How to Structure Your Business to Win Commercial Clients as a Tradie
- johnry8
- 2 days ago
- 2 min read
Taking on commercial clients can mean more money, more consistent projects and a stronger reputation. But with that comes more paperwork, stricter compliance and a different level of professionalism.
Many tradies miss out on these opportunities not because of their skills, but because their business is not structured properly. Without the right foundation, you risk being overlooked for big contracts even if you are the best person for the job.
Choose the Right Business Structure
The way your business is set up affects your taxes, legal responsibilities and how clients see you.
Here are the most common options for tradies:
Sole trader - This is simple and cost effective, but your personal assets could be at risk if something goes wrong.
Partnership - Ideal for going into business with a friend or family member, though it carries the same personal liability risks as a sole trader.
Company - This is a great option if you want to work with commercial clients. It separates your personal and business assets and presents a more professional image.
Trust - More complex to set up and manage, but it can offer tax benefits and asset protection if done properly.
Make Sure You Have the Right Licences and Insurance
Commercial clients need to know you are fully compliant before they let you onsite. Make sure all your documents are current and easy to access.
You should have:
Your trade licence
Public liability insurance
Workers' compensation if you have employees
Construction induction card or White Card
Any required certifications for your trade such as working at heights
Set Up Professional Systems
Commercial work comes with more admin meaning you will need to send professional quotes, track your time and materials and manage invoices properly.
Here are a few basics to have in place:
Invoicing and quoting software
A registered ABN
A separate business bank account
GST registration (if annual turnover is over $75,000 or you’ve registered voluntarily)
A professional email address using your business name (not required, but recommended)
Create a Capability Statement
If you want to win tenders or get added to supplier panels, you will need a capability statement. This is a simple document that outlines who you are, what you do and why clients should hire you.
A good capability statement includes:
An overview of your business
Your licences and qualifications
Safety policies
Examples of past projects
Testimonials or client references
Understand Contracts and Payments
Commercial contracts are more formal and include clauses you may not be used to.
Keep an eye out for:
Retention amounts, where a portion of your payment is held until the project is complete
Longer payment terms, often 30 to 60 days
Penalties if the job runs late or does not meet requirements
It is a good idea to speak with an accountant or small business lawyer, so you know what you are signing. This can save you from nasty surprises down the track.
Ready to take on bigger projects and work with commercial clients?