need to deliver quality service at that scale.

5. Marketing and advertising strategies

Use the marketing and advertising strategies section of your construction business plan to highlight how you plan to promote your business. This section can outline all of the strategies you plan to use and can include a rough budget of what you plan to spend on marketing and advertising. Consider social media , digital marketing, content marketing, SEO, and local marketing strategies.

6. Financial projections

The financial projections section includes details about how you’re funding your business, projected revenues and expenses, and profitability projections. Accurate financial projections give potential lenders and investors confidence in your understanding of the industry and the viability of your business.

Quick tips for writing a construction business plan

Now that you’ve got everything needed to start writing your business plan, here are five quick tips to help your writing process. These are big-picture ideas that you can use to get the most out of your construction business plan:

• Get to the point: Use clear, concise language to get your point across. Skip the jargon and ensure someone outside the construction industry understands what you write.
• Use data when you can: It’s great to have supporting data points to back you up when you're talking about the industry and market.
• Write for your audience: Who are you writing for? Investors? Employees? Shareholders? Lenders? When you clearly define your audience, you can write in a way that resonates.
• Research, and then research some more: What you have to say about your industry is important, but having facts backed by research is even more powerful and convincing.
• Use it: Don’t let your business plan just be another PDF collecting metaphorical dust on your desktop. Use it to inform your decisions and guide you and your team through the years. And update it when needed!

Free construction business plan template

Ready to get started on your construction business plan? Our free construction business plan template can help you write a business plan with all the elements needed for success. Download your free construction business plan template now

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Twin Brothers Construction

Executive summary executive summary is a brief introduction to your business plan. it describes your business, the problem that it solves, your target market, and financial highlights.">.

Twin Brothers Construction (TBC) plans to become a leading provider of construction and renovation services in the local area. The company’s overall strategy will be based on a continuing improvement process of setting objectives, measuring results, and providing feedback to facilitate further growth and progress.

TBC is a company, with principal offices located in the local area. The company’s management is highly experienced and qualified: the brothers who will lead the management team have each accumulated over twenty five years of experience in the construction industry.

Products/Services Through their years of experience, TBC’s owners have developed sophisticated bidding, scheduling and materials solutions for some of the most complex construction projects being done today. The company will use versatile and completely adaptable methods for a variety of building configurations.

Owners, developers, construction managers, general contractors, and sub-contractors are expected to realize substantial savings in labor and material costs by using the company’s construction methods and systems. Applications include commercial and residential structures.

The Market The housing industry has been growing at a fast pace for several years. An all-time record was set in 1998, when 886,000 new-site single family homes were sold. That represented a 10% gain from the robust total of 804,000 homes sold in 1997. Although there was a slight drop in the number from 2003, this makes for an excellent opportunity for future expansion of the industry.

Twin Brothers Construction plans to rapidly develop marketing alliances with industry leaders and pursue new sales of its services to residential and commercial builders. The marketing strategy will focus on securing city, county, and state and federal government contracts.

TBC plans to use a direct sales force, relationship selling, and sub-contractors to reach its target markets. These channels are most appropriate because of time to market, reduced capital requirements, and fast access to established distribution channels.

Financial Considerations We expect to pass the break-even point in the second half of the first year. Despite initial large outlays in cash to promote sales, the company’s cash account is expected to remain healthy. The company expects approximately $772,000 in sales revenue and reasonable net profits by Year 3.

1.1 Mission

Our mission is to be the best partner for our customers, suppliers and employees. To realize our vision, we will strive for profitable growth, operational excellence, customer satisfaction and strong brand positioning.

1.2 Objectives

• To have up to three construction projects established within the first year.
• To have two building renovation projects in progress by the end of the first year.
• To locate and purchase our first rental building by the end of the first year.
• To achieve at least 7% profit by the second year.

1.3 Keys to Success

We believe our keys to success will be:

• Using the most updated materials and equipment to assure quality construction projects for ourselves and our customers.
• Educating the customers and providing valuable advice during the construction planning stages.
• Helping to confirm customer’s research about targeting markets and specific sectors.
• Overseeing the logistics associated with a project, which can include arranging local transportation, booking meetings etc.
• Assigning the actual work to an experienced and qualified third-party contractors and sub-contractors.

Company Summary company overview ) is an overview of the most important points about your company—your history, management team, location, mission statement and legal structure.">

The brothers will invest a total of $90,000 combined ($55,000 and $35,000) in the start-up of the company. Initial cash requirements will total $50,000. Start-up assets total $55,000.

2.1 Start-up Summary

The following table describes our start-up requirements. One of our biggest start-up expenses involves the creation of a website. Ongoing maintenance expenses for the website are included in our Profit and Loss expenses section.

2.2 Company Ownership

The company ownership will be shared by the Chairman and Chief Executive Officer in the following percentage amounts:

Chairman = 60%

Chief Executive Officer = 40%

Both owners are veterans in the building industry, each with over 25 years experience.

Products and Services

TBC will sell its services to clients in the area of commercial construction and renovation. The company’s staff will design specialized construction drawings that outline the schedule, work sequence and the materials needed for building and renovation construction projects. Owners, developers and general contractors will realize substantial savings in labor and material costs by using TBC’s customized performance methods. TBC’s methods will offer complete adaptability at cost-effective prices. The drawings that the company will furnish to the contractor will specify the order of assembly and erection, including the location of the strongbacks and joists, the location and actual loading of the ties, location of accessories and advise clients of the maximum allowable rate of concrete placement.

A longer-term service will be commercial building rental management. This will include the purchase of commercial building sites or existing buildings that need renovation, coordinating the construction/renovation, then managing the rental of the property. The company will also be looking for existing property owners whose properties need renovation to update and increase its income potential, with TBC eventually taking over the management of these properties on behalf of the owner. 

To enter the market with minimum overhead costs, TBC plans to utilize in the first year of operation mainly sub-contractors and independent experts for its building and renovation projects.

Accident prevention will be the cornerstone of TBC’s safety commitment. The company will strive to eliminate foreseeable hazards which could result in personal injury or illness; at TBC, health and safety will not be compromised. 

Market Analysis Summary how to do a market analysis for your business plan.">

There were about 792,000 construction companies in the United States in 2002: 237,000 were building construction contractors; 60,000 were heavy and civil engineering construction or highway contractors; and 496,000 were specialty trade contractors. Most of these establishments tend to be small, the majority employing fewer than 10 workers. About 4 out of 5 workers are employed by small contractors.

Construction offers more opportunities than most other industries for individuals who want to own and run their own business. The 1.6 million self-employed and unpaid family workers in 2002 performed work directly for property owners or acted as contractors on small jobs, such as additions, remodeling, and maintenance projects. The rate of self-employment varies greatly by individual occupation in the construction trades.

One longer-term field of operation for the company will be the selling of building material and components to contractors. By slowly establishing itself as a first-rate material provider, the company expects to broaden and strengthen its stance in the local building industry. Initially it will focus on purchasing supplies for its own construction and renovation projects, then use those completed projects as marketing examples to showcase the quality of materials used and the customized approach used to design and construct them.

The company plans to develop marketing alliances with industry leaders and pursue new sales of its services to commercial builders. The market strategy is to capitalize on the company’s future alliances by securing city, county, and state government contracts.

TBC also plans to use a direct sales force, relationship selling, and sub-contractors to reach its markets. These channels are most appropriate because of time to market, reduced capital requirements, and fast access to established distribution channels.

4.1 Market Segmentation

The overall Construction Industry was segmented in 2002 as follows (employment in thousands):

Source: U.S. Department of Labor, Bureau of Labor Statistics (March 9, 2004)

For the purpose of this paper we shall segment our initial targeted market as follows:

• Office Building Construction
• Building Facilities Renovation
• General Construction

4.2 Service Business Analysis

The construction industry is divided into three major segments. Construction of buildings contractors, or general contractors , who build residential, industrial, commercial, and other buildings. Heavy and civil engineering construction contractors who build sewers, roads, highways, bridges, tunnels, and other projects. Specialty trade contractors who are engaged in specialized activities such as carpentry, painting, plumbing, and electrical work.

Construction usually is done or coordinated by general contractors, who specialize in one type of construction, such as residential or commercial building. They take full responsibility for the complete job, except for specified portions of the work that may be omitted from the general contract. Although general contractors may do a portion of the work with their own crews, they often sub-contract most of the work to heavy construction or specialty trade contractors.

Specialty trade contractors usually do the work of only one trade, such as painting, carpentry, or electrical work, or of two or more closely-related trades, such as plumbing and heating. Beyond fitting their work to that of the other trades, specialty trade contractors have no responsibility for the structure as a whole. They obtain orders for their work from general contractors, architects, or property owners. Repair work is almost always done on direct order from owners, occupants, architects, or rental agents.

Twin Brothers Construction will concentrate its activity in the following areas:

• Commercial Building Construction
• Commercial Building Renovation
• Buildings Management and Rental
• Building Materials Supplies

Strategy and Implementation Summary

TBC plans to use a direct sales force, relationship selling, and sub-contractors to reach its target markets. These channels are most appropriate because of time to market, reduced capital requirements, and fast access to established distribution channels. The owners of TBC want to emphasize to their potential customers that they are more than general contractors, they are complete construction coordinators.

TBC plans to advertise in magazines, newspapers, and radio. Initially a website with information on the company owners, their construction background, and contact information will be available online. References to the website will be mentioned in all other forms of advertising. Channels used to reach market segments include: sales associates, the Internet and direct mail.

In addition, The table and chart below outline the company’s sales forecast for FY2005-2007. In our sales forecasts, the cost of sales includes only direct labor costs.

5.1 Competitive Edge

The company plans to become a leading provider of construction services in the local area. To achieve this, TBC will invest in many ways that will pay off in competitive advantages for its customers, for example:

• Pre-job conferencing upon request
• Assist in technical or conceptual design
• Assist in supervision when other contractors are employed
• Organize project supervision facilities and staff
• Organize delivery of purchased materials
• Furnishing after-market products

5.2 Marketing Strategy

Our marketing strategy is the key to our success:

• Emphasize our name and unique services through advertising, including a Web page of contact information. An amount of $10,000 for the design of the website has been included in the Start-up expenses with ongoing maintenance costs estimated monthly.
• Focus on commercial building and renovation projects as our initial and primary target markets.
• Use completed projects to showcase our customized construction project management to prospective clients.  

5.3 Sales Strategy

Sales success requires planning. The company will formulate its sales strategy and tactics to achieve sales success by following these steps: 

Step 1 – Analyzing The Company’s Potential: Step through a structured process to help us develop a sales strategy.

Step 2 – Strategize Around Strengths: The description of sales activity will be analyzed to produce a report on factors impacting sales potential and ways to strengthen this potential.

Step 3 – Develop Tactics: Receive guidance to develop a comprehensive tactical plan to achieve success.

Step 4 – Measure Our Past Success: Develop key measurements that mark the progress of financial estimates that guide our growth.

Final Step – Employ An Action Plan for Success: Provide sales force with a tactical plan that is aligned with management’s strategic objectives.

5.3.1 Sales Forecast

The company will start its operation in the first year by focusing on two areas:

• Direct construction work
• Renovation of existing buildings

Starting later in the second year and continuing into the third year the following areas of operation will be added:

• Renting of Industrial Spaces
• Sale of components and other building materials and components

The following table details the forecasts.

5.4 Milestones

The milestones table describes the steps required for the beginning of operations. Steps might take longer than estimated, however the owners and the staff will do their utmost to adhere to this timetable.

Web Plan Summary

The cost to create a website has been included in start-up costs, with website maintenance costs included in our ongoing expenses. The initial website will have basic contact information and background about the company owners. Later, it will show information about current projects as well as completed projects as examples of what the company can do. Once the building materials portion of the business is well established, the website will expand to include an online store. At this point in the business plan, there are no estimates for the cost of this expansion and it will need to be researched and planned for more thoroughly at a later point.

It will take time before the initial cost outlay for the website will pay for itself in potential customers, but once established, it will provide a cost-effective way to communicate to new and existing customers.

We will mention our website address as part of our other advertising media.

6.1 Website Marketing Strategy

We hope to be able to secure links to our website from the local city and chamber of commerce websites as well as local construction-related websites that we can affiliate with.

6.2 Development Requirements

We will contract with a Website developer to initially design the look and information provided on the website. Our initial cost for this design also includes the first six months of website maintenance by the website developer. In October, we plan to hire a technician with experience in website maintenance to troubleshoot and maintain the Website internally.

Once the business has progressed, we will either increase this person’s hours from temporary to a full-time position, or we will hire a second temporary technical position to assist in the re-design and expansion of the website. Our long-term goal is to have an online store for the sale of building materials and components.

Management Summary management summary will include information about who's on your team and why they're the right people for the job, as well as your future hiring plans.">

The company’s management philosophy will be based on responsibility and mutual respect. Twin Brothers Construction will maintain an environment and structure that will encourage productivity and respect for customers and fellow employees.

TBC will be responsible to its employees and sub-contractors, the men and women who will work with the company throughout the state. At TBC everyone will be considered as an individual and the company will respect their dignity and recognize their merit. Employees will be encouraged to have a sense of security and pride in their jobs. Additionally, employees will be free to make suggestions and complaints. The company will afford equal opportunity for employment, development, and advancement for those qualified.

TBC employees will be committed to:

• Providing a safe work environment to protect employees, the employees of customers and sub-contractors, and the public.
• Supplying safe products for customers.
• Continuously improving the company’s safety program to reduce the risk of accidents and occupational illness in a changing work environment.
• Encouraging employees to participate in accident prevention programs and take personal responsibility for their own and their co-workers’ health and safety.
• Regulatory compliance and contribution to high safety standards for our industry.
• Monitoring workplaces, enforcing safe work practices, and communicating the company’s safety performance to employees and other stakeholders.
• Making safety a value-added service that the company provides to its customers.

The company is planning to expand its personnel to add more job superintendents as soon as the number of projects increases. These superintendents will have the following duties:

Direct supervision of all work at the job sites:

• Quality Control
• Scheduling sub-contractors and material deliveries  
• Verifying and insuring that all work is done in accordance with plans
• Insuring that all work is performed in accordance with all OSHA guidelines

7.1 Personnel Plan

The personnel plan is based on the two owners to guide and oversee the operations that will be managed by themselves. Having been in business for over 25 years, they have agreed to draw very low salaries for the first two years to offset some of the initial expenses in starting the business. 

For the first year, the company will hire temporary and part-time employees and sub-contract with consultants and construction professionals to perform the variety of tasks needed. Also, our contracted construction personnel expenses are reflected in our Sales Forecast as cost of sales, not part of our personnel table, since they will not be regular employees of the business.

TBC will be committed to conducting business in a manner that protects the health and safety of all employees, customers, and persons living in the community where it operates. To accomplish this, the company will ensure that it complies with current Health Administration and Occupational Health and Safety laws and will maintain its operations, procedures, technologies, and policies accordingly.

Each employee will have the responsibility to fully comply with established safety rules and to perform work in such a manner as to prevent injuries to themselves and others. TBC will be very concerned about job-site safety and plans to set up a comprehensive safety program.

Financial Plan investor-ready personnel plan .">

The brothers have long-term experience in the local construction industry. They are willing to invest heavily in this new company and their accumulated experience will insure success for the new venture. It will be important to watch closely the salaries and regular expenses to assure that the company will not suffer from lack of sufficient cash to fund its operations.

• We assume a conservative entrance and steady growth in the market.
• We assume a slow financial progress based on initially conservative sales against highest expenses.
• We assume there will not be an economic crash that would greatly hinder our target market’s access to their personal luxury finds.

The following sections describe the financials for TBC:

8.1 Projected Profit and Loss

Twin Brothers Construction is in the early stage of development, thus initial projections have only been made based on the sales projections and efficient cost control measures in place. Our first year monthly net profits will become positive by October, but we will still close the year with negative profit. This is primarily because of personnel expenses, which include salaries and the cost of sales for sub-contractors.

8.2 Break-even Analysis

During the first year of operations, the break-even monthly sales volume is estimated as shown below. Our average percent variable reflects our cost of sales which covers contracted construction payroll costs.

8.3 Projected Cash Flow

8.4 Projected Balance Sheet

The following table outlines our Balance Sheet.

8.5 Business Ratios

The following Ratios table includes industry profile comparison ratios for Commercial and Office Building Contractors (Standard Industry Code #1542).

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Since 1999, Growthink has provided business plan writing services for thousands of clients including startups, small business owners, nonprofit organizations and mid to large-sized companies. 

We understand that writing a business plan can be a time-consuming process for many entrepreneurs.  Hiring a business plan writer will allow you to quickly and expertly create a custom business plan.

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What is a Business Plan Writer?

A professional business plan writing service will understand the importance of market research, strategy, financial modeling, and business writing. They can offer guidance to business owners on how these aspects should be incorporated into a business plan that will be well received by investors.

The best business plan writer acts as a guide throughout the business planning process, helping large and small business owners tailor their business plans to the needs of a potential investor.

Business Plan Writer Qualifications

There are business plan writers with different qualifications, so entrepreneurs should consider the following factors when choosing a business plan writing service:

• Experience: What is the business plan writer’s level of experience in business planning, market research, and developing a financial plan with projections? You want a writer with a strong background in each critical area of business plan writing.
• Education: A business plan writer with a Master’s degree (or equivalent) in business administration or related field is preferred.
• Reviews: Does the business plan expert have any reviews from previous clients?

Why Not Write Your Own Business Plan?

While some companies can develop business plans on their own, most do not have time for this. Moreover, many business owners do not have the proper business writing skills to help convince their intended audience. For these reasons, business owners should hire a business plan writer.

A professional business plan writer will:

• Conduct market research for you
• Work with you to create the best strategies to grow your business
• Create financial projections
• Write your plan geared to your audience. Your audience could range from yourself, your team, partners, banks, angel investors, venture capitalists, etc. In any of these cases, when hiring someone to write a business plan, make sure they have a working knowledge of the needs of your intended audience in order to write a plan that appeals to them.

When to Hire a Business Plan Writer

If you are lacking time, and don’t have significant expertise in the four areas listed above, consider hiring a business plan writer.

The top business plan writers:

• Have a long track record of success in and outside of your industry (outside of your industry is most important as that allows them to give you strategic ideas that have worked well in other markets that can apply to yours)
• Can conduct market research and subscribe to market research databases that give them access to expensive industry reports
• Know how to create sophisticated and valid financial projections
• Understand the wants and needs of lenders, investors, and other audiences so they can tailor the plan according
• Can create a fully customized pitch deck to help you present your business plan to potential investors and lenders

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Who writes business plans.

The best business plans are written by consultants that have written numerous business plans and have continued to work with their clients long-term. Such business plan consultants have gained the experience regarding what aspects of their business plans resonated with investors and lenders and why their clients were successful or unsuccessful in growing their companies.

The best business plan writers often have a degree in business administration, a long track record of success writing business plans inside and outside your industry, and positive reviews from previous clients. Business owners who want to work with someone to write a business plan should consider whether they lack time, expertise in the four areas listed above, or both. Business plan writers for hire don't need to know everything about your business but should be able to conduct market research and create a sophisticated financial plan as well as know the wants of lenders, investors, and other audiences so that they can tailor the plan accordingly.

What is a business plan writer/consultant?

A business plan writer/consultant is an individual who has considerable experience and expertise in business and financial planning who can develop your business plan with you. Such a consultant is able to conduct market research, develop financial projections and work with you to figure out the best strategy to grow your company, and then package this information into a business plan that compels readers to take action.

Do business plan writers work with you on all business aspects, such as marketing and expansion plans?

Yes. A n experienced business plan writer will work with you on all aspects of your business such as marketing, expansion, and even exit strategy plans, but it also depends on the business owner's budget and needs. Please consult with a business plan writer to discuss the specific needs of your business.

How do business plan writers ensure they are meeting your needs?

They are masters of business planning and will work with you on all aspects of business, but it also depends on your business needs. For more information, please consult a business plan writer.

Why can't I just take the free business planning course online or read a book about it to write my own business plan?

Chances are, you don't have the expertise in all four business areas. For instance, you may have extensive experience in marketing, but less of an expert in finance or business strategy. By hiring a business plan writer, you can focus on what you do best while someone else takes on what they do best. This will save time and money for both parties involved while ensuring that everything is handled to make your business a success.

What are the 4 aspects of creating a great business plan?

A good business plan requires the following 4 strategic planning processes:

Market Research

You need to conduct considerable research in the following areas:

• Customer Research : learning about who your target customers are and their wants and needs
• Industry Research : identifying the size of your market and trends affecting it
• Competitive Research : figuring out your direct and indirect competitors and the strengths and weaknesses of each
• Financial Research : in-depth understanding of realistic growth rates and costs (salaries, etc.) so a realistic financial model can be created

Armed with the market analysis, you need to create the optimal growth strategies for your company . For example, if you identified an unmet customer need in your research, you should create strategies to capitalize on this opportunity.

Financial Modeling

Your financial modeling is perhaps the most important part of your plan. This section includes a projected income statement, cash flow statement and balance sheet.  Poorly reasoned financial models will dissuade most investors. Worse yet, if your financial forecasting calls for too much or too little funding, it will cost you dearly.

Business Plan Writing

The fourth aspect of a solid business plan is writing. While it’s important to be a good business writer, even more important is to understand the needs of the audience. For example, the world’s best writer probably hasn’t spent much time with venture capital firms . As a result, they have no idea what this audience wants, and would probably fail to write a professional plan that appealed to them.

The fully customized business plan should also include the following essential elements:

• Executive Summary
• Company Overview
• Industry Analysis
• Customer Analysis
• Competitive Analysis
• Marketing Plan
• Operations Plan
• Management Team
• Financial Plan

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Moscow's High Rise Bohemia: The International Business District With No Business

• Written by Dario Goodwin
• Published on March 17, 2015

The Moscow International Business Center (Also known as Moskva-City ) was meant to be Russia ’s ticket into the Western world. First conceived in 1992, the district at the edge of Moscow’s city center is intended to contain up to 300,000 inhabitants, employees and visitors at any given moment and, when completed, will house over 4 million square meters of prime retail, hotel and office space to create what the Russian government desired most from this project: an enormous financial district that could dwarf London’s Canary Wharf and challenge Manhattan . Twenty three years later though, Moscow-based real estate company Blackwood estimates that as much as 45% of this new space is entirely vacant and rents have plummeted far below the average for the rest of Moscow. The only press Moskva-City is attracting is for tenants like the High Level Hostel , a hostel catering to backpackers and other asset-poor tourists on the 43rd floor of the Imperia Tower , with prices starting at $25.50 for a bed in a six-person room. This is not the glittering world of western high finance that was envisioned back in the post-Soviet 90s; but what has it become instead?

As one might expect from a project of this sheer ambition, Moskva-City has a troubled past. The economic crash in 2008 hit Russia hard enough to evict the previous Mayor of Moscow , Yuri Luzhkov, who had been a cheerleader for the district, and replace him with the considerably more austere Sergei Sobyanin, who famously declared that the whole idea was an “urban planning mistake.” But as recently as 2013, the Wall Street Journal was triumphantly claiming that Moskva-City had risen from the dead, citing 80% occupancy rates and glowing quotes from industry insiders claiming that Moskva-City was the "place to be." Driven by record highs in oil prices, Moscow looked poised to become the next Dubai .

Instead, Moscow is now in the grip of an economic winter prompted by western sanctions and drops in the price of oil. The large financial groupings that Moskva-City was meant to shelter have been warned off by their inability to issue credit to international markets, for example - but Moskva-City isn’t just an Empire State Building left empty by the Great Depression.

A fundamental problem that is holding Moskva back compared to the rest of Moscow is the simple fact that currently, getting to Moskva-City is nigh-on impossible at peak hours. Moscow has long been plagued with transport problems, ever since the government failed to match the dramatic expansion of the city with a dramatic expansion of the transport system after the Second World War. Despite being only 2.5 miles from the Kremlin , Moskva-City is only just inside the ring road that bounds the city center and which acts as the only real transport link to it (and as a result, is clogged by construction vehicles.) A railway and metro hub has been finished, but so far only runs a one-stop shuttle service to the closest Metro station that is actually integrated with the rest of Moscow Metro. The isolation of the outer districts is a large, negative part of the Moscow psyche, and it’s not surprising that this is driving away the globetrotting financial elite this project was meant to attract.

The project is managed by architectural practice No.6, which is a constituent part of the large Moscow based practice Mosproject-2 , which is itself a public corporation headed up by Mikhail Vasilyevich Posokhin, who is apparently the “People’s Architect of Russia.” Despite all this state involvement, the project has still managed to become bogged down in bureaucratic infighting - each lot is managed and developed individually, which has led to developers competing for occupants by slashing rates.

Much has been written about the way modern financial districts and towers that inhabit them can be unwelcoming, forbidding or even hostile by design, but the skyscrapers of Moskva-City seem even less friendly than usual. The site - a former stone quarry, chosen out of necessity as the only place in the city center where a new district could be plausibly constructed - is isolated both physically and visually, leaving the cluster a stark anomaly on the city skyline. Even the names seem more imposing than optimistic now: Imperia, City of Capitals , Steel Peak.

The Mercury City Tower , so far the tallest completed building on the site, is officially “a strong reference to Russian constructivism, [which] gives the tower a strong vertical thrust similar to the one found in New York's Chrysler building .” It would be easy to criticize the Mercury City Tower for picking ‘inspirations’ that are so totally opposed to each other - The Chrysler building the defining emblem of American pre-crash confidence and Constructivism created with the express purpose (especially architecturally) of extending the Bolshevik revolution into a social revolution - but the way they smash those two inspirations together is almost beautifully ironic.

Even though the High Level Hostel is less an asset to a financial district than it is a PR problem, it’s been a huge success since opening in September, already ranked 27th out of 766 hostels in Moscow by TripAdvisor. According to the management agency for Moskva-City , 58% of the new occupant signings this year have been non-financial, including a number of small to medium size businesses. Other areas of office space have been occupied by a restaurant and a culinary school, while another space has been redeveloped into a 6,000 seat theater.

While Moskva-City is failing to be a financial district that could take on the world, it’s inadvertently becoming a humanized space catering to the very groups that the Russian economic miracle left behind. Taking advantage of rents lower than the rest of Moscow , the world class facilities and the sheer desperation of the developers, the humanization of Moskva-City could well create the world’s first high-rise bohemia.

Of course, these are not spaces designed for a community, or even for people: these are spaces designed for money, and there’s little scope for changing something that seems so baked into the design of Moskva-City . The High Level Hostel is trading off of the irony of being a hostel in a banking tower, but it’s perfectly possible that at some point people will no longer find this joke funny (especially in a building that seems hostile to the very idea of humor). The isolation of Moskva, even though it allowed this community to spring up in the first place, is just as detrimental to a humanized district as it is to a financial one: even bohemians need to move around the city, or the district risks becoming a black-spot instead of a hot-spot.

Moskva-City’s isolation won’t last forever. The end of construction will open the roads up to traffic, and plans to properly integrate the spur lines of the Metro in this area into the wider system are well under way. The integration of the district will inevitably push up rents, and the Russian economy will eventually boom once again. When that happens, Moskva-City is prime territory to be reconquered by the giants of international finance, and it seems unlikely that the municipal or national governments would want to step in to protect this accidental district. For now, though, the towers capture perfectly this moment of Russia ’s schizophrenic understanding of its place in the world.

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Construction industry in Russia - statistics & facts

Impact of the war in ukraine on construction in russia, residential construction, non-residential construction, key insights.

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Value of construction works in Russia 2016-2023

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Annual value of construction works in Russia from 2016 to 2023 (in billion Russian rubles)

Construction works value in Russia 2018-2023, by ownership

Annual value of construction works in Russia from 2018 to 2023, by organization's ownership (in billion Russian rubles)

Construction works value growth rate in Russia 2015-2023

Year-over-year construction works value growth in Russia from 2015 to 2023

Construction volume distribution in Russia H1 2024, by federal district

Distribution of the volume of construction works in Russia in 1st half 2024, by federal district

Commissioned construction works in Russia 2023, by building type

Area of commissioned buildings in Russia in 2023, by type (in million square meters)

Building commissioning area growth in Russia 2015-2023, by type

Year-over-year growth rate of the area of commissioned residential and non-residential buildings in Russia from 2015 to 2023

Total value of loans granted to the construction sector in Russia from 2019 to 2023 (in billion Russian rubles)

Construction material price growth in Russia 2023, by type

Year-over-year price growth of selected construction materials in Russia in 2023

Construction equipment sales in Russia 2022-2023, by type

Sales volume of new construction equipment in Russia from 2022 to 2023, by type (in units)

• Premium Statistic Average new apartment size in selected CEE and CIS countries 2023
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Average new apartment size in selected CEE and CIS countries 2023

Average size of commissioned apartments in selected Central Eastern European (CEE) and Commonwealth of Independent States (CIS) countries in 2023 (in square meters of living space)

Housing construction area in Russia 2013-2023

Aggregate annual housing construction area in Russia from 2013 to 2023 (in million square meters)

Residential construction volume growth in Russia 2023, by federal district

Year-over-year growth of residential construction volume in Russia in 2023, by federal district

Housing commissioning in Russia 2018-2023, by type

Housing commissioning volume in Russia from 2018 to 2023, by type of housing (in million square meters)

Number of new apartments in Russia 2012-2023

Number of new apartments built in Russia from 2012 to 2023 (in 1,000s)

Number of commissioned individual houses in Russia 2012-2023

Number of commissioned individual residential buildings in Russia from 2012 to 2023 (in 1,000s)

Commissioned residential buildings area in Russia 2019-2023, by urban or rural area

Area of commissioned residential buildings in urban and rural areas Russia from 2019 to 2023 (in million square meters)

Multi-apartment buildings construction area in Russia 2024, by region

Leading regions by area of multi-apartment residential buildings construction in Russia as of July 1, 2024 (in 1,000 square meters)

Average size of apartments under construction in Russia as of September 27, 2024, by federal district (in square meters)

Commissioned residential area per 1,000 population in Russia 2012-2023, by location

Area of commissioned residential buildings per 1,000 population in Russia from 2012 to 2023, by location (in square meters)

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Construction area of non-residential buildings Russia 2000-2023

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Commissioned non-residential construction area in Russia 2023, by building type

Commissioned area of non-residential buildings construction in Russia in 2023, by category (in million square meters)

New construction of industrial warehouses in Moscow 2015-2024, by format

New construction of industrial warehouses in Moscow (Russia) from 2015 to 2024, by format (in 1,000 square meters)

Volume of new office real estate construction in Moscow from January 1 to September 26, 2024, by class (in 1,000 square meters)

• Premium Statistic Number of construction companies in Russia 2019-2022
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Number of construction companies in Russia 2019-2022

Number of construction organizations in Russia from 2019 to 2022 (in 1,000s)

Sales revenue of construction enterprises in Russia 2017-2022

Total sales revenue of construction enterprises in Russia from 2017 to 2022 (in billion Russian rubles)

Number of construction employees in Russia 2019-2022

Number of employees in the construction industry in Russia from 2019 to 2022 (in millions)

Entrepreneurial confidence index in construction in Russia 2018-2023

Entrepreneurial confidence index in the construction industry in Russia from 3rd quarter 2018 to 3rd quarter 2023

Largest apartment building developers in Russia as of July 1, 2024, by area of assets under construction (in 1,000 square meters)

Apartment revenue of selected mass residential developers in Russia 2022

Revenue from apartment sales of selected mass residential developers in Russia in 2022 (in billion Russian rubles)

Revenue of LSR Group 2020-2022

Revenue of LSR Group from 2020 to 2022 (in billion Russian rubles)

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