Construction Company Business Plan Template
If you want to start a construction business or expand your current one, you need a business plan.
Over the past 20+ years, we have helped over 10,000 entrepreneurs and business owners create business plans to start and grow all types of construction businesses, including commercial construction, building construction and residential construction.
Construction Business Plan Outline:How To Write a Construction Business Plan
Below are links to each section of a construction business plan:
- Executive Summary – The executive summary is the most important part of your business plan. It’s where you explain what your business is and why it will be successful.
- Company Overview – This section of your construction business plan should include a brief business description, your vision and mission statement, and the company’s core values.
- Industry Analysis – This section of your plan will provide an overview of the construction industry, including market size, growth outlook, major players, and competitive landscape.
- Customer Analysis – In this section of your plan, you will identify and describe your target market(s).
- Competitive Analysis – In this section, you will analyze your competitors and explain how you plan to differentiate your company from them.
- Marketing Plan – Your marketing plan should include an overview of your marketing goals, strategies, and tactics.
- Operations Plan – Your operations plan should describe how you will produce your product or service, as well as the people and resources needed to do so.
- Management Team – In this section, you will introduce the members of your management team and their experience and qualifications.
- Financial Plan – Your financial plan should include your financial statements such as the income statement, balance sheet, and cash flow statement.
- Appendix – The appendix of your plan should include any additional supporting materials, such as market research reports, resumes, licenses and permits.
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Construction Business Plan FAQs
What Is the Easiest Way to Complete My Construction Business Plan?
Growthink's Ultimate Construction Business Plan Template allows you to quickly and easily complete your Construction Business Plan.
Where Can I Find a Free Construction Business Plan PDF Download?
You can download our construction business plan PDF template here. This is a business plan template you can use in PDF format.
What Is a Construction Business Plan?
A construction business plan provides a snapshot of your construction business as it stands today, and lays out your growth plan for the next five years. It explains your business goals and your strategy for reaching them. It also includes market research to support your plans.
Why Do You Need a Construction Business Plan?
The construction industry is tough. If you’re a contractor looking to start a small construction business or construction services company, you need a business plan. A business plan will help you raise funding, if needed, and plan out the growth of your construction business in order to improve your chances of success. Your business plan is a living document that should be updated annually as your company grows and changes. As always, we are here to help you write a business plan and guide you through the steps of taking your business idea from dream to reality.
What Are the Sources of Funding for Construction Businesses?
The main sources of funding for a small construction business are bank loans and angel investors. With regards to bank loans, banks will want to review your business plan and gain confidence that you will be able to repay your loan and interest. To acquire this confidence, the loan officer will not only want to confirm that your financials are reasonable. But they will want to see a professional plan. Such a plan will give them the confidence that you can successfully and professionally operate a business.
The second most common form of funding for a construction business is angel investors. Angel investors are wealthy individuals who will write you a check. They will either take equity in return for their funding, or, like a bank, they will give you a loan. Venture capitalists will generally not fund a construction business.
How Do You Start a Construction Business?
Please see this article on our website: How to Start a Construction Business
What Are the Keys to Success for a Construction Business?
Below are some of the keys to success in the construction business:
- Vision & Focus: determine the type of construction business you want to operate and stick to that vision.
- Create your business plan: Your plan will help you set goals and outline how to achieve them.
- Get licensed, bonded, and insured: before you can bid on your first job, you need to investigate and meet the requirements for local and state licenses and do what you need to do to secure them, get your worker’s compensation and liability insurance, and find out how much you need to be bonded for.
- Build a winning team: Hire and train a team of employees with the right skills. Remember that since construction is seasonal and cyclical, you must also be willing to downsize if/when the workload decreases.
- Purchase wisely: be careful not to overspend on salaries and equipment. Consider renting equipment when possible.
- Properly price jobs: Keep factors such as overhead and actual production costs (materials, labor, inspections, etc.) in mind when pricing jobs to ensure a healthy profit on all projects.