DEMOLITION · CIVIL AND EARTHWORK · FIXED BY STEP 06

Four Clocks Own Your Start Date And You Own None

The machine is on the pad, the crew is standing around, and everyone is waiting on a letter from the gas company. None of the clocks that release your start belong to you.

WHY IT IS A DEMOLITION PROBLEM

Other subs wait on the trade ahead of them, and that trade is on the same job with the same GC pushing it. Demolition waits on a lab result, a federal notification window, and four utilities that have no contract with you and no reason to hurry. The 10 working day NESHAP clock can't be shortened by paying anybody, and it doesn't begin until the notification is filed correctly.

WHAT IT COSTS

The size of it

You hold two to six weeks of schedule with iron already mobilized and a crew on payroll. If you moved equipment for a date that slipped, you pay mobilization twice and there's no pay app to charge either one to.

OVERHEAD AT $1M–$5M
16%
CFOS target 15% for demolition.
GROSS MARGIN AT $1M–$5M
20%
CFOS target 25% for demolition.
NET PROFIT AT $1M–$5M
4%
CFOS target 10% for demolition.

Start the permit chain before the subcontract is signed, and track every clock as a line item with one owner and a date. A demolition permit typically needs an asbestos and hazmat survey, a NESHAP notification with a 10 working day waiting period, signed disconnect and cap letters from gas, water, sewer, and electric, a rodent abatement letter, and an OSHA 1926.850 written engineering survey by a competent person. Every one of those sits with somebody else: the lab, the air district, the utility, and the exterminator. If the survey finds regulated asbestos containing material, the job converts to an abatement job with a licensed sub in front of you, which is a different schedule and a different contract. Mobilize when the letters are signed and delivered, because the GC's start date isn't a permit.

WHAT TO DO

Three moves, in order

STEP 01
Build a one-page start gate covering the survey, the NESHAP filing and release dates, the four utility letters, the rodent letter, and the engineering survey. Nothing rolls until every box carries a date.
STEP 02
Order the hazmat survey the day you're apparent low, before the subcontract is signed, and get the lab's turnaround commitment in writing.
STEP 03
Write into your proposal that mobilization schedules from the date the last disconnect letter is received, and price standby by the day if the GC calls you in early.
QUESTIONS

What demolition owners ask

Why cant we start demo until the asbestos survey and utility letters come back?

The machine is on the pad, the crew is standing around, and everyone is waiting on a letter from the gas company. None of the clocks that release your start belong to you.

What does it cost?

You hold two to six weeks of schedule with iron already mobilized and a crew on payroll. If you moved equipment for a date that slipped, you pay mobilization twice and there's no pay app to charge either one to.

What do I do first?

Build a one-page start gate covering the survey, the NESHAP filing and release dates, the four utility letters, the rodent letter, and the engineering survey. Nothing rolls until every box carries a date.

What are demolition contractors supposed to be making?

Demolition runs 20% gross margin, 16% overhead and 4% net profit before taxes at $1M–$5M. The all-trade average is 7%, so this trade sits 3 points below it. The CFOS target is 10%.

Which part of the system fixes it?

The step is number 06, project management. Billing dates, change orders, and notices, run as standards that hold without anyone chasing them. It comes from chapter 6 of CONTROL: The Construction Financial Operating System.

AUTHOR
Josh Luebker
JOSH LUEBKER
MASTER ELECTRICIAN · 150+ PROJECTS · $2.1B+ MANAGED

Josh Luebker ran commercial construction projects before he ran the numbers behind them, on data centres, military bases, hospitals, and high-rises. He wrote CONTROL: The Construction Financial Operating System, which is an eight-step framework for commercial subcontractors, and it publishes on October 1, 2026. He is a master electrician who moved into the office and kept the field vocabulary.

Sulphur Prairie Operations LLC maintains the benchmark reference behind these figures. Every edition is reconciled against the newest CFMA survey release before it publishes here. Where a figure changes between editions, the older edition keeps its year in the title so a citation to it stays correct.

Eight steps. Sixty days.

CONTROL is the full system, written for commercial subcontractors from under $1M to $100M. It publishes on October 1, 2026. Eight steps, six working templates, and the order they install in.