In sections one, two, three, and four, we covered many of the risks of expanding your construction business too quickly. In this final section, our Memphis construction attorneys will discuss some final things you should think about when you are deciding whether or not to scale out your business.
Final Thoughts Before You Expand
Here are some things every contractor should consider during the expansion process.
- Expansion Obstacles: As we have discussed throughout this series, there are many pitfalls to expanding a business the wrong way. Has your company left no stone unturned during this process? Never turn a blind eye to any potential issues.
- Teamwork: Are you confident that the majority of your employees support your decision to expand? Are they excited about this opportunity? Remember, expanding your business is only the first step to a successful enterprise.
- Resources: Do you have the proper elements in place to successfully expand? Everything from valuable workers to management-level employees to equipment, machinery, and cash flow needs to be in place for this to happen.
- Expert Approval: Do the experts you consult with agree that this is a great opportunity? Do they have any reservations about the plan you have in place? If the professionals that specialize in this area have concerns, you should too.
- Potential Conflicts: What is the contingency plan if the expansion doesn’t work out as planned? It’s important to consider the worst case scenario and have an exit strategy.
- Personal Life: As this is a time-consuming process, what does your family think about this opportunity? What about your employees and their families? It’s important to remember that this decision will impact more than you and your workforce.
Partner With a Construction Industry Expert
Most contractors don’t know about the expansion process until they are part of one. At Cotney Construction Law, we are dedicated to assisting contractors with every legal aspect of their construction business. If you are looking to acquire a business or expand your business, it’s best to partner with a knowledgeable Memphis construction attorney that understands every nuance of the construction industry and has experience helping clients maximize the value on their business. From defending against OSHA citations to drafting and reviewing contracts to placing effective bids on government projects, we can help you grow your construction business with a variety of specialized services exclusive to the construction industry.
Disclaimer: The information contained in this article is for general educational information only. This information does not constitute legal advice, is not intended to constitute legal advice, nor should it be relied upon as legal advice for your specific factual pattern or situation.