A construction project of any magnitude requires expertise in skill and management. Real estate developers opt to outsource such projects to construction companies in Kenya to save themselves stress and possible losses as these are complex tasks requiring professionals.
Hiring a reliable contractor can be expensive and sometimes may not deliver the expected outcome. It is important to identify the registered construction experts whose companies have a track record of good performance and professionalism.
The Benefits of Hiring Construction Companies in Kenya
A real estate property developer who ignores hiring a construction company is left to identify, hire and supervise relevant partners such as an architect, project manager, plumber, and other workers required for the building project.
One must also monitor the use of building materials and the construction progress so that everything meets the required standards. It is an arduous undertaking.
At such times, developers scrutinize any accredited list of building construction companies in Kenya to hire the best for the following benefits.
A construction company meets deadlines for accountability
Building projects show progress on the guidance of timelines. Such timelines may depend on the progression of the construction from one phase to another—for instance, the duration required for curing floors and walls.
Timelines also depend on the financiers’ guidance if the project received funds from a lender or investor intent on receiving payments or profits from the investment.
When working with professionals from reputable construction companies, they will remain keen on deadlines to complete the project on time.
Sometimes delays may feature as a breach of contract. They, therefore, work diligently to deliver by the agreed timelines to avoid litigation that would cost them fines and taint their reputation.
It minimizes wastage
Some construction companies keep adjusting the construction costs upwards so that the project costs much more by completion than was expected.
A regulated company begins by drawing a realistic budget for the whole project and per construction phase.
Such estimates ensure the owner remains prepared to pay the costs for each phase to avoid delays.
A budget also ensures the contractor procures and uses the correct amount and quality of materials.
Sometimes entire skyscrapers collapse, causing fatalities, injury and significant financial losses due to shoddy construction.
Such would not happen when working with a suitable company. Trustworthy companies also provide records of the expenditures involved in the project.
To simplify the project
Building is a complex, time-consuming and stressful task for those not qualified or skilled. The beauty of a construction company is that it has all the required professionals under one roof.
Where they have not employed such professionals, they exploit their business network to find suitable professionals among their partners.
Construction companies in Kenya are a team of professionals that developers would have to seek out individually, vet and hire if they decided not to use a construction company.
Sometimes a project requires close to a hundred workers and a supervisor. It also needs someone to evaluate the quality of their work and their management of resources.
That is part of the complexity of a building project that a construction company handles on behalf of the developer.
To access the services of registered professionals
Apart from the resulting negative repercussions of contracting unqualified workers for a construction project, the government requires registering people who offer services in the construction industry.
Professional and regulatory bodies and the National Construction Authority (NCA) conduct evaluation and certification of suitably qualified artisans and other professionals.
The NCA has a list of accredited registered construction companies in Kenya and issues certificates to suitably qualified construction workers.
For compliance
There are legal requirements that regulate the construction industry in Kenya about which a developer might be ignorant.
For instance, the construction site requires registration with NCA, and the workers should have mandatory licensing by NCA.
The developer also requires permits from the local government and organizations such as the Communications Authority and (Energy and Petroleum Regulatory Authority) EPRA for industry-specific building projects.
There are tests such as soil tests required before commencing construction. Therefore, building sites and practices must have four mandatory approvals:
- Public health department
- Local county government physical planning office
- National Environment Management Authority (NEMA)
- National Construction Authority (NCA)
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Qualities of a Good Construction Company
The best companies featured in a list of construction companies in Kenya PDF have unique common characteristics.
Considering such aspects when sifting through bids from viable construction companies for a property development project is advisable.
It should have a team of certified professionals
The company should have a portfolio of updated certifications and qualifications of their team members for perusal by prospective clients.
They should have resumes indicating their individual work experience and records of past completed projects as part of their appraisal.
Demonstrate ability to work on a client’s budget
Many developers assume that hiring a construction company spikes the project’s cost. That is not the case, and construction companies have cut down projected costs by close to 40% without compromising on quality.
A savvy developer also discovers that the lowest bidder is not always the best choice. Therefore, the developer should enquire why the lowest bidding company believes it can deliver on such a budget.
Have positive reviews, testimonials and references
Reviews from past clients give an insight into the past performance of a construction company in Kenya.
They give prospective clients a feel of their artistry, willingness to negotiate through issues, and degree of collaboration, which gives insights into how it feels to liaise with the company.
Steps to Start a Construction Company in Kenya
If the thought of starting a construction company arises, it is good to note that this industry is very lucrative but competitive.
The following tips are a guide on how to go about establishing the business:
- Conduct intensive market research and draw up a business plan.
- Outline a business model that identifies the nature of your operations, either as a consultant, dealing directly with clients or contractors, or if your business will offer services as a package to developers.
- Log into eCitizen and conduct a name search and then register your preferred business name as you register your company.
- Write a Memorandum and Articles of Association detailing your business’s structure and objectives. It captures the range of business provided and the names of the managers and other stakeholders in the ownership and their responsibilities, rights and powers.
- Submit the relevant documents, such as the KRA PIN and certificate of the NCA, among others, as you submit your application at the eCitizen portal.
- Use the certificate of incorporation to register your company with the NCA to get a clearance certificate allowing you to list your company and conduct business.
Ensure you have adequate funds to pay registration fees, buy or hire construction equipment and various supplies, and pay any staff you hire.
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Getting the Best Deal from a Construction Company
Construction companies can work as mediators between developers and contractors. Others are a one-stop model that offers all services for construction projects as a package to their clients.
When hiring from the construction companies in Kenya as a real estate developer perform due diligence to source for the best company through reviews, testimonials, or seeking referrals.
Weigh in on the performance of the companies that bid to offer you services.
Alternatively, if you choose to start your own construction company, there are guidelines to start you on a profitable but demanding business.
Hiring trained and accredited workers and acquiring the relevant permits to list as an approved construction company in Kenya is wise.