How to Start a Construction Company In Arizona
There are some important steps to take to start a construction business in the state of Arizona. A construction company could include building, excavation, home improvements, carpentry or any other type of commercial or residential work. You may want to start here: How To Start A Construction Company. You must do your own thorough research, as laws change regularly. Here are some steps you may have to take (not necessarily in order) to register your construction company, along with links to more information.
Getting started– The official website about how to start a business in Arizona is found here: Arizona Business Startup Checklist
One of the first things you will need to do is register your business name.
Find out more about registering a fictitious name or DBA (“Doing Business As”) here: Arizona Trade Names and Trademarks
If you need help selecting a name for your contractor business: Choosing a Construction Company
Before registering your business, you will need to select your business structure.
Sole-proprietor, LLC, Partnership, Corporation, etc. Find out more here: Arizona Business Structure
You will need to register your construction business with the state of Arizona.
Find out more about business registration in the state of Arizona here: Arizona Business License
You will need to open a business account at your bank.
You will need to open a separate bank account for your construction company with your new business name.
You will need to register your business for tax purposes and may want to hire an accountant.
If you are a small company, it is not too difficult to file your own taxes. As you grow, it will be easier to have an accountant do the work. More info about taxes here:
Get Construction Software.
Construction software will streamline your business before you even start, giving you visibility and control over all your leads, sales, jobs, and tasks from a single program to get your company on the fast track toward growth.
You’ll also be able to create estimates, place material orders, automate the boring (but necessary) stuff, empowering you and your team to finish jobs on time and on budget. Try JobNimbus for Free!
You will need Liability Insurance.
More about liability insurance here: Contractor Liability Insurance
You will need to register as a contractor with the state of Arizona.
You must apply for a contractor’s license to become a home improvement contractor in Arizona. Find out more about registration here: Arizona Contractor Registration .
-Offer Payment Options to CustomersOffering payment options with your bids will help you work with clients that don’t have all the cash up front. Hearth’s software allows you to pre-qualify your customers (without affecting their credit score) directly from a mobile app so that you can win more business and larger project sizes, even on deductibles. With Hearth:
- Loan amounts can range from $1,000-$100,000, and customers can get funds into their account in 1-5 days.
- You can serve clients with credit scores as low as 500.
- You’ll never pay per-loan dealer fees.
- There are no minimum requirements to join!
You may need worker’s compensation if you have employees.
You will be responsible for your own health insurance.
Since you will be self-employed, you will need your own health insurance. If you have employees, you will need a plan that will include their health needs also.
You are responsible to obtain any necessary city licenses or permits.
You may be required to obtain a license and/or permit to operate a contracting business in a particular locale, whether you are a resident, or not.
You need to be aware of building codes and inspections.
You need to make sure your construction work follows the building codes in your area, realizing that your work may be subject to inspections.
You may be subject to OSHA regulations.
Depending on how many employees you have, you may need to follow OSHA regulations.
Depending on your startup budget, you may need to apply for financing to help pay for equipment.