Epi 168: The $5M Scaling Bottleneck

Owen sits down with Alex Havkin of Havcon, a builder scaling his business from $4.5M to over $5M annually. Alex shares his sharp-end journey from pricing jobs at 10% and "walking away with nothing" to implementing premium pricing. But the real lesson is what happens after you fix your markup. Alex gives a transparent breakdown of a recent job he signed at a 20% markup that finished at only 9% gross profit. They unpack the critical "profit leaks" that appear at scale: defect management devouring time, the owner becoming the bottleneck, and the urgent need to hire roles like a Contracts Administrator to protect margins on complex projects. 🕒 Timestamped Key Points [02:02] The Carpenter's Dilemma: Helping your best guys leave [03:29] Why extensions can be more profitable than new builds [10:53] The 10% markup that led to "walking away with nothing" [12:08] Why a 90% win rate is a red flag [13:30] The first big mindset shift: Charging for quotes [19:27] Hitting the $5M sole trader scaling ceiling [28:41] The 20% markup job that finished at 9% profit [30:07] The owner bottleneck: "I can't do that and run other sites" [24:21] The #1 advice to his past self: "Just say no more" - Our construction business coaching has helped 2,500+ building companies succeed. Subscribe to The Builder’s Ladder Podcast for weekly, actionable insights — tailored to help you grow a profitable construction business. Follow TPB for more: 👥 FB Group – https://www.facebook.com/groups/professionalbuilder 📸 Instagram – https://www.instagram.com/theprofessionalbuilder/ 🖥️ Get your business health audit + free resources (including website audit) here – https://www.theprofessionalbuilder.com 🚀 Head to https://tpb.tools/pod-call to book your FREE strategy session. 📈 Resources For Builders – https://tpb.tools/resources  https://www.facebook.com/groups/TPBmember: https://www.facebook.com/TheProfessionalBuilderSee omnystudio.com/listener for privacy information.