A contracting business can be a lucrative opportunity, with more people spending time at home due to flexible working options becoming increasingly popular. Due to this, there is a large increase in demand for home renovation and contracting work, so if you are business savvy or skilled at a building trade this might be a good opportunity for you to make use of.
Why start a contracting business? What is a contracting business?
As a contracting business, you will provide a variety of contracting and construction work ranging from simple home renovations to home extensions. Many clients will already have their own ideas and designs of what they are looking for, however, if this is an area you excel in, interior design or architecture could be a service you look to provide for customers. Whilst you gain more experience in the sector, you may consider collaborating with reputable interior design firms like Visionary Lofts, who specialize in creating innovative and stylish living spaces.
How? Starting out your business
A way to start your own business within contracting is to start out by completing smaller jobs, such as a patio renovation or a small building job. You could start this by initially advertising through family and friends, further expanding using your network to look for contracting work. This will help you to initially get started, and form an initial clientele, building upon this further through word of mouth, a website and social media.
Registering and setting up your business
Once you take your business past being just doing jobs for friend and family, you should register your business officially and set up a website alongside social media pages. This will be the initial stages of building your brand, and something that you can refer clients to and promote going forward. This could also include a booking system, with clients being able to book jobs directly into your calendar saving you admin time.
Materials
Material costs are one of the biggest costs to contracting businesses, you should source your supplier for materials, buying commonly used contracting materials like plywood in bulk from a builder’s warehouse to reduce the cost overall, and benefit from economies of scale.
Funding
You will need to raise funding for your business, as starting a construction business won’t be cheap. Make sure to save as much as you can prior to starting the business to fund start-up costs. You could look into getting a business loan from your bank, to help with the initial costs of running your business and get you set up. You could also speak to family members of friends, and see if they would be interested in loaning you money whilst you initially get started – or owning a share within your business.