How to become a successful building contractor

How to become a successful building contractor / contractor for beginners – Business opportunities in the field of buying houses, buildings, real estate and the like are no longer in doubt. Because in this day and age, the house is not only about the need for housing. Many rich people build or buy houses, apartments, shop houses to be used as property investment land . It is not surprising that the growth of building property in Indonesia is very fast. As a result, contractors are splashed with profits from this concrete planting business activity
Beginners often ask. How to become a property contractor and home renovation service without capital? Or how do the construction workers buy their own buildings? Let there be progress. Who knows, you might become rich, have a sack of money, have a car, have a house so you don’t live in a rented house. Is it time for you to hold on for life?

Forget the desire to quickly get money easily from a service business that is closely related to this mortar, sand, brick and sweat. The reality is that no business is 100% easy and can be run without any capital. That erases . Not the intention to discourage you from taking business opportunities. Think about it, if it was easy to become a civil contractor, why would anyone be willing to sweat to become a handyman or construction worker?

The working system of building contractors without capital

In theory, to become a contractor looks easy. You could say there are almost no capital, depending on what the wholesale system is like. Incidentally, my business is still closely related to the world of building houses. So I have many co-workers foremen, builders, coolies and contractors. Based on the stories from these colleagues, there are at least 3 general wholesale systems that apply, namely:

1. Project broker system

Juridically, there is actually no project broker system or project mafia like this. But the facts on the ground say (sorry, I pretended not to know just to be safe) this kind of practice is common. Here’s an example of the flow of the system or how it works, which is said to be without capital:

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Simple! That’s the theory. But I’m sure it applies in the old days. In today’s era, there are no officials who want to be bribed or invited by kong kalikong in a bidding game for a big project like that. Except… the person made a mistake!
Indeed, a model building contractor at first glance does not need capital. It is enough to have a strong connection so that the business runs smoothly. But to build cooperative relationships with people, yes, it doesn’t take a lot of money? After all, such dirty business ways are against the code of business ethics. The risk is big if you get audited. And I’m sure you, as a prospective young contractor, don’t want to propose to your girlfriend using the money that is left and right like that, right?

2. Job wholesale system

The way it works is simple. The contractor will be paid to work on the building to completion. Payments are usually made in stages according to the progress of the building being worked on. While the matter of providing materials is the client’s business (it can be the direct home owner or the main contractor).
In the job contracting system, the role of the contractor is more like a foreman because his job is only to coordinate the builders and construction workers. Usually applies to small contractors who only provide renovation services or building houses owned by individuals and sub-contractors at the lowest level. Profit or loss here depends on the ability of a contractor in

  1. Estimate processing time to determine the right wholesale price. A miscalculation has the potential to be a loss because if it turns out that the construction process is delayed, then the wholesale price is not enough to pay the builder’s fees
  2. Choose / hire craftsmen and construction workers who are really expert so that the work is strong, neat and quickly completed. Mistakes in recruiting incompetent or lazy builders will make the work delayed and not finished.
  3. Ability to read site plan drawings or understand consumer desires. The results of work that are not in accordance with the wishes of consumers force us to revise the finished work. Automatically the cost of the handyman also increases. Not to mention complaints from consumers because he also lost materials. So, it is important to learn a little about architecture and communication with consumers must be maintained
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These three skills are absolutely necessary if you want to be a successful novice wholesaler. It looks easy and without capital, but the risk is also great. Just a small mistake makes the business lose.
Judging from the capital, the wholesale job system is more profitable. We just need to find a handyman and watch them work. But try to meet consumers who use street images, aka like to change their minds and are chatty. It feels like being hit by a crazy person, it sucks but you will be blamed if you reply

3. Total wholesale system

If you have succeeded in becoming a small contractor, the next step is to level up to become a large contractor that adheres to a total wholesale system. This means that we take care of all matters from labor to materials.
For that, apart from having the ability like a job contractor as described, we also have to master more complex abilities. Among others are:

  1. Have the ability to calculate the Budget Plan (RAB) and be able to anticipate material price increases that can suddenly rise. At least you have to master the AutoCAD program
  2. Have a building material supplier link that supplies quality building material needs at low prices, including project equipment rental service providers
  3. Mastering financial management, marketing, human resources and extensive business networks. Understand that the building construction service business requires solid teamwork
  4. Mastering the science of architecture. If you don’t have this skill, it’s best to recruit someone who is skilled in civil engineering
  5. Have big capital

Difficult? Not really. If we have plunged ourselves, gradually all obstacles will be overcome. Trust me, experience never lies!

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The key to success as a building contractor

Getting a big project must be the desire of all civil contractors. However, if you are just starting a business and don’t have much experience in the field of house building services, you should learn to understand the ins and outs first. Taking small house renovation services in the early stages is better than playing big projects right away.
Don’t get caught up in a negative mindset in finding consumers who want to build a house instantly. Moreover, directly sending proposals to build hotels, apartments, condominiums or high-rise buildings. Ambition is okay, but measuring self-competence is also important. Because in addition to capital constraints, the risk of loss is also great if you are determined to work on a giant project without enough experience

Actually, starting a building service business is not too difficult either. Because of the ease that we will get after going through the learning process. Even my colleagues can successfully work on big projects from the government or property developers even though they don’t have a civil engineering education background
How to achieve success as a property contractor? Here are the intricacies of a business trip and tips for success from the colleague who does not want to be named
According to him, the key to success as a building contractor is that there are 3 main capitals that must be mastered, namely:

  1. Able to convince and maintain the trust of consumers
  2. Able to coordinate builders and construction workers well
  3. Have the ability to calculate the Budget Plan (RAB) close to the right

If you are interested in taking the opportunity to become a successful young property contractor, the basic foundation must be strengthened first. Similar to building a building, the strength of the foundation determines how sturdy the building can withstand any weather, even floods or hurricanes. But don’t worry, there must be a way. Or do you have experience running this business? Can you share your success tips?