How To Start a Commercial Construction Company

Starting a commercial construction company can be an extremely profitable business venture, but it is important to understand the step-by-step process for starting a new business before taking the plunge. This article will outline the basic steps for starting a commercial construction company, from registering your business to finding clients and employees.

Here are eight steps you can take to build a commercial construction business.


8 Steps to Launching a New Commercial Construction Business

1. Name Your Commercial Construction Business

Give your commercial construction business an identity so people will think of it as a well-known and respected brand. You can take the name of your commercial construction business from your industry, focus on a geographical location, or use your own name, among other options.

The main goal for naming your commercial construction business is to make it sound appealing and trustworthy so that potential clients will be more likely to do business with you.


2. Choose a Legal Form for Your Business

By incorporating your commercial construction business, you will limit your liability. You can incorporate as a Limited Liability Company (LLC), a C Corporation (C-Corp), or an S Corporation (S-Corp). Or you can operate as a sole proprietorship.

The business structure you choose for your commercial construction business will determine the amount of taxes you pay and which state or federal tax forms you need to file.

Read our article comparing the most common commercial construction business structures.


3. Write a Commercial Construction Business Plan

All commercial construction business owners should develop a business plan. 

A business plan is a document that outlines the goals, strategies, and operations of a business. It can be used to secure funding from investors or lenders, as well as to guide the day-to-day operations of the business. The business plan should include information on the company’s products or services, market analysis, financial projections, and management team, among other things.

Read our article about how to write a commercial construction business plan.


4. Apply for the Necessary Permits and Licenses

There may be required licenses and permits you need to obtain before launching your commercial construction business.

You must also register your commercial construction business as a legal entity with the state where you plan to do business. You can simply file an online form through your Secretary of State website.

Registering with the federal government is also essential so you can properly pay taxes for your business. You will also need an Employer Identification Number (EIN), which you can apply for at the IRS website, if you plan to hire employees.

Read our article about obtaining the proper commercial construction business licenses.


5. Determine Your Budget & Apply for Funding as Needed

In developing your commercial construction business plan, you will figure out how much funding you need to start and grow your business.

If you have your own funds to invest in your commercial construction business, you may consider taking advantage of that. In addition to your personal funds, other forms of potential funding for your commercial construction business include traditional bank loans, SBA loans, credit cards, angel investors and family and friends.

Read our article about the costs associated with starting a commercial construction business to help you determine if funding is needed. 

Read our article about how to fund your commercial construction business


6. Get the Technology & Software Needed to Run Your Business Efficiently

When you start your commercial construction business, it’s essential to have the right technology in place to maximize efficiency. You definitely need a computer with Internet access, and accounting software for tracking expenses and revenues. 

You may also want to invest in project management software to track the progress of your projects and ensure that deadlines are met. 

In addition, you should have a website for marketing your business to potential customers.

Read our article about the technology and software you need to run a commercial construction business.


7. Market Your Commercial Construction Business to Potential Clients

Before you start selling your services, you have to let the world know you exist. The first step is to create a website so people can learn more about your services and how they benefit them.

After you launch your website, start promoting it through social media channels like Facebook, LinkedIn and Twitter. Also consider networking with other people in the commercial construction industry through social media and blogs so they can help share your business. 

You also need to start gathering the materials needed to execute on your promotions strategy, which is your strategy for attracting new customers. Commercial construction businesses should consider the following promotional strategies for which you should start getting prepared: 

  • Develop a strong branding strategy
  • Create compelling marketing materials like flyers, website banner ads, and brochures
  • Engage in email marketing to promote deals and specials
  • Participate in trade shows and other events related to commercial construction

Read our article about how to market your commercial construction business for more tips.


8. Get New Clients & Grow Your Business

When you promote your services, you’ll start to get interest from potential clients

Make sure you’re ready to serve these clients. Also, be sure to establish systems to ensure consistency and reduce costs. And be sure to find and train the right people to help you grow your commercial construction business.

Read our article about how to effectively grow your commercial construction business to learn more.


Starting a Commercial Construction Business FAQs

The commercial construction industry is booming, and there are plenty of opportunities for entrepreneurs willing to put in the work.

In addition, starting a commercial construction business can be very rewarding financially and personally. The outlook for the industry is positive, and there is a lot of growth potential.

To start a successful commercial construction business, you need to have experience in the industry, strong organizational and project management skills, and the ability to market your business effectively.

You also need to clearly understand the costs associated with starting and running a commercial construction business.

You might have to purchase equipment, hire employees, and rent office space.

You also need to have the right technology and software in place to run your business efficiently.

If you are thinking about starting a commercial construction business, here are some tips to get you started:

  1. Choose the right legal structure for your business.
  2. Develop a business plan.
  3. Get the necessary licenses and permits.
  4. Choose a catchy name for your business and create a strong branding strategy.
  5. Invest in the right technology and software.
  6. Hire experienced and qualified employees.
  7. Promote your business effectively.
  8. Keep your costs low.
  9. Focus on quality and customer service.
  10. Always be prepared to grow your business.

A simple checklist to use when starting a commercial construction business is as follows:

  1. Name Your Commercial Construction Business: This should be done with care, as your brand is important for attracting the right customers. A simple, memorable name will go a long way.
  2. Choose a Legal Form for Your Business: Whether you choose to become a sole proprietorship, partnership, LLC, corporation or another option will depend on your business. Ensure that you are aware of all the implications of each type.
  3. Write a Commercial Construction Business Plan: Your business plan will also help you determine what your start-up costs will be and will provide a roadmap with which you can launch and grow.
  4. Apply for the Necessary Permits and Licenses: In most locations you will be required to apply for a business license and/or permits before you can begin operations.
  5. Determine Your Budget & Apply for Funding as Needed: You will need to know how much money you have to spend on all of your business-related expenses before opening any doors. Then, if needed, apply for a small business loan or other funding options.
  6. Get the Technology & Software Needed to Run Your Business Efficiently: You need the right tools to succeed. Implement software that will help you manage your time, contacts, and business operations in general.
  7. Market Your Commercial Construction Business to Potential Clients: A solid marketing plan will be crucial to your success. It should focus on attracting the right customers so that you can provide them with the services they truly need. 
  8. Get Clients & Grow Your Business: Once you have a solid marketing plan, it's time to actively pursue and secure those who could benefit the most from your services



Starting a commercial construction company requires several steps. If you execute each step correctly, you will be on your way to success. Use the tips in this article to get started, and always remember to focus on quality and customer service.