9 Tips to build a multi-million dollar contracting business in greater Cincinnati

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9 Tips to build a multi-million dollar
contracting business in greater cincinnati
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• Its still a great time to grow your contracting
  business in Cincinnati Ohio for investment
  property renovation projects. Real estate
  investors in Cincinnati have been investing at a
  great pace to renovate rehab homes such as
  bathroom and kitchen renovations. This means more
  opportunity for independent and general
  contractors to grow their business.
• Here are 9 tips to help you successfully build a
  multi-million dollar home renovation contracting
  business

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1) Plan

• Planning is probably the most important step that
  youre going to take when building a successful
  contracting business. Plan to grow your business
  for the long haul. Youll first want to decide on
  what type of renovation or repair trade that you
  enjoy doing the most and identify if its a
  current need and if its profitable. Starting
  out, you may decide on simply focusing on
  bathroom remodel projects in Cincinnati.

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• Once youve identified what it is that you enjoy
  doing the most that are also profitable, you may
  want to go further in deciding which kinds of
  property renovation that you want to brand your
  business in. This could be single and
  multi-family homes, apartments, rehabs, and
  commercial properties.
• In the planning phase, youre also going to
  determine how much profit you will need to make
  from every job to grow your business.

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2) Make sure youre licensed and insured

• Some states may require it but make sure that
  youre licensed and insured. Being licensed and
  insured not only protects you from anything bad
  that may happen on the job but it also provides
  you with a competitive advantage, opening up more
  bid opportunities. Also, having the proper
  license and insurance is a great way to portray
  trust and responsibility with your customers.

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3) Figure out how much profit you need to make

• Be sure to know how much money you need to make
  every month to keep your business running.
  Contractors are often so caught up in working and
  winning more business that they forget about the
  basics of knowing their business profitability.
  Its not a good scenario if youre winning a lot
  of jobs but those jobs arent leading to
  profitability. After figuring out how much profit
  you need to make. You may decide that you need to
  work larger home renovation projects in
  Cincinnati in order to remain or become
  profitable.

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4) Figure out what youre going to charge for
your services

• Youre going to want to become very knowledgeable
  when it comes to pricing for your services. First
  and foremost, always price to be profitable.
  Never underbid your services to win home
  renovation jobs in Cincinnati. Be very selective
  in the kinds of investment property renovation
  projects that you take. If youre an experienced
  contractor, you probably already know what to
  charge.

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• However, if youre just starting your home
  renovation contracting business, you may have no
  idea what you can or should charge. If youre in
  this boat, there are multiple sources from where
  you can obtain information about what your
  pricing should be for the kinds of services that
  you are offering. A great resource for pricing
  your services is the Renozee App which enables
  you to submit a bid, see other contractors bid,
  and resubmit a more competitive bid to win jobs.

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5) Figure out your brand and what makes you unique

• Since youre going to be submitting competing
  bids and competing against other home renovation
  and repair companies, now is a good time to come
  up with a way of standing out from the crowd. For
  example, you could brand your contracting
  business around quality craftmanship, always
  completing your renovations on time, being
  experienced specifically in investment property
  renovation projects.

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6) Figure out your sales process

• The first thing that youre going to want to
  learn is how to provide clear scopes of work,
  promptly. Know how to layout in plain terms of
  how youre going to complete the job and be able
  to communicate this to the customer. This will be
  a crucial part of your sales process. Also,
  develop a process where you can provide bids and
  scopes of works quickly. The average amount of
  time it takes for contractors to submit detailed
  scopes of work is two to three days.

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• To have a competitive advantage, ensure that
  youre submitting your scope of work before or
  within the same time frame as your competitors.
  Follow-up within 24 hours of submitting your
  scope of work to answer any questions the
  customer may have.
• Offer your customers multiple ways of paying for
  your services. Bigger jobs will require larger
  sums of money to be paid out.

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• Offering multiple ways that your customers can
  pay you will ease the burden on them and allow
  you to win larger jobs. The bidding app Renozee
  enables you to receive customer credit cards and
  check payments quickly directly to your checking
  account.
• Figure out how youre going to track your leads
  and bid submittals. In the home renovation
  contracting business, leads can come from
  anywhere and at any time.

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• Without a clear way of tracking leads and staying
  organized, you may miss out on opportunities for
  submitting prompt bids on high-profit jobs.
  Another reason youre going to want to become
  efficient at tracking leads is for you to
  identify where your good quality leads are coming
  from. Some lead sources may work better than
  others. The lead sources that arent working out
  so well may not be time-consuming and not worth
  your time and costs.

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• Be sure that youre keeping track of all your
  bids submittals. With so many texts, emails, and
  back and forth customer phone calls, its easy to
  lose track of when and where youve placed bids.
  The Renozee app organizes your bid submittals by
  bids placed, job payout size, and jobs awarded.

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7) Create a schedule for days that you dont have
any jobs

• During days that you dont have any working jobs,
  it would be a great time to reach back out to
  past customers to see if they have any available
  or upcoming opportunities. A good way of
  approaching the conversation is to mention that
  youre following up to verify that theyre still
  satisfied with any previous work that youve done
  for them. Lastly, be sure to end the conversation
  by asking who do you know that could also
  benefit my contracting services?

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8) Promote your business

• To become a multi-million dollar home renovation
  contracting business, you have to promote your
  business relentlessly. At every stage of your
  customer interaction, you should always be
  promoting your business. Relying simply on word
  of mouth wont be good enough. Even if youre
  currently getting a lot of business, make time to
  promote your business. As your business becomes
  more profitable, you will become even busier, and
  your efforts in promoting your business may
  decline.

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• While youre out in the field, the Renozee App
  enables you to receive jobs matching your
  business services and enables you to promote and
  bid on jobs for free, saving you time and money.

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9) Hire the best sub-contractors

• As you make your way to becoming a multi-million
  dollar home renovation contracting company, you
  must hire the best sub-contractors. Your
  companys reputation is on the line and one bad
  review could cost you thousands in lost business.
  Hire subcontractors that are genuine and
  passionate about their work. Take the time to
  look into your subcontractors previous work
  history and verify that theyre reliable and do
  quality work.
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