Suggestions of resources for becoming an electrical contractor?

[Rewire]

Don't you need a ton of capital to run that large of a company? I'd have to have about 20 electricians on average minimally to run such a job. That's where I am confused about how I could take on such a venture. I definitely have the abilities to run this type of job, physically and intellectually as I do so already.

Start with a business plan,these are the questions you ask and then answer in your business plan.I need capital what are my options,borrow from family,savings,2nd mortgage,small business loan /grants ,investors.

 

[BackInTheHabit]

Don't you need a ton of capital to run that large of a company? I'd have to have about 20 electricians on average minimally to run such a job. That's where I am confused about how I could take on such a venture. I definitely have the abilities to run this type of job, physically and intellectually as I do so already.

How's the economy in your city/state?

 

[cranky]

How's the economy in your city/state?

Quite good - we are one to the five largest cities in the nation with much new construction planned for the next 8 years - at least.

 

[cranky]

Start with a business plan,these are the questions you ask and then answer in your business plan.I need capital what are my options,borrow from family,savings,2nd mortgage,small business loan /grants ,investors.

thanks - will do!

 

[Wibber]

If I was to do it all over, I would look for an established electrical contracting business, with a good history, of earnings, that is up for sale.

Care to expand on your reasons for making this statement?

 

[emahler]

Here's some information you need.

...........

 

[satcom]

Care to expand on your reasons for making this statement?

When you buy into an existing pofitable business, it is estiblished and if it has been producing a profit for a number of years, it has value, something you will not have starting from scratch, you can spend your time, building more value and adding to the assets.

Three medium size companies in my area were an existing business, they were sold back in the mid 90's today the new owners are expanding the business, and with the recent slow down, many of the new start ups have already dropped out, but the established companies are still in there strong.

I company without study earnings and no assets, has little or no value, owners are pretty much working a job, and usually a bad job at that.

It is sad is to watch someone work all their life at what the think is a business, only in the end to have they had a job, and no value in the business.

 

[cadpoint]

Hi all - I'm new to the forum,....
...
anyone had some suggestions of resources for researching this option...!

Welcome!

Get a Good Physical & get your Eyes Examined!

Eye Doctor said the eyes are 3rd in recieving the largest amount of blood flow, she explained that after saying that was here CMU lecture studies for the year.

If your Eyes are water'n, see a Doctor.

You'll truely be doing alot more reading over-all with your possible business endevours.

Or just getting red eye from reading here, or just your basic eye strain, just seems like no fun . . .

Safety and Eye Protection 0?0

Good Luck

 

[bradleyelectric]

Welcome!

Get a Good Physical & get your Eyes Examined!

Eye Doctor said the eyes are 3rd in recieving the largest amount of blood flow, she explained that after saying that was here CMU lecture studies for the year.

If your Eyes are water'n, see a Doctor.

You'll truely be doing alot more reading over-all with your possible business endevours.

Or just getting red eye from reading here, or just your basic eye strain, just seems like no fun . . .

Safety and Eye Protection 0?0

Good Luck

And there you have it!!

 

[cadishead]

Training

Training

Contact IBEW in The City of Commerce (Los Angeles) They have a great contractor training program. Also try Allied for CD training.

Good Luck

cadishead

 

[john_axelson]

Good Luck!

Good Luck!

Contact IBEW in The City of Commerce (Los Angeles) They have a great contractor training program.

Maybe you should decide if you want to be union or non-union before taking this step. That should be part of your business plan. You should have some understanding as to what your start up costs might be. If you are thinking union, then one of your first questions to them should be, What are the costs to operate as a signatory contractor?

Personnally, I think that you are crazy if you try to do a $5 million project right out of the gate, unless you acquire an existing company with some extremely talented people and you won't know the talent level until you have seen them in action. That is a HUGE risk.

Do you have any idea how you would bank roll the first few months of a project that size? Not getting a check on that first pay application until you are 60 to 90 days into the project would be enough to capsize some of the best. Plus you will have a difficult time finding suppliers willing to give you a credit line large enough to handle a project like that.

Have you developed good working relationships with your equipment and material suppliers? That will be another item that you need to address in that business plan.

Good luck, my recommendation would be to foster those GC relationships and start smaller. You have to keep in mind, those great contacts doing the large projects are probably already working on that large project and won't be starting the next one (if you are lucky) for another 6 months or more, so where is your income going to come from for the first year, without them?

 

[SmithBuilt]

These people are very well thought of here.

http://www.score.org/index.html

They are retired businessmen. The ones I meet with were very knowledgeable. It's free.




How well you run the business end will determine whether you make it or not and how big. I'm sure your a fine electrician most of the members of this board are but very few are great managers.