Search

construction

What’s Needed for a Good Construction Contractor is Simple

by

I Said It Was Simple…I Didn’t Say it Was Easy

Over the past couple of weeks, I’ve written about the difficulty in finding good, qualified construction contractors and how this problem is amplified after a disaster such as a hurricane, tornado, flooding, etc.

Finding a good construction contractor is a huge problem and has been around for a long time. I’ve thought about this off and on for years and recently has been one of those “on times”.

Why is this a problem and what do we do about it?

As I’ve been thinking about it, I’ve concluded, that even though it’s a big problem, the solution is simple…but hard.

The key to this solution is…

Treat others the way you would want to be treated.

Granted, different people have different ways they want to be treated, because each of us is different. Add to that, the long-term acceptance of “this is just the way it is” and it becomes more difficult than ever to solve the problem.

To clarify how we should treat others, we should use God as a measuring stick. Do your work with all your heart, as if you are working for God, not for men. Colossians 3:23

Working as if for God is the opposite of how the world operates.

As I was speaking with a customer just last night, they were telling me how they had been trying to find someone to do their project for years.

They had contacted several contractors who said they would come by and look at the project and never did.

They met with some who did show up only to never be heard from again.

With one contractor they got as far as getting a price but then they could never get him to come do the work.

Equally as bad is when a contractor does agree to do the work, but the customer never knows if or when they’re going to show up and then the  job drags out and out and out.

This is an unacceptable way to treat God or anyone else.

The first and most important thing a good construction contractor needs is…COMMUNICATION.

Communication is more than just talking. It includes:

  • Listening to find out what the customer wants.  
  • Clearly explaining the work to be done, what it’s going to cost and when it will be done.
  • Transparency and honesty. Letting the customer know what to expect and when.
  • Willingness to be vulnerable. If you can’t be there when you said you would…let them know.

I plan to unpack what’s needed from a good construction contractor more over the next few weeks.

What Does it Take to be a Good Construction Contractor?

by

In a Nutshell, the Problem is…There is No Clear Answer to the Question

Last week I wrote about what’s missing when rebuilding after a disaster. It turns out that it’s the same thing that’s missing in everyday construction.

There’s simply a lack of good construction contractors.

So, what does it mean to be a “good construction contractor”?

As I was searching for ideas and answers to this question, I found very little and I mean, VERY LITTLE about it. Apparently, either nobody knows what it takes, or everyone assumes everybody already knows.

In my web search I found one article that spoke to it and one that kind of spoke to it.

The one that kind of spoke to it listed the following…

Signs of a good contractor –

  • Clean record, within reason
  • Responsive and punctual
  • Listens to your ideas
  • All hired work is accompanied with written contracts
  • Provides written estimates

Are you kidding me? Doesn’t this go without saying. And what about a clean record, within reason. This is a little concerning.

Signs of a bad contractor –

  • Licensing abnormalities
  • Habitually late or doesn’t return calls
  • Avoids permits, zoning and building codes
  • Speaks poorly of clients and associates
  • Many lawsuits against them

These are definitely signs of a bad contractor.

The better of the two articles spoke about construction workers, not contractors. It listed 12 skills, several of which would also fit for a good contractor. Those were…

  • Skills specific to “actual construction” – Need to know the things required to do the job they’ve been hired to do.
  • Problem-solving skills – Every construction job has unexpected problems that pop up. It’s important to be able to find solutions to keep production moving forward.
  • Reading and analytical skills – Contractors need to be able to read blueprints and scopes of work and understand them.
  • Listening skills – Talking is easy, but listening is critical to comprehending what the customer wants and what they don’t.
  • Communication skills – Being able to communicate both verbally and in writing are important to successful construction projects.
  • Decision making skills – The problem-solving skills will be no good if no decision gets made. It doesn’t mean that every decision is going to be the right one, but no decision is definitely the wrong one.
  • Organizational skills – This is one of the most important (and often most lacking). Time spent looking for missing tools, materials, papers, etc. leads to an unfocused project and cost time and money.
  • Technological skills – This is a newer skill that is becoming more and more important. The day of the fax is about gone. Computers, tablets and smart phones are how information is being shared…and it’s only going to increase.
  • Skill of working well with others – We need to remember that we’re all trying to accomplish the same thing. Working together as a team rather than fighting and not getting along is not productive or healthy.

This list is a good starting point, but it’s the lack of information on this topic that’s so concerning. It’s no wonder there is such a huge divide between construction customers and contractors.

A “good construction contractor” seems to be a rare and undefined treasure.

I’m going to continue digging to uncover what it takes to be a “GOOD CONSTRUCTION CONTRACTOR”.

If you have any thoughts about what you think a good construction contractor is, share your thoughts in the comments below.

What’s One Thing Missing from Disaster Response?

by

More Important, What Do We Do Once We Find It?

It’s tornado season here in the mid-west. A few weeks ago, a tornado went through Andover doing a significant amount of damage.

I’ve been involved in disaster response through the United Methodist Church for several years. A couple of the bigger ones I experienced were the Greensburg and Joplin tornados.

Greensburg, Kansas

Unless you’re directly affected or involved, people forget about it once the initial excitement of a disaster wears off.

The recovery and rebuilding after the disaster happens, is a slow and painful process.

I was reminded of this on a much smaller scale with the recent situation of my truck being totaled in an accident that was out of my control. Working with the insurance, determining what I should do, then the process of replacing the truck, has been going on for weeks and will continue for a few more before I’m back in a truck.

These two separate instances reminded me of a problem with rebuilding after large scale disasters and a blog post written by Andy Andrews regarding his personal disaster experience with Hurricane Ivan.

They lived in three different rental houses during the two years following the storm and this was more fortunate than most. The destruction caused by large storms can affect hundreds of miles and thousands of buildings.

In his post he refers to this experience to be like living in a third world country.

Few are wise to the fact that after the initial “clean-up” was completed and homeowners turned to the task of rebuilding, the competition for construction crews began. Oh, there are plenty of construction companies. But in this situation, it is tougher than one might suspect to secure competent, honest, crews who will continue to actually work on your house until it’s completed. Then, there’s the question of “fair price”.

After a hurricane, there is a scent of money in the air and even the companies who agree to work for somewhere close to normal wage rates, usually sign contracts to rebuild or repair twenty, sometimes thirty or more homes at a time.

Individual homeowners are rarely clued into this gambit, however, never knowing they are merely a “ball” to be kept in the air by a skillful juggler. Best-case scenario for a hurricane victim needing extensive home repair? If a partial crew is working on your house one day out of ten, consider yourself fortunate and keep your mouth shut.  Seriously.

Remember, the lure of more and easier money is everywhere and there are any number of homeowners willing to offer your construction crew two or three times the dollar amount you are already NOT getting from your insurance company.

After Hurricane Ivan, there were thousands of homes and businesses in desperate need of rebuild or repair. Thousands. And even with the flood of labor that came in from out of state, there were less than two hundred small and large construction companies working in the area…and not nearly all of them were legitimate.

…when we were in that situation, why do you think it took us more than two years to get back in our house?

Finding legitimate, qualified building contractors in a normal situation is hard enough.

This is a big problem and it needs to be addressed.

I’m going to look into this more over the next few weeks to see if we can figure out a solution to this problem.

Wouldn’t It Be Nice to Know Everything About Everything?

by

But Since This is Impossible, I Recommend Getting the Help of a Professional

You’ve probably met people that think they know everything about everything. And there is no convincing them otherwise.

There certainly are people who know more than I do, but it’s not about knowing everything or who knows the most.

It’s about knowing what you know and using that knowledge to help others.

Last week I wrote about construction questions and answers. I used a window project as an example. You might remember that the customer had received a quote for more than $36,000 to replace thirteen windows.

After I looked at the project it was clear that only one needed replaced. I told you that I would let you know what I came up with. I gave them a proposal to replace one window and repair some of the wood finish on the rest.

My price for this was $4,771.71. That’s 86% less than the original price.

It’s less about the price and more about the work that “actually” needed to be done.

The real issue with this project like many others is in finding what the customer needs and not trying to sell them as much as you can. The focus on selling rather than service is prevalent.

This level of service requires asking questions and listening to the answers. Finding out what it is that the customer wants and needs.

This is what professionals do. Professionals help you find the solution to YOUR problem, not give you a one size fits all answer.

Because we don’t know everything about everything, means we need to find someone that knows something about something.

I’m sure I could find information about how to do brain surgery online…but if I needed brain surgery…I would find someone that has experience and specializes in that. I haven’t seen any DIY brain surgery shows yet.

Granted, if you have a construction project go bad it’s not the same as brain surgery.

My point is this. When doing a construction project, you may not even know what you don’t know. This is where the guidance of a professional comes in. This is not to say that every building contractor is a competent, skilled professional.

I’ve heard too many people complain about their bad construction experience. Every time it came down to them making decisions without due diligence.

Almost always it comes down to being sold rather than serviced.

To minimize the bad construction experience you need to be clear on what’s most important. Is it price or quality? Is it having it done fast or waiting for the skilled professional?

Most of our construction projects come from references and recommendations. The ones that don’t start with building a relationship, not selling.

If you or someone you know is considering a construction project, I would recommend spending the time and energy in finding the right professional and asking the right questions.

An “Out of the Box” Solution to Get Your Construction Projects Done

by

Finding the Right Contractor for the Project Can Be a Problem

This is a construction industry issue…and it shouldn’t be.

We’ve all heard horror stories where someone either couldn’t find a contractor or hired one that later they wished they hadn’t.

I’m currently discussing this with someone in the middle of one of these situations.

After recently buying a home, they found a soft spot in the floor next to an exterior wall. With some further investigation they discovered some moisture damage that includes subfloor, floor joist and exterior wall problems. Some of the issues are structural.

The first hurdle was, having recently moved to a new location, they didn’t know anyone. They began looking for contractors, finally finding a few. After contacting them, only a couple came to look at the project. Of those who did, one never followed back up and the other said they wouldn’t do the structural work.

They had reservations about these contractors. It didn’t help that they had previously had issues with a painting contractor on a different house.

If this water damage is not fixed it’s going to lead to more significant problems in the future. Finding himself in this spot, the homeowner began to consider doing the work himself. He has done some small construction projects previously, but it didn’t take him long to realize this one was more than he could do.

Not knowing what else to do he contacted me.

Theses homeowners used to live closer and knew me through a family member. The first question was, would I come the 2+ hours to do the work?

We’ve done work further away than this before, but they were bigger projects. 

My biggest concern was finding qualified sub-contractors willing to go that far for a project of this size. It will be harder with everyone currently being so busy here close to home.

I felt his pain and really wanted to help him!

It’s a problem to find qualified construction contractors, especially in sparsely populated areas. There are too many people who call themselves contractors, but really are just a guy with a hammer.

Having run into this problem numerous times throughout my career, I have given a lot of thought to possible solutions to this problem.

One of the options that continually came up in these situations is long distance construction consulting.

What exactly would this long-distance construction consulting consist of?

This is the real question, isn’t it?

The customer’s issues come down a lack of construction experience and include things like –

  • Questions to ask the contractors
  • Communication to expect from contractors
  • Construction processes, standards and codes

What if there was a way for construction customers to have an experienced contractor in their corner? Someone to explain the process and support them through the process.

I’m working on this as an option for this customer. Providing the support and insight needed to get their repairs done. Giving them the comfort of a professional they trust that has their back through this process.

This service would include –

  • Me going to the job site and evaluating the project
  • Preparing a scope of work that could then be presented to less experienced contractors, giving them the expectations for the work to be performed.
  • Preparing a budget for the customer so they would have a price to compare to prices from contractors
  • Me reviewing pictures and reports from the customer as the onsite manager

This would be similar to what a general contractor would provide with the exception of actual construction work.

Now I’m going to get to work on figuring out what this service will cost them and preparing a proposal for it.

I will let you know how this construction customer consulting goes as we move forward.

Giving Work Away for Free Doesn’t Sound Like a Very Good Plan

by

The Benefit to Me is More Than Dollars and Cents

There’s a learning curve that goes with expanding my business from construction to include coaching and consulting.

After all, a coaching/consulting business isn’t the same as a construction business…or is it?

Several years ago, it occurred to me that most construction companies that I worked with knew how to build a building…but not a business. This became apparent when they would continually ask me how I did this or where I learned that. Or worse case when a construction company and customer ended up in court because something hadn’t gone as expected.

Then it happened, I got a wakeup call and realized that I needed to share this knowledge and experience with other construction companies and customers.

The problem is I’ve never been very good at teaching. It was always easier for me to just do it myself. Even though I didn’t realize it at the time, this is a pretty selfish attitude.

So, if I’m not naturally a teacher, how do I get these systems into the hands of the people who need them?

This is when I developed a downloadable proposal system, available online. It was complete with instructions for how to use it, templates, examples and a database. And what happened next…crickets.

What’s the deal? There’s definitely a need for better business systems in the construction industry. So, why aren’t people buying this inexpensive proposal system and taking control of their businesses?

Recently I have been in communication with a construction company that has shown interest in the proposal system. We’ve met a few times and discussed the system. I even did an example proposal of a project they are getting ready to start (at no cost) to compare to their system.

During our most recent meeting we discussed how my system could work for them. He asked some questions about some concerns he had.

If my system works so well for me, why wouldn’t it work the same for every other construction company out there?

That’s when I had an aha moment. It’s because they aren’t me.

So, I need to rethink this whole thing. Rather than me focusing on selling my system and teaching it others, I need to find out what they need and build them a system that works for them specifically.

I need to approach this more like doing a construction project. I wouldn’t build the same house for every customer. They’re all different. They have different needs and wants. Once I figure out what those are, I can build them the project of their dreams.

This is how I need to approach the coaching and consulting for construction companies. I need to find out what they need and build it for them.

This new thinking is going to require me to do some work in the beginning at no charge so that I can learn how to do this. Giving away work doesn’t sound like a very good plan…

But I think the long-term benefits to both me and them will be worth it in the end.

As a Construction Company It’s Hard to Make a Profit

by

We Work Too Hard in the Construction Industry to be Giving Away Money

Just like there’s a proper way to do construction projects…the same is true for proposals.

You don’t shingle the roof before you pour the foundation or start hanging sheetrock on a wall that hasn’t been framed.

There’s a proper way to construct a building. Doing proposals is the same. Having a system for doing proposals makes this possible.

Pricing of any construction project uses the same information to arrive at a dollar amount…material and time needed to do the work. Where problems arise is in overlooking or forgetting something, guessing at how long it will take, or unclear communication.

The key to unlocking the profit vault is having a system that prevents overlooking, guessing and poor communication.

Proposals should be done, so that you –

  • Avoid miscommunication
  • Have happy satisfied customers
  • Have budgets for customers
  • Provide scope of work to production crews
  • Have budgets for production crews
  • Take responsibly as the professional
  • Have a more profitable business

This is accomplished through five simple steps. These five steps are –

1st – Gathering information – Gathering the right information correctly and effectively is critical to preparing an accurate and thorough proposal. The initial gathering should include:

  • Measurements and dimensions, existing and new
  • Building materials, existing and new
  • Pictures of pertinent areas and existing construction
  • Customer’s design ideas and finishes.

The important thing in this step is to gather any and all information needed to prepare an accurate proposal. Using the system’s Bid Sheet minimizes the chance of overlooking things because the different areas of a construction project are already listed out.

2nd – Preparing a scope of work – This is the process of taking the information that was gathered and describing each specific task in terminology that both the customer and the contractor understand. It needs to include enough specifics to be thorough without being too technical. This written description will be transferred to the Proposal and serve as a written description of work to be performed and materials to be provided.

3rd – Pricing the project – This process is the copying and pasting of pertinent information from the Data Base to the appropriate cells of a blank Worksheet.

4th – Quantities – Fill in the quantities of the work on each line item included in the project. This may be lineal feet, square feet, square yards, cubic feet, cubic yards, numbers of pieces, etc. Now you have prices for each of the different tasks to be performed.

5th – Preparing the proposal – Now you have everything needed to complete the Proposal. Take the descriptions from the Bid Sheet and the prices from the Worksheet and put them together on the Proposal. After filling out some job specific details the proposal is ready for the customer.

Proposals done well, above everything else, is the one thing that will contribute to you having a profitable business!

The Blueprint for Building a Better Proposal system provides clear and accurate proposals…every time.

You can get the Blueprint for Building a Better Proposal and have proposal system that will do all this and more. This system is currently at a reduced Holiday price of $497 plus it currently includes some bonus templates.

If you would like to learn more about how proposal mistakes cost construction companies a fortune, check out this free download.  

How to Build a Successful Construction Business Without a Master’s Degree

by

Building a Successful Business Doesn’t Have to be Slow and Painful

The majority of small and medium sized construction companies have the construction part figured out but get overwhelmed by the “business” side of things. Most of the people working at these companies learned a trade…not how to run a business.

Like me, most started doing business full of enthusiasm, having no clue what could go wrong. I had no clear plan or system for running a business.

Trying to balance construction projects and running the business can be overwhelming.

I had no idea how to do a proposal, a production budget, or accurately invoice a customer for progress payments. No one told me I should set money aside for things like taxes, tools, or emergencies.

One day I looked up and wondered how I got here. I liked building things…not necessarily running a business. As I built my business, I learned these things, but it was a slow and painful process.

The truth of the matter is…building a business doesn’t have to be slow and painful if you know how.

Think about it, a traditional trade school education will cost between $7,000 and $40,000. It’s been my experience that a real-world, hands-on education is worth even more. Often classroom education doesn’t translate well to the construction site.

Early on in my construction career, I was working for a local house framer. On a couple of different occasions, he hired some young men from the community college’s construction program, for summer help. After a few times of doing this, he stopped.

He said, “It took longer to unteach and reteach than it did to start from scratch.”

Looking back, I now realize how valuable that hands on education was. I just wish I’d had someone teach me the business part.

Instead, I got my business degree from HKU, also known as Hark Knocks University. And let me tell you, the tuition is high and it takes a long time to graduate. What’s an education like that worth?

Wouldn’t be great if you could get 40 years of experience without having to wait 40 years to use it?

You can!

This is what we’re doing a Solution Building. We are taking those 40 years of hands on, trial and error education and making it available to other contractors through programs, trainings and downloadable tools.

One of these tools is the Blueprint for Building a Better Proposal system.

This proposal system allows for the preparation of proposals that communicate clearly and accurately with customers, while allowing for increased profitability. It will give construction companies years of advantage over the competition for a lot less than the cost of a traditional education.

Currently this proposal system is available at a Holiday price of $497 plus some additional bonus templates through the end of the year.

What’s the Most Powerful Tool in the Construction Contractor’s Toolbox?

by

This Tool Can Make You More Money with Less Chance of Cutting a Finger Off

The past couple of weeks I’ve written about how much we love our power tools and how tools make building easier.

The sense of control that comes from pulling the trigger on a power tool is amazing. We feel like we are in control of our destiny. There’s no task too big. We can conquer the world.

There’s no doubt that power tools make construction projects go faster and easier than using hand tools. (And there are a lot of cool new tools that we’d like in our toolbox.)

Of all the tools out there, which is the most powerful?

This is a question that could be debated forever.

I would argue that the most powerful tool isn’t a tool in the normal sense of the word.

If the purpose of power tools is to increase control and be more productive, then having a power tool that would 10x these things would be worth 10 times what you paid for the most expensive tool you have.

Increasing your profit margin just 10% on a $5000 project and the tool has paid for itself.

What kind of tool could have this kind of return on investment?

The tool that I’m talking about is affordable and won’t wear out like other tools.

Most construction companies are great at “constructing” but are overwhelmed by the business side of things. This is not where their heart is.

You don’t need a master’s degree in business to be successful if you have the right tools.

A tool for doing clear and accurate construction proposals is this kind of tool.

Without a tool for doing proposals, a lot of contractors make mistakes that cost them a fortune. Unexpected costs, changes to projects after they’re started and poor communication are a lot more expensive than the cost of the tool.

Those mistakes include:

  • Lack of clarity with both the customer and the production crews
  • No budgets for customers and production crews
  • Losing money
  • Not doing accurate proposals due to a lack of time
  • Guessing at pricing of projects

Learn more about those mistakes and how to avoid them with this free download.

Download Here

Wouldn’t it be nice to have a tool that would –

  • Increase you profit
  • Communicate clearly with both the customer and the production crews
  • Allow you to consistently and accurately price construction projects
  • Allow you to customize it to fit your company’s specific needs
  • Give you the freedom to delegate the paperwork so that you could focus on construction

The Blueprint for Building a Better Proposal will do all of this and more. I use this proposal system on every construction project I bid.

Just like power tools make construction projects easier…there’s a “power tool” that will make doing construction proposals easier, allowing you to reduce stress, be more profitable and build a successful business.

You’re not in business to lose money, so get this tool.

Get Your Power Tool Here

We’re currently running a special Holiday offer for our Blueprint for Building a Better Proposal system. The reduced Holiday price is $497, including some additional bonus templates.

In addition to this special offer, we’re having a drawing for building contractors.

One lucky winner will receive a DeWalt cordless tool combo kit valued at more than $700.

Your opportunity to win starts now and ends at midnight 12/3/21.

Enter here
for your chance to win

Can You Imagine What It Would be Like to Build a House Without Power Tools?

by

So, why is it That Most Construction Contractors Will Do Proposals Like That?

Think about building a house by sawing every board and sheet of plywood with a handsaw. Mixing the concrete all by hand. And driving every nail with a hammer.

This sounds like a long drawn out, difficult method for building.

This is how most construction contractors do proposals.

The same way they’ve been done for 100 years. It’s like building with hand tools but it doesn’t have to be like this.

There’s a power tool for doing proposals.

When doing proposals, the old “hand tool” way the contractor will do them the same way grandpa would have.

If they are a particular person, they will determine the size and quantities of the material needed. This will include –

  • The cubic yards of dirt that needs moved
  • Cubic yards of concrete
  • Boards needed for framing of floor, walls, roof
  • Siding, exterior trim, exterior paint
  • Shingles, roofing underlayment, flashings
  • Insulation for floor, walls, attic
  • Doors and windows
  • Base, casing, stairways, misc. trim
  • Cabinetry, countertops, closets
  • Interior paint, stain, clear finish, wallpaper
  • Carpet, vinyl, tile, etc.
  • Plumbing pipe, fixtures
  • Heater, AC condenser, ductwork, registers
  • Electrical wiring, fixtures, receptacles, switches, breaker panels
  • Porches, decks, railings

Once these things have been figured and counted, they will get prices for each of them to determine the cost. Then they will guess at how long it will take to do the work and put a price to it.

Less detailed contractors just guess at the whole thing.

Building a house takes a lot of pieces. The same number of pieces…regardless of how you figure the price.

Wouldn’t it make more sense to have a power tool that would allow you to consistently determine the price whether you are a detailed person or not?

The Blueprint for Building a Better Proposal is a “power tool” for doing proposals.

This power tool provides:

  • A scope of work that communicates clearly with customers and production crews
  • A budget providing production crews with a clear understanding of time allowed and material costs
  • A system that allows for delegating portions or the complete proposal process

To get this “power tool” in more contractor’s business toolboxes, we’re offering a Holiday Special beginning Black Friday through the end of the year. This special includes a reduced price for the proposal system plus free bonus templates.

In addition to the reduced price for proposal system there’s going to be a contractor drawing for a…

DeWalt cordless tool kit

Check next week’s post (11/28/21) for details of how to get entered in the power tool drawing.

If you or someone you know would like to learn more about how this power tool can help avoid the 7 common bid mistakes contractors make that cost them a fortune.

Click here.