CONSTRUCTION Accounting ARTICLE -Contractor considers supplementary certification

Target Audience: Construction Industry Professionals, Business Owners, Project Managers, Contractors, Construction Accountants

For the owner of a general contracting business in a mostly urban rehab/high-rise market, times were tough. With the economy in gradual recovery mode, work was slowing down and competition was stiff. So, during a visit to his financial advisor, the owner asked for ideas on gaining an edge. She had one that he found quite surprising: supplementary certification.

Investing in your future

Continuing education, his advisor explained, can benefit construction companies in a variety of ways. Contractors who seek certification beyond what’s required for licensure are in a better position to compete for business. This is particularly important in a time when standing out from the pack is difficult — as owners and developers have their pick of dozens, sometimes hundreds, of construction companies offering attractive bids.

Contractors also are investing in continuing education to broaden their horizons in areas they wouldn’t normally explore. Companies like his, which have previously focused on only residential markets, are getting licensed and certified in commercial construction. Those who have yet to delve into green building are seeking training that will allow them to go after sustainable construction projects.

Besides providing the versatility needed for increased income, the advisor went on, the knowledge gained from project management, executive management and risk management courses can help him keep projects on track and on budget — a must when finances may already be tight. Training would also allow him and his employees to better meet and exceed client expectations, which could help increase retention and referral rates.

Regarding staffing, the advisor reminded him that the industry will likely face familiar labor-shortage issues when the tide turns. So investing in employees’ career development now could improve morale and retention, and make hiring easier later if continuing education is offered as part of a hiring package.

Targeting the resources

The contractor was intrigued and asked where he might go for continuing education and certification courses. His advisor mentioned several well-known organizations, including the Associated General Contractors of America, the Construction Specifications Institute and the American Institute of Constructors.

She also said that in-house training, facilitated by certified instructors, is an option. In some cases, employers can obtain government financial aid or reimbursements. States determine eligibility, yearly limits and other variables. For more information, she suggested he visit the Department of Labor’s Employment and Training Administration site at http://www.doleta.gov/business/TrainingEducation.cfm.

Thinking about it

The contractor in this case needed some time to mull over the idea of investing any dollars from his already-tight budget in continuing education. But he had heard of some job prospects in areas his company typically didn’t serve. So he’s glad his advisor gave him something to think about.

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