Sample Concrete Block Making Business Plan Template

CONCRETE BLOCK MANUFACTURING BUSINESS PLAN PDF SAMPLE

One of the basic need of humanity is shelter. Every human being sees it as a necessity to have a roof over their head. This explain why there is always a demand for shelter.

In order to meet this demand you will need to build houses, in order to build houses, you will need concrete blocks.  The point I am driving at is that concrete block making business is a very lucrative business that you can consider doing.

However, as profitable as concrete block making business is, if you don’t know the right steps you need to take when you are starting it, you might not be able to profit from it. This is why it is essential to have a good knowledge of the business.

You need to know about the basic requirements, the equipment and the materials you will need, the risks involved and the right way to go about it. All of these and even more will be duly addressed in this article. Take your time to go through it.

A concrete block business is crucial to the building industry. If you have a strong desire to float your business, this concrete block industry business plan sample will be beneficial to you. You may have been influenced by one or more factors.

Whatever the case is, you need to have an understanding of the inner workings of the industry before you set sail.

It is assumed that at this point, you have done your study of what is required. All you need to do is put this into a definite plan. We are out to help you do this through this sample.

Many entrepreneurs don’t consider starting a concrete company when looking to start a business. Maybe because the business is not that common and popular like other businesses. If you are an entrepreneur with some civil engineering experience, you can start a concrete company.

For you to be able to venture into the construction industry, you will need to be very bold, self-motivated and creative as the industry is filled with talented craftsmen of which many are highly trained personnel.

Do you want to start a concrete company? Have you worked in a concrete company before? Working in a concrete company for years is a must if you want to start and succeed in the business. If you have no knowledge about the business and have not worked in a concrete company before, I will advise you reconsider your action.

There is no magic about it. There is no way you can achieve success in a concrete company if you have not worked in that line before. Please, if you know you are the person I am talking to, kindly bookmark this post, close it and go work in a concrete industry for at least 5 years and learn whatever you need to learn to get yourself armed with necessary information.

Here is a free business plan for starting a concrete block manufacturing company.

  • A Detailed Concrete Business Plan

If you have done your homework, you should know by now that a business plan is a must have resources for this business. A good business plan will let the entrepreneur see all of the details regarding the business.

Your business plan must include your startup cost, location, number of employees and their qualification, marketing strategies, equipment that will be needed and their costs etc.

One other good thing about a business plan is that investors and lenders will take you serious and will consider funding your business.

  • Source for Materials for the Concrete Company

One important aspect of the business is the materials you will use for your concrete. It is very necessary you go out and shop for reliable suppliers and their prices. Choose a supplier that deliver good quality and must not disappoint.

The last thing you would ever want in your business is having a project delay because your supplier is yet to deliver the materials needed for the work to start. If it happened, it will spoil your company’s name and your client won’t want to contract your company next time.

  • Apply for Concrete Company License

This is also important when starting a concrete company. No client will want to work with you if you are not government approved. You must be a licensed contractor to be able to win contracts.

All paper work must be taken care of starting from registering your company’s name to getting every necessary documents and getting a concrete company license before you start operation. It is advisable to go to the local authorities and fulfill the requirement. It may be a lot of work but it is absolutely necessary.

  • Choose a Location

The subject of location should even be on your mind at the start of thinking about starting this business. The place you choose to site your concrete company should be a place that will be convenient for your clients and also close to where you can get raw materials for work.

The place must also be big enough to be used as a workplace for your workers and also to store materials. You can take a look at your competitors and get an insight of a good place to site your company.

  • Build and Grow your Network  

To grow your concrete company, you will need to network with other entrepreneurs in the concrete business by joining an association of concrete contractors. This will grow your business credibility, and as a member, you will have access to reliable suppliers and other contractors who may be able to refer you to potential clients to help you get started.

Establishing your network also entails you work with other concrete companies as a subcontractor. This way, you can build a portfolio for your company and have something to show potential clients.

  • Buy the Right Equipment

You can’t work without equipment. Equipment you will need includes but not limited to are;

  • Trucks (at least 2).
  • Concrete Mixer
  • Concrete Cleaners
  • Spreaders and Tampers
  • Concrete forms and Concrete Molds

These are some equipment that you will be needing to run a concrete company effectively.

  • Get the Right Employees

In the concrete company, we have two types of employees. There is the administrative staff and the field workers or engineers. The administrative staff are the ones that takes care of the paper work. They should be intelligent and qualified for the job.

Also, your field workers must be professionals and skillful too. You must find the right team to work with if you will want to achieve success in the construction industry. Getting the right squad is an important factor you must be in mind.

  •  GET STARTED

After taking all the necessary step listed above, the next requirement you will need to start your concrete block making business is capital. So, you must find means to raise the capital. When you have the capital, you can then get a suitable location and purchase the necessary equipment and materials you will need.

Some of the equipment you will need are concrete block molder, concrete mixer, and concrete block mixing machine, a stand by generator, block carriers, a borehole for water supply, a delivery vehicle, wheel barrows, and head pans. You will also need some materials like cement, and sharp sand. After getting all these, the next thing is to employ competent and highly skilled workers to use the block making machine and then set the ball rolling.

If you take this necessary steps, especially the step that involved getting the needed skill, there is a high possibility that your concrete block making business will succeed. So please, don’t ignore any of the steps I talked about. In fact, I will suggest that you even do a further research to learn more about the concrete block making business as there is more to it than what I have written.

CONCRETE BLOCK MANUFACTURING BUSINESS PLAN EXAMPLE

By using this as a guide, you will put together a plan that is easy to follow and implementable.

  • Executive Summary

CornerStone LLC is a concrete block industry in Indiana that produces different sizes and shapes of concrete blocks and bricks primarily for the building industry. In order to take off on the right note, we have done a market survey and feasibility study. There is a lot of potential for our business. Although there is a strong competition, our knowledge of this industry places us at an advantage.

Cornerstone is founded by a Carl Colton and Geoffrey Martins, a Civil Engineer and Quantity Surveyor respectively. They both have a combined 40 years of experience. This partnership is strategic as we will tap into the experience and expertise of our founders and workforce in penetrating a huge concrete block market.

  • Our Products

Our products consist mainly of concrete blocks and bricks. These will come in different sizes as well as shapes to meet the demands of our clients. We are open to any innovation and changes that may arise in future. We any challenge and will quickly adapt to these changes immediately there is a shift in customer preferences. This allows us to remain relevant in the industry.

  • Vision Statement

Our vision is to be among the leading and well known concrete block brands in Indiana. To attain this height, we will set out to ensure that all our products meet the highest standards. Our customer care and after-services will be exceptional to endear us to our valued clients.

  • Mission Statement

Our mission is to build a thriving business that will not only focus on profits but on providing solutions to building problems. We have modeled our business in such a way that allows us easily adapt to new innovation. We will also treat our clients on an individual basis as a way of providing greater satisfaction.

  • Start-up Funding

We have pooled resources together towards achieving our long-term dream of setting up a formidable concrete block industry. Over a 10 year period, our founders Carl Colton and Geoffrey Martins have saved up the sum of $500,000.00 together. An Additional $300,000.00 will be raised through bank credit towards realizing our business. The sum $500,000.00 will go into the purchase of equipment, materials and other concrete block making machine.

We will also be renting a space for this purpose. The remaining sum of $300,000.00 will be used as running costs during a 3 to 5 month period until the business stabilizes.

  • SWOT Analysis

We have hired reliable hands to conduct an analysis of strength, weakness, opportunities and threats. Results obtained will influence our operations. We seek to streamline our efforts towards driving growth and reducing our risk exposure to the barest minimum. The following are the findings;

  • Strengths

At CornerStone LLC, our strength lies in our deep understanding of the housing market. The significant years of experience and expertise of the founders places us at an advantage to navigate our business to growth and profitability. We have also ensured that our staffs meet our minimum qualification which is at least 5 years of experience in the concrete block industry.

This includes administration, production, marketing and sales personnel. These are areas of strength that distinguishes us from most concrete block businesses.

  • Weakness

We are a new business with limited funding. This puts us at a disadvantage compared to major concrete block businesses which control a large share of the market. These also have huge financial resources at their disposal.

  • Opportunities

There is currently an ongoing housing boom in Indiana that is predicted to last for over a decade. This presents us with significant opportunities for growth as there will be steady demand for our concrete block products. We will exploit this opportunity in growing our business and establishing a reliable and solid brand.

  • Threats

Threats are an ever present reality businesses have to deal with. At CornerStone LLC, we realize this and have identified ours. These threats come in the form of a recession. The housing bubble sparked by the financial meltdown of 2008 saw a crash in the value of mortgages. In the event this happens again, the negative impacts will reverberate across the industry and will directly affect the concrete block industry.

  • Sales Projection

Market survey reveals a potential for rising demands for our products. Using available information obtained through an examination of demand and supply and the cost of goods and services, we have drawn a three year sales projection for our business as follows;

  • First Financial Year $500,000.00
  • Second Financial Year $900,000.00
  • Third Financial Year $1,400,000.00

 

  • Target Market

We have identified our target market and it consists mainly of service construction companies. We have entered into talks with contractors that have resulted in agreements for the supply of our concrete block products. We have identified the required minimum standards and seek to attain these standards through the best means possible.

  • Competitive Advantage

There has been a rising level of competitiveness in the concrete block industry. To attain and maintain a significant level of profitability, our experience in this industry will be of much benefit. We have a team that understands just how the industry works and where to concentrate our efforts.

Another advantage we have is our capacity to easily adapt to new innovation. We have set in motion strategies that will enable us switch our production efforts once there is a high demand for a new product.

  • Marketing Strategies

Our marketing team is made of experts that have a deeper level of understanding of the forces of demand and supply. We have also established a strong and valuable network with industry influencers. These enable us adapt our services and products to suit rising demands. Our marketing department will continually develop the most effective strategies of creating an increased presence and reputation.

Having gone through our concrete block industry business plan sample, you can see that the steps highlighted are indispensable to producing a good plan. Following this format, you can carefully create a plan that is unique to your business and meets the best standards.

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