Contractors Making It Through Tough Economic Times

The more I think about it, the more I remember about the lessons I learned from the construction companies that I used to work for. The contractors that made it through the tough economic times were usually the contractors that really knew how to run and operate a construction company.

Some of the contractors I worked for when I first started working as a framing carpenter, used to make so much money that they didn't know what to do with it all. They bought large houses, fancy cars and some of them even spent lavish amounts of money on extracurricular activities, like gambling and racing.

The contractors that really knew how to run their construction companies and were planning on staying in business for a long time didn't do any of that stuff. They bought lumber yards, roof truss companies, speculated on lumber and saved every penny that they could, just in case the bottom fell out of the housing market.

If you're a contractor today, there's a good chance that you've made it through the tough times already. By the middle of 2010, things should be starting to roll again, as the next presidential election year starts to come around the corner. People are still having babies and when they're not building homes, they're creating a housing shortage.

Housing shortages lead to construction booms and if you manage to make it through the tough times, there's a good chance that your company will be able to benefit as the laws of supply and demand shift into your favor.

I tip my hat to all of those who made it through the tough times and hope that the ones, who didn't, learn their lessons and remember them well. Remember this, just because you made it through these tough times, doesn't mean that you're going to make it through the next ones, unless you buckle down and save up some money up, for the next one.