Save Your Construction Business

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How to Save Your Construction Business

Construction business owners are facing some of the hardest moments of their careers. With shrinking available markets, cutthroat bids from competitors and unsure economic futures, many construction business owners feel as if they're treading water. We work with hundreds of construction businesses each day and have taken note of the commonalities that all surviving construction businesses share.

Avoid the Race to the Bottom

A common phenomenon that occurs in industries with shrinking available markets is what's called the "race to the bottom". It's the seemingly unavoidable bidding war that construction business owners enter into when desperate for customers who are growing more and more elusive.

The solution here? Avoid its lure. Owners of construction businesses might be frustrated when they see the lowest bidder winning each job, but realize that razor thin margins and frequent losses on jobs is not a sustainable strategy. Instead, use a premium and professional appearance to justify your higher costs to customers; you'll be surprised how many of them will pay a premium price in exchange for superior customer service and craftsmanship.

In the end, construction businesses engaging in a race to the bottom will find themselves in an untenable dead-end, while those charging normal pricing will live another day. Polish your construction business's image and charge a sustainable price for your services.

Be Aggressive

In harsh economic times, many a construction business will take cover in a seemingly logical defensive position. This "weather the storm" attitude is pervasive enough to be gamed and used to the advantage of any construction business willing to exploit it.

If your construction business is small or plays a role as an underdog, consider using the current economic turbulence to expand and make moves against your more established competitors. While they are encumbered by heavy overhead that requires them to recede during an economic pullback, you can use your construction business's agility and speed to capture market share that you previously couldn't have.

Capitalize on your business's smaller size to take market share that wouldn't otherwise be available to you in better economic periods.

Work Smarter

Finally, if you're still coming up short in your efforts to save your construction business, consider eliminating inefficiencies by investing in a construction management system like JetStream construction software. These systems are designed to save time, meaning you can dedicate more time to the needs of your construction business like marketing, sales and administration.

Construction software can help to identify and eliminate aspects of your construction business that are consuming too much of your time. In the end, an additional 10-40 hours a month might be exactly what your construction business needs to reach the finish line.


The three traits and strategies above have been used by many of the construction businesses that we work with each day, and we hope they can help your construction business as well. Remember: avoid a race to the bottom, be aggressive when possible and eliminate time wasting practices!

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