Planning a big construction project is an exciting proposition indeed. Whether you’re getting ready to take the plunge on a profitable enterprise or envisioning the edifice from which your future ambitions will emerge, a world of possibility lies before you. However, before you leap, this is the moment to take a precautionary pause. The importance of construction due diligence cannot be overlooked. From vetting the site and the construction company, to confirming the budget and meeting compliance obligations, every aspect has to be on point if the project is going to succeed.

The devil is in the detail—or to draw on a more industry-appropriate metaphor, now is the time to measure twice, and cut once. You need the right collaborator to ensure that no stone is unturned during this vital first stage of construction due diligence, and the ideal partner can be found for this endeavor in a specialist investigator from Lauth Investigations International. Read on to discover why a member of our team is the ally you need to ensure that construction operations move forwards without a hitch.

  1. What is Due Diligence in Construction?

In a sense, we conduct due diligence in different areas of our life everyday—or sometimes suffer the consequences of failing to do so. In essence, th term means investigating ahead of an action to ensure that it represents the right course forwards. When we talk about construction due diligence specifically, we are using a term that reflects caution ahead of contractual agreements, purchases, and meeting obligations. If the substantial budget of a construction operation represents your chips on the table, you’re not going to want to gamble. Simply put, construction due diligence is how you ensure that you don’t place your faith in cowboys or commit to an unwise investment. Vitally, it’s about making sure that you get the best build for your budget.

  1. A Spectrum of Construction Due Diligence

When getting your ducks in a row for a construction project, more often than not, the very first one to step into line will be your dream construction site. At this stage, diligence means making sure that all is as it appears, from surveys to guarantees, and from legal searches to transferring planning applications. A mistake at this juncture could mean that a major problem derails the construction project mid-flow, setting your project timeline back immeasurably, or forcing you to pay contractors who have nothing to do but twiddle their thumbs. With this in mind, every minute detail of your site’s credentials is worth a second glance.

Once your site has got the green light, it’s time for the most substantial decision of the entire process—and one that relies heavily upon meticulous construction due diligence. It’s time to cast your net for RFPs from the best and brightest construction companies around. If you’ve got your finger on the pulse, one of your most pressing concerns will be avoiding exorbitant costs. As the lingering economic impacts of the Covid-19 pandemic continue to mesh with an international energy crisis, you need a construction company that can deliver upon a detailed and stringent budgetary proposal—not only in the sense of material costings, but in smart hiring and labor management too. You’ll also want to be sure that the winning bid is backed up by the appropriate licensure, certifications, and insurance.
One final aspect of construction due diligence that is often overlooked at the bidding stage is the importance of company culture. The health of the culture within any construction company will dictate whether their team are dedicated and trustworthy, or likely to use your project as an opportunity to commit fraud. It is a reliable barometer for whether a company will act as a cohesive whole, or stumble through the unexpected. As established experts on not only assessing company culture but strategically correcting it, corporate investigators from Lauth Investigations International are primely positioned to evaluate this factor alongside the many others that fall under construction due diligence. When it comes to realizing your vision, the simple act of working with an industry-seasoned investigator before the race begins will help you mitigate the risk of hurdles ahead. Reach out to our team for a no-obligation consultation, and advice on how we can best meet your needs.