Introduction

The US construction industry produces some of the best-built projects in the world, yet it continues to suffer from one of the highest business failure rates of any industry. This introduction explains why being good at building the work alone is no longer enough to ensure success as a contractor. Most contractors are highly trained builders and engineers, but few receive formal education in finance, accounting, economics, or business management, which are critical skills needed to run a profitable company. As a result, many company owners embrace the beliefs and practices that no longer work in today's challenging construction market. Drawing on decades of research and experience with failing contractors, the author explains how unchallenged assumptions about the business side of construction have contributed to declining profit margins and increasing failure rates. This book shifts the focus from simply building projects effectively to understanding and managing the business of construction. It provides practical guidance for improving profitability, reducing risk, and building more sustainable construction enterprises.