Built to Build: Blog
HOW TO USE PROFITS IN YOUR CONSTRUCTION BUSINESS
MOST CONSTRUCTION BUSINESS OWNERS ARE NOT PROFITABLE
Most construction business owners aren’t charging enough for their work, which limits their profits and their ability to grow.
Without profits you will either go out of business, or you’ll stay afloat by not paying yourself what you should.
Both of these situations can be avoided by focusing on profit – what causes it and how to use it when you have it.
A BUSINESS WITHOUT PROFIT IS A CHARITY
Operating a business without profit is the definition of a charity.
Profit is the reason you are in business.
A lot of construction business owners say, “Well, I’m not in it for the money.”
You should be.
You can do a lot of great things with money…aka “Profit.”
PROFIT IMPROVES THESE 3 THINGS
Making a Profit Will Improve Your Family Life
When you make a profit, your stress level will decrease. You’ll be more confident in your business decisions. You’ll have freedom from your business.
This means you will get your life back. Your family will get YOU back.
Imagine going home for dinner every night worry free.
Imagine going on vacation or buying the things your family needs and paying for them in cash from the profits of your business.
Making a Profit Will Improve Your People’s Lives
When you make a profit, your employees get benefits. They get to work for a growing business, and growing businesses provide your employees with more opportunities.
When you have engaged employees, who love their jobs because of the opportunities, then they show this level of loyalty and culture to your customers.
Customers love to experience employees that love their jobs, and those customers will tell other people just like them.
When new customers come to you, you’ll be able to solve their problems by providing them with excellent service delivered by wonderfully engaged employees.
Profit allows you to improve the lives of more people – employees and customers.
Show me a company with disgruntled employees and unhappy customers, and I’ll show you a company with a horrible Profit and Loss Statement.
People aren’t happy when there’s no profit in the business.
Making a Profit Will Improve Your Community
When you make a profit, you’re able to give back to your community. You create jobs for people in your community.
You can donate your time and resources to causes you believe in.
You can provide mentorship to other business owners and help become a leader in your community.
No one wants to be mentored by an unpaid employee in a profitless business.
When you are profitable, you become more effective.
In fact, profit is a measure of effectiveness.
The more effective you are, the more money you’ll make.
IF YOU’RE REALLY NOT IN IT FOR THE MONEY…
Business owners who say, “Well, I’m not in it for the money…”
Probably never made any.
You should be in business for the money, the profit, because without it, you’re running a charity.
But if you struggle with the statements above, then do this:
Go make a bunch of money and give it all away.
That’s way better than never making it in the first place.
GET THE STEP-BY-STEP SYSTEMS TO MANAGE YOUR CASH, INCREASE YOUR AVERAGE SALES PRICE, AND GET YOUR TIME BACK
Creating these systems for your business will help you make more money, stop worrying, and get your life back.
System 1: A weekly schedule, so you accomplish more by doing less (that’s not a typo)
System 2: A repeatable and scalable sales process that gets your customers to pay you for all the planning and estimating work you’ve been giving away for free.
System 3: A cash management system that guarantees profits without the help of a CPA.
These 3 systems are the foundation of the Built to Start program in the Built to Build Academy®.
The Built to Build Academy® creates confident construction business owners through business training and coaching programs so you can make more money, stop worrying, and get your life back.
If you want to build a solid foundation of profitability for your construction business, then join the waitlist for the next cohort in the Built to Build Academy®.
When you join the waitlist, I’ll send you a free exercise from the Effective Time Management Program (System 1 above).
It’ll blow your mind.
You’re going to struggle until you have these systems in place.