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Creation own business in the construction industry is one of the most profitable ways to earn money today. No wonder: people tend to invest large sums in building their own houses, renovating apartments and improving their own living conditions. However, there is high competition in this entrepreneurial segment, which has a significant impact on the work of many young enterprises.

Creating your own construction company should be thought through to the smallest detail: this is not so much a matter of success as the survival of the enterprise. But the game is worth the candle: having firmly established yourself in this area of ​​​​entrepreneurship, you will multiply your money at times.

Idea to start Building bussiness from scratch is undoubtedly attractive, but it can cause a lot of different questions that stop the intentions of novice businessmen in the bud. Doubts arise even at first: where to start opening a construction company? How to legalize your business? Where to get office space, where to find valuable employees, how, finally, to attract customers and advertise the company? What details need to be taken into account to be successful? How to overcome all the difficulties that beginners face? We will discuss all this in detail in the following article.

Where to begin?

So, when you decide to start your own construction company, you should consider What kind of activity in the construction industry do you want to do. Of course, firms with a narrow specialization will be less in demand than firms with a wide range of services. But it’s not worth spraying on everything at once.

Firstly, their business, aimed at only one sphere of construction, is already requires a lot of investment and for a few, it will take a huge amount material resources, which is not owned by every large company. Secondly, in the construction industry It's not so much the quantity that matters, but the quality. Thirdly, the more services you offer, the more tools, workers and, accordingly, money you will need. You must clearly define your direction, develop in it in order to outperform your competitors. With a competent and thoughtful approach, any business is doomed to success.

We list the main activities characteristic of the construction industry:

civil construction. In civil engineering, you will build residential buildings, some on a turnkey basis (that is, you will start construction from scratch and finish with a completely finished object). Civil and industrial construction includes the construction of car garages, baths, summer cottages; erection and dismantling of buildings; site preparation for construction.

Industrial construction. The direction of industrial construction controls the construction of factory buildings, industrial buildings, warehouses and other economic facilities.

road construction. It is considered the most expensive, but complex and costly type of construction. The main customer is the state, and the tasks are reduced to the construction of new highways, the restoration of old roads, and the repair of road surfaces.

In addition, your company can deal with other, less complex tasks:

  1. Own production and sale of materials for construction.
  2. Sale of construction projects.
  3. Leasing of special machinery and equipment.
  4. Organization of training in relevant specialties for employees of other companies.

The options are suitable for companies that have already chosen their field of activity and have managed to occupy a niche in the construction services market. But how to open construction company if your capital is not yet conducive to global action? There is an exit - you can start your own business with interior decoration. You should not refuse to perform such work: firstly, little money eventually brings a lot of capital. Secondly, if you find diligent workers and establish yourself in the market, you will create your customer base, which will grow later.

So, the specific advantages of finishing work:

This type of activity always relevant: finishing is required for any room, which means that you will not be left without work. If large orders are unlikely to be received by a start-up company (first you need to earn a name, reputation and the trust of large customers), then cosmetic, or even complete repairs of any premises are trusted by almost any enterprise.

To you no need to spend a lot of time recruiting: The labor market is full of finishing specialists. Sometimes employees even bring their own tools, which will save a start-up firm a lot of money. It is worth considering finishing if you have a fairly modest capital or do not want to risk a large one.

It is worth noting that in order to save money for beginners in the construction business pay attention to leasing. Leasing is a service that allows you to rent the necessary equipment: equipment, tools, etc. Leasing should also be adopted by wealthy companies: why keep an excavator and pay a monthly salary to an excavator operator if you need it 2 times a year? In addition, if the nature of your work is constantly changing, renting new, different tools will serve you well.

Legalization (SRO)

One of the obligatory stages of creating your own company is its legalization, registration of the relevant papers. So:

First of all, we register the company as an individual entrepreneur ( Individual entrepreneur) or LLC (Company with Limited Liability). To register the first a copy of the passport, which will be certified by a notary, is sufficient.

For the second, copies of the founders' passports will be required, if the founder is an organization You must attach copies of all the constituent documents of this organization. You will also need a letter of guarantee (or "Certificate of ownership of the non-residential premises”, which is reserved for the office of your company). You can consult a lawyer for details.

Make sure you are registered with the tax office. If during the registration of the enterprise you were not registered there either, provide a package of relevant documents, the composition of which depends on the specific situation. Next, open a checking account.

You must have a building permit. It is not possible to build anything anywhere if you do not have such a document. Large expenses for its receipt will not be required, and the issuance is made local authorities self-government in the presence of the head municipality and chief city architect.

It is also necessary have a license for the design of buildings and structures. It will be needed for those entrepreneurs and legal entities who do not have a special legal education. The goal is to provide design services.

The last such resolution is license for engineering surveys during construction. It is she who allows engineering work during the construction and design of the building.

Time to clarify a topic that worries many aspiring entrepreneurs: joining the SRO (self-regulatory organization). The choice of a specific SRO depends on the organization itself, a complete list of them can be found in unified register self-regulatory organizations of builders. After the final choice, you need to contact the representative of this SRO, who will inform you about the required set of documents and the application form.

Within a month, the SRO will decide on your legal capacity in the construction services market: the criteria are developed by the organization itself. Criteria Example - Availability higher education according to the specialty of the staff, the experience of the organizers, etc. But the most important point- these are fees and contributions that will have to be transferred by the SRO upon entry. Their size can reach half a million rubles: not every start-up company can afford such expenses.

You can do without SRO in cases where you are going to be engaged in repair and finishing work, installation of light structures for fencing (that is, doors and windows). Also, SRO is not required for companies constructing buildings no higher than three floors, block houses (no more than 10 residential blocks), buildings with an area of ​​​​less than 1500 sq. km., as well as objects of individual housing construction, where the only family lives. Otherwise, the activity of the enterprise is considered unofficial and it is obliged to pay a fine in the amount of 50 thousand rubles.

Premises and staff

Let's move on to the practical side of the issue - the premises for the office of your construction company. If the starting capital allows - It is better to immediately buy a room, and not rent it: by spending big once, you save more than if you pay a certain amount(also rather big, as a rule) every month/year. But if you do not have the capital to buy a space, renting will help you out.

You can rent an office on your own: find the owner through an ad, on the Internet, ask friends, see the premises in a business business center. Try contacting a special company: it will be faster and easier, but more expensive, because. the company is an intermediary.

You can search for conscientious performers among acquaintances, diligent students of the relevant educational institutions, on the Internet, in recruitment agencies. Post ads, talk to people you already know who have the potential for construction work. You can also pay attention to visitors from the CIS countries who do not require high wages; however, the quality of their execution does not always meet high standards, which harms the reputation of your business.

However, even among undemanding migrants, there are good, adequate employees who are ready to work. But beware of people who present themselves as "handymen of all trades": a competent plasterer is unlikely to be also a great cabinetmaker.

You can go the other way and look not for quality workers among the cheap ones, but for cheap ones among the quality ones. In general, any employee can be “educated” specifically for your company: the main thing is to have a developed management skill. Start from the level at which you will work in this moment: district Kindergarten is unlikely to chase after an exemplary expensive European renovation, and a wealthy banker does not skimp on the renovation of his apartment.

The video tells about the initial actions of a businessman who wants to join the construction business.

How to attract clients?

Even a construction firm with a great office and brilliant employees can go bust if it doesn't have a customer base. Among the main measures to attract customers are:

"Word of mouth radio". If many people leave good reviews about your company, recommend it to their friends, then the flow of customers to the company is guaranteed. Try to offer your services to acquaintances, friends. Perhaps at first you will be asked to do cosmetic repairs or window installation - this is a worthy start.

Cooperation with companies made a name for themselves in the construction market. Some of their orders can be quite large, which means that you will establish yourself in a solid circle of customers and get paid more than for ordinary repairs, giving the contractor a certain percentage. Over time, perhaps you yourself will become a contractor, receiving the same percentage at zero material costs.

Try take part in special tenders, construction competitions. This will help you make a name for yourself, you just need to show initiative. Of course, participation in large tenders (for example, the construction of Olympic facilities) for a start-up company is a case on the verge of fantasy, but everything starts small: construction educational institutions in new residential complexes, sports grounds or shopping centers - a great option for a budding entrepreneur.

Advertising

Advertising has been and remains the classic method of creating your own big name in the market. For an additional fee, you can hire a professional PR employee, but with a certain activity and a desire to save money, you can easily do everything yourself. So, simple, but effective measures for advertising a construction company:

  1. Creating your own website. It is better to pay for this service: a website made by a professional is always visible. Own structured website creates an image of a successful company. And a site based on free platforms often does not allow you to turn around, it looks unattractive.
  2. Flyers and announcements in new buildings. Elevators, bulletin boards - a great PR move.
  3. Cooperation with stores selling building materials, furniture, appliances. A buyer who comes for a sink and sees your advertisement nearby that the sink can be delivered cheaply and quickly will most likely turn to you for help.
  4. Internet advertising.
  5. Positive feedback about your company (on the company's website, any online recommendation site)
  6. Advertising in towns, villages, etc.

How to open construction company? The businessman shares his experience in the video below.

Difficulties for beginners

The business comes to success through a series of difficulties that a novice entrepreneur has to overcome: this is an invaluable experience.

So, when opening your construction company, you need to be prepared for the following:

  1. Lack of solid orders at first. Major tasks are faced by a construction company with a name, reputation and connections. Nobody wants to risk trusting important project newbie.
  2. The attachment major investments into business. However, under certain circumstances (see Where to start?), this can be avoided.
  3. Expensive membership in the SRO. Recall that you will not need it for small projects.
  4. Powerful competition. You should not be sprayed on everything at once: be a professional in your field, look for new approaches to the client in order to be different from all other firms. You should not hope to overtake the giants of the industry in the first year: you risk losing a huge amount of time, nerves and money.

Opening a construction company is a laborious task that requires constant attention and activity. We examined in detail where to start, how to attract buyers, how to overtake competitors and advertise an enterprise, where to find employees, premises and legalization entrepreneurial activity. It is important not to be ashamed of small orders, to improve and develop your business. Think over your actions a few steps ahead, believe in your own strengths and capabilities - and success will surely come to you.

Is it worth starting a construction business? The answer to this question is harder to find than it seems at first glance. Embedded stereotypes predict that one cannot do without millions of investments. But if you show good organizational and negotiating skills, as well as develop and adhere to a clear business plan, you can open a construction company with zero investment.

Types of construction firms

In the construction industry, it is customary to divide firms according to certain qualifications, as a result of which each has its own set of functions. The following types of construction companies are noted:

  • architectural and design;
  • general contractor;
  • subcontractors.

The latter are also divided into specialists and suppliers.

Architecture and design firms are among the elite in this field, with staff recruited from highly qualified professionals with practical experience. Often, such companies concentrate talented architects who have an academic degree.

Architectural and design firms - the elite of the construction business

The general contractor requires no less experienced and qualified specialists who are well aware of all the features and subtleties of construction, can be engaged in the construction of buildings, installation work, interior decoration, and so on.

As for subcontractors performing work, they can be tied to general contractors and perform certain types of work for them. But they can also work independently, performing the same work as the general contractor, but only in a much smaller volume.

Subcontractors perform many types of work: from construction to finishing

Suppliers are not construction companies, but sellers who specialize in the supply of special equipment, machinery and materials. Their main activity is trade.

Is it profitable to open a construction business: advantages and possible risks

Considering this distribution of functions between different types companies, we can conclude that it is subcontractors that can perform certain types of work that are most accessible to newcomers to open. Experts point out that the profitability in this area is very high - up to 70-80%, the payback is even big investments ranges from one to one and a half years.

But, as in any highly profitable business, there is very strong competition, entering the market is quite difficult, and finding an investor who is ready to invest in a newcomer is problematic. The fact is that it is difficult for a start-up company to show the high quality of the work performed, and its competitiveness depends on this.

How to be in such a situation? Where to get necessary funds? This is where good organizational skills are needed. The most important thing you can't do without is qualified personnel. It does not require serious money to hire him, especially since he can already be hired under a taken order. As for special equipment, tools, they can be rented or leased. This approach allows you to significantly reduce the entry into the business, you can also pay for rent by prepayment for the order received. These funds are also used to purchase materials for construction.

It remains only to register the enterprise, join the SRO and rent the premises.

Where to start: paperwork

The process of registering an enterprise of a construction company is no different from registering an enterprise in another area. There is only uncertainty, what is better to tear off: IP or LLC? You can also open an individual entrepreneur, but they still recommend choosing an LLC. This is due to the fact that the LLC has more opportunities, this form is more flexible to any changes in the legislation, it has the ability to obtain any licenses, if any.

Finally, an LLC is liable to counterparties with its authorized capital, while an individual entrepreneur is liable with its own property. And adverse events, incidents in this area are so likely that it is better to risk authorized capital than your own.

To register an LLC, except for authorized capital, you will need:

  • come up with a company name;
  • indicate its location;
  • indicate the founders of the company;
  • list all activities of the organization.

You can register an enterprise yourself or outsource this to a law firm. This service will cost from 2 to 4 thousand rubles.

Difficulties in documenting begin when it is required to obtain special permits that would allow certain types of work to be carried out. We are talking about the registration of the status of a self-regulatory organization (SRO). This status makes it possible to carry out work that involves high risk. But it is not needed for those enterprises that carry out the construction:

  • block houses, in which no more than 10 blocks;
  • structures that do not exceed three floors;
  • buildings with an area of ​​​​not more than 1.5 thousand m 2;
  • buildings in which only one family can live.

This means that an ordinary construction company will not need to register an SRO. But without a building permit, not a single enterprise that is engaged in the construction of structures can do. It is obtained from local governments and without it it is forbidden to build anything.

To engage in construction activities, you will first have to obtain the necessary permits and licenses.

If a company provides design services, it cannot do without issuing an appropriate license. The same is true for the provision of engineering services. The costs of processing these documents are minimal and do not require the help of investors.

Location selection

Where is the company's office located? The location of the company is not important, its orders do not depend on it. It can be located completely on the outskirts of the city, which reduces rental costs.

Not customers will come to the contractor, but vice versa. It is the construction company that needs to look for a customer, offer him his services, come to him to agree on any issues. If the subcontractor managed to get an order from the general contractor for some large facility, then the location of the office can be placed there.

Equipment and personnel

As mentioned above, any equipment and tools can be rented or leased. But even if you have the funds to purchase it, get the essentials, depending on what kind of work the company specializes in. Please note that no construction company can provide itself with all the necessary own equipment. Therefore, do not strive to achieve the impossible in this direction, it is better to spend the saved money on promotion and staff.

none construction company cannot provide itself with all the necessary own equipment

All materials are purchased after receiving an order, depending on which its quantity and quality are determined. Not always the customer, guided by considerations of economy, will make a choice in favor of high-quality building materials. Therefore, there is no need to pre-purchase it in high quality, at a higher price.

But the selection of personnel must be taken very seriously. To do this, it is better to immediately take a personnel officer who has experience in the construction industry to help yourself. He will help you quickly select the right specialists and a good foreman. In addition, you will need an architect-designer and an accountant.

Promotion instructions

Promotion depends on specialization. If a company specializes in performing work for individuals, then you will have to start a good website, create a whole system for attracting customers who will find the company through search queries on the web and through print advertising.

Your own website is a great opportunity to showcase examples of your work, if any.

In the event that the company will work with general contractors, it will have to actively cooperate with their managers. You will need good negotiating skills, and if they are not, then hire a manager or director of the company who has these skills.

Do not disregard participation in tenders. To do this, hire one employee whose duties will include preparing the necessary documentation and participating in tenders. You should not rely only on this method of attracting customers, since so many competitors are doing the same and the probability of winning them is small. However, you can get several customers a year through this channel.

Income and expenses

The answer to this question depends on the chosen direction. Let's calculate for small company which specializes in construction works Oh. Its costs will be:

  • purchase of tools - from 100,000 rubles;
  • staff salary or payroll fund (PHOT) - 120,000 rubles.

The payroll is formed taking into account the salary for 4-5 people. The firm will need vehicle to deliver personnel, tools and material to the site, but in his absence, a carrier can be hired.

Repair rates are as follows:

  • cosmetic repairs - up to 1,500 rubles. for 1 m 2;
  • economy repair - from 2,000 rubles. for 1 m 2;
  • luxury class works - from 3,500 rubles. for 1 m 2.

In a month, such a company, with an average workload, can carry out repairs from 200 m 2. And this will bring income from 400,000 rubles. We take away the costs of the payroll, payment for transport, rental of premises and taxes, about 200,000 rubles will remain. Investments in tools will pay off in half a month.

Of course, this is an optimistic forecast and to achieve such indicators on initial stage it will be hard. In the above calculation, there are no expenses for registration of the company. If the company plans to deal only with internal repair work, then registration of an individual entrepreneur or LLC will not require significant investments. But if we are talking about a large-scale project that focuses on a wide range of services, then registration will take longer and require significantly more funding.

It is better to start in this business during the period of increased demand, which begins with the beginning of the thaw and ends in October. During this period, the demand for the services of construction companies is very high and it is not difficult to find a customer. You can reduce monthly expenses by saving on carrier services. To do this, you can lease a car, paying for its rent will be inexpensive, and someone from the construction team can be the driver.

Features of opening a large enterprise

If the company plans to provide services government agencies and legal entities, then you will have to register an LLC. When registering an IP, the owner deprives himself of the opportunity to work with large customers.

It is better to entrust the registration process to one of the law firms. At the same time, you need to order a website for the company. All this will cost 20,000–25,000 rubles, which will include payment of the state fee.

Registration of an enterprise is only the first and not the most expensive stage. The next step is to join the SRO.

If earlier it was necessary to obtain state licenses to work in the construction industry, now this process has been abolished. Such a concept as a self-regulatory organization, which is made up of specialists in the relevant field, has been introduced. For the construction industry, this organization is made up of professionals of all related professions who work in the field - roofers, geologists, and so on.

To become a member of the SRO, you need to submit the following documents:

  • extract from the Unified State Register of Legal Entities;
  • photocopy of certificate of state registration company and its registration with the tax service;
  • articles of association;
  • an extract from the decision of the founders of the organization on the appointment of the head of the company.

A photocopy must be issued by a notary. In addition to these documents, which provide information about the company, it is necessary to submit documents characterizing its personnel, namely:

  • photocopies of documents on specialized higher or secondary specialized education;
  • photocopies of work books of workers, labor contracts concluded with them;
  • copies of certificates of advanced training of personnel.

If managers cannot submit documents confirming the presence of specialized education, the company will not be able to carry out serious work. Only finishing work and minor repairs will be available to her. For professions such as an electrician or a high-altitude assembler, it is required to submit copies of non-expired certificates that indicate the tolerance group and have a mark on passing a medical examination. All these documents must be accompanied by a valid business card of the head of the company with contact details.

For joining the SRO, you will have to pay a fee of up to 25,000 rubles. The amount of the contribution depends on the local situation, it can be much less, but not less than 10,000 rubles. But you won’t be able to get off with one installment, you need to deposit 300,000 rubles. to the SRO compensation fund. This contribution is nothing more than civil liability insurance for a member of the organization. As a result, taking into account the state registration of the company, creating a website, joining the SRO, you will have to pay about 350,000 rubles.

Having formalized a construction company in this way, you can deal with investments as indicated above, but practitioners recommend making investments in the project so that the company has some kind of its own material support. This will require significant financial investments, namely:

  • for the purchase and rental of special construction equipment, geodetic and geological surveys, design work will have to spend from 10 million rubles;
  • for a garage to accommodate equipment and an office, you will have to pay from 60 thousand rubles a month;
  • the purchase of overalls, hand tools for the team will cost at least 400,000 rubles.

Taking into account the payment of office rent for the year and paperwork initial investment amount to approximately 11 million rubles. Such a start is significantly different from the one proposed above, but it allows you to get large orders very quickly, allowing you to recoup the initial investment within 1–1.5 years.

The construction process in any settlement does not stop for a minute. Some companies build high-rise buildings and cottages, others construct shopping centers and factory shops, others are engaged in the repair and decoration of apartments. Therefore, many entrepreneurs are thinking about the possible prospects for such activities and the income associated with it.

But how to start a construction business for a beginner? To answer this question, you need to consider all stages of creating an enterprise, including a preliminary assessment of the demand and activity of competitors, the search for a free niche, recruitment and purchase of equipment. But the most important thing is an understanding of the structure of the industry, the ways in which construction companies interact, the principles of division of labor and responsibility, as well as the mechanisms of legislative regulation. Without this knowledge, a novice entrepreneur runs the risk of repeating the mistakes of his predecessors and even losing the money invested in the business.

Types and features of business

The number of possible lines of business in the construction industry is in the dozens; even a novice entrepreneur will be able to find a suitable option among this variety, based on personal preferences. The scale of the projects being implemented in this case is determined by the volume of capital investments in the enterprise:

  • Large business with investments from 100 million rubles involves the construction of residential areas and multi-storey buildings, industrial enterprises, educational and medical institutions, stations and airports, highways and railways, bridges and other similar objects;
  • Medium-sized businesses with investments of more than 20 million rubles include the construction of private houses, cottage settlements, the repair of multi-storey buildings and pavement, the production and wholesale supply of building materials;
  • Small business with investments from 500 thousand rubles is mainly repair and decoration of apartments, construction of country houses and outbuildings, production of building materials on a "garage" scale, as well as work as a subcontractor with a narrow specialization (for example, roofing, installation of engineering networks, installation of windows and doors, insulation of buildings).

Industry structure

The construction of any object includes designing, obtaining permits, drawing up estimates, attracting specialists to perform various kinds of work, and purchasing building materials and equipment. Very few companies are able to cover all these areas at the same time. Therefore, when considering the features of the construction business, it can be noted that there is a certain specialization in this industry:
  1. Architectural and design bureaus are exclusively engaged in the development and design project documentation. Such activities require not only experience, education and special knowledge, but also obtaining numerous permits and permits. Therefore, this type of business is not available to novice entrepreneurs;
  2. General contractors assume the bulk of the responsibility for the project, as they determine its cost, completion time, estimate possible risks and select subcontractors. Running a construction business of this magnitude requires having your own fleet of various special equipment, material and technical base and a staff of experienced specialists;
  3. Subcontractors specialize in performing a narrow range certain works and work under a contract with a general contractor. In the question of how to develop a construction business from scratch, novice entrepreneurs should pay attention to this particular area of ​​activity: to create such an enterprise, it is enough to form a small team and purchase equipment;
  4. Suppliers assume obligations to provide construction materials of the required range and quality in the required volumes.

Choice of direction

An entrepreneur creating a new construction business must first of all determine the priority areas of the enterprise. Of course, it is somewhat more difficult for companies with a narrow specialization to find customers, but attempts to over-expand the range of services without proper experience will lead to an unjustified expenditure of funds and resources. Therefore, it would be more expedient to focus on one of the main types of construction business, including:

  1. Civil engineering. The direction includes the construction of multi-apartment and private residential buildings, cottages, office buildings, hotels, garages, railway stations, shopping and entertainment complexes;
  2. Industrial engineering. This area includes the construction of industrial buildings, workshops, warehouses, factory buildings;
  3. Agricultural construction. This type of activity involves the construction and equipping of poultry farms, livestock and greenhouse complexes, vegetable stores, elevators;
  4. Road construction. This business includes the construction and reconstruction of transport infrastructure facilities - automobile and railways, bridges, tunnels, subway lines.

How to start a construction business from scratch if the amount of start-up capital is limited? In this case, the most affordable direction may be the repair and finishing work in apartments and commercial premises - an enterprise with such a specialization does not need heavy construction equipment, or a separate office, or a large staff. Among the business ideas in the construction industry with minimum investment include:

  • Construction of private houses and prefabricated buildings;
  • Construction of garages, bathhouses, gazebos and other outbuildings;
  • Re-planning, repair and finishing of apartments or private houses;
  • Front works, warming of buildings;
  • Electric installation work;
  • Installation of ventilation, heating and water supply systems;
  • Installation of stretch ceilings;
  • Painting works, applying decorative plaster;
  • Laying of all types of floor coverings;
  • Laying ceramic and granite tiles;
  • Installation of plasterboard structures.

Advantages and disadvantages

The construction business in Russia is complex and multifaceted. Each direction has its own characteristics, without studying which it is almost impossible to create a successful enterprise - for example, the construction of cottages becomes popular during periods of economic growth, and budget apartment renovation is relevant during a crisis. Nevertheless, the overall prospects for the construction business in 2020 can be assessed based on positive and negative factors that have a direct impact on this industry as a whole. Benefits include:
  • High level of income - even with a profitability of 15–20%, the profit of a construction company amounts to hundreds of thousands of rubles;
  • Ability to work with both private and corporate clients;
  • Constant demand for services - apartments, houses, commercial and industrial buildings need regular repairs, and developers continue to commission new microdistricts;
  • Opportunity to receive income not only from the construction of facilities, but also from their design;
  • Regular involvement of companies that have proven themselves with better side, to work on projects across a city or region;
  • The possibility of implementing a large number of building business ideas from scratch - among the many areas of activity, any entrepreneur will find the right one for himself.

Of course, the construction business in 2020 also has certain disadvantages, which sometimes significantly limit the freedom of action of the owner of the company:

  • The need to join the SRO to perform many types of work;
  • The need for heavy construction equipment, the purchase or rental of which is accompanied by significant costs;
  • Difficulty in finding qualified and decent personnel;
  • The presence of a certain seasonality of demand - the main construction work is carried out in the warm season;
  • The complexity of attracting borrowed funds - banks and investors carefully evaluate the prospects of the construction business and are reluctant to lend to start-up entrepreneurs who have not yet earned a positive reputation for themselves.

Registration and registration

In the construction business, the path from scratch begins with the registration of an enterprise and the execution of various permits. This process includes:

  • Actually, the registration of SPD - physical or legal entity;
  • Obtaining a building permit in local administration. Permission is not required for the construction of structures that are not related to capital objects - utility and auxiliary buildings, garages, country houses, kiosks, baths;
  • If necessary, join one or more self-regulatory organizations (each of them specializes in a certain type of activity).

Company registration

The process of registering a new enterprise is standard: before starting a construction business from scratch, you need to choose the legal form, types of activities in accordance with OKVED, and the taxation system. Highly specialized companies and entrepreneurs engaged in repair and finishing works may prefer individual entrepreneurs on a simplified taxation system at a rate of 6% or 15%. Expenses accompanying the registration of an individual entrepreneur - payment of a state duty in the amount of 800 rubles.

For larger-scale activities, an LLC is suitable: of course, for such legal form The legislation imposes increased requirements for paperwork and reporting, however, such inconveniences are offset by a simplified procedure for obtaining various permits and licenses, the high status of the enterprise, as well as the possibility of attracting investors as co-owners of the business. The expenses accompanying the registration of an LLC are the payment of a state duty of 4,000 rubles and the formation of an authorized capital (10,000 rubles).

The need to join the SRO

To date, works related to design and construction do not apply to activities subject to mandatory licensing. However, an entrepreneur studying how to open a construction business may pay attention to the existence of a system of permits for responsible or dangerous work issued by self-regulatory organizations.

SRO is a community of construction experts, working professionals and owners operating enterprises, professional training which allows them to determine which newcomers are qualified for such activities. To obtain admission, you need to find a suitable SRO according to the profile, contact its representative and give him:

  • Application for membership in the organization in the prescribed form;
  • The main documentation of the enterprise - certificates of registration and registration with the Federal Tax Service, the charter of the LLC and a copy of the minutes of the meeting on the appointment of the director;
  • Copies of diplomas of specialized education for management;
  • Copies of work books to confirm the length of service of employees.

Joining an SRO is a rather expensive procedure for an entrepreneur starting a construction business from scratch.

Membership-related costs include:

  • Entrance fee (50 thousand rubles);
  • Contribution to the insurance compensation fund (300 thousand rubles);
  • Monthly installments (5 thousand rubles);
  • Training of at least three specialists (21 thousand rubles);
  • Annual contribution under the liability insurance contract (5 thousand rubles).

It should be noted that not all construction work requires obtaining an SRO permit. For example, the official list does not include:

  • Repair of apartments, not associated with a change in the load-bearing structures of the building;
  • Design, construction and repair of structures that do not require a building permit;
  • Construction of individual housing up to three floors high;
  • Construction of townhouses up to three floors, including up to ten blocks.

Office space

To open a construction company from scratch, it is not necessary to develop a business plan taking into account the need to rent an office: in many cases, this is not required, since all negotiations and work are carried out on the territory of the customer. If the scale of the enterprise requires the presence own premises, then a suitable option can be found on the outskirts of the city or in an industrial area.

To accommodate administrative staff (director, accountant, estimator), an area of ​​​​20-25 m² is enough, but another 150-180 thousand rubles will have to be invested in the purchase of office equipment:

  • Computers and printers;
  • Phones and faxes;
  • Work tables and armchairs;
  • Chairs for visitors;
  • Cases and racks for documentation.

The requirements for storage facilities will be determined by the size of the material and technical base of the enterprise: if an ordinary garage is suitable for storing hand-held power tools, then hangars or specially equipped sites will have to be rented for heavy equipment and building materials.

Equipment

Due to the high cost of special equipment, few large companies can afford to maintain a full fleet of cars. Therefore, in the construction industry, the practice of renting bulldozers, excavators and cranes has become widespread. Considering how to develop a construction business, it is possible to provide for their phased acquisition in the future: in order to recoup such investments, the equipment will have to be operated daily. The minimum list of heavy equipment includes:

  1. Dump truck on KamAZ chassis (from 1.83 million rubles);
  2. Truck crane Ivanovets (from 4.17 million rubles);
  3. Komatsu caterpillar excavator (from 2.2 million rubles);
  4. Wheel excavator Hyundai (from 4.4 million rubles);
  5. Bulldozer Shehwa (from 4.64 million rubles);
  6. Mobile trailer for workers (from 150 thousand rubles).

However, you can go into the construction business with small investment- it is enough to have at your disposal:

  • Measuring tool - roulettes, levels, rulers, rangefinders, plumb lines, levels and squares of different sizes;
  • Power tools - saws, grinders, wall chasers, punchers and drills, welding machines, vacuum cleaners, jack milks, compressors, building hair dryers, lifting equipment, concrete mixers and plastering stations;
  • Hand tools - hammers, crowbars, hacksaws, sealant guns, shovels, buckets, stretchers and wheelbarrows, wrenches, screwdrivers, pliers, pliers, trowels, rollers and brushes;
  • Protective equipment - goggles, respirators, overalls and footwear, gloves and helmets;
  • Scaffolding, ladders, ladders;
  • Lighting fixtures - lamps and spotlights.

Equipping the brigade will cost 450-500 thousand rubles. In addition, for the transportation of workers, equipment and building materials, it is desirable to have your own vehicle - a minibus or a small truck.

Personnel composition

In the construction business of 2020, many types of work that do not correspond to the profile of the enterprise are subcontracted. For example, when building a private house, drilling a well or connecting a building to engineering networks is easier and more profitable to entrust to a third-party contractor. Thus, it is enough for a small construction company to have in its state:

  • Bricklayer;
  • Specialist in plumbing and heating systems;
  • Electrician with a tolerance up to 1000 V;
  • Finishing specialist;
  • Tiler;
  • One or more auxiliary workers.

Both piecework and fixed wage systems are used for working personnel. staffing enterprises in the second case may look like this:

staffing

Financial investments and profitability

The amount of initial investment in the construction business is to a certain extent determined by the list necessary equipment, which, in turn, depends on the chosen field of activity. The minimum level of investment is about half a million rubles: with such capital, you can do repair and finishing work or low-rise construction. It is impossible to determine the maximum limit: for example, the value of the assets of the PIK company (the largest Russian developer) is 117 billion rubles. The costs of setting up a small business may include:

Initial investment

The main part of the current expenses of the company is the remuneration of employees. Therefore, at the initial stage, only the most necessary specialists should be hired, and in the last place - personnel not directly related to the production process.

Current expenses of the enterprise

To determine the approximate amount of income, you should take into account the average market value of construction work. For example, a company specializing in the repair of apartments may set the following rates:

  • Cosmetic repairs - from 1500 rubles / m²;
  • Economy class repair - from 2800 rubles / m²;
  • Luxury renovation - from 4000 rubles/m²;
  • Renovation - from 7500 rubles / m².

To net profit entrepreneur amounted to 100 thousand rubles, it is necessary to repair at least 130 m² of residential premises within a month, which is equivalent to two or three medium-sized apartments: with parallel work on several sites, this is quite possible.

Search for customers

When learning how to create a construction business from scratch, where to start preparing for the launch of an enterprise, it should be understood that the main factor determining the success of a company is the presence of a client base. by the most effective methods attracting customers can be considered:

  • Placement of advertisements in specialized publications and on the Internet. Even a small company should start developing its own website - the list of services provided and examples of completed objects are more visual for consumers than abstract ads in newspapers;
  • Recommendations from satisfied customers. Each person who speaks positively about the level of service and the quality of work can thereby attract two or three new customers, so even low-budget orders should not be neglected;
  • Cooperation with famous companies. Some of the clients of such enterprises can be quite large customers who will certainly pay attention to a subcontractor who quickly and efficiently solves the tasks;
  • Participation in government and commercial tenders. Of course, this method of finding customers must be taken with all responsibility, because even in the event of a loss, the company will be able to declare itself, and in case of victory, it will have to assume all obligations to complete the project.

Many existing companies have been working in the construction industry for decades, making it incredibly difficult for a newcomer to break into this market. Such problems are especially relevant in large cities, where the winners of tenders and executors of orders are usually known in advance. In order to find your consumer in such a competitive environment, you should:

The construction business is gaining momentum every year, which is associated with an increase in demand for housing and improved economic factors. Therefore, the business idea of ​​​​opening a construction company is relevant and can be implemented in fairly favorable conditions. We will talk about where to start and how to draw up a business plan for a construction company in this article.

In order to understand how profitable this direction is, let's analyze the prospects and relevance of this idea. What features does this business area take into account?

Investments, with proper planning, can pay off within a few months. And the development prospects for this industry are truly limitless.

In order to realize the idea of ​​​​opening a construction company, you can go in two directions:

  1. Buy a ready-made business.
  2. Create a company on your own.

The first option has its advantages due to the fact that you no longer need to spend time and money on registering a business, obtaining permits. Those who have encountered this bureaucratic red tape know firsthand how much this one takes time and effort.

Also an important point is the already selected personnel of the company, established sales channels.

But there are some drawbacks to this option as well. If the business was unprofitable, it implemented the wrong marketing technologies, then it will be difficult to bring the enterprise to the proper level of development. In this regard, it is much easier to create a company from the very beginning.

In addition, in the business of construction and repair services, the reputation of the company is very important. When purchasing a ready-made company, you will have to rely on the already created image of your predecessors. If it is not good enough, you will have to spend a lot of time, effort and money on promoting the company, creating a positive reputation, etc.

Pros and cons of business ideas

Despite the prospects for the development of this business, the idea itself has its pros and cons, which you should know before proceeding to the stage of implementing entrepreneurial activities.

Pros:

  • Small investment. In order to register a company, to purchase the necessary equipment, you do not need large investments. It is possible to develop and increase the turnover of the company already in the process of its implementation.
  • High demand. Today, this niche is one of the most sought after. The services of professional builders are needed by individuals and legal entities, small and big business. Therefore, with proper marketing planning and high quality of services provided, you can quickly reach the company's payback and good income.
  • The prospect of business development. Your company may not be limited by the geographical location of the city or region. With the right development, over time, you can open branches in other regions, which will allow you to reach a completely different level of business.
  • Possibility of making a good profit. Standard profitability, in the absence of force majeure situations, ranges from 50 to 70%.

Minuses:

  • High competition. This factor logically follows from the high demand. The higher the demand in the market, the greater the supply.
  • Financial risks associated with the unstable economic situation in the country.
  • Difficulty entering the market. Given the high competition, much attention will need to be paid to the stage of service promotion.

big role in this business employees play. It is from their qualifications and professionalism that the profit of the company will largely depend. When hiring employees, it is very important to analyze their experience, qualification level, possible development, etc.

With a good team and an experienced staff of builders, you will quickly be able to reach high level development and earn an excellent reputation in the city. good option to start such a business is experience in other construction firms. This will allow you to see the situation from the inside, analyzing its strengths and weak sides.

In addition, work as a subcontractor will teach you to understand the qualifications of personnel, the competent distribution of labor and material resources.

In what direction to develop?

Having decided to enter the market with a proposal to provide construction services, it is important to understand the target audience. This parameter allows you to determine not only competitive advantages, but also to draw up financial plan company development.

The construction business can be implemented in several directions:

  • provision of services in the field of civil construction, repair;
  • road construction;
  • industrial building construction.

Each of these areas will require a different amount of investment, staff, founding documents etc.

The main services of a construction company include the following types of work:

  • construction of houses;
  • renovation of apartments;
  • dismantling and installation;
  • construction of garages, bathhouses, warehouses, etc.

Additionally, to increase income and expand the range of services, you can rent construction equipment, sell materials, train staff, etc.

As you can see, there are a lot of development prospects and opportunities for obtaining additional income for this type of business.

In order to implement this species business, you must adhere to the following algorithm of actions:

  1. Determine the format of the company.
  2. Make a business plan.
  3. Preparation of registration documents.
  4. Company promotion and customer search.
  5. Project implementation.

The Importance of Writing a Business Plan

The stage of implementing a business idea is always preceded by the planning stage. Without proper market analysis, competitive advantage, study target audience and strategic planning, it will not be possible to achieve the desired result.

All these aspects are prescribed in the business plan, and help to understand the direction of business development, taking into account the strengths and weaknesses of the project.

Competent planning will help to avoid mistakes, anticipate difficulties and calculate the point of profitability.

Also, having ready plan business development, it will be easier to attract investors, business partners, justifying the feasibility and relevance of the idea.

organizational plan

Business registration

To open your own construction company, you will first need to obtain permission for the relevant type of activity and register a private enterprise.

Each construction company must have the following package of documents:

  • Certificate of state registration;
  • A document confirming tax registration;
  • company charter;
  • printing and statistical codes.

For companies providing specialized services to the business sector, industrial enterprises, road services, etc., you must additionally obtain the appropriate permit:

  • building permit;
  • license to carry out engineering work;
  • permission to design buildings and structures.

This type of activity requires obtaining several licenses.

One of the key documents is the SRO. This is an admission to the implementation of services associated with an increased risk.

If you do not plan to build buildings over three floors, then obtaining an SRO is not required.

Also, this document does not need to be drawn up if the activity is related to the construction of block houses with an area of ​​​​less than 1.5 thousand square meters. That is, for an ordinary construction company that will be engaged in the construction of private houses and finishing work, it is not necessary to obtain an SRO.

One of the biggest expenses in this business is the purchase of equipment.

Before making a list of the necessary equipment and machinery, determine the format of the business, the number of work shifts, etc.

If the initial investment does not allow you to fully purchase a professional set of equipment, tools and inventory, then you can resort to the leasing service.

Unlike a bank loan, this service allows you to use property on a long-term basis with the right to buy it. By the way, in the future, when business development is already at a high level, you yourself can provide rental or leasing services to other start-up companies.

No need to invest a lot of money in the purchase of equipment that you will need occasionally. It is much more profitable to pay a daily rent by taking equipment for a specific project.

For large firm, which plans to engage in construction and repair work in the private sector, will need the following list of equipment:

  • tap;
  • concrete mixers;
  • lift or CMU;
  • tools;
  • perforators;
  • chainsaws;
  • drills;
  • hammers;
  • special clothes for workers.

Without a qualified staff in this business, it is difficult to count on profitability and profitability. Therefore, the moment of search and selection of personnel must be given great attention.

By their own functional duties staff composition can vary significantly. It depends on the format of the activity, its specifics, etc.

Below we provide a standard set of employees for a construction company:

  • workers and builders;
  • foreman (foreman);
  • accountant;
  • Purchasing Manager;
  • Service Promotion and Customer Relations Manager
  • personnel inspector;
  • lawyer;
  • architect;
  • director.

The number of employees determines the scale of business activities.

If you plan to develop a business in the provision of finishing services, then you will have to increase the staff with more specialists in this field (plasterers, masons, plumbers, electricians, painters, carpenters, etc.).

In order to obtain a license for the provision of construction work, please note that at least 50% of the total number of builders must have a higher specialized education.

For effective productive work, it is important to provide employees with all necessary tools and materials.

For the quality of services and in order to avoid production delays, it is important to systematically inspect equipment and inventory, check its serviceability and suitability for work.

Do not buy cheap equipment - this will reduce not only the productivity and quality of services, but also the profitability of the business, since large resources will have to be spent on repairing and replacing equipment.

Room selection

To work, you need a small office, where the administration, accountant, lawyer will be located. Keep in mind that during the implementation of the project, you will have to negotiate with customers, discuss projects.

Therefore, when choosing a room, consider that it has a place for a meeting room.

As for the location of the office, there are no special recommendations. You may not spend a lot of money on renting a room in the city center, but you need to take care of transport accessibility.

Marketing plan

To achieve profitability and a good income, it is very important to earn a positive reputation in this area and attract regular customers.

There are several options for attracting customers:

  • the beginning of development with the subsequent sale of apartments;
  • active advertising in the media, via the Internet;
  • participation in affiliate programs with hardware stores;
  • attracting customers after winning a government tender.

Be sure to create your own website, which will provide a complete list of services, a calculator for the cost of services, contact numbers for the administration, the possibility of consultation, etc.

A good website is a kind of business card, which indicates the high level of the company and its reliability.

Video. How to open a construction company from scratch

Financial plan

Here we present only a rough cost plan, since each firm, depending on the scale and geographical location, will require its own costs.

  • purchase of equipment - 1 million rubles;
  • advertising - 100 thousand rubles a month;
  • unforeseen expenses - 100 thousand rubles
  • staff salary (15 people) - 500 thousand rubles;
  • office rent - 50 thousand rubles.

And now let's calculate the payback of this project.

As a standard, in this area a good indicator is a profitability of 10-15%. If you reach this indicator after 5-6 months, this will indicate that all aspects (marketing, organization, planning) are built correctly.

With the deterioration of the economic situation in the country, businessmen note a decrease in profitability in this sector. To date, the average figure fluctuates between 7-9%.

Remember that profitability will directly depend on the qualifications of the staff, the number of customers and the amount of costs. If you do not reach the average planned indicator, then analyze which of the factors does not “work”.

Risks and Opportunities

At the planning stage, it is very important to perform a SWOT analysis, which will allow you to see the strengths and weaknesses of the project, threats and development opportunities.

The main risks of the construction business include:

  • high competition;
  • unqualified personnel;
  • lack of orders;
  • rising prices for building materials.

Take a close look at this list. There are things in it that you can't control. So, for example, a high level of competition and high prices for building materials is not in your area of ​​expertise. But as for the low level of staff qualifications, the lack of orders - these are the factors that you can influence.

That is why it is important to draw up a competent business plan that will become step by step guide and will allow you to clearly see the prospects for development, the size of the expected profit, the profitability of the business.

Video. How to develop a construction company

According to statistics, more than 20% of the population of our country use the services of builders. At the same time, orders can be received both for minor household repairs and for the construction of houses, garages, and various outbuildings. Based on this, this type of business is profitable, despite general trends the fall of the economy. Its profitability, in some cases, reaches 70-100%, depending on the type of activity. Therefore, below we will talk about how to create and.

What are the nuances of the construction business, how to get around them and make it profitable

Any business requires a careful approach, as well as clear planning of its future activities. Construction services require careful attention, as well as taking into account all the nuances. Only thanks to this strategic planning this type is profitable.

Consider important nuances

Attachments

Despite the fact that some experts say that the construction business is possible from scratch, it is not so. Certain investments will be required. First of all, this is the registration of a legal entity, since an IP is not suitable for a profitable company, and the formation of its authorized capital. The minimum amount for this is about 100-200 thousand rubles. In addition, it is better to buy the simplest equipment. This is also about 100 thousand rubles.

Recruitment

If you carefully study the labor market, you can pay attention to the fact that there are enough personnel with construction specialties, but among them there are many people with bad habits. The main rule is that if the builder is a professional and does not have bad habits, then many construction companies will hunt for him, so only good wage, and the attitude towards him from the company's management. This also applies to the foreman.

Finding Clients

In the first case, immediately after opening, you need to remember all your acquaintances, colleagues, relatives and friends and inform them that they can apply for services. It is better to give advertisements in newspapers, as well as hang them in districts. construction stores and markets where the respective goods are sold. Tenders are posted on websites various organizations, as well as in Internet resources that specialize in this.

Marketing approach to clients

This nuance is that it is necessary to come up with a system of discounts depending on the amount of work, as well as send out business proposals to large construction companies that win large orders and hire subcontractors.

Knowing all these nuances, you can get around them and create a truly competitive enterprise. First of all, a novice entrepreneur must draw up a business plan, where to take into account all the above nuances, as well as carefully study the construction market of the settlement where the activity will be carried out. Also, in the business plan, you will need to calculate all initial costs, and develop a detailed cost of services and their list.

The staffing problem can be solved in this way. Need to hire workers probation, and carefully look at them (are there bad habits, poor-quality work). Only after a full check of the employees can be issued.

And be sure not to forget about the secretary who will take orders. It is important to know that the success of further work depends on the correctly chosen taxation system. Many aspiring entrepreneurs who have achieved success in this business choose the simplified tax system (15% of profits).

Construction business areas

According to the current legislation, the following areas of the construction business are distinguished:

Based on these types of modern construction, one can come to the unequivocal conclusion that for a successful undertaking and up to the first profitable millions, it is easiest to start with minor repairs and construction projects. Further, when the first profits appear, you need to improve and move to greater heights.

It is important to know that in order to engage in such types of construction as industrial and road construction, a legal entity must enter the association of such a business SRO - a self-regulatory organization. There you need to pay contributions, which can reach several hundred thousand or millions of rubles.

Starting a construction company

Registration is required to start this business. For small construction organizations there is registration as an LLC. Consider the benefits.
IP requires a minimum package of documents for registration and payment of state fees. There is also a simplified tax system for entrepreneurs.

But such entrepreneurs are limited in the amount of income. That is, if the profit crosses a certain threshold, then a person will have to register a legal entity. Also, individual entrepreneurs are subject to a restriction on the number of employees, for example, they cannot be more than 20, beyond that you need.

You will need the following documents:

  • a copy of the passport and TIN;
  • receipt of payment of the state fee;
  • filling special statement to the list of activities that the IP will be engaged in.

Based on this, it can be concluded that the best options for those who want to do minor household repairs, IP is best suited.

Registering an LLC requires a little more expense and paperwork. But as a legal entity, it is not burdened with a limitation in profits, as well as in the number of employees.

The following documents will be required:

  • copies of documents of the founders (if there are several), or the founder with TIN;
  • the original and a copy of the minutes of the meeting where the decision to establish the LLC was made, as well as the appointment of the director and chief accountant, as well as the amount statutory fund, as well as legal address(location);
  • the original and a copy of the charter, which will spell out the duties of the founder (lei), as well as the types of activities;
  • bank statements on opening an account;
  • receipt of payment of the special registration fee.

This form of legal entity is suitable for any type of construction activity.

It is important to know that at present many law firms offer the creation and registration of a turnkey LLC. That is, a desire is needed from a person, and then lawyers will do everything, and the price of such a service does not exceed 3-5 thousand rubles.

How much does it cost to open a construction company

It must be said right away that such a business cannot be created without investments. Therefore, if there is no money, you can write a competent business plan and take a loan from a bank.

The total costs will be as follows:

As you can see, all you need is about one million rubles. But the amount can be reduced.

Recruitment and customer search

  • About what problems there are with personnel, it was described above. In general, the presence of bad habits in people of construction specialties is a chronic disease in the labor market.
  • Based on this, it is possible to build a selection of personnel according to such a scheme.
  • Contact the employment office. Its employees will send employees for interviews, and they will be able to view work books. They indicate the previous place of work, and the reason for dismissal.
  • If it is written that the person was dismissed because of the negative, then such an employee can not be taken. The manager can even call former employer, and inquire about the characteristics.
  • Ask friends. It happens that among acquaintances or friends, there are those who are looking for work as a former builder. At least the owner of the company will already know the biography of future employees.
  • It is not advisable to take unverified people from the street and those who came to work from other states if there is no information and recommendations about them.

Now you can move on to finding clients.

Let's start with a simple one, these are friends and relatives. They also need to carry out construction work, so it is better for them to turn to those they know.

The next is advertising. It is better to give it to the building sections of newspapers and, if possible, to radio and television, but it should be noted right away that these are additional expenses. In advertising, you need to indicate various promotions from the company and discounts. It is also recommended to negotiate with the sellers of building materials so that when selling their products, they recommend the established construction company as a contractor.

The last one is visiting and registering on the resources where public and private tenders for construction work are posted. Many entrepreneurs get jobs there. Also, you should not be too lazy and go around all the major companies in the region that are engaged in construction, and offer your services for some types of work as a subcontractor.

It is important to know that any ad or business proposal must be written correctly, so for this it is better to attract competent marketers, and do not be too lazy to spend some money on their services.

Other nuances of the company's development

Some of the main nuances were described above. But aspiring entrepreneurs need to take advantage of the following tips.

The first is the observance of safety measures by employees. In the event of their injuries, the employer is fully responsible, both material and criminal, so he must reinsure himself in every possible way in this regard.

Second, it is competent financial policy. According to the laws of business, the profit received should not be spent on the needs of the founder or founders, but should be invested in business development.

By adhering to all the rules and nuances, entrepreneurs will be able to create a really strong business, withstand competition, and develop large network branches. The construction business is highly competitive. Only those who will plan everything and not stop there can withstand it.

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