ConstructConnect Blog

All construction projects carry some level of risk. Being able to identify and manage risks requires skill, careful planning, and being able to make good decisions quickly. When risks become reality, they can be detrimental to the successful completion of your project. Properly managed risks can lead to higher profits, stronger relationships with clients, and the ability to grow and expand your business.

Effective communication is vital to the successful completion of any construction project. Good communication can improve teamwork and lead to better project collaboration. Poor communication can result in misunderstandings, delays, and issues down the road.

Is it time to grow your construction business? Are you looking to expand into new markets or territories? Growing your construction business, regardless of whether you're just starting out or have been in the industry for years, requires careful planning. In order to strategically scale up your operations, you must ensure you will have the resources (workers, equipment, etc.) to handle the additional work.

Construction estimating is one of the most challenging, yet important jobs in our industry. Profits are won or lost based on how accurate your construction estimates are and how closely they match your final project costs. Chances are one wrong estimate on a construction project that loses money won’t put you out of business, but a couple of unprofitable projects may have you closing the doors for good. Here’s a look at some of the most common construction estimating mistakes and how to prevent them.

What is a Construction Contract While talking about construction contracts and their importance may seem like a repetitive topic, it is one of the most important aspects when considering the construction industry and the success of key players. A construction contract is the method by which terms, conditions, and the fine print of a project and agreement are legally bound together. The contract is a solidified deal made between the parties (usually two—the owner and the contractor) involved in the specified project.

The labor shortage in construction is something contractors have dealt with for decades. The pandemic certainly exaggerated the impact of shortages, but there were fewer and fewer recruits even before the Great Recession. With an aging labor force and a huge demand for labor, the shortage has reached an all-time high.

Running a successful construction company isn’t easy. The industry is full of risks and challenges that can lead to failure. According to data from the Bureau of Labor Statistics, of the 69,296 private construction firms that started operation in 2001, 56% were still around three years later, 26.6% made it to year 10, and only 17.2% were still in operation 20 years later. That’s a failure rate of nearly 82.8%. Let that sink in for a bit.

When it comes to acquiring construction equipment for your commercial construction company there are a number of factors to consider when it comes time to decide whether you rent, buy or lease.

In 2020, the CDC found that the construction industry has the second-highest suicide rate in the country, and construction workers are 3.5 more likely to die by suicide. With the suicide rate in construction ranked as one of the highest by occupation, industry leaders and members must take the necessary steps to educate and support those at risk. In addition to spreading awareness and education around the topic, something more sustainable and lasting must be done to help prevent and reduce suicides in construction.

Construction Risk Management: What Contractors Should Know As a construction contractor, you likely contend with multiple risks each day. Every project on which you perform work is unique and likely involves both risks and potential benefits. To be more successful, you must understand how to identify and manage risks on construction projects to help avoid potentially detrimental issues.