3 Ways Plumbing Businesses Can Increase Revenue Using A Commercial Loan
Businesses that want to grow quickly rely on commercial loans to provide them with immediate access to funds, and a plumbing business is no different. Plumbers maximize their revenue by taking the most profitable jobs from clients and ensuring that they're completed on time and without complaints. Investing the funds from a commercial loan in revenue-generating sources means that you'll be more profitable, and your business will begin to grow even faster. To learn three ways that a plumbing business can use a commercial loan to increase revenue, read on.
1. Hire More Plumbers and Support Staff
If you're turning down work or clients are experiencing long delays before you can begin work on their properties, then the quickest way to generate more revenue for your plumbing business is to hire more plumbers. More staff means that you can perform more work and send out more invoices — hiring more plumbers directly increases the amount of revenue you're able to generate, and a commercial loan can help you obtain the funds you need in order to hire them. You can also use the money from the loan to hire support staff like receptionists to handle the increased work volume.
2. Upgrade Your Contracting Software to Help You Make Smarter Business Decisions
Modern plumbing businesses should use technology to make the most effective use of the resources that they have available. Invoice tracking software that provides detailed analytic data about the work performed and the revenue generated means that you're able to immediately tell whether or not a job from a client is worth taking. In addition, this data can also tell you which areas of your town are bringing in the most profitable jobs — this gives you insight into where you should direct your marketing campaigns. Finally, upgrading your estimating software can help you win bids from clients without risking going over budget. A commercial loan gives you the capital that you need to upgrade your plumbing company's software and provide the necessary training to make good use of it.
3. Expand Your Available Service Area
If you're in an area where numerous plumbing companies compete for the business of a small number of clients, you may want to consider expanding your service area into neighboring suburbs. In order to do that, you'll need to purchase additional vans for your fleet and potentially open up a new brick-and-mortar location for your business. Commercial loans allow your business to do this quickly, letting you expand into areas with high demand for plumbing services before the competition is able to.
If your plumbing business is seeking to rapidly boost its revenue, contact a bank that offers commercial loans for contractors. Saving profits and investing them later may not be enough for your plumbing business to remain competitive with others in your area — a commercial loan gives you the immediate capital infusion that you need in order to expand your business' revenue-generating capabilities through hiring new plumbers, upgrading your technology, and expanding your service area.