With its millions of workers and hundreds of thousands of industry participants, the construction industry is one of the largest industries in the United States as well as one of the most diverse in composition. Industry participants range from the three-person plumbing operation that works solely on small residential projects, to the large, publicly traded construction firm that designs and builds super-tall high-rise office complexes. Large-sized firms, however, are few and far between, as more than 90 percent of construction businesses maintain a staff of fewer than 20 employees, as reported by the U.S. Bureau of Labor Statistics (BLS).
Construction offers more prospects than most other markets for those who want to own and operate their own business, as barriers to entry are minimal. Low capital requirements often mean a tradesman can form a construction company with a truck, a few pieces of equipment, and a good amount of experience. Naturally, in a business climate such as this, competition is fierce. However, sufficient working capital, strong management personnel, experienced workers, union affiliation, high knowledge of trade, low employee turnover and well-established relations with general contractors are among the factors that can differentiate one electrical subcontractor from another in the face of a highly competitive environment.