In the last 3 years I've worked for 12 general contractors. Recently I checked their license status with the Contractors State License Board. Every single one has had their license revoked or suspended.
The life expectancy of a GC is normally 5 years but this recession has really cleaned out the industry. Since I primarily work for general contractors this means I'm essentially out of business.
Tight credit and lack of home equity means that homeowners will for at least the next 3 or 4 years be unable to finance remodels or additions.
The massive inventory of vacant homes means the residential new construction market will not return for another 2 years.
Most economists expect the recession to continue through 2011 and into 2012 before recovering and many are saying the the recovery will not include the construction industry.
My wife is a well paid scientist with a 6 figure income. For the last 2 years she has funded $40,000 into marketing efforts for my business that has essentially resulted in zero sales.
Last week a potential customer asked what I would charge to come out and replace a Zinsco single pole 20 amp breaker (the handle had snapped off). I know the breaker is about $25 so I quoted a total price of $75. He asked "why so high?" and said he had a price from another electrician for $40.
The golden age of electrical contracting is over. I'm spending all my new found leisure time riding bicycles, lifting weights and will be starting college at the age of 53 this June.
