Construction business: production of modular buildings

* The calculations use the average data for the World

Business in the construction industry is always quite complicated, but at the same time promising. Due to the fact that capital construction requires a considerable investment, consumers are often interested in providing alternative services when construction can be erected with minimal time and financial costs. In this case, it is advisable for them to contact the company that is engaged in the construction of modular buildings. Such buildings are delivered to the object in a practically ready state, it remains only to assemble according to the developed scheme. For such a building does not require laying the foundation, the resulting building can subsequently be disassembled and moved to a new location. All this allows the use of temporary buildings at full-scale construction projects, during any events, for the customer’s own needs, in general, the scope of such buildings is very, very extensive.

In the market in any city, there are already companies that offer services for the construction and further maintenance of modular buildings, so a novice entrepreneur risks not taking a significant place and not getting a sufficient percentage of consumers to work. Market research, identification of needs, as well as the search for opportunities to provide better and / or cheaper services are a very important area, without this you can not start your work. Some businessmen are starting to manufacture modular buildings, already having established work in other areas of construction.

However, it should be noted that the construction of modular buildings is significantly different from capital construction. This is due to the fact that in order to obtain a modular building, it is necessary to obtain parts of it from which it will subsequently be assembled (this is a very simplified explanation, but the point is in this), and these parts need to be made first. Of course, they can be ordered from third-party companies, but for the correct assembly you need a circuit and technology, therefore, only components that will not fit together will be delivered. In this regard, for such work it is optimal to open its own production facility for the production of modular structures themselves, so that after products of their own manufacture are installed at the facilities. Of course, such enterprises do not exist in all even large cities, but usually one enterprise can serve customers from all over the region. However, the scope of work in any case will be limited, because objects can only be delivered at some maximum distance, then transportation costs will be already too large, which means that the client will be forced to overpay for the service, which will not be interesting to him.

To get started, you need to register as a business entity. You can work as an individual entrepreneur, it is much simpler, because it does not imply complex design, maintaining complex reporting, registration will require very little money and time. If there is a need to register a legal entity, then the preferred form is a limited liability company. Activities fall under several definitions, these are (OKPD 2) 16.23 Other wooden building and joinery products, (OKPD 2) 25.11 Building metalwork and their parts and, most importantly, (OKPD 2) 41.2 Buildings and construction works, as well as (OKPD 2 ) 41.1 Design documentation for construction. A simplified taxation system is available for LLCs and IEs; this allows transferring no more than 6% of revenues or 15% of operating profit to the state.

After registration, you need to get membership in a self-regulatory organization that brings together several construction companies. This was done as a substitute for the need to obtain a building license: today it is not needed, but it is forbidden to work outside the SRO. It is the SRO that will issue permits for carrying out certain works, all reporting documentation will pass through it, in general, a lot depends on this company in the activities of the entrepreneur. In other cases, the SRO can also significantly help the entrepreneur in his work, because he will coordinate the activities of his members and even sometimes give orders.

Next, you should find a place to place your production. For the sake of economy, it can be located outside (but close to) a large city, because land there is much cheaper, and renting is an order of magnitude more profitable. For work, several ares of land will be required, although some industries require ownership of a plot of several hectares, only here all infrastructure is taken into account, including access roads. You can buy an already bankrupt or idle plant to convert it to your needs.

Buying several buildings with a plot will cost several million rubles, you can only buy a plot and build a plant with the sole responsibility for yourself, but in any case it will be very serious expenses at the first stage. If there is not enough investment, then you can rent a plant, but this is already a big monthly expenditure (albeit not commensurate in the short term with a buyout in the property), and the entrepreneur will not in any way accumulate capital - only expenses. In any case, the businessman chooses a site based on his own capabilities.

The plant is a complex of buildings and structures (usually capital, rather than modular), and very close attention should be paid to the fleet zone and warehouses. It will take a lot of space to place cars, it’s also a good idea to establish a place for their repair and maintenance, because transport plays a very important role in this endeavor. Warehouses should also be large, because the finished product is very large, and sometimes it is stored at the enterprise for some time, especially if the company operates under lease contracts for modular buildings. And for the production itself very large-scale equipment is purchased, the lines of which take up a lot of space. Of course, a lot depends on the volume of production and the size of the product itself (you can only produce very small rooms, although almost full-fledged houses with several floors can be modular), but in any case, rely on the fact that you can place everything on a pair of ars, not worth it.

For the internal arrangement of the premises also require a lot of money. The easiest way is to arrange an administrative unit, where chiefs and people with little relation to production will work, serving to support the work of the enterprise. However, one department will be especially important - these are engineers, technologists and designers, often in this type of activity it is necessary to develop an almost full-fledged technology for their construction, or rather to assemble the parts received, although equipment suppliers usually transfer it. In any case, the development will require the organization of a department that is engaged in improving the process and its analysis.

For production and warehouses, very large and tall rooms are needed, this must be taken into account even at the stage of purchase or construction of a building, but inside you need to take care first of all to ensure the supply of necessary resources. In general, the production room should fulfill only one role - to effectively and safely provide all the possibilities for the process of manufacturing the desired product. As already noted, special attention is paid to the car park area, for this it is necessary to build garages and even a repair complex, any broken car can significantly affect the quality and timing of the order.

A company of this type usually employs quite a lot of people. These are equipment operators, people who are directly involved in the production process. Directly engineers and designers collaborate with them, these specialists have the task of optimizing and developing new projects. To do this, they need to allocate all possible capacities and provide full support, the competitiveness of the entire enterprise depends on the success of this team.

You can’t forget about people in administrative positions, they work with clients, negotiate, monitor full-time employees, and carry out organizational functions. The entrepreneur himself can take a leadership position so as not to hire a person for a large salary and a responsible place.

A whole staff of drivers, workers in the assembly of buildings at the facilities, and even a repair team, which will be engaged in the maintenance of cars, are also hired. In general, this area of ​​its activity can be outsourced to save money, if at first there are not enough funds to organize a repair center. In general, work with outsourcing companies can significantly reduce expenses in all directions, accounting, procedures related to labor protection, tax and legal issues, computer support and maintenance of communication and information systems, and ensuring the protection of the entire enterprise through a private security organization can be outsourced. which eliminates the need to create your own security service, and this is not only a saving of money, but in many cases and time, because You don’t have to spend time and energy on obtaining any permits (as in the case of organizing your own security service) and visiting government agencies.

The most important point is the purchase of equipment. Its equipment depends on the chosen direction of work, because you can produce materials from completely different components, so that later you can assemble a finished building from them. However, it is almost certain that a line for the production of metal structures will be required, and in most cases, the use of sandwich panels is also relevant for modular buildings. The lines for their production in a typical form look like this:

  1. Unwinder

  2. Roll Forming Mill

  3. Feed device

  4. Composite device

  5. Cutting device

  6. Reception desk

The cost of the kit is approximately 6 million rubles. The metal production line costs about the same amount, but the final price depends on a large number of factors, which include productivity, the availability of additional devices, the complexity and manufacturability of machines (the simplest difference is manual and fully automated machines). In addition, other units may be required, for example, for the production of glass, so initially it is worth counting on several million or even tens of millions of rubles.

The cheapest equipment is Russian and Chinese, the second is cheaper, but usually less quality, and it takes time to assemble and supply it, although if you have a representative office of the manufacturer in Russia, you can count on reducing time and money. In Europe, they will sell much better products, but they cost accordingly, so they did not get much distribution. This is followed by the purchase of large vehicles for the transportation of components for the assembly of houses at the customer's places. Typically, a company that produces modular homes, is engaged in full-fledged service, provides service, and therefore collects houses on their own. The fleet of cars can be very large, sometimes for one order many cars are needed to transport all components. It is worth counting on one million minimum for each car, their exact number is determined by the entrepreneur on the basis of calculations.

The main consumers in this type of business are legal entities, because they often need to build temporary buildings. Moreover, a significant percentage is occupied by construction companies, therefore, the company can find many partners among the companies that are part of the SRO with it. To search for clients, you can hire specialists who can find them on their own, promote the services of the company, negotiate, find opportunities for concluding contracts. In other words, no matter how it sounds, sales managers will help here. However, an enterprise engaged in the manufacture of modular buildings can also collaborate with private individuals quite often, and in this case it is more often necessary to conclude short-term contracts (up to six months of lease) or, conversely, purchase and sale contracts, while companies prefer to rent a modular building for a sufficiently long period (several years). To increase the number of calls, you need to advertise to all local media, post information about yourself on thematic portals on the Internet, and even create your own website. To do this, you need to allocate a lot of money (at least 50 thousand rubles, and to infinity).

The process of work is as follows. The manufacturer company prepares modules that are easy to install on site, they are prepared for transportation and their assembly is carried out literally according to the instructions. Heavy construction equipment is rarely required in this matter, although sometimes for multi-storey buildings (their maximum number is three), special machines may be needed that you can not buy into property, but rent only for complex orders. The customer chooses the building he needs, the designers assemble the building or building according to the specified parameters, after which the production of the necessary parts takes place.

Then they are transported to the place where the manufacturer’s full-time employees assemble the building according to the finished drawings. This process takes from several days to several months for particularly complex objects, although on average most of the buildings can be assembled within two weeks.

Further, it all depends on whether the customer bought the object or rented it. For obvious reasons, serious discounts are made for long-term rent. If the customer has just rented a building or premises, the manufacturer also agrees to dismantle it after the lease term and remove it from the facility. That is why the production should not only have warehouses for finished products, but also warehouses for storage and placement of already dismantled buildings, which will subsequently be leased again and installed again, but already in a new place. You can also collaborate with other construction companies in order to offer the customer a more complete package of services, for example, laying communications or laying the foundation (although in most cases it is not required for modular buildings).

Such a business can easily be attributed to non-standard in the construction industry. It requires the opening of a full-fledged production, which entails very large investments in the first stage, but the demand for temporary buildings is constantly growing, especially in cases when there are any general economic problems, because the company wants to save, and the replacement of capital construction non-capital reduces costs very well. In some modular houses you can even live for a long time, although, of course, this will never become a normal house, and for a full life there is a good alternative - frame construction. However, such a business will almost certainly with a competent organization become a profitable and promising business.

Matthias Laudanum

(c) www.clogicsecure.com - a portal to small business business plans and guides

08/18/2019


Popular Posts