As your company launches forward, do not fall into the equipment trap. Many contractors believe that their success is best advertised through the purchase of a new piece of equipment. Equipment purchases need to be well thought-out and should be part of your budgeting process.
When developing SOPs for your company, you need to have a well thought-out equipment policy that focuses on when to make a purchase and when to rent or hire a subcontractor. The initial purchase is only part of the expense; insurance, taxes and repairs need to be included when evaluating this process.
Don’t lose sight of customer service
When you begin to delegate many of the day-to-day tasks that you once performed yourself, be careful that you don’t forget about your clients. I am not referring to performing the work you have been contracted to perform. I am talking about the intangibles that much too often get overlooked in the growth process.
Quality, service, responsiveness and value cannot be purchased from one of your vendors. This is something that was usually handled by the owner. As your company grows, this must become a culture that is passed down to every person associated with your company. Never lose focus of what has made you successful. The personal touch of working with a smaller contractor can and should be part of your ongoing business plan.
Everything in harmony
The wheels that drive your company forward need to be working in complete harmony once you reach that half-million mark. Your role as owner will change as your company moves forward. If you do not like handling the “business side” of your operation, it’s OK—so long as you bring someone in that can handle that responsibility.
To monitor your growth, you also need to establish strong relationships with an accountant, attorney, banker and consultant. Having someone from outside of your company to make recommendations, bounce ideas off of, and review your operation is a great way to remain focused and on track.
Reaching that next level can sometimes make you wonder why you started in business in the first place. Having a sound plan and implementing some of these practices will make it all worth it—while also preparing you for future growth.