If you're a contractor, you know that time is money. The more efficiently you can work, the more jobs you can take on and the more money you can make.
If you finish a job ahead of schedule, you may be able to take on another job and start earning revenue sooner than expected.
Similarly, if you can save your clients money on construction costs, they may be more likely to hire you for future projects.
In this blog post, we will discuss six ways that contractors can save time and hassle. These tips are based on years of experience in the construction industry, and they will help you get the most out of your time (and your wallet).
Let's get started!
6 Ways Contractors Save Time
Business cost reduction techniques are important for any business, but they are especially vital for contractors.
Here are six of the best ways to save time and money on the job site:
1. Pay As You Go Payroll
Pay as you go payroll is a form of payroll funding that allows you to pay your workers as they complete their work, rather than waiting until the end of the week or month.
This can save you a lot of time and money, because you don't have to worry about managing payroll yourself, and you don't have to pay your workers upfront.
For example, if you have a crew of 10 workers working 40 hours each week, you would only have to pay for their work as they complete it.
That way, if the project ends up finishing early and you don't need all 10 workers for the full 40 hours, you only have to pay for the time they actually worked.
On the admin side, pay as you go payroll can save time by automating deductions and invoicing.
This means that you don't have to spend time manually calculating each worker's hours, deducting taxes, and sending out invoices.
The software will do all of that for you, so you can focus on other aspects of your business.
2. Pay As You Go Workers Comp (With Payroll)
You can also tackle workers' compensation insurance with a pay as you go scheme. Pay as you go workers comp lets you pay your premiums based on actual payroll, as opposed to paying a lump sum at the beginning of the policy period. This can save you money if you have fluctuating payroll from month to month.
Like with traditional workers comp, premiums are calculated based on a rate per $100 of payroll. But with pay as you go, you only pay for the coverage you use. If you have a light month in terms of payroll, you’ll pay less in premiums.
Pay as you go workers comp can help you save time by simplifying the payment process and giving you the flexibility to budget for premiums based on actual payroll.
It is also a good cost reduction technique by allowing you to pass on the cost of workers' compensation insurance to your employees through payroll deductions.
3. Bundling Insurance
If you're looking for more ways to save time as a contractor, try bundling all of your insurance risks coverages with one expert: builders risk, commercial auto insurance, general liability, surety bonds, workers compensation, pollution liability, equipment breakdown, and more contractors insurance coverages.
A World Insurance broker can help you find the right coverage for your business at the right price. You may also qualify for greater discounts with a multi-line policy.
And because your broker represents many insurers, you're more likely to find the coverage that best fits your needs at the best price.
Bundling your insurance is a sure-fire way to save time, reduce paperwork, and reduce any coverage gaps.
4. Outsourcing Admin and HR Tasks
Many of the daily tasks that come with managing a contracting business can be outsourced to save time.
For example, rather than having someone on staff to handle payroll and benefits, you can outsource these services to a professional employer organization (PEO). PEOs can also help with other HR tasks, such as recruiting, employee training, and risk management.
Outsourcing admin tasks, such as bookkeeping and accounting, is another great way to free up time so you can focus on running your business.
5. Digital Documentation
Going digital with your documentation is another way contractors save time. If you currently work in a paper-based system, or even if you use a mix of paper and digital, consider going completely digital.
There are many construction document management software programs available that can help you manage everything from project proposals to punch lists. Using one of these programs can help you save time by giving you quick access to the information you need, when you need it.
For example, platforms like Salus Safety are specifically built for the construction industry. They have features like a digital site journal, which allows you to track and manage all the activities on your construction site in one place.
6. SaaS Project Management Tools
Software as a service project management tools are another hefty widget all contractors should be using.
By offloading some of the project management burdens to a software tool, you can save time (and money) by ensuring that all your project information is organized and easily accessible.
There are many different types of SaaS project management tools available, so it’s important to choose one that will fit the specific needs of your construction business.
For example, if you manage a lot of projects concurrently, you’ll want a tool that can help you keep track of all the different moving parts.
On the other hand, if you need help staying organized, look for a tool with robust task-management capabilities.
Insurance Helps Contractors Save Time and Money
One of the best ways contractors save time is by getting insurance. This way they are protected against any accidents that may occur on the job site. Not only does this save time, but it also saves money in the long run.
At World Insurance, we have decades of experience working with contractors and tradesmen. We can explain your options and tailor a plan that makes sense for you and your business.
We offer several types of contractor insurance, including:
- General liability insurance
- Property damage insurance
- Business auto insurance
- Workers' compensation insurance
- And more!
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