How to Overcome 5 Challenges General Contractors Face

 Being a general contractor is a rewarding career. Your hours are flexible, meaning you can better manage your work/life balance. You get to choose who you work with and what jobs you take on. In short, being your own boss has its perks.Like with any job, general contractors face challenges that other workers might not. Here are 5 obstacles you might encounter throughout your career and practical tips to overcome them.

 1) Not Getting Enough Work

This is every contractor's worst nightmare. You need a steady stream of jobs to make a profit and stay in business. Getting jobs depends on how a variety of factors, such as your reputation and how well you market your services.

If you are new to the industry, it can be especially frustrating to find work. One way to increase your odds of landing deals is by becoming licensed. Clients will be more willing to work with you (and even pay more) when you have the right credentials.

If you aren't licensed yet, there are materials out there can help you. For instance, people turn to resources such as the Contractor Training Center. The center offers training services and additional information on the exams for states like Alabama, Ohio, and California.

2) Getting Too Much Work

How could getting too much work be a bad thing? While this might sound like a problem you want to have, getting too much work can spell trouble for your business. Your resources will be stretched thin, meaning you can't give each project the attention it deserves. This will often result in disappointed clients and missed opportunities.

It's important to turn down offers that you can't take on. It's better to focus on what you can handle and satisfy current clients. When you turn away work, this can leave you on better terms with a client than if you were to do a bad job. Be honest with your reasons for turning them away and encourage them to consider you again in the future.

It is normal for the amount of projects at one time to vary. Make sure you are prepared for when the jobs come rolling in. You should have enough employees and resources on hand to account for busier seasons.

3) Getting Lost in the Noise

When you have a lot of projects at hand, you might lay off of your advertising. This will prevent you from having too many offers, but it can cause you to get lost in the noise. Without consistent advertising, you won't have as many people inquiring about your services. Be sure to keep your advertising consistent as it will help you establish your reputation.

4) High Insurance Costs

Of course, you are going to need insurance. This protects you in the event of injury or cases of property damage.

Many, however, overpay for their insurance. You can avoid this by combining coverage or preventing lapses. Additionally, you can save money by reviewing your policies every year.

5) Not Getting Paid

Because you are keeping track of everything yourself, you might find it difficult to determine how much a client owes you. This will make it hard to collect your payment when you are finally done with a project.

There is nothing more frustrating than not getting compensated for all the work you did. To prevent this, keep good track of your records. Log all hours that your employees work. Document all resources and materials that go into the project. Have clients sign change orders every time they request a modification.
 
 
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