Construction Company Types


As an organization that belongs to a burgeoning industry, a constructions company Gold Coast belongs to an elite group of builder-businessmen that are making huge differences whichever part of the world they operate in.

Presently, the construction companies are working into their own types of construction business, dependent on the type of specialty jobs they perform. The diverse nature of their businesses actually defines the construction company type they are.

In present conditions, their roles in the construction business like the acquisition of land, designing, financial planning, execution, company operations, maintenance and paper work are some of the roles that these companies bring into their present status.

There are several types of construction companies whose main lines are truly defined while at the same time some of which overlap with other conditions that go along with the main line of work they do. Here are the major ones.

Construction project management

This covers the field forces and backup personnel in administrative and engineering positions needed. The requirement is the necessity of supervising labor, awarding subcontracts, purchasing materials, record keeping and other financial and management functions.

This is to ensure profitable performance of the job. The mix of managerial talents needed presupposes training and experience. This goes both in field and office operations. The proper construction project management takes on the difference between a successful contracting organization and a failure.

Small renovation contractors

These companies usually work on jobs requiring small amounts of capital. In addition, the type of work does not require much estimating, or some large construction organization.

Usually, they perform home alterations or some small commercial and office work. Many of these contractors have their offices in their homes for their paper work and such.

Generally, if one is adept enough to be a good small renovation contractor, that person can be expected to move into the larger work field eventually.

General contractors

These companies are experts in both new buildings construction or in alteration work. Many of the building contractors actually subcontract a major portion of their work. The alteration contractors generally perform many of the trades with their own forces.

Some of them specialize in public works. The others deal mainly with private and commercial work. Although there are crossing of the lines by many general contractors, it is often in one or another of these fields that many general contractors find their niche.

General contractors might enter into a contract with the developer, the project owner, or the construction manager. Their task is hiring subcontractors, including their payments. They also have mechanics lien rights, providing recourse in the event of non-payment.


In the strict sense of the word, an owner-builder is not a contractor. These companies build structures and building for its own ownership. Afterwards, they sell them on completion, or have them rented and manage their operation.

Many of these owner-builders, on occasion, act in the capacity of general contractor or as construction manager as a sideline to their main business of building for their own account.

This is one type of owner-builder company that also builds to sell before or after the completion of the project in addition to building structures for their own personal ownership. Included here are those one and two-family home builders.

Professional construction manager

The proper definition of a professional construction company is a company, an individual, or a group of individuals who perform the functions needed in building a projectas an agent of an owner.

However, they do so as if the job is being done by the owner’s own employees. The construction management organization usually supplies all the personnel required. Their personnel include construction superintendents, expediters, project managers, and accounting personnel.

The manager sublets the other portions of the construction work in the name of the owner. He does all the needed office administration, field supervision, requisitioning and paying of subcontractors, payroll reports and others on behalf of the owner. He does all these for a fee.

In general, the construction management is performed without any risk of capital to the construction manager. The financial obligations are all contracted in the name of the owner by the construction manager.

Program manager

A construction manager or a general contractor may expand his group’s services by undertaking program management. All these include demolition of existing buildings on the site, devising and providing financial analyses of new buildings.

Sometimes, it is a program to replace what was there, or for the acquisition of a new site. He also hires an architect and other design professionals on behalf of the owner and supervising their services.

He will be performing preconstruction services in the planning stage, receiving bids from contractors for the nw work, consulting on financing and methods of payments for the work.

All of these while supervising the contractor, obtaining tenants, and help in administering and managing the complete project.

Package (Turnkey) builders

These construction companies take on a contract for both design and construction of a building. These services often include acquisitions of land and financing of the project.

They first engage in package building and are usually able to show prospective clients prototypes of similar s completed by them in the past for other owners.

Owner will then have gained an approximation of the cost and function of the building after the inspection of the prototype and discussions of possible variations or features that are to be included.

These package builders often employ their own staff of architects and engineers, as well as construction personnel. Some package builders, however, subcontract the design portion to independent (freelance) architects or engineers.

It is important to note that, when a package builder undertakes design as part of the order for a design-construction contract, the builder must possess the necessary professional license for engineering or architecture, which is required in most states for those performing that function.

In instances of government-aided (or subsidized) buildings, especially in the field of housing, a sponsor-builder may be given the responsibility for planning design, construction, rental, management and maintenance.

The sponsor guides a project through the many government processing and design stages. The sponsor has his attorneys to deal with the various government agencies, financial institutions.

The real estate consultants provide the know-how in land acquisition and appraisal.Upon signing the contract for construction of the building, the sponsor assumes the builder’s role, and in this sense functions very much like an owner builder would in building for its own structure.

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