How to Start a Construction Company in USA


Starting a construction company is not just about buying construction equipment and hiring workers. You will also have to consider many things like financing, taxes, building permits, insurance coverage and more.

Select the type of construction company.

Before you begin your business, it is important to decide what type of construction company you want to start. The type of construction company that you choose will determine the legal requirements for starting a construction company and will also affect how much money it costs to get started. The following are some things to consider when selecting the right business structure:

  • Legal structure: An S-corporation is often chosen because it provides limited personal liability for owners, but this can be costly because shareholders must also pay taxes on profits from the corporation. A sole proprietor is generally easier and cheaper than an LLC or partnership because there are fewer organizational steps involved in setting up ownership and management structures; however, there may be some limitations on who can own shares in the company (e.g., whether they have criminal records).
  • Name: It’s important that your business name is easy to remember and spell; otherwise customers won’t know how they can find you online when searching for contractors in their area!

Create an organization structure.

  • Create an organization structure.
  • Define the roles and responsibilities of each person.
  • Define the relationship between the various people involved.
  • Define the reporting structure, including how decisions will be made and how conflicts will be resolved if they arise.

Get the licenses and permits.

The government requires businesses to obtain licenses and permits for a variety of reasons. These documents allow the government to ensure that businesses follow the law and operate in a safe manner, which can help prevent accidents, injuries, and even death. If you’re starting a construction company in America, you’ll probably need licenses and permits as well! Here are some examples:

  • You may need OSHA-approved safety gear if you work with heavy equipment or dangerous materials.
  • This is also true if you have employees who work with these materials on your behalf (such as subcontracted workers).
  • The best way to find out what licenses or permits are needed is by checking their state’s website or contacting them directly — this information can vary slightly depending on where you live.

Get the required insurance coverage.

As a builder, you need to make sure that your company is covered by the necessary insurance policies. Without proper insurance, you could find yourself in legal and financial trouble if someone gets hurt onsite or any property damage occurs.

Before buying a policy for your business, consult with experts at an insurance agency to make sure that you have the right coverage for your construction company. They can recommend different types of policies and let you know how much coverage each type will provide. You should also ask about deductibles: The lower your deductible amount is, the higher it will cost per year in premiums (the money you pay for coverage).

Register the business name with the state.

Registering your business name is a legal requirement, and it’s something you’ll need to do before you can start operating. If you don’t register your business name by the deadline, you will face legal consequences. You can register online through state portals or online directories of businesses with registered names in the states where they operate. You can also pay for the service of registering your business name for those who don’t want to work on doing this themselves or would rather pay someone else to handle it for them if they’re short on time (such as startup investors).

Obtain a federal tax ID number from the IRS.

You will need to obtain a federal tax ID number from the IRS.

A federal tax ID number (also known as an Employer Identification Number or EIN) is a unique identifying number for your business. It’s used to report your business’ taxes and keep track of how much money you spend on payroll in order to calculate how much you owe in taxes.

You can apply for one at,,id=188631,00.html#EIN1 or through the phone at 800-829-4933 Monday through Friday from 7:00 am to 10:00 pm ET; Saturday from 8:00 am – 4:00 pm ET; closed Sunday.[2] If someone else has already applied for this service, they can use their own EIN instead of yours.[3] There are benefits associated with having both numbers because then they won’t be tied together–for example, if someone accidentally sent an e-mail meant only for one person then they wouldn’t have access

Open a business checking account and get business credit cards.

You are now ready to open a business checking account and get business credit cards. This can be done at any bank or credit union. It is important that you choose a bank or credit union that is well-known, so that it’s easier for you to pay for products and services online with your card. Once you have chosen the right bank or credit union, visit their website and follow the instructions on how to open an account as a small business owner in America.

In a nutshell, to start a construction company, you’ll need to follow these steps by registering your business name, obtaining necessary licenses and permits, establishing your organization structure, getting funding for your startup, completing all legal procedures and hiring competent people to help you build your business.

To start a construction company in USA, you’ll need to follow these steps:

  • Register your business name. You can do this online through the website of the U.S. Patent and Trademark Office (USPTO). You’ll need to provide certain information about your company, such as its address, phone number and tax identification number (TIN) — which you can get from the IRS website.
  • Get licenses and permits. Most states require contractors to be licensed by their local jurisdiction before starting work on projects that cost more than a certain amount of money or have specific types of jobsites or equipment involved in them (e.g., electrical wiring). If there are any other requirements for opening up shop — such as getting insurance — they’ll be listed on each state’s government website under “businesses” or something similar; simply look up “state contractor licensing” or something similar with your state’s name included if you’re not sure what kind of permit(s) make sense for your project type/scale! If possible get certified by an industry association too like [website link]. This will help attract customers who want quality work done well but might otherwise not find out about us unless someone else referred us first..


We hope that this article has been helpful for you in starting your construction company. If you have any further questions, please contact us at

Start your Trademark

Register Your Trademark & Get The Delivery of your USPTO Serial No. In 24 Hours

Related Posts

How to start an Agriculture Business in USA
How to start an Agriculture Business in USA
How to Start a Business in Utah
How to Start a Business in Utah
How to Start a Business in Texas
How to Start a Business in Texas
How to Start a Business in South Carolina
How to Start a Business in South Carolina

USPTO Trademark Filing in Just $49

Register Your Trademark with USPTO Today & Get Serial No. in 24 Hours