How to Start a Concrete Business: Practical Steps for Success
Columbus, OH

How to Start a Concrete Business: Practical Steps for Success

Columbus, OH

How to Start a Concrete Business: Practical Steps for Success


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Jennifer Carlson
Written by
Jennifer Carlson
Edited by
Tara Farmer
Fact-checked by
Kristen Cramer

How to start a concrete company

Starting a concrete business is a significant undertaking, but with careful planning and attention to detail, you can build a business that stands strong for years. Following these expert tips and learning from industry best practices will help you avoid common pitfalls and set the foundation for long-term success.

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1. Lay a solid foundation

Before pouring your first yard of concrete, take time to plan. Research the local market, analyze your competition, and identify your target customers. Understand the demand for concrete services in your area and consider specializing in residential, commercial, or decorative concrete to differentiate yourself.

Planning also means setting realistic timelines for your business milestones. Will you start with small residential jobs, or do you have the resources to target larger commercial contracts? Mapping out your growth trajectory helps you allocate resources wisely and anticipate challenges before they arise.

Making a business plan

A comprehensive business plan is critical for guiding your company's direction and securing funding if needed. Your plan should include:

  • Executive summary: Brief overview of your business, mission, and financial highlights

  • Market analysis: Research on industry trends, customer demographics, and competition

  • Services offered: Description of your concrete products and services, including what makes you unique

  • Marketing strategy: How you will reach and retain customers, including digital and local tactics

  • Financial plan: Startup costs, profit and loss estimates, and cash flow projections for the next 3 to 5 years

Consult with a legal professional to help you choose the best business structure: sole proprietorship, partnership, LLC, or corporation. Each structure has different implications for liability, taxes, and growth potential. Hire an accountant early on to help you understand your financial needs and keep your books in order.

Your team extends beyond professionals—consider the value of mentors and industry peers. Networking with experienced concrete business owners can provide practical advice and open doors to new opportunities. Don't underestimate the importance of building a support system as you launch your company!

Registration & licensing

Pick a name no one else is using already and register your business with the appropriate state and local agencies. Obtain all necessary licenses and permits. Requirements vary by location and may include state, city, or county licenses. Many jurisdictions also require bonding and insurance.

Navigating the legal landscape can be complex, but it's essential for protecting your business. Stay informed about changes in local regulations and ensure your documentation is always up to date. This diligence will help you avoid costly fines and legal issues down the road.

Choosing an insurance plan

Work with an insurance agent who has experience in construction trades to make sure you have the right amount of coverage for your concrete business. Essential insurance includes:

  • General liability: Covers property damage and injuries

  • Workers' compensation: Required in most states when you have employees

  • Professional liability: Protects during claims of negligence

  • Commercial vehicle: Covers work trucks and transportation

  • Equipment: Protects your tools and machinery

Funding

If you don't have enough savings to cover all the startup costs for your business, you may have to rely on outside funding. This could be a small business loan, a crowdfunding website, or a private investor (including friends or family if they're willing). Open a separate business bank account and credit card to keep your finances separate.

3. Establish your costs and set prices {#prices}

Calculate your startup and ongoing costs, including equipment, materials, labor, insurance, and marketing. Only then can you set concrete prices that cover your expenses and generate a profit. Be realistic about your margins and review your pricing regularly to stay competitive and profitable.

It's crucial to keep a close eye on fluctuating material costs and labor rates, as these can impact your bottom line. Create a detailed budget that accounts for both fixed and variable expenses and be prepared to adjust your pricing strategy as market conditions change.

Services to offer

The services you provide will also help determine your rates. You may choose to specialize in one or two areas or provide a broad range of services. Common concrete projects include:

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  • Steps

  • Patios

  • Driveways

  • Countertops

  • Sidewalks & curbs

  • Concrete tile roofs

  • Sealing existing concrete

  • Removing or resurfacing

  • Walls and retaining walls

  • Stamped, polished, and stained concrete

4. Set up shop

You don't need a fancy office to get started. A dedicated workspace, a business phone line, and a professional email address are enough to begin. Create a simple website with your contact information, a description of your services, and some before-and-after photos to entice new customers. Use digital tools to manage appointments, estimates, and invoicing. Keep overhead low so you can reinvest in your business as it grows.

Consider the benefits of a mobile office setup, especially in the initial stages. Many successful concrete companies operate from a home office or a small, rented space, saving money for more critical investments like equipment and marketing.

Investing in equipment

Equipment will be your largest initial expense. Start with the essentials: a reliable mixer truck, finishing tools, and safety gear. Consider renting equipment or buying used equipment to save money, then upgrade as your business grows. Focus on quality and reliability since your equipment is the backbone of your operations.

Regular maintenance and timely upgrades are key to keeping your equipment in top condition. Establish a maintenance schedule and keep detailed records of repairs and servicing. This proactive approach minimizes downtime and extends the lifespan of your investment.

5. Build relationships with suppliers

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Develop strong relationships with local suppliers for cement, aggregates, and other materials. Compare prices, delivery options, and credit terms. Look for suppliers that offer good service and reliability, as timely deliveries are crucial in the concrete business.

A dependable supply chain is vital for meeting project deadlines and maintaining quality standards. Negotiate favorable terms and build partnerships with multiple suppliers to ensure you always have access to the materials you need, even during shortages or high-demand periods.

6. Hire and train a crew

If your workload requires employees, recruit experienced concrete laborers who share your commitment to quality and safety. Invest in training to ensure your team is skilled and efficient. A well-trained crew will help you deliver high-quality results and build a strong reputation in your community.

Employee retention is just as important as hiring the right people. Offer competitive wages, clear career paths, and ongoing training opportunities. A motivated and skilled team is your greatest asset in a labor-intensive industry like concrete.

7. Promote your business

Your success depends on your ability to sell your services. Develop a professional sales kit, including business cards, brochures, and a portfolio of past projects. Use the following strategies to increase your presence online and in your community:

  • Digital marketing on social media

  • Join HomeGuide to gain access to more potential clients and leads

  • Word-of-mouth referrals to attract new clients

  • Signage at job sites to increase visibility

  • Promotions or referral incentives to encourage repeat business

  • Discounts for first-time customers or bundled services

Effective marketing isn't just about attracting new customers. It's about building trust and credibility with existing customers, too. Highlight your expertise, display before-and-after photos, and collect testimonials from satisfied clients. A strong online presence can help you stand out in a competitive market.

Manage growth wisely

Only take on jobs you can complete profitably and safely. Avoid high-risk projects until you have the experience and resources to manage them. As your business grows, reinvest in equipment, training, and marketing to expand your reach and capabilities.

Managing risk also means staying informed about industry trends and regulatory changes. Diversify your client base to reduce reliance on a single market segment and maintain a healthy cash reserve to weather economic fluctuations.

Contractor inspecting a new concrete slab construction
Contractor inspecting a new concrete slab construction

FAQs about starting a concrete business

How much do concrete business owners make?

Concrete business owners' earnings vary by size, location, and project type. In the U.S., many make between $70,000 and $145,000 per year, with top earners exceeding $290,000 per year. Smaller operations or those focused on residential work may see lower profits, while companies handling large commercial jobs earn more.

Factors like efficiency, contracts secured, and local demand also influence income. Ultimately, success depends on smart management, quality service, and strong client relationships.

How much does it cost to start a concrete business?

Starting a concrete business requires an initial investment between $11,000 and $20,000 for basic operations, which covers essential equipment, licenses, insurance, and marketing. However, costs can vary widely based on scale.

Smaller contractors may start at the lower end, while those needing specialized equipment or commercial vehicles could spend significantly more, up to $120,000 for larger operations. Always budget for unexpected expenses and working capital to ensure smooth operations.

What do I need to start a concrete business?

To start a concrete business, you'll need the following basic supplies:

  • Mixer truck: Essential for transporting and mixing concrete on-site

  • Finishing tools: Trowels, floats, and edgers for smooth, professional finishes

  • Safety gear: Hard hats, gloves, steel-toed boots, and protective eyewear

  • Maintenance supplies: Cleaning tools and spare parts for ongoing equipment care

Is concrete curbing a good business?

Concrete curbing is widely considered a good business opportunity due to its high profit margins, low overhead, and consistent demand from both residential and commercial clients. However, income can be seasonal or inconsistent depending on your location and marketing, so it's important to book enough jobs to maintain steady earnings.