The Mindset Shift Every Construction Business Owner Needs
Running a small to mid-sized construction business is more than managing projects and crews. It fundamentally starts with mindset. Brad Huebner, founder of Hammer and Grind and a seasoned contractor coach, emphasizes mindset as the foundational element every owner must focus on. "90% of what I do is mindset," Brad says. "If you don’t believe you can raise your prices or change your business, there’s no point in trying different tactics." This perspective challenges many contractors who focus too much on tools, systems, and efficiency without first addressing the mental barriers that limit their growth and profitability.
This mindset work often requires deep personal reflection. Brad shares, "It’s a self-worth situation. If I don’t think I’m worth charging more, then I’m not going to be able to." For many contractors, this means overcoming people-pleasing tendencies, where the desire to please clients and avoid conflict results in undervaluing work and operating at a loss. Construction entrepreneurs must grow beyond being craftsmen and evolve into strategic business owners who set healthy boundaries and focus on sustainable profitability.
Pricing and Numbers That Make or Break Your Business
A consistent pattern across Brad’s coaching experience is that many small construction firms struggle with profitability because they simply don’t charge enough. He points out, "The overwhelming majority, over 80%, aren’t charging enough for their services." This often goes along with a lack of basic financial controls: many businesses don’t track their gross profit or net profit accurately, and some don’t even review their profit and loss statements regularly, even when doing millions in revenue.
Brad is direct about this: “You have to know your numbers. If you don’t, you’re just outworking the inefficiencies of your business.” He advises contractors to treat charging the right price as the first step before investing in any systems or marketing. “If you charge more, you can then reinvest that money into tools, systems, and staff.” This counters the common trap of focusing prematurely on efficiency gains that produce small incremental savings while missing out on larger gains from better pricing and sales strategy.
Strategic Partnerships and Due Diligence
Beyond pricing, Brad emphasizes the necessity of forming strategic partnerships with trusted professionals such as insurance agents, bankers, and accountants who truly understand the construction industry. He advises, “You don’t have to hire all these people in-house, but you need the right strategic partners from day one to manage risk and finances.”
Another key takeaway is the critical importance of due diligence when selecting clients and subcontractors. Construction business owners often enter relationships based on trust or personal rapport, which can lead to payment delays and disputes. Brad stresses, “You have to do your homework. Pull credit reports, check payment histories, and be clear on payment terms before you start.” He reinforces a business-first mentality: if a client delays payment past agreed terms, “you should be ready to stop work until you get paid—this isn’t personal, it’s business.”
Finding Your Competitive Edge
Brad’s advice for contractors applies universally: find a niche and specialize. “Pick a very specific niche, not just an entire trade. If you’re an electrician, focus on whole-house generators, for example. Be the best in your area at that one thing.” Specialization allows for focused marketing, streamlined operations, and easier training of staff, creating a competitive moat around your business.
Brad points out that focusing on a niche also opens the door to charging better rates and reducing competition. This strategic clarity contrasts with the common trap of taking any job that comes along, often low-margin or losing jobs, which drains time and resources.
Conclusion
Success in construction business ownership hinges less on advanced tools or chasing every job and more on mindset, pricing discipline, and strategic clarity. Brad underscores that mindset, particularly value perception, is the gatekeeper to growth: "Your mindset has to change before your business can change." Business owners must embrace the role of the entrepreneur who makes data-driven decisions with confidence, charges appropriately, and builds a focused niche that protects and grows profitability.
In a tough industry marked by narrow margins and high risk, these principles offer powerful guidance. As Brad puts it, knowing your numbers, mastering your mindset, and specializing your services build a business that’s not only profitable but sustainable for the long run.
This article draws insights from the featured episode: Stop Working 80 hrs for Pennies – Brad Huebner Tells You Exactly How to Charge More Tomorrow on the I'm The Gaffer podcast. Stay tuned as we explore the challenges and opportunities in construction—where success is crafted with expertise, innovation, and dedication.
