There will come a time when you will pass your construction company on to the next generation, sell it or simply close it down.

If this is something, you are considering shortly or perhaps several years down the road it is never too early to begin planning for it.

Prior Planning Prevents Poor Performance

Planning hurts! Because it involves "thinking" which is, some of the hardest work you will ever do and it is the most profitable in the long run.

Just knowing the answers or at least having a strategy for finding answers can mean the difference between comfortable lifestyle and the all too common "Work-Till-You-Die" treadmill that far too many contractors are on.

Start by asking yourself two simple questions:

#1 If your construction company were for sale, would you buy it?

#2 How much would you be willing to pay for it?

Common Problems Of Mom And Dad Contractor

#1 They are Dog And Pickup Truck or Salt Of The Earth Contractors, and I love them all!

#2 Construction Company froze in time doing business the same way

#3 Mom does the books, and she ready to divorce Dad and start a new life

#4 An employee who is a Bad Bookkeeper, Incompetent or Embezzling

#5 Children grew up in the family business and not allowed to initiate new ideas

#6 Children need to do everything themselves; the "Joe Hardway Method."

#7 No website, cloud services, online data storage and old worn out office equipment

#8 When Mom and Dad do let go, they want to take all of the money

Please understand I love contractors because I grew up in a wonderful family that earned our daily bread as contractors. My Step-Father was one of the greatest men I have ever known was a "Salt Of The Earth Contractor".

If you are considering passing your Construction Company to your heirs start planning now. Here are three steps to get you started:

Step #1 - Your Story

Write your story from the perspective of the future. Describe why you started your contracting company and describe some of the projects.

Step #2 - Lessons Learned

Write what you would do differently? Which customers and projects would you avoid and which ones would you pursue?

Step #3 - Start Over

Remake your contracting company as if you are starting over. McDonalds was a way for Ray Kroc to buy land and pay property taxes. Many people ended up doing something different from what they started and you can too!

Step #4 - Board Of Advisors

A Board of Advisors is NOT a Board of Directors. These are our Five Key People whom you are likely paying for their services and even a one-person Handyman company can afford them.

#1 Your Commercial Banker

#2 Your Construction Accountant

#3 Your Tax Preparer

#4 Your Commercial Attorney

#5 Your Financial Planner. Word To The Wise:

"Early To Bed, Early To Rising, Know Your Numbers And Advertise". Our Contractors Success M.A.P. in podcasts and web pages can help you and if you have questions or are interested in some guidance, please email [email protected] or call her 206-361-3950

Listen to this Podcast for more…

If you are Thinking About Outsourcing Your Contractors Bookkeeping Services you are invited to download a guide to finding the right contractor bookkeeping service to fit your particular situation at www.FastEasyAccounting.com/hs

Call Sharie now 206-361-3950 or [email protected] and schedule your no charge one-hour consultation.