Issue 9 of 9: Low Barriers to Entry

Construction Ownership Transition Issue 9 of 9: There are Few Barriers to Entry for New Contractors.

D. Brown Management

December 10, 2018 1 minute read

Succession: Ownership Transition Issues - Number 9 Barrier to Entry. Don't Let an Ownership Transition Create Another Construction Contractor to Compete With You.

About 500 construction contractors start up each day.

Many of those are just people having an “entrepreneurial seizure,” as Michael Gerber describes in The E-Myth Contractor.
A few of these will have the grit and skills to build the ENR Top 400/600 contractors of tomorrow.
Others are experienced construction executives who will go on to build substantial construction businesses relatively quickly.
In most cases, a new contractor starting up will cause a serious talent drain on the contractor they leave, as well as changing the competitive landscape.

Make sure that your ownership transition plans don’t create another competitor.

Issue 9 of 9: Low Barriers to Entry

Continue building value in your business, yourself and your key team members with a good succession strategy....

Previous Next Go To Series

Related Insights Series

Issue 9 of 9: Low Barriers to Entry

Continue building value in your business, yourself and your key team members with a good succession strategy....

Previous Next Go To Series

Related Insights Series

Preconstruction - Adding Value from the Perspective of the Architect

Getting involved early in the project as it is being developed is one of the best things a contractor can do for profitable growth. Effective precon services will achieve the design the architect wants within the budget the project owner needs.

5C Troubleshooting of Performance

Ask great questions around the five interrelated categories that cause most failures in outcomes or process, including choice, capabilities, capacity, controls, and the conditions in which all those occurred.

leadership management talent development

Contractor Exit Strategy 3 of 6: Strategic Sale to an Outside Buyer

Contractor Exit Strategy 3 of 6: Strategic Sale to an Outside Buyer. This is what every contractor wants, however, only a small percentage of deals truly fit into this category.