How to Become a Building Contractor
According to the Bureau of Labor Statistics, the job outlook for building contractors is expected to experience positive growth through 2016--increasing by 11 percent. These professionals are self-employed and work on a variety of projects including residential, commercial and industrial buildings. They also take on specialty projects such as building roads, bridges and tunnels. But to become a building contractor, you must gain on the job experience, get the required licenses and generate new clients. Here's a guide to becoming a building contractor.
- Difficulty:
- Moderate
Instructions
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1
Get experience working for a building contractor. The first step towards becoming a building contractor, is working with one to gain on-the-job experience. It can take a few years to learn the skills needed to venture into self-employment.
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2
Create a business plan. Once you have a few years of experience under your belt, it's time to create a business plan. This plan will address how you plan to operate, market and finance your building contractor business. If you haven't created a business plan before, check out BPlans (see Resources) which provides free templates.
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3
Apply for the necessary licenses. To become a building contractor you will need a business license. Complete an application at your city hall department accompanied by the required processing fee. In addition, your state may require special contractor permits. To check your state's individual requirements, visit the permits and licenses section of their website.
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4
Purchase insurance for your business. Building contractors should carry a large liability policy--at least one million dollars. Request a list of approved insurance companies fro your state's contractor board department.
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5
Generate business for your company. The final step in starting your building contractor business is generating new clients. Utilize your professional networks and ask business associates to spread the word. Also, check with city and county agencies for upcoming work they may subcontract. Spend time marketing your services daily to grow your business.
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Tips & Warnings
Consider creating a website. Having a website for your business will establish your company as legitimate. Yahoo! Business Hosting offers inexpensive hosting and easy to use web site templates.
Be prepared to provide references to new clients. Create a reference list of past clients or professional associates that can vouch for the quality of your work. This can double as a marketing tool when generating new business.
