Starting a construction framing company can be a lucrative business opportunity, but it is important to understand the step-by-step process of starting a new business before diving in. This article will provide an overview of the key steps to starting a construction framing company.
Here are the eight steps you can take to start building your own construction framing business.
8 Steps to Launching a New Construction Framing Business
1. Name Your Construction Framing Business
Give your construction framing business an identity so people will think of it as a well-known and respected brand. You can take the name of your construction framing business from your industry, focus on a geographical location, or use your own name among other options.
The main goal for naming your construction framing business is to make it sound appealing and trustworthy so that clients will want to use your services.
2. Choose a Legal Form for Your Business
By incorporating your construction framing 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 construction framing 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 construction framing business structures.
3. Write a Construction Framing Business Plan
All construction framing 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 construction framing business plan.
4. Apply for the Necessary Permits and Licenses
There may be required licenses and permits you need to obtain before launching your construction framing business.
You must also register your construction framing 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 construction framing business licenses.
5. Determine Your Budget & Apply for Funding as Needed
In developing your construction framing 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 construction framing business, you may consider taking advantage of that. In addition to your personal funds, other forms of potential funding for your construction framing 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 construction framing business to help you determine if funding is needed.
Read our article about how to fund your construction framing business.
6. Get the Technology & Software Needed to Run Your Business Efficiently
When you start your construction framing business, it’s essential to have the right technology in place to maximize efficiency. You need a computer with Internet access and accounting software for tracking expenses and revenues.
You may also want to invest in construction-specific software, which can help with project management, estimating, and invoicing.
Additionally, consider using CRM software to manage customers and prospects and a project management tool to keep track of deadlines and milestones.
Read our article about the technology and software you need to run a construction framing business.
7. Market Your Construction Framing Business to Potential Clients
Before you start selling your services, you must 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 construction framing 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. Construction framing businesses should consider the following promotional strategies for which you should start getting prepared:
Traditional advertising methods like print, radio, and TV ads
Direct mail campaigns
Email marketing campaigns
Promotional events like tradeshows and open houses
Read our article about how to market your construction framing 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 construction framing business.
Read our article about how to effectively grow your construction framing business to learn more.
Starting a Construction Framing Business FAQs
Why Start a Construction Framing Business?
Construction framing businesses offer a variety of benefits to entrepreneurs, including the ability to be your own boss, set your own hours and work from home.
The outlook is also positive for the construction industry. The industry is expected to grow at a rate of 2.3% from 2019 to 2024, according to IBISWorld. Therefore, plenty of opportunities exist for entrepreneurs to start a construction framing business and be successful.
What is Needed to Start a Successful Construction Framing Business?
To start a successful construction framing business, you need a few key things:
- A strong understanding of the construction industry
- The ability to effectively manage projects
- Strong marketing and sales skills
- The right technology and software
What are Some Tips for Starting a Construction Framing Business?
Here are a few tips for starting a construction framing business:
- Understand the construction industry inside and out. This will help you be successful in marketing and selling your services.
- Manage projects effectively to ensure profitability.
- Stay up to date on the latest technology and software so you can offer clients the best possible service.
- Promote your business through traditional and online marketing channels.
- Focus on providing top-notch customer service to clients. This will help you generate repeat business and referrals.
Where Can I Find a Simple Checklist for Starting a Construction Framing Business?
A simple checklist to use when starting a construction framing business is as follows:
- Name Your Construction Framing 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.
- 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.
- Write a Construction Framing 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.
- 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.
- 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. If needed, apply for a small business loan or other funding options.
- Get the Technology & Software Needed to Run Your Business Efficiently: You need to have the right tools in place to succeed. Implement software that will help you manage your time, contacts, and business operations in general.
- Market Your Construction Framing 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.
- 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.
Summary
Starting a construction framing company requires an upfront investment, but if you follow the tips we’ve outlined in this article, you’ll be on your way to success. With a solid business plan, the right tools in place, and a focus on marketing to the right clients, you’ll be well on your way to building a thriving business.