Tactics to Protect Your Construction Business
Tactics to Protect Your Construction Business
After three decades in the construction business, I have realized that you have to be constantly on guard against people and/or circumstances that can endanger your company.
These are the go-to management tools, documents and procedures you must implement if your business is going to survive.
You will use these survival tools to placate government regulators, keep your clients in line, maintain job-site quality with your subcontractors and handle the multiple risks you face when operating a construction company.
Not always nice, but always necessary. These lessons are fundamental to protecting your business in a selfish and dangerous world.
Sections in this course include:
- On the Jobsite
- Jobsite Safety Checklist
- Daily Progress Report
- The Job Board
- The Job Binder
- The Permit Checklist
- Client Contract Series
- Introduction to the Client Contract Series
- NAHB Residential Construction Guidelines
- Standard Real Estate Contract Addendum
- Client Initial Specifications
- The Importance of Establishing Initial Specifications
- Initial Specifications Form 1 – Table
- Initial Specifications Form 2 – Detail Fill-In
- Client Management Documents
- Introduction to the Client Management Documents
- Confirmation of Instructions
- Notice of Acceptance
- Draw Request
- Delay Notice
- Restart Notice
- Subcontractor Management Documents
- Introduction to the Subcontractor Management Documents
- Terms and Conditions
- Scope of Work
- Work Order
- Inspection Report
- Quickbooks to Monitor Subcontractor Insurance
Free 3-month Access
Feel free to contact Dennis if you have additional questions. firstname.lastname@example.org.
If you need additional access following the three months, just register again.
On the Jobsite
Jobsite Safety Checklist
Have a series of these completed and on hand when OSHA comes snooping around. Show that you are serious about safety.
Daily Progress Report
If it isn’t written down, it didn’t happen. Nothing is more effective at answering vague accusations than a written record of what happened on the jobsite day-by-day.
The Job Board
Get all the important jobsite information gathered into one location on your jobsite. The Job Board is the answer for jobsite communication.
The Job Binder
When all the information relating to a project is gathered in one place in your office, you can sleep better knowing that the details are handled. The Job Binder is a low-cost, efficient way to accomplish that task.
The Permit Checklist
Shorten up the permit issue lag by having everything you need in the first permit submission. This comprehensive, editable checklist can save you time, save you money, and help your processes be more professional.
Client Contract Series
Introduction to the Client Contract Series
This lesson contains a list of the business considerations you should include in your contracting package.
NAHB Residential Construction Guidelines
Acquiring this booklet from the NAHB will be some of the smartest risk management money you ever spent. learn how to use the booklet in this lesson.
Standard Real Estate Contract Addendum
If you build spec, and wind up selling the project before completion, this document provides reminders of some important considerations in the transaction. Selling a spec project is good, selling it smart is better.
Client Initial Specifications
The Importance of Establishing Initial Specifications
Use the Initial Specifications document to establish and document the baseline materials list from which you develop your proposal. Eliminate the confusion your clients might have about what is or is not a change to their contract.
Initial Specifications Form 1 – Table
How to actually complete and use the Initial Specifications document.
Initial Specifications Form 2 – Detail Fill-In
An alternative Initial Specifications form. Not as comprehensive as the Initial Specifications document, but it is more visual. You can also use this form as a training tool for the Client.
Client Management Documents
Introduction to the Client Management Documents
Here are five of the most important documents in the Builder Academy library. The Confirmation of Instructions, Notice of Completion, Draw Request, Delay Notice and Restart Notice are key to controlling your client relationship. Failure to use these documents could put your business at risk.
Confirmation of Instructions
Clarify what the Buyer wants. Inform the Buyer of the effects of changes on the finances and the schedule for the project. The Confirmation of Instructions is the document to accomplish these important tasks.
Notice of Acceptance
A series of mini-punchlists and signed acceptances is far superior to the usual practice of the final walkthrough. See how to use this document to move the project along and protect your company at the same time.
This draw request contains all the information the Buyer and the Lender will need to make payment. Speed the draw payment up with this document.
If you are going to stop production on a project, you must document why, provide remedies for the problem, and explain the impact on the schedule of the decision. This document provides that information to the client and for your records.
The Restart Notice documents the remedies that offset the Delay Notice and, importantly, document the effect on the building schedule. Like peanut butter and jelly, the two documents have to work together.
Subcontractor Management Documents
Introduction to the Subcontractor Management Documents
One of the biggest frustrations and largest source of profit slippage is dealing with subs who aren’t on the same track as you. Use the Terms and Conditions, Scope of Work, Work Order, and Inspection Report to get the results you want at the jobsite. Control jobsite quality and profit slippage with these documents.
Quickbooks to Monitor Subcontractor Insurance
A major portion of the risk you face comes from the work of your subcontractors. Your insurance carrier requires that you monitor the insurance coverages of your subs. Quickbooks has an easy way to do that built into the platform. Here is how to set up and use that feature.