My career began more than 30 years ago, and I opened my first general contracting business in 1996. Today, my work focuses on elevating others and promoting professionalism in the construction industry.
One way I do so is through business assessments: a comprehensive analysis of more than 20 areas aimed to assist company owners in creating a rewarding business that thrives, uses less of their time, lowers risk, and runs without them.
We consistently see remodelers struggle with the three business facets below, yet when fully embraced, they have the most positive impact on business and teams.
If you want to build a rewarding and valuable business, you have to run a tight ship. You have to attract the best clients, talent, and trade partners. But you shouldn’t struggle to figure out how to do it alone.
1. Mission and Vision
Identifying your mission should start at the beginning, but at the startup stage, most owners are consumed with managing cash flow and putting out fires.
You need to understand the reason you went into business before you can deliver that message to anyone else. What does the company look like in the future? How big is it? Who’s running it? What are the different positions? Locations? How are you spending your time?
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One way to establish your mission and vision is to write down your 10-year vision and have team members do the same. Where do they see themselves in this future business? It’s essential to create the right culture through team participation.
The industry suffers from a commodity mindset. Free estimates and a focus on the cheapest price provide little value for anyone.
Clients may treat contractors as a commodity instead of understanding the experience and knowledge they bring to the table. Contractors are guilty as well if they don’t provide value for the client.
As a remodeler, you need to stop looking for the cheapest sub and instead focus on finding the right trade partner that leads to a successful project and a happy client.
Focus on relationships and not transactions—don’t take your trade relationships for granted. They’re going to make your life better or worse depending on the investment you put into them.
RELATED: Finding the North Star
3. Succession Planning
The unfortunate truth is most business owners put in 20 years or more, then have nothing of transferable value at the end, and they close the doors. The most successful companies have a plan.
It’s powerful and valuable if you have succession planning developed into your business. If you focus on building a business that can run without you, you will have options for what you ultimately do with it. A well-run business can be sold or transformed in other ways even if the business owner is removed from the equation.
Have you put any substantial effort into the three areas above? If you don’t have these core facets dialed in, now is the time to begin building a plan.
Thankfully, there’s a community of successful business owners, coaches, and consultants willing to share what they have learned. Stop trying to figure it all out on your own: Focus on collaboration over competition.