Business Education

The 3 Construction Rules Every Business Owner Should Know Before Remodeling or Expanding Their Properties

Your business is brimming with sales and so many solid leads, you can hardly keep up. So you start thinking about the future and imagining a bigger, better place. The idea of remodeling or expanding excites you to the point you’re ready to draw up construction plans on the spot.

But before you pull the trigger on planning, you’ve got to decide which way to go, establish a budget, and be prepared for the curves you’re about to be thrown. Because you will be thrown some crazy stuff, you should do everything you can to know what to expect. Now, let’s get into what’s on the horizon.

Three Principles for Navigating Unforeseen Delays and Budget Overruns in Commercial Property Expansion

Entrepreneurs thrive on vision and momentum, transforming ideas into tangible assets that propel their ventures forward. Yet when it comes to remodeling or expanding physical properties—whether upgrading a retail space, enlarging a warehouse, or revamping an office—the process often unfolds with unforeseen complexities.

Delays and overruns can drain resources and disrupt operations, turning ambition into aggravation. However, armed with three fundamental construction rules, business owners can navigate these challenges more effectively. These principles, drawn from decades of industry patterns, and articulated by Dave Ramsey, underscore the inevitability of setbacks; the key lies in preparation rather than denial. By internalizing them, you safeguard your enterprise’s stability and emerge stronger.

Rule One, It Will Take Longer Than You Estimate

Time is the silent adversary in any construction endeavor. Initial timelines, often optimistic projections from contractors or your own assessments, rarely account for the cascade of variables—permit approvals that drag on, supply chain disruptions, or inclement weather that halts progress. A simple remodel projected for three months might extend to five, idling revenue streams and straining cash flow.

To mitigate this, adopt a proactive stance from the outset. When planning, inflate your estimated timeline by at least 20 to 30 percent. For instance, if bids suggest a four-month completion, schedule contingencies for six. Communicate transparently with stakeholders—employees, suppliers, and clients—about potential delays to maintain trust.

Moreover, stagger the project phases; begin with non-disruptive elements, such as design approvals, while securing materials early. This layered approach minimizes downtime. Remember, haste invites errors; patience preserves profitability.

Rule Two, It Will Cost More Than You Calculate

Construction expenses have an almost gravitational pull toward escalation. Hidden structural issues unearthed during demolition, fluctuating material prices, or change orders driven by evolving needs—all conspire to inflate budgets. What begins as a $200,000 expansion can balloon to $250,000 or more, eroding margins and forcing tough financial decisions.

Addressing this requires rigorous financial discipline. Start by setting a realistic budget grounded in multiple bids and historical data from similar projects; avoid lowball estimates that ignore inflation or regional labor costs. Then, establish a contingency fund of at least 15 percent—ideally 20 percent for larger undertakings—to absorb shocks without derailing the project. Allocate this reserve judiciously, perhaps dividing it into categories for materials, labor, and unforeseen permits.

Track expenditures weekly with detailed ledgers or software tools, adjusting as variances emerge. In other words, view the budget not as a fixed ceiling but as a flexible framework; this mindset transforms potential crises into manageable adjustments.

Rule Three, You Are Not the Exception

Entrepreneurs often harbor a belief in their unique acumen, assuming their project will defy the odds through superior planning or sheer willpower. Yet construction adheres to universal laws—unpredictable human elements, regulatory hurdles, and material imperfections apply equally to all. Denying this fosters overconfidence, leading to inadequate buffers and amplified frustrations.

Embrace humility as your ally. Conduct thorough due diligence. Vet contractors with references and past performance reviews, and consult legal experts on contracts to embed protective clauses. Build a support network—advisors, peers in your industry, or professional project managers—who can offer objective insights. Finally, document everything meticulously, from initial agreements to daily logs, ensuring accountability.

Want to Accomplish More?

Do you want your company to grow faster and earn more while spending more time with your family doing everything you started your business to do?

We can make that dream a reality. Give us 30 minutes, and we will show you how to get your life back. Skeptical? Good! Put us to the test.

You can call us for your free appointment at 480-636-1720, or, if you prefer, Waters Business Consulting Group to learn more about us and the services we offer.

Like this article?

Ways Business Owners can Deal with Personal Crisis

May 18, 2017 No Comments

Entrepreneurs, by their very nature, are self-reliant. They set goals and achieve them with confidence. When a personal crisis strikes a business owner, it can be very damaging to their corporate environment and even its micro-culture. Suddenly, the dynamics change and can lead to irreparable harm. We’ve all heard the advice not to bring personal problems into professional space, but, some are so large they have a nearly uncontrollable effect. It’s best to bring the situation into perspective, but, doing so might be difficult to accomplish. Ways Business Owners can Deal with Personal Crisis In some instances, it’s possible to prepare a business for a crisis. When it’s impending and inevitable, business owners should prepare by speaking with their team members about delegating and assigning responsibilities, seek legal advice (if applicable), and focus on what’s most important. There will be difficulty in maintaining balance but by being proactive, you’ll have less to worry about. Eventually it happens to the best of us. Something occurs in our personal lives that is so devastating, we have difficulty concentrating at work. It may be the death of a loved one, a divorce, a financial crisis, or serious damage to our homes. When our personal lives are in chaos, it can be hard to focus and get what we need to do done. —Inc.com Unfortunately, it’s often the case that a personal crisis strikes without warning. When it does occur, it can be very burdensome to get through. Even the toughest entrepreneurs will have difficulty trying to deal with upset in their personal lives while continuing to run their businesses. Here are some ways business owners can deal with a personal crisis: Outsource and be willing to ask for assistance. It’s okay to let go and farm-out work during turbulent times, especially if you’re having trouble staying focused and concentrating. Also, there’s no shame asking for assistance from your team — it’s actually a smarter choice. Be upfront with customers. As soon as possible, let your clients know about the situation. You don’t have to go into details, but you ought to alert them to what’s going on, particularly if you’re not able to work as usual. You’ll find most to be understanding and that helps to give you some peace-of-mind. Surround yourself with positive people. This is something that successful entrepreneurs naturally do but it’s very important when you’re going through tough times. Personally, I lean on others as well as my faith and prayer to shoulder the burdens of crisis. It’s uplifting and it can be a way to see the silver lining knowing others are walking with you. Give team members more flexibility. Your employees are huge assets to your business and during a personal crisis, can be the best go-to source for carrying-out day-to-day operations. Give them the flexibility that’s needed to keep your company running smoothly. Do not put undue pressure on yourself. If there’s one thing entrepreneurs struggle with, it’s the fear of not getting the job done. When you are dealing with personal issues, give yourself permission to lighten your workload. Take time to reflect on what’s most important. This is an ideal time to put everything in perspective. Give yourself time off and reflect on what’s truly important in your life. In addition to these, you should be honest with yourself about your life’s direction. Some business owners who experience a personal crisis use it as a learning tool advantageously, but others allow the event to cloud their judgment and make rash decisions. When you’re not thinking clearly, be willing and ready to ask for advice from someone you trust. In my life, I have found great opportunity comes from crisis because of my willingness to reflect and make changes. How have you overcome crisis and remained focused and successful with your business? Want to find out about what a business coach can do for you? [shareaholic app=”follow_buttons” id=”26833294″]

How Small Businesses Can Copy the Disney Club 33 Concept Without Charging Customers a Hefty Price

November 20, 2025 No Comments

Small businesses not only need ways to stand out from competitors but also to provide customers with unique value. That’s not an easy task. Fortunately, it’s not necessary to reinvent the wheel. Instead, entrepreneurs can take a page from a proven playbook. And one great place to find such a combination is Disney.

How You’re Sabotaging Your Own Business

May 16, 2017 No Comments

You put a lot into your business and have a commitment to make it grow. It’s likely that you want to do more than provide for your family, you probably would like to leave a legacy, and, feel the satisfaction of accomplishment. However, what’s holding your company back from its potential isn’t necessarily sinister, uncontrollable, outside forces–it’s you who is the culprit. That might sound strange, but it’s a reality that plagues many organizations, from the mom and pop brick and mortar, to software as a service, to large community companies. While you’re busy being busy and worrying about this and that, you’re likely missing some behaviors and practices you personally do to sabotage your own business. Sure, you know about your propensity to push yourself and try to keep a sound balance between work and home life, but, there are other ways you could be causing harm. How You’re Sabotaging Your Own Business Entrepreneurs have a dedication to an idea, and ironically, it’s that commitment which can cloud judgment, or, cause myopia–not seeing the bigger picture. There’s more to building a business than recruiting the right people, networking, and delivering a good level of service, along with the products or a services you offer or provide. Success begins with you, and, while you might have the drive to make it a worthwhile venture, you might also be impeding growth. Most entrepreneurs have the drive and desire to succeed. It’s what we grow up learning and what we want from an early age. But many of us have also been adversely wired by negative experiences in ways that sabotage or hinder our chances of personal and business success. The good news is that we can rewire ourselves in ways that not only neutralize our negative programming, but also put us on an even stronger path to success. —Forbes Most business owners understand that the right pricing, marketing, and brand building are crucial factors for success. What goes largely unnoticed is certain behaviors and practices that can inflict real damage, some of which can be long lasting. So, if you’re doing one of these things, identify them, and settle on a fix. Over-promising. It’s easy to give-in to pleasing your customers, and, doing so is laudable. However, when you over-promise, you run the very real risk of coming-up short. That’s a bad place to be and finding a way out of such a situation won’t be simple. Micromanaging. When you have every member of your organization under your thumb, you are sending a message that says you believe them to be incompetent. What’s more, you’re indirectly telling them they are only a tool, not an asset to your company. Not delegating. It’s one thing to micromanage, but it’s not the same as not delegating. You can be hands-off and not delegate, which can create chaos and decrease efficiency, as well as output. You ought to delegate to streamline your organization and make it work better. Keeping dead weight on staff. When you keep toxic team members on-board, you are sending a bad signal to others. What’s more, that particular person can project a negative image to your customers and to the outside world. Not setting achievable goals. You’ve probably heard the Zig Ziglar quote, “If you aim at nothing, you will hit it every time.” That’s certainly true, and, it’s just as true of setting goals that aren’t realistic. Set workable goals, reach them, and then repeat. Another way you can easily sabotage your own business is to take things personally. There will be setbacks, even outright failures, and, you’ll lose good people along the way. Don’t take things personally because you’ll make emotional decisions, not sound ones. [shareaholic app=”follow_buttons” id=”26833294″]