Canadian Contractor’s Contractor Productivity Forum was held on October 1st, and featured four terrific presentations offering exclusive insights from knowledgable experts into key areas where renovators and homebuilders might improve their efficiency and profitability. Lively Q&A discussions followed each presentation.

Kicking the day off, Thomas Bevilacqua and Robert Bezede of Harmony Succession Partners spoke about how business owners can best position their companies for succession as they approach retirement.

Takeaways:

• • Efficiency and good organization are important for succession, as prospective buyers want to see a turnkey operation that can continue to operate without the present boss in charge;
  • Capital gains taxes can be avoided when transitioning to family members by using family trusts, but they need to be set up at least two years in advance;
  • Attempting to sell a business by yourself is almost always a huge mistake…it is so much work that most sellers abandon the project before making a deal;
  • Buyers usually look at the last four years of financial data to evaluate the business’ profitability;
  • If your company owns real estate, do not sell it before selling the business – it’s a nice, firm part of your company’s value.

Next up, Achille Ettorre of GTA Equipment Rentals presented “Get More From Your Rental Store.” It’s a simple idea: by using equipment rental services more effectively, contractors can gain the productivity boost of newer and more capable equipment without the storage, maintenance, financing  and delivery expenses associated with ownership. Further, today’s rental stores offer more than those of yesteryear, with expert advice on the right equipment to use for special tasks such as trenching, working at heights and jobsite heat and humidity control.

Takeaways:

• • The threshold for buying construction equipment is around 70 percent utilization – if the equipment will be used less than that, renting makes more sense;
  • Having the best equipment for the job is hard if you own a particular item – what if your excavator is an eight-ton, but a smaller mini-excavator would get into the space easier?;
  • Modern telematics tools give you the ability to track the useage and costs associated with operating equipment on your jobsite and find ways to cut waste;
  • Rental stores can help train your operators so they are operating the equipment effectively and safely
  • Having equipment delivered to your jobsite and taken away when no longer needed is a huge timesaver.

David Swan, an independent technology consultant spoke next about using AI in renovation and homebuilding. He pointed out that contractors certainly have nothing to fear from AI in terms of taking away work, since an AI will never swing a hammer. The uses are all in the ancillary functions around operating a contracting business, but those are significant. Swan discussed several of them – bookkeeping, invoicing, searching codes and regulations, project planning – but his eye-opening live demonstration really made the point. Swan displayed a photo of a tired old kitchen. Then he told ChatGPT to show him a remodeled version of that kitchen in a modern style keeping the dimensions of all elements the same. After a few minutes thought, the AI produced a rendering of a much more attractive kitchen.

Swan pointed out that he could have been much more specific, asking for certain colours and styles, and the AI would have incorporated that, too. As a sales tool for a contractor, the use is obvious. The homeowner can simply tell it what they want and it can create a design to use as a starting point.

Richard Lyall of RESCON rounded out the day with an interactive discussion about modular housing and much else. He shared his insider knowledge of Ottawa and Ontario’s housing policy and the directions things are likely to go in the next few years.

Modular housing will be a big part of it, and Lyall told the group he’s seen plans for some truly innovative homebuilding factories. There was a lot of discussion of development charges and permitting, with everyone agreeing the current systems need reform. Lyall’s appearance gave attendees a chance to give their input to someone who talks to top regulators and ministers on a regular basis.