Beyond Politics: Why the 2024 Election Could Be Your Ticket to Big Profits

The circus is here, and this election will undoubtedly be interesting.

But setting aside potential civil war, what will the 2024 presidential election mean for us construction entrepreneurs?

Here is why I think great times are ahead. But first, a word of caution.

Elections impact business, and the effects go beyond policy changes. During election season, attention is pulled away from daily operations, anxiety runs high, and many people hesitate to make big decisions. It’s like hearing a client say, “Let’s wait until after the new year.” Only now, they don’t say it out loud—it starts quietly, months before.

Here’s the bottom line: uncertainty is a given, and adaptability is the hallmark of successful entrepreneurs. That may sound simple, but it’s critical. Your role isn’t just to sell what you want to make; it’s to make what the market wants and sell it to them. Very simply put, we evolve or die.

If you get this idea, then follow me and I will show why I think you can get very rich (or richer if you already are) in the next few years.

LOWER RATES MEAN MORE WORK - THE GOOD NEWS

As the 2024 election approaches, there’s a strong likelihood of interest rates coming down, giving businesses and homeowners renewed access to cash. Historically, the Federal Reserve tends to cut interest rates following a period of aggressive hikes, especially when economic growth slows or when inflation eases.

After the 2008 financial crisis, the Federal Reserve cut interest rates dramatically, reaching near-zero levels by 2009. This significant drop in borrowing costs led to a resurgence in the housing market.

Rates are projected to continue declining into 2025, setting the stage for a market reminiscent of 2010—or possibly even 2006. For those of you too young to recall those markets. They were the millionaire years. We all became rich back then.

MY PREDICTION

According to the 2023 American Housing Survey, nearly 65% of all homes in the U.S. were built before 1990, and 38% before 1970.

Homes here are aging, and THE MAJORITY OF THEM need upgrades or repairs.

And, as we’ve seen in past cycles, rate cuts tend to drive consumer spending and home investment as lower borrowing costs open up financing options. This anticipated drop in rates is likely to trigger a surge in home improvement activity, with construction and remodeling firms well-positioned to meet the increased demand for updates and renovations.

THE BAD NEWS - AND HOW TO PREPARE

It won’t be easy, there will be labor shortages and material manufacturers will want their cut too, but if you price properly and learn how to explain these factors to your clients (they call this sales), then the news ain’t all bad. Good days are ahead.

Five things to do right now to get ready for the wave.

1. Build Your Team Now

   Now is the ideal time to secure skilled employees. Start finding the right people, invest in them, and keep them happy. The demand for talent will soar as rates fall and projects ramp up, so prioritize paying competitively, even if it means a temporary pay cut for yourself. I’ve done this many times and it’s always paid off.

2. Stay Informed, but Don’t Get Bogged Down

   Stay updated with industry trends and join relevant forums, like infrastructure forums, but avoid getting lost in predictions. Focus on actionable insights and tangible prep work that will keep your business adaptable and ready to act.

3.  Prioritize Financial Flexibility

   Begin building up a financial cushion. Having reserves will allow you to weather cost fluctuations, unexpected delays, or to jump on high-potential projects without hesitation. This can be debt or cash. Always be working toward making your firm credit worthy and attractive to lenders. (I will write an article on how I do this very soon).

4. Enhance and Train Your Workforce

   Skilled labor is already scarce, so make workforce development a priority. Retain your current team by offering training, certifications, or even local trade school partnerships. A well-trained workforce ready to tackle more complex projects is a superpower.

5. Diversify Offerings to Capture New Demand

   Anticipate where the market might go. Consider expanding services or targeting sectors expected to grow with government funding, like public infrastructure. When policy shifts open new opportunities, a diverse range of services will position you to capitalize. Place ads and see what your market responds to.

WHAT TO EXPECT IN 2025

The outcome of this election could mean significant changes for the construction industry, and small businesses must be ready to adapt:

• Infrastructure Spending: A priority on public infrastructure could mean a wave of federal contracts, while reduced spending could squeeze out smaller firms.

• Labor Policies: Immigration policies might tighten or ease, directly impacting workforce availability. Prepare for potential labor shortages or increased costs, depending on the administration’s stance.

• Material Costs: Changes in trade policies or tariffs could raise or lower material prices, affecting your budget. Stay nimble and consider suppliers or materials with more stable pricing.

LOOKING AHEAD

Regardless of who wins in 2024, uncertainty will be part of the landscape. By focusing on what you can control—building a resilient business, staying agile, and keeping an ear to the ground for market changes—your business can not only withstand shifts but find opportunities within them.

As the election season approaches, don’t let the headlines pull your focus. Your job, above all, is to make what the market needs and sell it well. With preparation, the right mindset, and a clear action plan, your business can thrive, election or no election.