If you’re ready to grow your business you’ll need help. The good news is that there are resources available in your community and beyond that you can use to create a more efficient, organized and productive business.
However, your team won’t build itself.
With this in mind, here are six key relationships you need to make to grow your business.
How you manage your books is a critical factor to your success. If you’ve handled it in-house, that may have worked at your current scale. However, as you grow your business, the size and complexity of the accounting is also likely to grow. To manage this growth, you need an accountant or bookkeeper with a solid understanding of the complexities of the construction business. It may require paying a little more, but by investing in your accounting, you’ll have a business that is more financially stable and better able to function in the long-term.
Even if you’re not ready to bring in someone new, using a service like Ox Bonding’s Project Accounting Service may be a good place to start. You get the benefits of an experience project accountant, without paying any upfront costs. Your books are better managed, and you know that every project dollar is accounted for.
2. Insurance Agent/Surety Bond Producer
Your insurance agent can be a valuable resource. Not just to help you to help you get the surety bond you need, or workers compensation or general liability insurance. A good agent is a valuable resource that can connect you with the resources in your community that you’ll need to grow.
3. Your Team
As we mentioned in our previous article, your greatest resource may be the closest to home. Make sure that your staff is on-board with your growth plan and that they understand their role as it relates to that plan.
Also, if you’re planning to take on larger projects, it’s important that you have the labor available to get the job done. If experienced workers in your area are in demand, make sure you can get the team you need for a larger project. Otherwise, you may find yourself short-handed when you need the most help.
4. Your Banker
Your ability to grow your business will be dependent on your liquidity, which may depend on the size of your bank line. That’s why, as you grow your business, you should make sure that you have a good relationship with your bank, and ideally with a personal banker. If you don’t already have a banker, talk to your local branch or credit union.
If you are already working with a bank, include them in your expansion planning. They can help to provide you with a sense of how much credit you can access, and how much liquidity you’ll have available as you take on bigger projects.
5. Your Vendors
If you’re planning to grow your business, you should take the time to talk to your vendors. If the size of your orders is likely to go up, they may be able to offer more favorable terms, or discounts for early payment.
6. Your Attorney
For contractors, bigger jobs mean bigger and more complex contracts. If you don’t already have one, hiring an attorney to review your contracts can make the difference between success and failure. Make sure the attorney you work with is experienced with the construction industry. Remember, if your attorney can help you to avoid unfavorable language or help you avoid liens or liquidated damages, their service pays for itself.
If you’re ready to grow, working with Ox Bonding can help. Our Contractor Credit Program is designed to fully assess a contractor’s potential, both on the job site and in the back office.
Our team of construction experts can determine a bonding line that works for your business, our Project Accounting Service can help you to better organize and manage your back office, and our Requisition Cash Advance service can help you to better manage your cash flow issues so that you have the funds you need to get the job done.
Ready to put Ox Bonding’s experience to work for you? Download an enrollment application or call us today at (877) 55-THE-OX.