Did you know that three out of four construction companies shut down before their third anniversary? That's right. Over 75% are fail within 36 months.

You think this industry isn't set up to break companies? If an evil genius sat at his desk and tried to devise the most dangerous business environment possible, he would be hard pressed to come up with a situation more toxic than the construction industry. Owning a construction company is usually hazardous to the owner's financial health.

Here are the 10 biggest mistakes contractors make:

1. Not selling aggressively.

2. Not having an effective lead generation system.

3. Working for bad clients.

4. Signing bad contracts.

5. Not having a large credit line.

6. Failing to hold field leaders accountable.

7. Not knowing the cost of work.

8. Tolerating high turnover.

9. Following a weak strategy.

10. Running the business without plans.

As you hopefully noticed, the title of this article is the 10 Biggest Mistakes.

Not the 10 Most Common Mistakes.

Not the 10 Problems Contractors Would Most Like To Fix.

No, the name of the article is the 10 Biggest Mistakes Contractors Make because that is just what they are - the 10 mistakes that cause the greatest headaches for contractors.

Over the past two decades, I have worked in and around hundreds of contractors. Along my journey, I realized that the contractors who really struggled pretty much made the same set of mistakes.

By avoiding these ten mistakes, you will position your business for sustained growth and long term, recession-proof success. You will also enjoy the fruits that come with that: more free time, greater financial security, more restful nights, and the unending admiration of your friends, family, and peers.