Five considerations for starting a structural engineering business

Phil Isaac, Co-founder of Simple Works, shares some of his thoughts for engineers looking to set up their own business in structural engineering.

Making the decision to start your own business is one of the most exciting and nerve-wracking things you're likely to do. Entrepreneurship is booming in the UK and the resources available for startups is vast but with this can come information overload. I've listed five key considerations below to get you thinking about starting your new business in structural engineering.

1. Collaborate and share experiences

One of the main things we found really encouraging when setting up Simple Works was the willingness and openness of other engineers to share their experience and offer support and encouragement. Talking to as many people as possible can only be a good thing and you never know what might come out of a conversation.

2. Find your 'why'

In the early days we found it useful to establish our purpose, asking ourselves why we’re doing this and what we want to achieve gave us focus and something to work towards and this was written into our business plan. As with anything there are highs and lows with running a business but knowing why you’re doing what you’re doing can be a really good reminder and pull you through the lows.

3. Money talks

From a practical point of view cash flow in the early days can be hard to manage so it’s a good idea to set up invoice schedules even on small projects. Including upfront payments is a good way to make sure your clients are genuine but also helps reduce your risk if a project goes on hold mid-stage.

It also pays to get a good insurance broker and have someone review your standard T&Cs

Some people can find money an awkward topic but you deserve to be paid so don't feel embarrassed asking to be paid or chasing overdue invoices. It also pays to get a good insurance broker and have someone review your standard T&Cs.

4. Set expectations early

If you’re setting up with partners then you need to be able to have open and honest conversations regarding expectations and skills and making sure roles are very clear from the outset. Having a business plan can help with this and also gives you something to work towards, and the same applies to sole traders.

If you’re looking to hire staff this can be a big decision, not everyone setting up will have this in their plans but if you do then you need to be mindful that it comes with various legal requirements and whilst you might be happy to go for a month or two between pay cheques it’s unlikely your staff will.

Putting structures and systems in place from the start can avoid needing to reorganise things later

If you’re struggling in the short term or with specialist skills then making use of freelancers can be a good way to limit your financial risk. If you are looking to grow your business then putting structures and systems in place from the start can avoid needing to reorganise things later.

5. Strategise how you will find work

Finally the most important thing to remember is that you’ll never show the world how great you are without any work. Marketing yourself and winning work is fundamental. There are loads of different strategies in this area so find a strategy that works for you and relates to the work you’re looking to do.

By Phil Isaac, Co-founder of Simple Works