Commercial Contractor Business Plan Leave a comment

Twin Brothers Construction (TBC) plans to become a leading provider of construction and renovation services in the local area. The company’s overall strategy will focus on continuous improvement, which includes setting goals, measuring results, and giving feedback to encourage growth and progress.

TBC is an organization with main offices located in the locality. The management team of TBC is highly skilled and qualified. The brothers that will lead it have over twenty-five years experience in the construction sector.

Products/Services

TBC&#8217’s owners have accumulated years of experience in developing sophisticated scheduling, bidding and materials solutions to some of today’s most challenging construction projects. TBC will employ flexible and adaptable methods to accommodate a wide range of building configurations.

Developers, owners, contractors, general contractors and sub-contractors can expect to save substantial amounts on labor and materials by using the company’s construction methods. The company’s construction methods and systems are applicable to both commercial and residential buildings.

The Market

Since 1998, the housing market has grown at an accelerated pace. 1998 was a record year for the number of single-family homes sold on site. This was a 10% increase on the strong total of 804,000 homes sold back in 1997. Despite a slight decline from 2003, this is an excellent opportunity to grow the industry.

Twin Brothers Construction is looking to quickly develop partnerships with industry leaders to increase sales and market its services to residential and business builders. The marketing strategy will focus on securing city, county, and state and federal government contracts.

TBC plans on using a direct selling force, relationship-selling, and subcontractors for its target markets. These channels are most appropriate because of time to market, reduced capital requirements, and fast access to established distribution channels.

Financial Considerations

We expect to pass the break-even point in the second half of the first year. Despite the initial large cash outlays required to promote sales, the company’s cash account should be strong. The company is expecting to make approximately $772,000 in sales and moderate net profits by year 3.

1.1 Mission

Our mission is to be the best partner for our customers, suppliers and employees. To achieve this vision, we will pursue profitable growth, operational excellence, customer fulfillment, and strong brand positioning.

1.2 Objectives

1. To be able to establish at most three construction projects within the first twelve months.
2. To have two building renovation projects in progress by the end of the first year.
3. To find and purchase our first rental house by the end o the first year.
4. To make at least 7% profit in the second year.

1.3 Keys to Success

We believe that these keys will lead to success:

• Using the most updated materials and equipment to assure quality construction projects for ourselves and our customers.
• Providing valuable advice and education to the customers during the construction planning phases.
• Helping to confirm customer’s research about targeting markets and specific sectors.
• Overseeing the logistics associated with a project, which can include arranging local transportation, booking meetings etc.
• Delegating the actual work to qualified, experienced sub-contractors and third-party contractors.