Our Process

With National Builder Group, Owner-Operators are not just building homes - they're building their future.

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Owner-Operators

NBG Owner-Operators start their businesses lean as “one-person-shops”.  This approach enables them to organize every aspect of the company correctly before hiring employees and scaling the business.

The business model focuses on the acquisition of finished lots and building a limited number of proven value-oriented plans at launch.  Homes are typically offered for sale at drywall stage, without the sale of options or changes.  This allows for a simple process, which allows for lower costs and excellent home values for customers.

Our Goal

The goal is to achieve 50 starts in the first year of construction while maintaining short cycle times, strong margins and an excellent Return on Total Capital.

Benefits for Owner-Operators

Although hitting the ground running and growing your business quickly may be the biggest advantage to the NBG’s owner-operator business model, you will also receive these benefits:

Guaranteed Payment

Owner operators receive a competitive guaranteed payment to provide stability through the growth of the business.

Incentive Plan

Top Management Incentive Plan (TMIP) bonus program that gives you the chance to earn even more based on number of closed homes, net operating income and more.

Health Care

Competitive health-care plans providing access to a large network of doctors, dentists, and other providers.

Profit-Sharing

Participation in the annual Profit-Sharing Program

Wealth Planning

Employee Wealth Plan discounts on home purchases

Wealth Creation

Additional cash flow and wealth creation through ownership of a homebuilding company

Company Sponsored Vacations

Company sponsored vacations for employees and spouses to celebrate when annual performance goals are achieved.

High Earning Examples: 2022

For all owner operators in business
for more than one year:

The average total income was:

$748,000

The median total was:

$592,000

*This is not an earnings claim, but rather a statement of earnings achieved by certain current experienced owner operators. We cannot guarantee your future results and/or success.

Financing

Having the ability to close on lots and start homes quickly is vitally important to our business model. To achieve this we provide construction financing that is fast and efficient. And, it’s non-recourse, which is low risk to you. To learn more, please contact us.
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OWNER-OPERATOR
RESPONSIBILITIES

Owner operators run the day-to-day homebuilding operations within their local markets, except for accounting practices which are managed by the NBG accounting support team. Owner operators are the “boots on the ground” within our operations. This means Owner Operators are responsible for the following activities:

  • Land Acquisition of Finished Lots
  • Market Research for lot acquisitions, most notably the completion of Competitive Market Analyses (CMAs) and financial proformas for proposed acquisitions.
  • All aspects of construction, including but not limited to purchasing, permitting, starts, schedules, budgets, purchase orders, warranty service, etc.
  • Local vendor and Trade Partner management and negotiations, including on-site OSHA and safety compliance.
  • Home Sales and Broker Relations
  • Attendance at all Closings.
  • Hiring local staff with support from the The Challenger Group Human Resources team
  • Use of BuilderTrend software to manage all job budgets and job schedules, including the use of Purchase Orders
  • Utilization of National Vendor Partner products and programs
  • Preparation of the annual Market Strategic Plan and Budget
  • Following the National Builder Group business model
  • Many other day-to-day responsibilities

THE NATIONAL BUILDER GROUP RESPONSIBILITIES

The NBG support team’s purpose is to help facilitate profitable growth for all operating companies through the following services.

  • Arrange 100% of the lot-acquisition and vertical construction financing – all non-recourse to you!
  • Approve the Strategic Plan and Annual Budget of each building company
  • Manage your company cash flow to anticipate future needs and distribute profits
  • Provide back-office support such as payroll processing, accounts payable, accounting, and tax return preparation. Trade partners are paid weekly.
  • Lot acquisition approval
  • Manage all benefits and incentive plans
  • Maintain Company Insurance
  • Management of all National Purchasing Programs
  • Marketing Support