construction business plan examples

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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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.

Key Takeaways

• Venture into the market by conducting thorough industry and market analysis.
• Widen the scope of your service offerings to cater varying needs of your target audience.
• Create a detailed operations plan to get thorough guidance in your business operations.
• Conduct a SWOT analysis to identify your competitive edge over the competitors.
• Determine your marketing strategies to launch your business and get it popular amongst your target market.
• Define your business objectives, goals, and mission values to create a foundation for essential business policies.
• Account for various project costs, operating costs, and office expenses to form realistic cash-flow projections.

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.

Related Construction Company Resources

• Construction Company Marketing Plan
• Construction Company Financial Plan
• Key Stats for the Construction Sector
• Start-up Cost For Construction Company
• How to Start a Construction Business

A step-by-step guide to creating a construction company business plan

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

1. Get a business plan template

Writing a comprehensive business plan is taxing and time-consuming. But if you do it well, you will have a guidebook for running your construction company.

Now, there is a lot that needs to be considered, planned, and accounted for as you start writing the plan. Even if you closely follow a construction business plan outline, there are higher chances of you losing track or getting stuck at certain sections.

This is why you need a business plan template to give a solid structure to your business idea. With industry-relevant examples and a guide, the Upmetrics business plan template is easy to edit and customize.

Whether you own a general contracting firm or specialize in residential construction or specialty trades- we have plenty of construction-related templates for you to choose from.

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2. 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.

3. 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.

4. 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.

5. 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.

6. 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.

7. 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.

8. 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.

9. 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 business plan

Facing difficulty writing a business plan? Well, we have a perfect resource for you.

Download the Upmetrics sample business plan template. Our template offers step-by-step instructions and prompts to ease the entire plan writing process. It’s designed to meet modern market needs and is perfectly detailed with construction-relevant examples.

The Quickest Way to turn a Business Idea into a Business Plan

Fill-in-the-blanks and automatic financials make it easy.

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A lot of us struggle when it comes to translating our ideas into a solid business plan. But not with Upmetrics.

Upmetrics is an intuitively designed business planning app with more than 400+ sample business plans . Our business planning tool features AI assistance that will transform your business writing process. Not only that, it allows you to design, collaborate, and share your business plan in real-time with your team.

So what are you waiting for?

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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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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 Company

• Great for beginners
• Ready-to-use, fully customizable Subcategory
• Get started in seconds

Starting a construction company requires careful planning and strategic thinking. With so many moving parts, it's crucial to have a solid business plan in place to guide your every move. That's where ClickUp's Business Plan Template for Construction Company comes in handy!

This comprehensive template is specifically designed to help construction companies like yours:

• Outline clear objectives and goals for your business
• Conduct detailed market analysis to identify opportunities and target customers
• Develop effective marketing strategies to attract clients and stand out from the competition
• Create financial projections and budgets to secure funding and ensure profitability
• Plan and execute operational strategies for smooth project management and delivery

Don't let the complexities of starting and running a construction company overwhelm you. Use ClickUp's Business Plan Template to streamline your planning process and set your company up for success. Get started today and build the foundation for a thriving construction business!

Business Plan Template for Construction Company Benefits

A well-crafted business plan template for a construction company can provide numerous benefits, including:

• Creating a comprehensive roadmap for success, outlining the company's objectives, strategies, and milestones
• Attracting potential investors by showcasing the company's financial projections and market analysis
• Helping the company differentiate itself in the competitive construction industry by highlighting its unique value proposition
• Providing a clear framework for operational plans, including project management, procurement, and risk management
• Guiding the company's marketing strategies and helping to identify target markets and customer segments
• Enabling the company to adapt and pivot as needed by regularly reviewing and updating the business plan template

Main Elements of Construction Company Business Plan Template

When it comes to creating a comprehensive business plan for your construction company, look no further than ClickUp's Business Plan Template. This template includes:

• Custom Statuses: Track the progress of each section of your business plan with statuses like Complete, In Progress, Needs Revision, and To Do, ensuring that every aspect of your plan is accounted for.
• Custom Fields: Utilize custom fields such as Reference, Approved, and Section to add important details and organize your business plan effectively.
• Custom Views: Access different views like Topics, Status, Timeline, Business Plan, and Getting Started Guide to gain insights, track the status of your plan, and visualize your roadmap for success.

With ClickUp's Business Plan Template, you can streamline the process of creating a professional and impactful business plan for your construction company, helping you secure funding and stand out in the competitive construction industry.

How To Use Business Plan Template for Construction Company

Are you ready to take your construction company to the next level? Follow these 6 steps to effectively use the Business Plan Template in ClickUp:

1. Define your vision and mission

Start by clearly defining your construction company's vision and mission. What sets your business apart? What do you want to achieve in the long term? Having a strong vision and mission will guide your decision-making and help you stay focused on your goals.

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

2. Analyze the market and competition

Take a deep dive into the construction industry and analyze the market and competition. Identify your target audience, understand their needs, and assess the competitive landscape. This will help you identify opportunities and challenges, and develop strategies to differentiate yourself from the competition.

Use the Gantt chart in ClickUp to create a timeline for your market analysis and competition research.

3. Define your services and target market

Clearly define the services your construction company offers and identify your target market. Are you focused on residential, commercial, or industrial projects? Determine the specific needs and preferences of your target market and tailor your services to meet those needs.

Use the Board view in ClickUp to create lists for different services and target markets.

4. Develop a marketing and sales strategy

Craft a comprehensive marketing and sales strategy to promote your construction company and attract clients. Identify the most effective channels for reaching your target market, such as online advertising, networking, or partnering with other businesses. Develop a sales strategy that highlights your unique value proposition and sets you apart from the competition.

Use recurring tasks in ClickUp to create a marketing and sales plan with specific actions and timelines.

5. Create a financial plan

Develop a detailed financial plan for your construction company. This includes estimating start-up costs, projecting revenue and expenses, and determining profitability. Consider factors such as labor costs, material costs, overhead expenses, and pricing strategies. A solid financial plan is crucial for securing funding and ensuring the financial health of your business.

Use custom fields in ClickUp to track financial data, such as projected revenue, expenses, and profitability.

6. Monitor progress and make adjustments

Regularly monitor the progress of your business plan and make adjustments as necessary. Track key performance indicators (KPIs) to assess the success of your strategies and make data-driven decisions. Continuously evaluate market trends, customer feedback, and industry developments to stay ahead of the competition and adapt your business plan accordingly.

Use Dashboards in ClickUp to visualize and track your KPIs, and set recurring tasks to review and adjust your business plan regularly.

By following these steps and utilizing the Business Plan Template in ClickUp, you'll be well on your way to building a successful construction company. Good luck!

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

Construction companies can use this Business Plan Template to create a comprehensive roadmap for success and attract potential investors.

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 solid business plan:

• Use the Topics View to outline and organize the different sections of your business plan
• The Status View will help you track the progress of each section, with statuses like Complete, In Progress, Needs Revision, and To Do
• The Timeline View will allow you to set deadlines and milestones for each section of your business plan
• Use the Business Plan View to have a comprehensive overview of your entire plan, including objectives, financial projections, market analysis, marketing strategies, and operational plans
• The Getting Started Guide View will provide step-by-step instructions on how to use the template effectively
• Customize the template by adding custom fields like Reference, Approved, and Section to provide additional context and information
• Update statuses and custom fields as you make progress and receive feedback from stakeholders
• Monitor and analyze your business plan to ensure it aligns with your goals and attracts potential investors.
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Home >> #realtalk Blog >> Manage a business >> The Ins and Outs of …

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

By Shannon Mulligan

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

Build a better business with the right tools

If you know one thing, it’s that the quality of your tools can make or break a project. The same is true for the tools you use in your business. 

With Homebase , you get everything you need to take control of your construction business . Built for teams like yours, Homebase helps you schedule your team , track their hours , and run payroll even if you’re all on different job sites. 

Homebase is the all-in-one management app that simplifies running your construction business. Get started for free .

Construction business plan FAQs

Why should you create a business plan for your construction company even if you aren’t looking for financing.

You should create a business plan for your construction company even if you aren’t looking for financing, because it can help you understand your business and competitors and give potential hires confidence in your business.

What’s the best way to create your construction business plan?

The best way to create a construction business plan is to use a business plan template. You can download your free construction business plan template above.

Remember:  This is not legal advice. If you have questions about your particular situation, please consult a lawyer, CPA, or other appropriate professional advisor or agency.

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Sample Construction Business Plan

Writing a business plan is a crucial step in starting a construction company. Not only does it provide structure and guidance for the future, but it also helps to create funding opportunities and attract potential investors. For aspiring construction business owners, having access to a sample construction business plan can be especially helpful in providing direction and gaining insight into how to draft their own construction business plan.

Download our Ultimate Construction Business Plan Template

Having a thorough business plan in place is critical for any successful construction company venture. It will serve as the foundation for your operations, setting out the goals and objectives that will help guide your decisions and actions. A well-written business plan can give you clarity on realistic financial projections and help you secure financing from lenders or investors. A construction business plan example can be a great resource to draw upon when creating your own plan, making sure that all the key components are included in your document.

The construction business plan sample below will give you an idea of what one should look like. It is not as comprehensive and successful in raising capital for your construction company as Growthink’s Ultimate Construction Company Business Plan Template , but it can help you write an construction company business plan of your own.

Construction Business Plan Example – BlueprintBuilders Co.

Table of contents, executive summary, company overview, industry analysis, customer analysis, competitive analysis, marketing plan, operations plan, management team, financial plan.

BlueprintBuilders Co. is a forward-thinking construction company rooted in Indianapolis, IN, dedicated to transforming the industry by integrating sustainable practices and cutting-edge technology into our operations. We specialize in delivering high-quality construction services that not only meet the diverse needs of our customers but also contribute positively to the environment. Our commitment to eco-friendliness and innovation positions us as a leader in green construction solutions, offering energy-efficient designs, green materials, and eco-friendly construction techniques. Leveraging advancements in technology, such as Building Information Modeling (BIM) and virtual reality simulations, we streamline our operations, enhance project efficiency, and ensure superior outcomes for our clients, setting us apart in the thriving $1.4 trillion construction market.

Our success stems from our dedication to quality, innovation, and customer service. We pride ourselves on our attention to detail and commitment to exceeding client expectations through the use of sustainable materials and the latest technologies. This approach not only enhances the durability and aesthetics of our constructions but also promotes environmental sustainability. Our competitive edge is bolstered by our exceptional customer service, ensuring clear and open communication throughout the construction process and fostering a reliable, trustworthy relationship with our clients. These factors, combined with our ability to adapt to industry trends, position us as the premier construction service provider in Indianapolis.

The construction industry in the United States, with a market size of approximately $1.4 trillion, is experiencing significant growth and is expected to continue expanding at a CAGR of 4.9% from 2021 to 2026. This growth is driven by increased government spending on infrastructure, rising demand for residential and commercial buildings, and advancements in technology that improve construction efficiency. BlueprintBuilders Co. is well-positioned to capitalize on these trends, especially the growing demand for sustainable and eco-friendly building practices. Our focus on green construction solutions and the integration of technology into our operations allow us to meet the evolving needs of the market and distinguish ourselves within this competitive and lucrative industry.

Direct competitors and specific competitive advantages were not detailed in the provided information. As such, I’m unable to generate a summary for the Competitive Analysis section without these critical details.

Details regarding the Products, Services & Pricing, and the Promotions Plan were not included in the provided information. Thus, it’s not possible to create a summary for the Marketing Plan section without this essential information.

Our operations plan outlines a series of strategic milestones essential for the successful launch and growth of BlueprintBuilders Co. These include securing all necessary licenses and permits to avoid legal hurdles, officially launching with a strong brand presence in Indianapolis, and building a qualified team to uphold our commitment to quality and safety. We also prioritize establishing strong supplier relationships for cost-effective materials, developing a robust online presence to attract customers, and implementing efficient project management systems to streamline our operations. Achieving initial contracts and reaching a revenue of $15,000/month within the first 12 to 24 months are critical financial milestones, alongside establishing a commendable safety record and continuously reviewing and adjusting our business strategies to ensure adaptability and competitiveness in the dynamic construction market.

Welcome to BlueprintBuilders Co., a fresh face in the construction industry, committed to serving our community in Indianapolis, IN. As a new local construction company, we pride ourselves on filling the void left by the absence of high-quality construction services in the area. Our mission is to elevate the standard of building and design, ensuring that our clients’ visions come to life with excellence and precision. Our offerings are comprehensive, designed to meet a wide array of construction needs. We specialize in General Contracting, providing a broad range of services from project inception to completion, ensuring quality and efficiency every step of the way. Our Design-Build Services streamline the construction process, integrating design and construction phases to deliver cost-effective and innovative solutions. Additionally, our Construction Management services are tailored to keep projects on schedule and within budget, all while achieving the highest standards of construction quality. By offering these services, we aim to be the go-to source for all construction needs in Indianapolis, IN. Our base in Indianapolis, IN, positions us perfectly to serve customers throughout the city. This strategic location enables us to respond quickly to our clients’ needs, providing tailored solutions that reflect the unique aspects of our community. We are committed to contributing to the growth and development of Indianapolis, ensuring that every project we undertake enhances the city’s landscape. The foundation of BlueprintBuilders Co. rests on solid ground, thanks to our founder’s extensive experience in running a successful construction company. This expertise, combined with our commitment to outperforming the competition, sets us apart as a company poised for success. Our approach to construction is not just about building structures, but about building trust, reliability, and excellence into everything we do. We are uniquely qualified to lead the way in the construction industry, thanks to these core strengths. Since our inception on January 4, 2024, BlueprintBuilders Co. has made significant strides as a S Corporation. Our journey began with the creation of a distinctive logo and the development of our company name, reflecting our identity and mission. We also secured an excellent location, laying the groundwork for our operations and future growth. These accomplishments mark the beginning of our journey, and we are excited about the opportunities and challenges that lie ahead as we strive to redefine construction in Indianapolis, IN.  

The construction industry in the United States is a thriving sector that continues to show remarkable growth and potential. With a current market size of approximately $1.4 trillion, the construction industry plays a vital role in the nation’s economy, providing employment opportunities for millions of people and contributing significantly to the country’s GDP. Furthermore, the industry is expected to experience steady growth in the coming years, with an estimated compound annual growth rate (CAGR) of 4.9% from 2021 to 2026. This projected growth is driven by factors such as increased government spending on infrastructure projects, rising demand for residential and commercial buildings, and advancements in technology that enhance construction efficiency.

Several trends within the construction industry are aligning favorably for BlueprintBuilders Co., a new construction company serving customers in Indianapolis, IN. One such trend is the growing emphasis on sustainable and eco-friendly building practices. As more customers prioritize environmentally conscious construction, BlueprintBuilders Co. can position itself as a leader in sustainable building solutions, offering energy-efficient designs, green materials, and eco-friendly construction techniques. This aligns well with the company’s mission to provide high-quality construction services that not only meet customers’ needs but also contribute to a greener future.

Another trend that bodes well for BlueprintBuilders Co. is the increasing adoption of technology in the construction industry. From Building Information Modeling (BIM) to virtual reality simulations, technology is revolutionizing the way construction projects are planned, executed, and managed. BlueprintBuilders Co. can leverage these technological advancements to streamline its operations, improve project efficiency, and deliver superior results to its clients. By staying at the forefront of technological innovation, the company can differentiate itself and attract customers who value cutting-edge construction practices.

Below is a description of our target customers and their core needs.

Target Customers

BlueprintBuilders Co. will target local residents in search of reliable and innovative construction solutions. These customers are often in the process of renovating their homes or embarking on new home construction projects. They value quality, efficiency, and personalized service, which BlueprintBuilders will tailor its offerings to meet.

The company will also serve customers looking for eco-friendly and sustainable building options. As awareness and demand for green construction practices increase, this segment will represent a significant portion of the market. BlueprintBuilders will specialize in providing these environmentally conscious solutions, appealing to a demographic that prioritizes sustainability in their construction projects.

Moreover, BlueprintBuilders Co. will target small business owners seeking to expand or renovate their commercial spaces. This customer segment requires a construction partner that understands the unique challenges and regulations of commercial construction. By offering specialized services that cater to the needs of small businesses, BlueprintBuilders will position itself as a valuable resource for this sector.

Customer Needs

BlueprintBuilders Co. understands the paramount importance of delivering high-quality construction services to residents who demand excellence in their building projects. Clients can expect meticulous attention to detail, ensuring that every aspect of the construction process meets the highest standards of craftsmanship and durability. This commitment to quality not only satisfies the immediate needs of homeowners but also contributes to the long-term value and sustainability of their properties.

In addition to quality, BlueprintBuilders Co. recognizes the need for personalized and transparent communication throughout the construction process. Customers can rely on timely updates, clear explanations of the work being done, and responsive customer service that addresses their concerns and preferences. This approach fosters trust and ensures that the final product aligns perfectly with the client’s vision and expectations.

Furthermore, BlueprintBuilders Co. can adapt to the evolving needs and trends within the construction industry, incorporating the latest technologies and sustainable building practices. This not only appeals to environmentally conscious clients but also offers innovative solutions that can enhance efficiency, reduce costs, and ensure the longevity of their homes. By staying ahead of the curve, BlueprintBuilders Co. fulfills a crucial need for forward-thinking construction services that cater to the modern homeowner.

BlueprintBuilders Co.’s competitors include the following companies: Wilsoon Remodeling and Services, Right On Time, and Alexis Concrete Construction.

Wilsoon Remodeling and Services offers a wide range of services including kitchen and bathroom remodeling, home additions, and custom cabinetry. Their price points vary depending on the scope of the project, but they are known for offering competitive rates without compromising on quality. They serve primarily residential customers in the Indianapolis area and surrounding regions. Wilsoon Remodeling and Services generates revenue through their project-based services, focusing on renovations and custom projects. Their key strength lies in their extensive experience in remodeling and renovation, providing them a solid reputation in the market. However, their focus on remodeling limits their service offerings compared to competitors who may offer a broader range of construction services.

Right On Time specializes in timely, efficient construction and renovation services. They offer general contracting, project management, and a variety of renovation services. Their pricing is transparent and competitive, aimed at both residential and commercial clients in Indianapolis and its suburbs. The company prides itself on its punctuality and efficiency, ensuring projects are completed on time and within budget, which serves as their primary revenue source. Right On Time’s strengths include their strict adherence to timelines and strong project management capabilities. A potential weakness is their reliance on subcontractors, which can sometimes lead to inconsistencies in the quality of work.

Alexis Concrete Construction is focused on providing concrete construction services, including driveways, walkways, patios, and commercial foundations. They cater to both residential and commercial clients, offering competitive pricing that reflects the quality of materials and craftsmanship. They operate mainly in Indianapolis and its immediate surroundings. Their revenue comes from both small-scale residential projects and large commercial contracts, making them a versatile player in the market. Alexis Concrete Construction’s key strength is their specialization in concrete, which allows them to deliver high-quality results with durability and aesthetic appeal. However, their narrow focus on concrete services might limit their appeal to customers looking for a more comprehensive range of construction services.

At BlueprintBuilders Co., we pride ourselves on offering superior construction services that set us apart from our competition. Our team has a keen eye for detail and an unwavering commitment to quality, ensuring that every project we undertake exceeds our clients’ expectations. We use the latest technologies and sustainable materials, which not only enhances the durability and aesthetics of our constructions but also promotes environmental sustainability. Our ability to innovate and adapt to the latest trends in the construction industry allows us to offer unique solutions that meet the specific needs and preferences of our clients, providing a competitive edge that is hard to match.

Moreover, our customer service is second to none. We understand that construction projects can be overwhelming for our clients, which is why we maintain clear and open communication throughout the entire process. From the initial consultation to the final walkthrough, our team is dedicated to ensuring a seamless and stress-free experience. Our commitment to transparency, integrity, and professionalism fosters a sense of trust and reliability among our clients, making us the go-to construction service provider in the area. By combining our superior construction services with exceptional customer care, we not only meet but often exceed the expectations of those we serve, further solidifying our competitive advantage in the market.

Our marketing plan, included below, details our products/services, pricing and promotions plan.

Products and Services

BlueprintBuilders Co. stands out in the construction industry by offering a comprehensive suite of services tailored to meet various project requirements and client needs. The company specializes in general contracting, design-build services, and construction management, positioning itself as a one-stop shop for construction projects in the residential and commercial sectors. With a focus on quality, efficiency, and customer satisfaction, BlueprintBuilders Co. ensures that each project is executed with the utmost professionalism and attention to detail.

The cornerstone of BlueprintBuilders Co.’s offerings is its general contracting service. This service encompasses the overall planning, coordination, and control of a project from inception to completion. It is designed to meet the project’s time, cost, and quality constraints. General contracting services are priced on a project-by-project basis, but clients can expect average costs to range significantly depending on the scope and scale of their projects. This variability ensures that services are tailored to fit the specific needs and budget of each client.

In addition to general contracting, BlueprintBuilders Co. offers design-build services. This approach streamlines project delivery through a single contract between the owner and the design-build team. This method fosters collaboration and teamwork, which can significantly reduce the project timeline and costs. Design-build services are particularly beneficial for clients seeking a comprehensive solution from the initial concept through to completion. Pricing for these services is also project-specific, but on average, clients can expect to invest a competitive amount for the convenience and efficiency that the design-build approach provides.

Lastly, construction management is a critical service provided by BlueprintBuilders Co., targeting clients who require expert oversight and management of their construction projects. This service includes project planning, cost management, time management, quality management, contract administration, and safety management. Clients can expect to pay an average fee based on the overall project cost, which is typically a percentage that aligns with industry standards. Construction management services ensure that projects are completed on time, within budget, and to the highest quality standards.

BlueprintBuilders Co. prides itself on its commitment to delivering exceptional value through its wide range of services. By offering flexible pricing models and tailoring its services to meet the unique needs of each project, BlueprintBuilders Co. has established itself as a trusted partner in the construction industry. Whether clients are looking for general contracting, design-build solutions, or construction management expertise, BlueprintBuilders Co. is equipped to deliver outstanding results that exceed expectations.

Promotions Plan

To attract customers, BlueprintBuilders Co. employs a strategic mix of promotional methods, ensuring a robust presence both online and offline. Online marketing stands at the forefront of their strategy, leveraging the power of digital platforms to reach a broad audience. Through targeted social media campaigns, BlueprintBuilders Co. will engage potential customers on platforms where they spend a significant amount of time. The company will create compelling content that highlights their projects, expertise, and customer testimonials, fostering trust and interest among the audience.

Additionally, BlueprintBuilders Co. will utilize search engine optimization (SEO) to increase their visibility in search results. By optimizing their website content with relevant keywords, they will attract individuals actively searching for construction services in Indianapolis, IN. Email marketing campaigns will complement these efforts, allowing BlueprintBuilders Co. to directly communicate with potential customers, offering them special deals, and keeping them informed about the company’s latest projects and services.

Beyond online marketing, BlueprintBuilders Co. will also engage in traditional promotional methods to ensure comprehensive market coverage. Networking events and local trade shows will serve as excellent opportunities for face-to-face interaction with potential clients, building personal relationships that can lead to business opportunities. The company will also invest in high-quality brochures and business cards to distribute during these events, providing tangible reminders of their services.

Community involvement will play a crucial role in BlueprintBuilders Co.’s promotional strategy. By participating in local community projects and sponsoring events, the company will demonstrate its commitment to the Indianapolis area, building goodwill and recognition among residents. This approach not only helps in establishing a positive brand image but also fosters a sense of trust and reliability among potential customers.

Lastly, customer referrals will be encouraged through a referral program, rewarding existing customers for bringing new business. This method capitalizes on the trust and satisfaction of current clients, turning them into advocates for the company. By combining these diverse promotional methods, BlueprintBuilders Co. will effectively attract customers, establishing a strong foothold in the Indianapolis construction market.

Our Operations Plan details:

• The key day-to-day processes that our business performs to serve our customers
• The key business milestones that our company expects to accomplish as we grow

Key Operational Processes

To ensure the success of BlueprintBuilders Co., there are several key day-to-day operational processes that we will perform.

• Project Planning and Management: We will meticulously plan each construction project, including timeline, budget, materials, and workforce requirements, to ensure efficient and timely completion.
• Client Consultations: We will conduct daily consultations and meetings with clients to discuss their needs, expectations, and any changes to the project plans, ensuring client satisfaction and project feasibility.
• Supply Chain Management: We will manage and monitor the supply chain closely to ensure that all necessary materials are available when needed and at the best possible price, avoiding delays or cost overruns.
• Quality Control: We will perform regular quality checks on all ongoing projects to maintain high standards of construction and ensure compliance with all relevant building codes and regulations.
• Workforce Management: We will manage our workforce efficiently, ensuring that the right teams with the appropriate skills are assigned to each project and that all workers adhere to safety standards.
• Financial Management: We will monitor and manage the financial aspects of each project, including budgeting, billing, and invoicing, to maintain profitability and cash flow.
• Regulatory Compliance: We will ensure compliance with all local, state, and federal regulations, obtaining necessary permits and inspections to prevent legal issues and delays.
• Customer Service: We will provide exceptional customer service, addressing any concerns or issues promptly to maintain positive relationships with our clients.
• Marketing and Business Development: We will engage in continuous marketing and business development efforts to attract new clients and projects, including digital marketing, networking, and participation in local and industry events.
• Continuous Improvement: We will regularly review and analyze our operations and projects to identify areas for improvement, implementing changes to increase efficiency, reduce costs, and enhance customer satisfaction.

BlueprintBuilders Co. expects to complete the following milestones in the coming months in order to ensure its success:

• Secure Necessary Licenses and Permits: Before beginning operations, the company must ensure it has all required local and state construction licenses and permits. This mitigates the risk of legal issues that can delay projects and add unforeseen costs.
• Launch Our Construction Company: Officially launching the company involves setting up the legal structure, such as an LLC, and establishing a brand presence in the Indianapolis market through a combination of online and traditional marketing strategies.
• Build a Qualified Team: Hiring skilled laborers, project managers, and administrative staff is crucial. Training programs should also be implemented to ensure quality and safety standards are met, reducing the risk of costly mistakes and accidents on the job.
• Establish Supplier Relationships: Securing reliable suppliers for materials is essential. Negotiating favorable terms can help manage costs effectively, ensuring projects are completed on time and within budget.
• Develop a Strong Online Presence: In today’s digital age, having a professional website and active social media profiles can attract customers. Showcasing completed projects and customer testimonials will build credibility and trust with potential clients.
• Implement Project Management Systems: Adopting efficient project management and customer relationship management (CRM) software will streamline operations, allowing for better communication with clients and within the team, as well as more accurate budgeting and scheduling.
• Secure Initial Contracts: Landing the first few construction contracts is crucial. This could involve bidding on both public and private projects. Achieving this milestone confirms the company’s ability to attract business and generate revenue.
• Get to $15,000/Month in Revenue: Reaching this financial milestone within the first 12 to 24 months will be a strong indicator of the company’s viability and potential for growth. It demonstrates market demand, operational efficiency, and effective financial management.
• Establish a Safety Record: Maintaining a record of safety, without significant accidents or violations, over the first 24 months can significantly enhance the company’s reputation, making it a preferred contractor for clients concerned about liability and project execution.
• Review and Adjust Business Strategies: After 18 to 24 months, conducting a comprehensive review of business operations, market position, and financial health to adjust strategies as necessary will be crucial for continued growth and success. This ensures the company remains adaptive and competitive in the dynamic construction market.

BlueprintBuilders Co. management team, which includes the following members, has the experience and expertise to successfully execute on our business plan:

Charlotte Moore, CEO

Charlotte Moore, CEO, brings a wealth of experience and a proven track record of success to BlueprintBuilders Co. Her background as the head of a successful construction company showcases her ability to navigate the complex challenges of the construction industry. Charlotte’s leadership skills, combined with her thorough understanding of both the operational and financial aspects of running a construction business, make her exceptionally well-qualified to guide BlueprintBuilders Co. towards achieving its strategic goals. Her experience in steering her previous company through various market conditions and her ability to foster strong relationships with stakeholders are critical assets for BlueprintBuilders Co.’s journey towards lasting success.

To achieve our growth objectives, BlueprintBuilders Co. requires $225,000 in funding. This capital will be allocated towards essential investments including location buildout, equipment, and operational expenses such as staff salaries and initial marketing efforts. These financial resources will lay the foundation for our operations, enabling us to implement our business plan effectively and position ourselves for success in the competitive Indianapolis construction market.

Financial Statements

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Construction Business Plan Example PDF

Download our Construction Business Plan PDF here. This is a free construction business plan example to help you get started on your own construction plan.  

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BUSINESS STRATEGIES

How to create a contractor business plan

• Jeremy Greenbaum
• Oct 30, 2023
• 12 min read

When launching a contracting business, it's essential to craft a detailed and precise business blueprint tailored to your industry. A contractor business plan is a meticulously crafted document that delineates your company's objectives, tactics and financial forecasts within the contracting sector. This blueprint serves as your guiding compass when starting a business , charting the course to success and offering solutions to potential hurdles. It spells out the specific strategies needed to efficiently operate a contracting enterprise.

Keep reading for tips on how to get started with your own business plan when starting a contractor business .

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Creating a business plan for your contractor business is vital in order to establish a clear direction and ensure the success of your venture. Here are the six primary sections of a business plan to get you started:

Executive summary

Company and domain names, market analysis and research, operations plan, marketing and advertising plan, financial plan, 01. executive summary.

The executive summary is a concise overview of your entire contractor business plan. It should provide a snapshot of your business's mission, goals, products or services, target market, competitive advantage, financial projections and funding requirements. A clear executive summary succinctly communicates your business's essence and potential, serving as a compelling introduction to captivate the reader's interest.

Example of an executive summary: "GreenBuild Contractors is a dynamic and innovative construction company specializing in sustainable residential and commercial projects. With a commitment to quality craftsmanship and environmental stewardship, we aim to revolutionize the construction industry. Our team of experienced professionals combines expertise in green building practices with a passion for creating spaces that resonate with both clients and the environment. By leveraging our unique expertise, GreenBuild Contractors is poised to tap into the growing demand for eco-friendly construction solutions. We are seeking funding to scale our operations, enhance market presence and position ourselves as a leader in sustainable construction."

02. Company and domain names

Choosing the right business name is pivotal for building brand awareness and trust in your contractor business. It should resonate with your services, reflect professionalism and be memorable. To find inspiration, consider using business name generators that offer creative suggestions tailored to your industry.

Be inspired:

Contractor business name ideas

Painting business name ideas

Plumbing business name ideas

Selecting a domain name is equally crucial in today's digital age. It should be aligned with your company name, easy to remember and relevant to your services. Before finalizing your choice, ensure the domain name is also available and not already in use.

Once you’ve decided on your company name and legal structure, make sure to register your business with your state.

03. Market analysis and research

Incorporating a market analysis and research section in your contractor business plan helps you understand the competitive landscape and devise an effective business strategy. Conduct market research to identify your target audience's needs, preferences and pain points. Analyze your competitors' strengths and weaknesses to uncover opportunities for differentiation. This insight will guide your marketing efforts and positioning strategy.

Find your niche:

Handyman business plan

Painting business plan

04. Operations plan

An operations plan within your contractor business plan outlines the practical aspects of your business, including its location, premises, equipment and staffing needs. Describe your business's physical setup, such as office or construction site locations. Detail the types of equipment required for your services and address staffing requirements, roles and responsibilities. A comprehensive operations plan ensures a smooth workflow and efficient resource allocation.

05. Marketing and advertising plan

Your business plan should lay out a detailed marketing and advertising strategy to promote your contractor business. Identify the most relevant marketing channels for your industry, such as a business website , social media, local advertising and trade shows. Highlight specific campaigns—such as showcasing completed projects, offering promotions or educational content about construction trends.

Don’t forget to think about your branding. No matter where you choose to promote your business, you’ll want to make sure that your branding is consistent. Start by using a logo maker to brainstorm construction logo ideas . Shape your visual identity around it, plus articulate your brand’s values, mission and vision (among other essential aspects).

06. Financial plan

The financial plan is a cornerstone of your contractor business plan, detailing how your business will be funded initially and outlining a timeline for achieving profitability. It includes projected revenue, expenses and cash flow statements. Specify the initial investment required for equipment, staffing and other startup costs. Outline your funding sources and clearly define your business's financial trajectory, demonstrating its sustainability and growth potential. Lay out how you plan to make money as a contractor.

Contractor business plan example: UrbanRenovate Builders

Below is a business plan example of a hypothetical contractor business, UrbanRenovate Builders. Feel free to use this as a guide for when you’re creating your own contractor business plan.

UrbanRenovate Builders is a forward-thinking contractor business poised to redefine urban spaces through innovative renovation solutions. With a focus on delivering exceptional craftsmanship and modern design, we aim to become a trusted partner for clients seeking transformative renovation projects. Our team of skilled professionals combines expertise in architectural design, construction and project management to create living spaces that reflect our clients' unique lifestyles. By leveraging our expertise and commitment to quality, UrbanRenovate Builders aims to establish a prominent presence in the competitive renovation market.

Company name : UrbanRenovate Builders

Domain name : www.urbanrenovatebuilders.com

The name "UrbanRenovate Builders" captures our emphasis on urban revitalization and renovation expertise. The corresponding domain name aligns with our brand identity and offers easy access to our online presence, enabling potential clients to learn about our services and portfolio.

Market analysis : UrbanRenovate Builders operates in the bustling urban renovation sector, targeting homeowners and commercial property owners seeking modernization and transformation. Our research indicates a growing demand for sustainable and aesthetically appealing renovation solutions, reflecting a shift towards environmentally-conscious living.

Competitive landscape : We have identified key competitors offering similar renovation services, emphasizing the importance of differentiation through innovation, superior customer service and sustainability.

Location : UrbanRenovate Builders will be headquartered in a central urban location, facilitating easy access to our target market.

Premises : Our office space will accommodate project management, design consultations and administrative tasks.

Equipment : We will invest in state-of-the-art construction and design tools to ensure precise execution of projects.

Staffing : Our team will consist of experienced architects, designers, project managers and skilled construction professionals.

Marketing channels : Our marketing strategy involves a mix of digital platforms (website, social media), local advertising (flyers, community events) and participation in home renovation expos.

Campaigns : We will launch a "Before & After" campaign showcasing successful transformations. We’ll additionally launch a "Sustainability Spotlight" campaign highlighting eco-friendly practices, and "Client Stories" sharing positive experiences.

Startup costs : Initial investment of $150,000 will cover equipment, office setup, marketing efforts and staff salaries.

Funding : Funding will come from personal savings ($50,000) and a bank loan ($100,000).

Financial projections (first year) : revenue: $300,000, expenses: $220,000, profit: $80,000

Financial projections (second year) : revenue: $500,000, expenses: $350,000, profit: $150,000

Profitability timeline : UrbanRenovate Builders aims to achieve profitability within the first year of operation, supported by strategic marketing efforts and excellent project execution.

Benefits of creating a contractor business plan

No matter what type of business you’re starting, a business plan offers several key advantages that can significantly contribute to your company’s success.

Funding : A well-written business plan can be instrumental in attracting investors and raising money for your business . Investors want to see a clear roadmap that outlines your business's potential for growth and profitability. A robust plan demonstrates your commitment, knowledge of the industry and strategies to mitigate risks, making it more likely for investors to feel confident in providing financial support.

Resources : A detailed business plan helps you understand the precise resources, supplies and staff required to launch your contractor business. By conducting a thorough analysis of the equipment, tools, materials and personnel needed, the plan ensures that all essential aspects are considered and allocated appropriately. This proactive approach minimizes the risk of resource shortages or mismanagement, allowing for a smoother business launch.

Operational efficiency : A business plan provides a structured outline of your business's operations. It outlines the step-by-step processes involved in executing projects, managing tasks and meeting client expectations. This clarity improves operational efficiency, reduces confusion among staff and enhances overall project management. Additionally, having a well-defined plan in place helps business owners respond effectively to unexpected challenges, ensuring that projects stay on track.

Risk mitigation : Starting a contractor business involves inherent risks, from market fluctuations to unforeseen project delays. A business plan allows you to identify potential risks and develop corresponding mitigation strategies. By addressing challenges proactively, the business is better equipped to navigate uncertainties and disruptions, maintaining its resilience and reputation.

Competitive edge : A well-researched business plan includes a thorough analysis of the market landscape and competitors. This insight will enable you to identify gaps in the market, recognize emerging trends and position your contractor business strategically to stand out. By tailoring your services to meet specific client needs, your business can gain a competitive edge and establish a unique value proposition.

Financial projections : A crucial aspect of any business plan is its financial projections and growth strategy. By outlining revenue forecasts, expense estimates and profit margins, the plan provides a clear picture of the contractor business's financial health. You can set realistic financial goals and create actionable plans to achieve them, guiding your growth trajectory in a sustainable manner.

How profitable can a contractor business be?

Contractor businesses can be very profitable. According to a report by IBISWorld, the average profit margin for contractor businesses is 10%. This means that for every $100 in revenue, contractor businesses generate $10 in profit.

Of course, not all contractor businesses are equally profitable. Some contractors are able to charge higher fees and generate more profit than others. However, even contractors with a lower profit margin can still be successful if they have a steady stream of clients.

Here are some factors that can contribute to the profitability of a contractor business:

Specialization: Contractors who specialize in a particular area of construction or remodeling can charge higher fees and attract more clients.

Experience: Contractors with more experience tend to be more efficient and can complete projects more quickly. This can lead to higher profits.

Reputation: Contractors with a good reputation are more likely to attract repeat clients and referrals. This can lead to increased business and profits.

Marketing: Contractors who effectively market their business are more likely to generate leads and close more deals. This can lead to increased revenue and profits.

If you are considering starting a contractor business, it's important to do your research and develop a plan to make your business as profitable as possible.

Here are some additional tips for increasing the profitability of your contractor business:

Invest in quality tools and equipment. This will help you complete projects more efficiently and reduce costs.

Track your expenses carefully. This will help you identify areas where you can cut costs and improve your profitability.

Negotiate favorable terms with your suppliers. This can save you money on materials and other costs.

Outsource non-essential tasks. This can free up your time so that you can focus on the most important aspects of your business.

Invest in training and development for your team. This will help your team to be more productive and efficient.

By following these tips, you can increase the profitability of your contractor business and build a successful enterprise.

How to market your contractor business

There are a number of ways to market your contractor business. Here are a few tips:

Create a strong online presence. This includes having a professional website and being active on social media. Your website should be well-designed and easy to navigate, and it should include information about your services, experience and contact information. Your social media pages should be updated regularly with interesting content and photos of your work.

Use local search engine optimization (SEO). This means optimizing your website and online content so that it ranks higher in search engine results pages (SERPs) for relevant keywords. When people search for contractors in your area, you want your website to be one of the first results they see.

Run paid advertising campaigns. You can run paid ads on search engines and social media platforms to reach a wider audience. When creating your ads, be sure to target your ideal customers and use relevant keywords.

Network with other businesses in your area. Attend industry events and join trade associations. This is a great way to meet potential clients and partners.

Offer discounts and promotions. This is a great way to attract new customers and encourage repeat business. You can offer discounts for first-time customers, bulk orders or referrals.

Get involved in your community. Sponsor local events or donate to charities. This is a great way to build relationships and generate goodwill.

Focus on your unique selling points. What makes your business different from other contractors in your area? Highlight your unique selling points in your marketing materials and online content.

Use high-quality photos and videos. Show potential customers the quality of your work by using high-quality photos and videos in your marketing materials.

Make it easy for customers to contact you. Include your contact information prominently on your website and social media pages. Make sure to respond to inquiries promptly and professionally.

Provide excellent customer service. This is essential for building a successful contractor business. Make sure to communicate regularly with your customers, keep them updated on the progress of their project and resolve any issues promptly.

Strategies to launch your contractor business plan

Here are some strategies to launch your contractor business plan:

Define your target market and services. Who are your ideal customers? What services will you offer? What are your unique selling points? Once you have a clear understanding of your target market and services, you can develop a business plan that is tailored to their needs.

Create a strong brand identity. Your brand is what will set you apart from other contractors in your area. Develop a logo, tagline and website that are professional and reflect your business values.

Market your business effectively. There are many different ways to market your contracting business. You can use online and offline marketing channels, such as search engine optimization (SEO), social media and networking events.

Get licensed and insured. In most states, contractors are required to be licensed and insured. This shows potential customers that you are a legitimate business and that you are qualified to perform the services you offer.

Build a team of reliable subcontractors. If you're unable to perform all of the services yourself, you will need to build a team of reliable subcontractors. Make sure to check their references and licenses before hiring them.

Provide excellent customer service. Customer service is key to success in the contracting business. Make sure to communicate regularly with your customers, keep them updated on the progress of their project and resolve any issues promptly.

Here are some additional tips for launching your contractor business:

Start small and scale up as you grow. Don't try to take on too much work at once. Start with small projects and gradually build up your business as you gain experience and a good reputation.

Offer competitive pricing. When setting your prices, be sure to research what other contractors in your area are charging. You want to offer competitive pricing without sacrificing quality.

Get involved in your community. Sponsor local events, donate to charities and get to know other businesses in your area. This will help you to build relationships and generate leads.

Network with other contractors. Join a trade association or attend networking events for contractors. This is a great way to learn from other professionals, get referrals and find new opportunities.

Launching a contractor business can be challenging, but it's also very rewarding. By following these tips, you can increase your chances of success.

Contractor business plan FAQ

How do you build a successful contracting business.

To build a successful contracting business, you need to focus on the following:

Provide excellent customer service. This means communicating regularly with your clients, keeping them updated on the progress of their project and resolving any issues promptly.

Deliver high-quality work. This is essential for building a good reputation and attracting repeat clients.

Be reliable and trustworthy. Show up on time and complete your projects on schedule.

Be professional and courteous. Dress appropriately and treat your clients with respect.

Market your business effectively. Let potential clients know about your services and how you can help them.

What type of construction is most profitable?

Can a contractor be a millionaire, want to create another type of business plan.

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Construction Business Plan Template PDF

A successful construction business is based on a solid business plan. To help you out, we've designed a business plan template PDF specifically for your construction business.

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Construction Company Business Plan [Sample Template]

By: Author Tony Martins Ajaero

Home » Business ideas » Construction & Engineering Industry » Construction Business

Are you about starting a construction company ? If YES, here’s a complete sample construction business plan template & feasibility report you can use for FREE .

Okay, so we have considered all the requirements for starting a construction business. We also took it further by analyzing and drafting a sample construction marketing plan template backed up by actionable guerrilla marketing ideas for construction businesses. So let’s proceed to the business planning section.

A Sample Construction Company Business Plan Template

1. industry overview.

The construction industry can comfortably boast to be responsible for the infrastructural development of the world. As such, the development of any country or city can be said to be the handiwork of construction companies and other stakeholders.

In other words, all the edifices, bridges, dams, roads, estates, campuses, shopping malls, office complexes, skyscrapers and massive structures that you see around are all products of the construction industry. Starting a construction business is capital intensive simply because of the type of heavy duty equipment that is required to carry out a construction project and also the cost of managing a large workforce.

Despite the fact that the construction industry requires huge start – up capital, the industry is highly profitable, especially if you have the expertise and capacity to deliver quality jobs. The major clients for construction companies are governments and the private sector.

Construction giants all over the world head towards developing countries, because they know that they are going to get juicy construction contracts there. Unlike in advanced economy, in developing countries and undeveloped world, there are loads of construction works to be done.

The fact that they have infrastructure deficit means that the government must be up and doing in terms of road constructions, bridge construction, public facility construction (hospitals, schools, office facilities and estates et al) and dams constructions.

After a war, the construction industry is one of the major stakeholders that contribute in the rebuilding of a country. In so doing, they work with governments in ensuring that basic infrastructures are restored and of course it will always ends up a win – win situation for both parties.

The government gets what they want and the construction company and contractors get good returns for delivering the projects.

Over and above, the success of a construction company to a larger extent depends on their relationship with the biggest clients in the industry; the government of any country. No doubt there is always enough construction contracts to go round as long as a construction company is competent and well positioned. They won’t lack construction contracts from both the government and the private sector.

2. Executive Summary

Shannon Berg Construction Company is an international construction company that has its headquarters in Grand Rapids, Michigan – USA. The fact that we are based in the united states does not in any way restrict our scope of operations to the United States of America.

We are an international construction company and we work for our clients (governments and private sectors) in any part of the world.

Shannon Berg Construction Company will be specialized in the constructions of skyscrapers, bridges, stadiums, roads, dams, Office complex, shopping malls, schools, campuses and estates et al. As a matter of fact, we are going to be known for delivering world class structures all over the globe.

Creativity, excellence and timely completion of construction projects will be our signature. We intend starting our construction business on a small scale in Grand Rapids, Michigan, but we have a bigger picture – to have our presence in any part of the world that our clients wants us to work.  We hope to achieve this feat within the first 10 years of launching the company.

As part of our plans to make our highly esteemed customers our number one priority and to become a global construction brand, we have perfected plans and strategies that will enable us work with our clients in delivering projects that can favorably compete with the best in the industry at an affordable and reasonable price within the stipulated completion date barring any unforeseen circumstance.

Shannon Berg Construction Company is fully aware that starting a construction business requires huge capital base, which is why we have perfected plans for steady flow of cash from private investors who are interested in working with us.

We can confidently say that we have a robust financial standing and we are ready to take on any construction project that comes our way, as long as the project is duly commissioned by the required authority.

Shannon Berg Construction Company will be owned by the principal partner; Engr. Shannon Berg and other partners (Nani David, Lois Scotland and Christopher Parkston). They also have plans in the pipeline to sell the shares of the company in the nearest future to interested investors who would want to be part owners of the company.

Shannon Berg who is the principal partner has well over 25 years of experience in the construction industry. Before starting his own construction company, he was a senior project manager and consultant with one of the world’s largest construction company based in Germany.

Engr. Shannon Berg, Nani David, Lois Scotland and Christopher Parkston will be the major financier of the company. Nonetheless, we have made a concerted decision not to limit the number of investors with similar investment ideology that may want to invest in the business.

This is necessary in order for us to be able to retain financial flexibility. Ideally, our plan is that no investment will be less than $1,000,000, which would purchase a 1 percent equity position. It is our desire that all equity partners be limited partners.

3. Our Products and Services

Shannon Berg Construction Company is a construction company that is set to undertake both small construction projects and massive construction projects for governments, private sectors and for individuals which is why we do not intend to place limitations of the scope of the projects we handle and what we do.

We know that if we are good at what we do, it will make it easier for our brand to grow beyond Grand Rapids, Michigan to other parts of the United States of America and the rest of the world. Our business offering are listed below;

• Road Construction
• Bridge Construction
• Dam construction
• Airports and Helipads Construction
• Seaports Construction
• Skyscrapers construction
• Estate construction
• Public facility construction (hospitals, schools, shopping malls, office complexes and industrial facilities et al)
• Construction of residential facilities
• Property Makeover Services
• Construction Consultancy and Advisory Services

4. Our Mission and Vision Statement

• Our vision is to build a first class construction company that will have active presence in North America, South America, Africa and Asia.
• At Shannon Berg Construction Company, our mission and values are to help governments, the private sector and individuals in the United States of America and throughout the world realize their dreams of building a world class structure that can compete on a global stage with the best in the construction industry.

Our Business Structure

Shannon Berg Construction Company intend starting small from Grand Rapids, Michigan, but with a vision of growing the business to becoming a global construction brand with presence in all the continents of the world. In order to achieve this vision, we just have to position our company for growth and ensure that we hire dedicated and highly competent employees at all levels.

Shannon Berg Construction Company will ensure that we build a team that will work together towards achieving the company’s vision. We will build a business that has the right structures and process in place that can support growth; a business that runs on autopilot.

In view of the above, we have made provisions for the following position in our organization based on the size of the company we intend starting but as the business grows, we will create senior level positions and also create a structure that will support the business growth at every growth and expansion stage;

• Chief Executive Officer (President)

Project Manager

Civil Engineer

• Structural Engineer
• Quantity Surveyor

Land Surveyor

Company’s Lawyer/Secretary

Admin and HR Manager

Business Developer

• Front Desk Officer

5. Job Roles and Responsibilities

Chief Executive Officer – CEO:

• Responsible for providing direction for the business
• Creates, communicates, and implements the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy.
• Responsible for the day to day running of the business
• Responsible for handling high profile clients and deals
• Responsible for fixing prices and signing business deals
• Responsible for signing checks and documents on behalf of the company
• Evaluates the success of the organization
• Reports to the board
• Responsible for the planning, management and coordinating all projects on behalf of the company
• Supervises projects
• Ensures compliance during project executions
• Provides advice on the management of projects
• Responsible for carrying out risk assessment
• Using IT systems and software to keep track of people and progress of ongoing projects
• Responsible for overseeing the accounting, costing and billing of every project
• Represents the organization’s interest at various stakeholders meetings
• Ensures that project desired result is achieved, the most efficient resources are utilized and different interests involved are satisfied.
• Responsible for preparing bids for tenders, and reporting to clients, public agencies and planning bodies
• Ensures that sites meet legal guidelines, and health and safety requirements
• Assesses the environment impact and risks connected to projects
• Responsible for judging whether projects are workable by assessing materials, costs and time requirements
• Draws up blueprints, using Computer Aided Design (CAD) packages
• Discussing requirements with the client and other professionals (e.g. architects and project managers et al)
• Responsible for managing, directing and monitoring progress during each phase of a project
• Responsible for creating building designs and highly detailed drawings both by using the hands and by using specialist computer – aided design (CAD) software
• Works around constraining factors such as town planning legislation, environmental impact and project budget
• Writes and presents reports, proposals, applications and contracts
• Adapting plans according to circumstances and resolving any problems that may arise during construction
• Works with project team and management to achieve a common goal
• Responsible for applying for planning permission and advice from governmental new building and legal department.
• Responsible for undertaking land surveys/measurements using a variety of specialist technical equipment such as theodolites, laser alignment devices and satellite positioning systems et al.
• Responsible for presenting data to clients
• Responsible for producing and advising about construction plans and drawings
• Responsible for advising about technical matters and whether the construction plans are viable
• Responsible for drawing up contracts and other legal documents for the company
• Consult and handle all corporate legal processes (e.g. intellectual property, mergers & acquisitions, financial/ securities offerings, compliance issues, transactions, agreements, lawsuits and patents et al)
• Develops company policy and position on legal issues
• Researches, anticipate and guard company against legal risks
• Represents company in legal proceedings (administrative boards, court trials et al)
• Plays a part in business deals negotiation and take minutes of meetings
• Responsible for analyzing legal documents on behalf of the company
• Prepares annual reports for the company
• Responsible for overseeing the smooth running of HR and administrative tasks for the organization
• Defines job positions for recruitment and managing interviewing process
• Carries out staff induction for new team members
• Responsible for training, evaluation and assessment of employees
• Responsible for arranging travel, meetings and appointments
• Oversees the smooth running of the daily office activities.
• Identifies, prioritize, and reach out to new partners, and business opportunities et al
• Responsible for supervising implementation, advocate for the customer’s needs, and communicate with clients
• Develops, executes and evaluates new plans for expanding increase sales
• Documents all customer contact and information (manage the company’s CRM system)
• Represents the company in strategic meetings with government agencies, private sectors and contractors
• Helps increase sales and growth for the company
• Responsible for preparing financial reports, budgets, and financial statements for the organization
• Responsible for financial forecasting and risks analysis.
• Responsible for developing and managing financial systems and policies
• Responsible for administering payrolls
• Ensures compliance with taxation legislation
• Handles all financial transactions for the company
• Serves as internal auditor for the company

Front Desk/Customer’s Service Officer

• Receives Visitors/clients on behalf of the organization
• Receives parcels/documents for the company
• Handles enquiries via e-mail and phone calls for the organization
• Distributes mails in the organization
• Handles any other duties as assigned the line manager

6. SWOT Analysis

Surviving in the business world as a construction company requires more than knowing how to deliver standard projects but also how to network with key people that matter; decision makers that can decide who a project is given to and all that.

We know that it will be a bit difficult to compete with already established construction companies in the United States especially because we are new in the industry.

In order to properly position our company for growth and to favorably compete in the construction industry, we engaged the services of a Dr. Joe Whyte, a renowned HR and business consultants in the United States of America to help us run a SWOT analysis.

It is important that we know our strength, our weaknesses, and the opportunities that we can leverage on in the industry and the threats that we are likely going to be confronted with.

With that, we will be able to map out strategies that will not only help us to survive in the industry but also to build a global construction brand. Here is a summary from the result of the SWOT analysis that was conducted on behalf of Shannon Berg Construction Company;

Shannon Berg Construction Company can confidently boast of having a competent and highly experienced management team who are regarded as some of the best hands in Michigan.

Although we are a new construction company, but our president and board of trustee are respectable people in the United States of America who have served the US government in various capacity; we are a construction company that has the right network that is suitable for the kind of business we are into.

Well the fact that we are a new construction company could count as a weakness. It is normal for clients to think twice before awarding construction contracts to newbies in the industry.

Another weakness that can count against us in the industry is the fact that we may not have the financial muscles to drive the business the way we ought to drive it. We require huge financial base to be able to acquire some of the latest heavy duty construction equipment.

• Opportunities:

Our business concept, our mission and vision puts us at an advantage in the industry. We will start small to build trust within Grand Rapids, Michigan and there are loads of opportunities for us there simply because we are well positioned to work with both the state government and the highly organized private sector.

Generally in the construction industry, both the already established construction companies and start – up construction companies are subject to threat from government policies, global economic downturn and unforeseen natural disasters (disasters that may cause setback).

These are the threats that we are likely going to face as a newbie construction company in Grand Rapids, Michigan. Another threat that we are likely going to face is the arrival of a big construction company in the location where our business has strong presence.

7. MARKET ANALYSIS

• Market Trends

The trend in the construction industry is that construction companies are always coming out with processes that will help them achieve more within a short period; construction jobs can be time consuming especially the construction of massive infrastructures.

Most players in the construction industry are fully aware that the government of any country or state is the biggest clients they can get and they do all the lobbying and horse trading to ensure that they get government contracts.

No doubt there are loads of big time investors that have stakes in the construction industry, but one thing is certain, there is room big enough to accommodate both the big construction companies and the small construction companies.

What smaller construction companies need to do to survive in the industry is to concentrate on developing estates, schools, hospitals and hotels et al before bidding for big construction contracts like road construction, bridge construction, dam construction and skyscrapers et al.

Another obvious trend in the construction industry is subletting of contracts. It is now obvious that construction giants leverage on their brands to win contracts and in some cases after they have won the contract.

They will go ahead to sublet the contract to smaller construction company that they trust can deliver to execute the project at an agreed fee that will be good enough for both parties to make profits. Smaller construction companies position themselves to be able to leverage on such opportunities once it present itself.

8. Our Target Market

Our target market cuts across governments at all levels and countries, the organized private sector and people of different class and from all walks of life. We know that our selling points will be our excellent and timely delivery of construction projects using global best practices.

We will start with the local market, people, organizations and the government in Michigan, but we hope to spread our nets to clients from other states in the US and thereafter other countries of the world.

Shannon Berg Construction Company will be known for working with smaller clients (various individuals) as well as working for bigger clients (various governments and organized private sector). Below is a list of the people and organizations that we have specifically designed our services for;

• Organized private sector (Corporate organizations)
• Land Owners
• Businessmen and Businesswomen
• University Campuses
• Foreign investors who are interested in owning properties in the United States of America
• The government of the United States of America (Government contracts)
• The governments of other nations of the world

Our Competitive Advantage

We are quite aware that there are big – time investors and construction companies who are well recognized in the construction industry, and we maybe have to compete with them when it is time to bid for juicy government contracts.

It might be challenging competing as a newbie in the construction industry, especially in a highly organized market like that of the United States of America, which is why we were deliberate in choosing our board members. Our competitive advantage is not limited to the crop of highly experienced professions that are members of our management team but also our board members.

Our board members are highly respected professionals in the United States who have served the government of the United States at various capacities; people who are accomplished business gurus and people who have the right connections and experience to make things happen with little or no struggle. For us, it is indeed part of the competitive advantage that we are bringing to the market.

Another positive for Shannon Berg Construction Company is the fact that our Chief Executive Officer / President is a renowned Civil Engineer, he has robust experience in the construction industry and he has worked extensively as a senior project manager for one of the world’s leading construction companies.

He is sure going to bring is experience, expertise and network (connections) to make Shannon Berg Construction Company one of the leading construction brand in Grand Rapids, Michigan and also active player in the global construction market.

9. SALES AND MARKETING STRATEGY

• Sources of Income

Shannon Berg Construction Company was established with the aim of maximizing profits through delivering quality and standard construction works for our highly esteemed clients. We will ensure that we generate income from every available means within the construction industry. Below are the sources we intend exploring to generate income for Shannon Berg Construction Company;

• Construction of residential apartments

10. Sales Forecast

It is important to state that our sales forecast is based on the data gathered during our feasibility studies and also some of the assumptions readily available on the field.

We have relationship with major stakeholders in the real estate and construction industry in Grand Rapids, Michigan and also in order states in the US and we are sure of getting key construction contracts to kick start of business. Below are the projections that we were able to come up with for the first three years of Shannon Berg Construction Company;

• First Year-: $2,000,000
• Second Year-: $3,500,000
• Third Year-: $5,000,000

N.B : This projection is done based on what is obtainable in the industry and with the assumption that all things that will facilitate easy flow of construction contracts. From our calculations, we are likely going to make a minimum of 30 percent profits after task from executing key construction projects.

• Marketing Strategy and Sales Strategy

We have been able to clearly define our target market and have documented this in our construction marketing plan. We know how to get them to hire our services which is why we have decided to adopt some of the winning formula that construction giants utilize to win major construction contracts.

We know that it will take different marketing and sales strategies to win small clients and bigger clients. For example; there are requirements a construction company would hate to meet before they can be awarded a government contract. We have put all these factors in place before creating a workable marketing and sales strategy for Shannon Berg Construction Company.

Shannon Berg Construction Company is fully aware of the bureaucracy and horse trading that exists in bidding for construction contracts from the government and even the organized private sector, which is why we were able to put protocols in place to hire some of the best business developer to handle our sales and marketing.

No doubt, our sales and marketing team will be recruited based on their vast experience in the construction industry and their ability to fit into our Business model. We are going to pay more emphasis in the training of all our employees so as to give them all they would need to help the company achieve its aim and objectives.

Our goal is to become one of the leading construction companies in Grand Rapids, Michigan and we know we can achieve this by ensuring that our sales and marketing team are delivering on set targets. Shannon Berg Construction Company will adopt the following marketing and sales strategies;

• Introduce our business by sending introductory letters alongside our brochure to all the corporate organizations and government offices in Grand Rapids, Michigan and other States in the US.
• Promptness in bidding for contracts
• Advertise our business in real estate/properties magazines and websites
• List our business on yellow pages
• Promote our business on satellite TV stations and radio stations.
• Attend expos, seminars, and business fairs et al
• Create different packages for different category of clients in order to work with their budgets and still deliver quality housing/property to them
• Leverage on the internet (social media platforms and our official websites) to promote our business

11. Publicity and Advertising Strategy

We have been able to work with our consultants to help us map out publicity and advertising strategies that will help us walk our way into the heart of our target market. First and foremost, we want our brands to be visible and well communicated, which is why our publicity strategy have been well crafted to help us achieve our aims and business objectives.

All our publicity materials and jingles are done by some of the best hands in the industry. Below are the platforms we intend to leverage on to promote and advertise our property development business;

• Place adverts on both print and electronic media platforms
• Sponsor relevant TV shows
• Utilize our company’s website in promoting our business
• Leverage on the internet and social media platforms like; Instagram, Facebook ,Twitter, LinkedIn, Badoo, Google+ et al
• Install our Bill Boards on strategic locations

12. Our Pricing Strategy

Part of business strategy is to ensure that we work within the budget of our clients to deliver excellent and world class construction projects.

We are quite aware that there are major players in the construction industry in the United States of America who are not interested in small business deals and that is why we have positioned Shannon Berg Construction Company to take on such contracts.

Although our prices may not be outrageously lower than what is obtained in the industry, but we are hopefully that whatever price we bill our customer will be amongst the lowest they can get in the industry. The fact that we are going to be billing our clients lower than what is obtainable in the industry does not in any way going to affect the quality of our construction projects.

• Payment Options

Our payment policy in Shannon Berg Construction Company is all inclusive because we are quite aware that different people prefer different payment options as it suits them, but at the same time, we will not accept payment by cash because of the volume of cash that will be involved in most of our transactions. Here are the payment options that we will make available to our clients;

• Payment by via bank transfer
• Payment via online bank transfer
• Payment via check
• Payment via bank draft

In view of the above, we have chosen banking platforms that will help us achieve our plans without any itches.

13. Startup Expenditure (Budget)

• The Total Fee for incorporating the Business in New York: $750.
• The budget for Liability insurance, permits and license: $5,000
• The Amount needed to acquire a suitable Facility with enough space in Grand Rapids, Michigan (Re – Construction of the facility inclusive): $500,000.
• The Cost for equipping the office (computers, printers, fax machines, furniture, telephones, filing cabins, safety gadgets and electronics et al): $15,000
• The cost for acquiring heavy duty construction equipment: $2,000,000
• The Cost of Launching a Website: $600
• Additional Expenditure (Business cards, Signage, Adverts and Promotions et al): $5,000
• Working capital (investment fund): $3,000,000 (3 Million US Dollar)

Going by the report from our research and feasibility studies, we will need about $7,000,000 (7 US Million Dollars) to set up a construction company in Grand Rapids, Michigan. It is important to state that most of the heavy duty construction equipment that we will work with will be leased.

This necessary because some of these equipment are really expensive and it won’t be economical for us to acquire them from the start.

Generating Funding/Startup Capital for Shannon Berg Construction Company

• The Chief Executive Officer/President Engr. Shannon Berg will generate 20 percent of the start – up capital from his personal savings and sale of his stocks
• 30% of the capital will be generated from key partners (Nani David, Lois Scotland and Christopher Parkston)
• 50% of the capital will be sourced from banks

14. Sustainability and Expansion Strategy

Shannon Berg Construction Company was established with the aim of building a company that will outlive the founders and partners; a construction company that will have active presence in major cities in the world. Part of the vision of the company is to handover the baton of the company from one generation to generation; hence we have perfected our plans to put the right structures in place that will aid our succession plan.

In order to position of company for growth, we have been able to create strong partnerships with the government of the United States of America, organized private sector and construction giants. We are optimistic that we will continue to execute construction contracts for our clients.

Our marketing team will continue to get the needed support and encouragement that they need to be able to deliver on set goals and targets for the organization, and we will continue to improve our processes and structure to meet up with the changing trend in the construction industry.

Lastly, we will not relent in taking calculated business risks when it comes to bidding for bigger government contracts and taking on new business challenges and new business frontiers.

Check List/Milestone

• Business Name Availability Check: Completed
• Business Incorporation: Completed
• Opening of Corporate Bank Accounts various banks in the United States: Completed
• Opening Online Payment Platforms: Completed
• Application and Obtaining Tax Payer’s ID: In Progress
• Application for business license and permit: Completed
• Purchase of All form of Insurance for the Business: Completed
• Renting of Office Facility in New York City: Completed
• Conducting Feasibility Studies: Completed
• Generating capital from the CEO and Business Partners: Completed
• Applications for Loan from our Bankers: In Progress
• writing of business plan: Completed
• Drafting of Employee’s Handbook: Completed
• Drafting of Contract Documents (Tenancy Agreements et al), and other relevant Legal Documents: In Progress
• Design of The Company’s Logo: Completed
• Graphic Designs and Printing of Packaging Marketing / Promotional Materials: Completed
• Recruitment of employees: In Progress
• Purchase of the Needed furniture, office equipment, electronic appliances and facility facelift: In progress
• Acquiring of heavy duty construction equipment: In progress
• Creating Official Website for the Company: In Progress
• Creating Awareness for the business (Business PR): In Progress
• Health and Safety and Fire Safety Arrangement: In Progress
• Establishing business relationship with key players in the industry (networking and membership of relevant construction bodies): Completed.

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Construction Business Plan

Whatever construction work you do whether it be commercial construction, landscaping , maintenance or building construction, your services alone won’t be enough to attract investors and clients. With a business plan , companies will be able to attract potential investors to help get their company from the ground up. Construction companies in particular sometimes need investors to get their project up and running. How will they be able to do that? By presenting a construction business plan to them.

15+ Construction Business Plan Examples

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What is a Construction Business Plan?

A construction business plan is a blueprint for how a construction company runs their operations. It contains information about the company itself and the construction services it provides. This business plan also contains the goals of the construction company as well as the business strategies used to achieve them. Content of a construction business plan also include safety plans and business procedures. Like all business plans it serves as a guide for the construction company on how to navigate in the world of business.

How to Create a Construction Business Plan?

According to a recent graph by Statista, the total spending of the United States has been going upwards from 2011 onwards. This means a lot of money can go in your company’s way especially once you get a hold of investors through an impressive construction business plan.

1. Create an Introduction to your Business

Everything that is important has to have a proper introduction. To get started with your business plan you need to write an introduction about your construction business first. Similar to a proposal you need to make a formal and a good impression with your readers when presenting the plan to them. Write a summary of your company; how it started, what it does, and where they currently operate. Write about the services your business provides but don’t go into the details just yet. Make it intriguing enough to make your readers want to read on.

2. State The Truth

When you are writing your construction business plan always remember to be truthful. False claims on your business plan may impress your readers at first. But when the truth is uncovered it can result in your business having a bad reputation and that can spell doom for your company . So make sure all your words are facts that can be backed up.

3. Fact Check and Include Documentation

Keeping in line with the previous step, take the time to fact check all your statements . When you are stating things about your company especially when it involves money and confidential information, make sure they are backed up by concrete evidence. Provide documentation as well as further proof when you write about your projects in your business plan so that means including photos and construction blueprints.

4. Include Your Strategies

This step is especially important when you are a startup company. When making your construction business plan write about the strategies that you have in order to reach the goals of your company. You can write about your marketing and financial strategies for a start. Write about the assets you have that enable you to achieve your plans such as the general contractors you have under your employ for example. Making this part allows you readers to know how you plan on bringing your company up and whether you have the means to achieve it.

How long does it take to write a construction business plan?

Creating a well thought out business plan for your construction company can take months depending on the knowledge you have and the detail you dedicate into making it.

How long should a construction business plan be?

A well written construction plan should take about 15 minutes to skim. In that time you should be able to convey everything important about your construction company. If it takes longer to read try to rework your plan by making it less wordy.

Who is the one who creates the construction business plan?

People who have a key position in the construction company are the ones who should be involved in creating the business plan . Somewhat such as the founder or CEO should be the one who usually prepares it but they can also be assisted by consultants with relevant knowledge.

Your construction business plan serves as a written blueprint on how to run your company. Give it a lot of thought when you are writing it down especially when you are going to use it to attract investors . With a well made plan you will be able to get even the most hesitant investors to work with your company. And with their help the clients will also be drawn to the company leading to more business and profit.

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In all the stages involved in getting to choose out mutual partners to accomplish your real estate small business plan , or getting to hire out contractors, a construction business plan might be the savior. It helps you in making the essential steps in mapping out a strategic achievement of construction goals. This is accomplished by incorporating project management plan tools available for users’ disposal.

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• A brief history of your construction company
• The customers, suppliers, and needs you have
• A sheet summary of the growth of the company, including financial details
• A brief of your long-term and short-term goals
• Steps on how you will make profits.
• Planning leads to practical and faster achievements in any company
• It foresees the future
• It acts as an added strength to a business action plan for steady growth and prosperity
• It helps one be ready to face any unexpected situation that might crop up.

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Lawn and Garden Services Business Plan

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Painting Contractors Business Plan

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Plumbing Business Plan

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Septic Tank Contractor Business Plan

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Starting a contracting business? A sample business plan for contractors will help you make sure you get all the details right. Give you business the best chance for success with a top-notch business plan.

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