Starting a construction project, whether it’s a shop expansion, metal building, or a backyard garage is a big investment. And if you’re not financially prepared, things can get stressful fast.
From rising material costs to unexpected delays, a solid financial plan isn’t just nice to have, it’s non-negotiable. Whether you’re a homeowner or a business owner, here’s how to get your finances in order before the first piece of dirt is moved.
Know What It’s Really Going to Cost
Before you start picking finishes or dreaming about extra features, you need a detailed project estimate. Work with a contractor who will break down all the costs; materials, labor, permits, equipment, and potential change orders.
Once you have a ballpark, build a budget that includes a contingency (we recommend 10–15%) to cover unexpected costs. Trust us: surprises happen.
💡 Pro tip: Don’t just budget for the build—plan for site prep, inspections, and post-construction costs like landscaping or cleanup, too.
Pay Attention to Market Conditions
Prices for materials like steel, concrete, and lumber can change fast. Labor shortages can also impact project timelines and costs. Ask your contractor for a market-based estimate and what price changes might affect your timeline.
Here in West Texas, we keep a close eye on market shifts to help our clients make smart decisions. Timing your project right can save you thousands.
Understand Interest Rates (Before You Borrow)
If you’re financing your project through a loan, interest rates can make or break your monthly payment. Even a 1–2% change can mean a big difference in what you’ll pay over time.
Talk to your bank or lender early in the process and shop around. Lock in the best rate you can and ask if there are penalties for early payoff or delays.
Build a Financial Buffer
No matter how well you plan, construction almost always comes with surprises; delays, weather issues, material changes, etc. Having a flexible financial model helps you adjust without blowing the whole budget.
A smart rule of thumb? If your project is going to cost $100,000, try to have at least $110,000 ready just in case.
Explore Your Financing Options
Not every project has to be paid in full up front. Here are a few ways people finance their builds:
- Bank loans or lines of credit – Traditional but reliable.
- Home equity loans – Great for residential upgrades.
- Construction loans – Short-term loans that convert into a mortgage.
- Private financing or investors – More common for commercial builds.
Talk to a financial advisor or lender you trust. And if you’re unsure, we’re happy to connect you with people we trust.
The better prepared you are on the financial side, the smoother your project will run. Whether you’re starting with a vision or ready to break ground, Metal Solutions can help you navigate the process from budget to build.
Give us a call to talk through your ideas with our team or drop by the shop.
