Heavy Equipment Needed to Start a Construction Business

Construction is a necessary and profitable industry. When you use the right machinery, it’s easier to get each job done quickly, efficiently, and professionally. To serve your clients well, you should consider investing in a range of heavy equipment.

For some companies, purchasing new equipment is the best long-term choice. However, many construction companies can benefit from buying used heavy equipment. This choice allows you to satisfy clients without making a substantial upfront investment, so you can put more of your hard-earned money toward growing your business.

Learn about the common kinds of heavy equipment for construction and how this equipment factors into building a construction company

What Is Needed to Start a Construction Business?

There’s more to starting a construction company than just doing strong work in the field. The key to starting a successful construction company is first understanding the business and legal side of running a company and having a heavy equipment business plan. Here are some of the steps you’ll need to complete:

• Buy or rent an official business location.
• Register your construction business.
• Obtain appropriate licenses, permits, and certifications.

The necessary licensure and certifications will vary depending on your municipality, city, and state, so do some research to learn what licenses are needed to start a construction business in your area.

Further, you have insurance responsibilities as a business owner. Construction companies have certain risks associated with the work they do. Insurance ensures you and your company’s assets are protected from damages, liability, and work-related injuries.

Another business-end aspect that’s crucial to consider is financing. Starting any business from scratch costs significant amounts of money. Paying bills, meeting payroll, and obtaining supplies and machinery are just a few of the many expenses you need to be prepared to cover. Loans are a great way to get your business started with adequate funds.

Essential Heavy Equipment Options for a Construction Company

What heavy equipment will you need to start a construction company? The best approach depends on your customer base and the kind of work you offer. However, there are some commonly needed pieces of equipment for construction. Consider this list of equipment used in construction when determining which machines you’ll need:

• Excavators: Excavators are versatile machines that are commonly used for tasks like heavy lifting, excavating, demolition, dredging, and more.
• Bulldozers: Bulldozers are used to remove or move topsoil and loose materials up to a certain depth using a wide-edged metal plate.
• Backhoes: Backhoes feature a loading bucket in the front for lifting materials and a hoe arrangement in the back, which is useful for excavating below the machine’s level.
• Off-highway trucks: These trucks are used to transport large quantities of materials to other job sites or dump yards.
• Loaders: Loaders have a larger bucket and shorter arm and are widely used to load materials like soil or demolition waste onto trucks or transport them around the site.
• Compactors: Also known as rollers, compactors are used to compact soil or material like asphalt.

Tips for Starting a Construction Business

With so much to consider when starting a construction business, you may not know where to begin. To help you navigate the process, consider these additional tips for getting your construction company started:

1. Create a Heavy Equipment Business Plan

Creating a business plan helps you stay organized and focused on your goals. Establish timeframes for every stage and anything that will aid in a smooth business operation. Many financial institutions even require businesses to submit a business plan when they apply for funding, so this step may help you secure a loan.

2. Network With Contractors and Suppliers

As a construction company, you’ll be working with other contractors and suppliers on various jobs. Establishing and building good relationships with contractors, suppliers, and other industry inspectors helps you build a professional network of people you can rely on. You’ll be much more successful with positive industry relationships.

3. Avoid Common Mistakes and Pitfalls

A small number of startup businesses survive the first couple of years in business. To help your construction company launch successfully, try to avoid these common mistakes:

• Jumping into projects without a plan: Strategic planning, effective communication, and thorough documentation are crucial to ensuring you have a well-thought-out plan for each job you take.
• Overlooking risks: Be careful to avoid overlooking or underestimating risks and hazards on the job. Doing so can lead to damage or injuries, costing you significant money and time.
• Forgetting to track progress: Monitoring your business’s progress and efforts can help you make important business decisions and address any necessary changes.

Equipment Buying Considerations When Starting a Construction Business

When you’re just getting your business started, you’ll likely encounter numerous costs as you set up your company. One of the most significant costs will be heavy machinery, which is what enables you to complete your work. The equipment needed for construction jobs will vary between companies.

Buying new equipment has several important benefits, including access to new technology and the ability to invest in the exact type of equipment you need. However, purchasing used equipment can help you stay within your budget while still accessing the machinery you need to complete quality work.

As you start to put together your fleet, take time to consider whether an entirely new line of equipment makes sense for your operations, or if investing in a few used options would be a more practical choice when you’re just starting out.

Choose Quality Construction Equipment From Thompson Tractor

As the only authorized Cat® dealer in northwest Florida and Alabama, Thompson Tractor is the premier choice for new and used construction equipment sales in this area. Regardless of the equipment manufacturer, you’re guaranteed to get a machine that’s ready for work.

From material handlers to earthmoving and roadwork equipment, Thompson Tractor has the construction equipment necessary for you to start your business. We stock various types of new machinery and used equipment.

Additionally, we have several lift equipment options available through Thompson Lift Truck and quality rental machinery choices from Thompson Rents.

If you can’t find what you’re looking for on our website, call us at 833-681-7222. We’ll do our best to connect you with the equipment you need or provide a secondary solution that would work well for your project. You can count on quality service every time you partner with us.

To learn more about your options, explore our heavy equipment selection at a location near you and contact us today.