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Construction Business Management

Construction Business Management: What Every Construction Contractor, Builder & Subcontractor Needs to Know

By Nick Ganaway

Make sure your construction business stays afloat! 

Price: $68.00
Product Code/ISBN: 9780876298251
Year: 2006
Binding: Softcover     Page Count: 201
Publisher: RSMeans


Did you know that less than 50% of construction firms are still in business four years after starting? The trade is tough but that’s why you can pick up a copy of Construction Business Management. See the potential problems before they happen and learn what you need to do to make your business thrive!

Table of Contents

Preface

Acknowledgements

  1. Do You Have What it Takes?
    1. Essential Traits
    2. Initiative
    3. Passion
    4. Stress Tolerance
    5. Reliability (Follow-Through)
    6. Willingness to Work While Others Play
    7. Unyielding Positive Attitude
    8. Mental Toughness
    9. Attention to Detail
    10. Sense of Urgency
    11. Self-Control
    12. Thirst for Knowledge
    13. Ability to Get Along With Others
  2. Your Role as Owner of Your Construction Firm
    1. Leadership (Setting the Course)
    2. Vision to Reality: The Required Path
    3. Leaders and Managers Are Different From Each Others
    4. Tame The Ego
    5. Leadership in Times of Uncertainty
    6. Manager vs. Owner/Shareholder
    7. The Entrepreneur Mindset
    8. Managing Risk
    9. Establishing Your Corporate Culture
    10. Striving For Excellence
    11. Hiring the Right People
    12. Knowing Your Industry
    13. Coordinating Resources
    14. Keeping in Touch
    15. Being There
    16. Identifying Objectives
    17. Measuring Results
    18. Marketing
    19. Little Habits With Big Payoffs
    20. Getting Involved
  3. Sales, Marketing and Business Development
    1. Marketing Materials
    2. Publicity
    3. Proposals and Presentations
    4. Staying Ahead of the Pack
    5. Impressions
    6. New Customers vs. Old
    7. Reaching Out
    8. Data Mining
  4. Creating Customer Loyalty
    1. Budget
    2. Quality
    3. Relationships
    4. Schedule
  5. Business Considerations
    1. The Corporation
    2. Capital Equipment
    3. Purchasing
    4. Collection
    5. Dealing with the IRS
    6. Contractor Failure
  6. Controlling Your Finances
    1. Working Capital
    2. Projecting Cash Needs
    3. Understanding Financial Statements
    4. Dishonest Employees
    5. Where is The Money?
  7. Bidding
    1. Qualifying to Bid
    2. Approach to Bidding
    3. Pricing
    4. Cost Databank
    5. Pre-Bid Site Inspection
    6. Warranty Considerations
    7. Compiling Your Bid Proposal
    8. Reverse Bidding/Auction
  8. Building It
    1. Registration and Licensing
    2. Environmental Studies
    3. Subcontracting the Work
    4. Photographs
    5. Pre-Construction Meetings
    6. Before You Start a Project
    7. Project Overhead/General Conditions Expense
    8. Managing Project Overhead/General Conditions Cost
    9. Warranties
    10. Mechanic’s Liens
    11. Lien Waivers
    12. Closing Out The Project
  9. Accounting and Record Keeping
    1. Certified Public Accountant
    2. Audited Financial Statements
    3. Bookkeeper
    4. Cash vs Accrual Accounting Procedures
    5. Percentage of Completion vs Completed Contract Reporting
    6. Percentage of Completion Method
    7. Completed Contract Method
    8. General and Administrative Expense
    9. Fixed vs Controllable G&A Expense
    10. Cost Accounting
    11. Financial Statements
    12. The Income Statement
    13. The Balance Sheet
    14. Reports
    15. Billings
    16. State Sales Tax
  10. Contract Terms and Conditions
    1. Types of Agreement
    2. Requirements for a Binding Agreement
    3. A Few Generalizations About Contracts
    4. Know the Project Owner
    5. Getting Paid
    6. Commencement/Completion Dates
    7. Owner Delay
    8. Contractor delay
    9. Changes in the Work
    10. Constructive Change
    11. Differing Conditions (Changed Conditions)
    12. What To Do Upon Discovering Differing Conditions
    13. Insurance
    14. Indemnification
    15. Warranty Obligations
    16. Limitation of Liability
    17. Governing Law
    18. Dispute Resolution
    19. Contract Termination by the Owner
  11. You and Your Employees
    1. Who are the “Right” People?
    2. Hiring the “Right” People
    3. Good Hiring Practices
    4. The Interview
    5. New Employee Orientation
    6. Non-Compete Non-Disclose Agreement
    7. Managing Employees for the Long Term
    8. Relationships
    9. Autonomy
    10. Recognition
    11. Employee’s Return on Investment
    12. Employee Incentive Plans
    13. Benefits Packages
    14. Trust
    15. Work/Life Balance
    16. Work Fulfillment
    17. Training
    18. Job Security
    19. Internal Conflict
    20. Openness and Communication
    21. Responsibility vs Job Description
    22. Evaluating Employee Performance
    23. Employee Termination
    24. Conduction the Termination Meeting
    25. Employee Handbook
    26. Professional Employer Organizations
  12. You and Your Subcontractors
    1. Independent Contractor or Employee?
    2. Subcontractor Qualification Checklist
    3. The Contractor-Subcontractor Agreement: Special Considerations
    4. Pass-Through or Flow-Down Clause
    5. Scope of Work
    6. Work as Directed
    7. Changes to the Subcontract
    8. Conditions for Payment to Subcontractor
    9. Pay-if-Paid
    10. Delay Damages
    11. Retainage
    12. Calculation of Payment Amount
    13. Terms for Final Payment
    14. Indemnity
    15. Termination for Convenience
    16. Subcontractor Default
    17. Notice fo default
    18. Cure
    19. Contractor Alternatives
    20. Continuation of Performance
    21. Dispute Resolution
    22. Termination of Subcontract
    23. Merger
  13. Banking and Finance
    1. Your Business Plan
    2. Sources of Financing
    3. Borrowing Criteria
    4. Managing Credit
  14. Insurance and Bonds
    1. Insurance
    2. Worker’s Compensation Insurance
    3. Employer’s Liability Insurance
    4. All-Risk Builder’s Risk Insurance
    5. Commercial General Liability Insurance
    6. When a Loss Occurs
    7. Insurance Administration
    8. Certificates of Insurance
    9. Waiver of Subrogation
    10. Construction Surety Bonds
  15. Specializing in Chain Store Construction
    1. Improved Prof it Potential
    2. Continuing Relationships
    3. Chain Operators Favor Niche Contractors
    4. Fewer Parties in the Mix
    5. Reliable Cost Database
    6. Reduced Risk
    7. So Why Are So Many Contractors Missing Out on the Chain Store Niche?
    8. A Note About the Construction Industry as a Whole

Appendix 1 – If You’re Just Getting Started

Appendix 2 – Useful Web Site Links

Appendix 3 – Regional Cross Reference of Construction-Related Organizations

Appendix 4 – Potential Questions For Interviewing Job Applicants

Glossary

References

Index