Small construction companies booming

Since 2000, the annual turnover of small construction companies has increased by over 50 percent. The actual number of small companies increased as well. This growth is entirely realised by companies without personnel.

Turnover in construction, annual averages

Turnover in construction, annual averages

Turnover in medium-sized construction companies lags behind

There has been a 25 percent increase in annual turnover between 2000 and the middle of 2007 in construction as a whole. The sharpest rise in turnover, by over 50 percent, was realised by small businesses. In construction, the turnover of large companies increased by almost 24 percent during this period. With its 15 percent growth rate, the turnover of medium-sized construction companies lagged well behind.

Small construction companies gaining importance

Due to the growing turnover of small companies, their share in the total turnover in construction went up from over 19 percent in 2002 to over 22 percent by the middle of 2007. The share in turnover of small companies rose particularly in installation and in the completion of buildings. Small companies account for a third of the turnover in this branch.

Turnover shares in construction

Turnover shares in construction

More small companies

The number of construction companies rose by about a third between 2000 and 2006, reaching nearly 82 thousand. This rapid increase is almost entirely realised by small construction companies. The number of medium-sized and large construction companies fell by about one fifth during this period.

The fastest growing small businesses were companies without personnel (in Dutch zzp’ers). In 2006 over 53 thousand of such companies were active in construction. This is an increase of more than 75 percent on 2000. Companies without personnel made up over 70 percent of the small construction companies in 2006. When the zzp’ers are not taken into account, there was a 12 percent drop in the number of small companies in the period 2000-2006.

Number of construction companies

Number of construction companies

Ron Duijkers, Rian van Gulijk-Boon and Wilco de Jong