A Guide for Small Construction Business Owners (from Your Bookkeeper's Point of View)

As construction bookkeeping specialists, we spend a significant amount of time analyzing the numbers behind small construction businesses—everything from job costs to cash flow to profit margins. However, here's the truth most contractors don't hear enough: Your profitability starts before the job even begins.

Yes, it starts with the jobs you say yes to—and more importantly, the ones you should start saying no to. In this post, we'll break down what it means to attract the right jobs, how doing so can transform your business, and what practical steps you can take today to stop chasing work that doesn't serve you.

First, Why Most Contractors Struggle to Attract the Right Clients

Small contractors often accept every job that comes their way, especially when they're just starting or concerned about cash flow. But this creates several problems:

• Low-paying work that barely covers your costs
• Clients who delay payment or constantly push scope boundaries
• Traveling too far for small, unprofitable jobs
• A lack of consistency in your portfolio and referrals

 

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Topics: Construction Marketing, Systems And Processes, Accounting, Contractor Marketing, Systems, handyman marketing, Inbound Marketing For Contractors

For a business to thrive and grow, it needs a strategic plan and the ability to find new customers and continually tap into promising markets. However, this can be easier said than done in a highly competitive trade industry.

 

With time, the quality of your work will speak for itself, which is the most valuable testimonial of all. While your good reputation preceding you is undoubtedly essential, there are a few other ways that you'll want to market your services to ensure that you have a steady stream of work.

 

The untapped potential in existing markets

 

Start by re-evaluating your existing customer base. Profiling them will help you more accurately define your target consumers. 

 

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Topics: Profit and Growth Strategies For Contractors, Construction Marketing, Contractor Marketing, handyman marketing, Inbound Marketing For Contractors

When you go into business as a tradesperson, you often focus on performing your trade to the best of your ability – as it should be. With time, the quality of your work will speak for itself, which is the most valuable testimonial of all.

Before the internet was commercially available, just as many experts advised contractors about the layout and design of yellow page ads and which books to spend money on, I say you spend money because that is what it was - Marketing.

Many of us who owned and operated construction companies spent thousands of dollars on these experts. Based on their recommendations, we spent tens of thousands of dollars annually in full-page yellow page ads as close to the first position.

 

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Topics: Marketing Ideas For Contractors That Work, Marketing Tracking, Construction Marketing, Construction Accountant Who Listens, Contractor Marketing, Contractor Tips, Inbound Marketing For Contractors

Businesses are increasingly moving online to expand their reach and provide the best possible experience to their customers. Being online, however, means more competition, so business owners must come up with ways to amp up their game to gain a more significant market share. 

 

You won't build a loyal client base if you can't earn your visitors' trust, so companies value social proof so highly. But proving your construction business's value online takes a unique skill set, one you can nurture by learning from the marketing industry professionals.

 

Great news for construction business owners like you since you're hyper-local and offer your services based on your location, which means you can target your online audience and optimize for better search engine results.

 

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Topics: Marketing Ideas For Contractors That Work, Construction Marketing, Inbound Marketing For Contractors, Contractor Guidance

Now that the internet has become an integral part of our daily lives, modern consumers no longer depend on television, radio, and print advertisements. We look and go through a plethora of information first, accessed through popular search engines (Google, Bing, and others), before deciding to make a purchase or hire a local service.

Technology advancement allowed companies to promote and connect with a larger number of potential consumers than the traditional, physical presence of a brick-and-mortar store. As a contractor, you are no longer confined to your neighborhood and push services directly to them. Your online presence enables you to reach out and pull qualified leads towards your construction company. But what should you do when you don't have a marketing manager that handles this side of your business? I say work with what you already have and go from there.

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Topics: Marketing Ideas For Contractors That Work, Contractor Marketing, Inbound Marketing For Contractors

It takes work to make the phone ring. It takes even more work to increase the sales ticket. Customers are looking for a contractor to do a little work. If you offer three options, do you find customers usually choose the middle option? 

 

When trying someone new, they may go with a "Low Risk" by prepaying for services on a "Deal" on a contractor lead generation service. The deal allows them to set a "budget." It allows them to try you out before mentioning any additional details. Have you ever heard anything like this from a prospect: "Hello Contractor, I had nothing better to do this week, so I filled out your form and called you on the phone to ask you come to my house and while I act your tour guide because I am thinking of having some work done."? Not likely.

 

 

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Topics: Construction Marketing, Customers Vs. Clients, Clients, Inbound Marketing For Contractors, offline marketing for contractors

Inbound marketing is about creating valuable experiences that have a positive impact on people and your business. How do you do that? You attract prospects and customers to your website and blog through relevant and helpful content. Once they arrive, you engage with them using conversational tools like email and chat and by promising continued value. And finally, you delight them by continuing to act as an empathetic advisor and expert. - HubSpot

Now that the internet has become an integral part of our daily lives, modern consumers no longer depend on television, radio, and print advertisements. We look and go through a plethora of information first, accessed through popular search engines (Google, Bing, etc.), before deciding to make a purchase or hire a local service.

Technology advancement allowed companies to promote and connect with a larger number of potential consumers compared to the traditional, physical presence of a brick-and-mortar store. As a Trade Contractor, you are no longer confined to your own neighborhood and push services directly to them, your online presence enables you to reach out and pull qualified leads towards your company. But what should you do when you don’t have a marketing manager that handles this side of your business? I say work with what you already have and go from there.

 

Read More

Topics: Marketing Ideas For Contractors That Work, Contractor Marketing, Inbound Marketing For Contractors