A tarnished reputation takes a long time to dry and always goes ahead of its owner. This principle must be followed when choosing a contractor. Choosing a contractor is as important as choosing the design or materials from which the house will be built. It is strictly forbidden to allow amateurs and scammers into construction. Read the article and you will learn: how to choose a contractor so as not to worry about your money.
There are now two opposing camps in the construction market - construction firms and private teams. Both of them fight for the client, using the most sophisticated methods of information warfare.
The former say that private teams guarantee nothing but problems, while the latter claim that construction firms are ripping off the client. Some take it for quality, and others for low prices and availability.
In this turmoil, the customer who suffers most is the one who cannot decide on the choice of builders. The client gets lost in the flow of information and often trusts his money to unscrupulous developers or scammers. To protect yourself from such problems, let's take a closer look at methods for determining the reputation and professionalism of a contractor.
Select your specialization
There are more than 270 thousand private construction organizations in Russia.
In order not to invest large resources in promoting the company, do not engage in all types of services, but choose a specific area. Competition will be lower, so you will be able to spend less on promotion. For example, the most popular is the construction of private houses, road and industrial buildings. Rosstat data helps in choosing a niche: the agency publishes detailed reports on the development of the industry in the country every two years. You can also do a little research. Look at specialized forums and groups on social networks, look through marketplaces to search for performers. The more people are looking for specialists in your chosen field, the higher the likelihood that you will quickly find your first clients.
You have chosen a field - decide on the list of work that your company will perform, for example, building houses, finishing premises or installing equipment. If you have the ability to do a full cycle of construction work, offer turnkey services to your clients. According to Wordstat, in August 2021 there were 526 thousand user searches for “build a house”, and 172 thousand more for “turnkey house”.
Where to find construction contracts for a construction organization: 9 best technologies of 2021
Content
1. Subcontracting exchange
2. Connections with major market players
3. “Word of mouth”
4. Advertisements on billboards and poles
5. Distribution of flyers and business cards
6. Publication in newspapers and magazines
7. Internet promotion: your website and online advertising
8. Visiting construction sites
9. Intermediary services
10. Video instructions “How to find subcontracts. Tender winners. Construction. Orders".
In conditions of fierce competition in the field of construction services, finding a profitable order for a construction team, even with high quality of work performed and responsibility, is possible only with active and independent actions. Specialists usually use a set of 2-3 established technologies, but in an ideal case, they can use everything.
Subcontract Exchange
A simple and obvious way to find an order is to contact the target audience. Advertising in newspapers, on poles, distributing leaflets and other methods are built on this principle, which do not always have the desired impact, because in order for a specific offer to find its addressee, many coincidences must occur. Otherwise, only a small percentage of proposals will receive a response in the form of a client.
The best way is well known: contact large construction companies that have received a large order and obviously need help. The only thing left to do is to find such companies, and this is what often becomes an obstacle to receiving a “fat” order. But this problem is easily solved - today you can find subcontracting on the exchange, a special service that accumulates information about the winners of government construction tenders worth hundreds of thousands and millions of rubles. If previously this information was scattered and it was necessary to study a lot of sources, now all the necessary information has been collected together - all that remains is to use it wisely.
The "" service provides small and medium-sized construction organizations with the widest database of companies that have won a competition and entered into a large government contract. The conditions for fulfilling government orders are quite strict, and compliance with the specified deadlines is the most important requirement. To complete the work by the scheduled date, the winner of the tender often resorts to the services of subcontractors, so the service is actually a base of potential clients who urgently need a contractor, and this is a real chance for a small construction company to receive an order.
Benefits for the construction organization
1) Access to contact information of companies that have received the right to carry out large orders, the possibility of direct communication and offering their services;
2) convenient search by region of the country;
3) search by type of work, which, together with regional reference, allows you to quickly identify the most interesting companies;
4) current and constantly updated information;
5) the service allows large companies to place an application for a subcontract and find a contractor, which for small organizations becomes invaluable information about real orders - there is no need to even call and ask whether a subcontractor is needed or not.
You need to understand that you must be able to use the presented database.
Firstly, not every organization that wins a tender needs help.
Secondly, if she needs help, there may be several companies among those willing to provide it, potential subcontractors to find an order for construction work
To increase the likelihood of receiving a profitable order, carefully study the contract, and when calling, try to briefly and vividly describe the advantages of working with your organization. The customer must be convinced that the organization is worthy of cooperating with him. It is better to prepare in advance all the necessary data about the price of services, qualifications of specialists, and experience of similar work. A personal meeting and conversation with the person who makes the decision, and not the secretary, is much better than a commercial proposal sent by mail. You may have to make more than a dozen calls, but you will only be dealing with a target audience that may need help right now - a lot depends on the ability to present information, persuasiveness and perseverance.
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Communication with major market players
This option involves establishing connections with a large organization and, if possible, being invited to perform some work. A construction organization will have to look for contacts of large construction companies and contractors, take an interest in their current projects and options for cooperation. The advantage of this option is that you can declare yourself and be taken into account. The disadvantage is the lack of stability: the company may or may not need your services.
However, establishing contacts with large construction companies is a necessary and important stage of activity. Sometimes they subcontract work because they don’t have time to complete the order themselves, and they don’t want to lose a client. Of course, part of the profit will have to be given to the general contractor, but high-quality and timely completion of work is almost a guarantee that in the future you will have regular customers
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"Word of mouth"
The good old method still works in the 21st century, although not as effectively as in the old days. Word of mouth is based on high-quality and punctual completion of work. If the finishing work, replacement of electrical wiring, redevelopment and other work are carried out efficiently, the customer will most likely recommend your team to neighbors, friends or relatives. Moreover, while work is being carried out in one apartment, people living next door may also decide to make repairs. The well-known logic comes into play: “if a neighbor has done it well, then we will do the same,” and why go far and look for someone from the outside without being sure of the quality.
A wide circle of acquaintances among potential customers is good, but it is equally important to have contacts among specialists in your industry, who can also sometimes help with orders. There are often situations when a customer asks to recommend someone to perform work in which this performer is not an expert.
It is important to remember that for large orders they rarely invite a team “from the street” - they go to those whose quality of work the customer is sure of. This means that connections and useful acquaintances need to be actively established, and for this, sometimes you shouldn’t be lazy and take on even small orders. Today you were asked to replace the socket, and tomorrow - the wiring in the entire apartment, if the customer liked your approach to work.
The main advantage of word of mouth is that it is thanks to reviews that you can receive a large order. In addition, there are no advertising costs, and the base of potential clients is gradually expanding. The disadvantage is that there is no certainty about the number and volume of orders; in order for word of mouth to work, you will first have to resort to other methods of advertising. The only thing I can advise is to work efficiently.
Do you want to enter into direct contracts without a tender? For you - the largest database of subcontracts and commercial orders that you can receive as a result of regular negotiations!
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Advertisements on billboards and poles
Placing advertisements about your services on a board at the entrance, on a pole or at a bus stop is a long-term, well-tested way to promote your services, which does not need a detailed description. Despite the conservatism, experts are confident that such advertising will work for a long time, and construction companies are convinced of its effectiveness by personal example.
Advantages:
small investments;
potential clients get the impression that the master offering the services lives nearby, which means it will be easy to contact him;
the opportunity to place advertising in the most preferred and profitable areas, for example, in the location of new buildings.
Flaws:
the likelihood that the ad will be torn off, painted over, or covered up;
a large customer rarely responds to such announcements;
there is no guarantee that a potential client will notice the ad.
This option is worth recommending to those companies and private craftsmen who have just started their activities, because the investment is, in fact, minimal, and there is a chance to receive orders.
A larger and more modern version of such promotion is a large billboard. It makes sense to place it in the area of newly built residential areas.
Do you want to participate in tenders with an advance payment from the customer? For you - the most complete database of government and commercial tenders with advance payment from 30% to 100%!
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Distribution of flyers and business cards
You don’t have to paste ads, but throw them directly into the mailbox. Then no one will peel it off or spoil it, and the chance that a potential client will look at it is higher. Leaflets and business cards are also distributed at construction markets and construction supermarkets.
Advantages:
large audience;
the opportunity to receive a large order;
some people collect business cards and flyers that interest them for future use when the service is really needed.
Flaws:
business cards do not always reach those who need them;
Investments in printing promotional material are greater than in advertisements.
However, novice masters can save money by distributing or distributing cards themselves. Experts advise reaching an agreement with sellers of large construction stores, leaving them business cards and promising a small reward for a successful advertising campaign. At low costs the result will be good.
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Publications in the media
Despite the fact that we live in the era of Internet technology, there is still a category of people who are looking for services through newspapers. Naturally, it is necessary to publish in local newspapers, and if there are any specialized publications, then in them too. If a newspaper or magazine has an electronic version, then the ad may be duplicated there as well.
Newspaper advertisements do not work as effectively as we would like, while advertising must be constantly updated and paid for, and only those who buy the newspaper will see it, i.e. limited circle of people. The disadvantages of such promotion include the limited size of ads and the inability to present your competitive advantages. True, sometimes construction companies order entire articles constructed in the form of hidden advertising.
Advertising looks more colorful and informative on radio and television, but it also costs more, and it is heard by a wide audience, most of whom do not need the advertised services.
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Promotion on your website using online advertising
A huge part of the population uses the Internet today. Most people search for the necessary products and services using the Internet. Moreover, the Internet, through numerous tools, makes it possible to show advertising only to those users who may actually be interested in it.
The best way to carry out an advertising campaign on the Internet is to create your own website, which will briefly and succinctly describe what services the organization provides, what guarantees and benefits it provides, what fees it charges, how to contact it and other organizational issues. On Internet pages you can demonstrate your work as clearly as possible by providing relevant photos.
Advantages of your own website for a construction company:
detailed presentation of information about services;
motivating the user to action (with a competent and professional approach);
the presence of only the target audience;
effective tools for running an advertising campaign on the Internet.
Creating a website, filling it and running an advertising campaign will not be cheap and will require the involvement of specialists, so this is unlikely to be suitable for start-up companies, but there are other ways to advertise your services on the Internet:
advertising on city notice boards;
advertising on city websites;
advertising on social networks.
Visiting construction sites
To search for orders, you can visit construction sites and talk with the customer, finding out whether he is satisfied with the contractor. In any case, the organization has a high chance of being noticed and receiving an order in the future;
Each constructed apartment building complex has a sales department. If you promise managers a certain reward for each client they secure, you can count on a good amount of work.
Do you want to enter into direct contracts without a tender? For you - the largest database of subcontracts and commercial orders that you can receive as a result of regular negotiations!
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Intermediary services
There are companies and individual Internet portals that connect the contractor and the customer. The construction company receives a significant advantage in the form of no need to look for orders - you can focus only on work. But intermediary companies charge a percentage for their services, and sites will require a fee for access to a database of orders, and this is without a guarantee that you will be able to find something.
Of course, no advertising will help if you treat your work in bad faith, so the main thing is to do your work efficiently, communicate well with clients and meet deadlines. In your customer search strategy, it is better to use several areas of promotion at once, choosing those that will be most justified at this stage of development.
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Video instructions “Find clients in 2 clicks | Instructions for DUMMIES | iTender-Win.ru [UNFIGLED]"
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Register your business
The legal model of a construction business depends on human resources and the scope of work. If you plan to work alone or with a small team and perform one type of work, open an individual entrepreneur. A simplified “income minus expenses” system is suitable as a tax regime: you can take into account the costs of building materials and wages of employees when calculating the tax base.
If you plan to provide a full cycle of construction services, open an LLC and choose a general taxation system. You will be able to deduct VAT and reduce the tax base for income tax due to expenses on construction materials and employee salaries.
You can register an individual entrepreneur or LLC with one founder for free without visiting the tax office. To do this, leave a request on the SberBusiness website, go to the nearest branch and sign the documents. And if you have a foreign passport and a smartphone with NFC function, you don’t even have to visit the bank. It will take only 30 minutes to fill out the application. After 5 working days, the company will be registered, and you will receive a Unified State Register of Legal Entities entry sheet by email.
In some areas of construction, it is obligatory to be a member of a self-regulatory organization (SRO). Membership in an SRO guarantees your customers that in the event of a violation of the contract, they will receive monetary compensation. You need to join an SRO if you work in the following areas:
- construction of buildings higher than three floors;
- construction of objects more than 15 meters high;
- construction of bridges, subways, underground mines, highways;
- installation of reinforced concrete and metal structures;
- major repairs of railways;
- work at industrial facilities in the oil and gas industry.
To join an SRO, find a suitable organization in the state register and pay the entrance fee. Its size depends on the area of activity and the size of the compensation fund. The average contribution starts from 70 - 100 thousand rubles.
About construction teams
If your choice falls on a construction team, then keep in mind several features when working with private owners.
- Do not give money and start work without a contract. Even a small team must have individual entrepreneur documents.
- Don't give money to buy a tool. A normal brigade has everything of its own. If specific devices are required, please discuss this immediately.
- If there is no individual entrepreneur, give money to the foreman only against receipt. Attach a photocopy of the foreman’s passport to the receipt. Important! In case of non-fulfillment of services, the receipt may become the basis for the return of money through the court or the reason for initiating a criminal case.
- Request photocopies of passports of all persons involved in work at the site.
- Check the foreman or person to whom you will transfer the money using the bailiff database. If it has debts, then we can assume that the advance will be used to pay them off.
- Check the estimate and list of works carefully. Stipulate immediately and definitively that the price will not change.
- Define clear boundaries for turnkey work.
- Determine a strict payment schedule and deadlines for completing work.
- Require only cash receipts or strict reporting forms for the purchase of material, transportation costs, and other additional services.
- Check the quantity and quality of purchased material. Check the balances.
- Stipulate penalties for missing deadlines or any violations at the construction site. If you find an employee with fumes at your site, then this should be financially punishable.
- Monitor the progress of work and visit the site as often as possible. If neighbors live near the construction site, then agree with them so that they report incidents at the site.
- Be a challenging customer with quirks. Pay attention to the little things. This will allow you to obtain the maximum quality of work.
- Don’t make friends with the crew, don’t trust empty chatter, believe the facts.
No matter how critical this attitude towards private teams may seem, it should be understood that it is better to immediately show serious intentions than to later run after the foreman asking him to finish or correct something.
Experience shows that the more careful control is in the process, the fewer problems there are at the end.
Attract your first customers
To find your first orders, offer your services to friends or colleagues. For example, you may act as a subcontractor for your employer. At the same time, launch contextual advertising to receive applications from new clients. We told you how to launch an advertising campaign on the Internet.
When you complete your first orders, try to participate in the tender. This is a good opportunity to obtain long-term contracts with state and municipal enterprises. Before submitting an application, study the terms of the tender; they may specify requirements for the size of the staff, own construction equipment and types of licenses.
State of ecology in the area
Consider in advance whether there is a hazardous production area near the desired site. This can have a negative impact not only on the soil itself (this is especially important if you plan to grow vegetables and fruits in the future), but also on your health.
Also, you should not choose a site near seemingly abandoned factories or destroyed farms. At any moment, new owners can “revive” them, and in the best case, you will be bothered by the noise of trucks moving back and forth past your fence or the smells of renewed production.
Avoid handling cash
Before starting work, be sure to study the requirements of the Central Bank and Rosfinmonitoring; we described them in detail in this article. The basic rule of running a construction business is to avoid paying in cash whenever possible. When buying supplies or paying employees, use cashless payments. Over the past 5 years, the number of fraud cases in the construction market has increased by 7.5%, so banks are closely monitoring the operations of companies.
If the counterparty asks to pay in cash, withdraw money from the account in the amount of up to 30% of the weekly turnover and upload documents (checks, receipts, contracts) to the Internet bank that confirm that you are spending money on the business. It’s better not to work with such companies, so as not to create problems with banks.
How can you save money when building a house?
A competent house design can reduce the cost of construction and subsequent operation. An experienced architect will always tell you how to optimize what is necessary and what can be safely abandoned. Thus, the rational location of the building on the site will allow you to save on the length of utility lines.
The shape of the building, which is close to a square, will reduce the area of the external walls and increase the thermal efficiency of the house. Eliminating the basement will reduce the cost of construction by 20-30%.
By replacing reinforced concrete floors with frequently ribbed ones, you can reduce costs by 10-20% and reduce the load on the foundation by 2 times. You can save on roofing by simplifying the shape of the roof and thereby reducing its area.
A garage attached to the house will require the construction of a heavy and expensive foundation that is the same as the house. It is much more rational to build a separate structure from lighter and cheaper materials.
