What does a construction company owner actually do day to day?
Most construction owners split their time between pricing and winning work, running crews and sites, chasing payment, and keeping relationships with clients, suppliers and the surety. Before you buy, shadow the seller for a stretch and note which tasks only the seller can do.
If you are thinking of buying a construction company, you are buying a job as well as a business. The owner’s day is seldom the same twice. It moves between the office, the truck and the phone, and weather and supplier delays can rearrange it by mid-morning. Knowing what the days contain helps you decide whether you want to step into them.
Winning and pricing work
Estimating and bidding often sit with the owner. That means reading drawings, pricing labour and materials, and judging which jobs to decline. Ask who prepared the last several bids, and whether pricing records exist in writing. The organizational chart will tell you who wins and delivers work, which shows how much of this rests on one person.
Running crews, sites and equipment
Scheduling crews around weather, inspections and deliveries is a daily puzzle. The owner may visit several sites, settle disputes, approve changes and decide when a machine is repaired or replaced. Ask which site leads can run a job alone, and which decisions the owner keeps for themselves.
Getting paid and keeping relationships
Invoicing, following up on late payments and tracking what customers hold back all take time. So does tending to general contractors, repeat clients and, where the company uses one, a surety. Ask how those relationships are managed. EDC explains surety bonds in general terms (see the sources below), and the provider will set its own requirements.
Testing it before you close
- Ask to spend several weeks alongside the seller, including bid days and a payment follow-up.
- Keep a list of every task only the seller performed.
- Meet the main clients and suppliers with the seller present.
- Ask the seller what would go wrong first if they were away for a month.
Related reading
10 pages on the same subject, grouped by topic.
Buying
Due diligence
Selling
Sources
This answer is checked against primary sources. Links were last confirmed on the dates shown.
- 01Export Development CanadaGovernmentSurety Bond Insurance
- 02Business Development Bank of CanadaGovernmentUnderstanding post-merger operational integration
- 03Business Development Bank of CanadaGovernmentHow to conduct due diligence when buying a business
- 04Business Development Bank of CanadaGovernmentAdvice for succession planning - Articles and tools
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