How to grow sales for your steel fabrication company

Seqnced's founder previously led a family-owned steel company in Washington, D.C. that secured Department of Defense and aviation work. General contractors control project flow through invitation-to-bid lists. According to ConstructConnect, an ITB is a request that a GC sends to subcontractors asking them to submit pricing for a defined portion of a project. GCs maintain these lists to manage risk and ensure qualified capacity.

GCs prequalify fabricators before adding them to distribution lists. They review safety records including EMR and OSHA logs, financial strength and bonding capacity, licensing and insurance, relevant experience and references, and current labor availability. The typical US structural steel fabricator is a family-owned business employing 10 to 100 people according to AISC, so maintaining clean documentation on these metrics is essential for competing against larger certified shops.

AISC certification functions as an audited quality program rather than a product guarantee. According to the American Institute of Steel Construction, companies are audited on an annual basis to verify that the fabricator has the processes, equipment, manpower, commitment, and experience to perform the necessary work. The program does not certify specific products, but confirms systemic capability.

There are more than 1,700 steel fabricators in the United States, with 1,114 facilities certified for the fabrication of buildings and 370 certified for bridges according to AISC's 2018 industry overview. Structural steel holds a 46 percent market share for non-residential and multi-story residential construction versus 34 percent for reinforced concrete. Engineers of record often specify AISC-certified fabricators in project specifications, making certification a gatekeeper for building work even if bridge work uses different qualification criteria.

The fabrication process is driven by plans developed and sealed by licensed structural engineers based on building layouts created by architects. According to AISC, upon project award the fabricator creates detail drawings and submits them to the structural engineer for approval. This workflow places engineers and architects upstream of the GC in the decision chain.

Most building erection is performed under the same contract as steel fabrication, with the fabricator either providing in-house erection services or subcontracting to a qualified firm. Early relationships with design teams allow fabricators to influence specifications before they are finalized. AISC notes that engineers can require certified fabricators in the specification, which limits the GC's choice of subcontractor and reduces pure price competition.

Backlog swings create cash flow pressure for small family-owned shops. According to Associated Builders and Contractors, its Construction Backlog Indicator stood at 8.5 months in August 2026, and ABC reports that larger contractors carry longer backlogs than smaller ones.

The wider market is not growing on its own. U.S. Census Bureau data shows total construction spending at a $2,157.6 billion annual rate in July 2026, down 3.8 percent from a year earlier. When the market tightens, a shop that only waits for invitations to bid feels it first. Direct outreach to owners, developers and industrial end users creates opportunities outside the GC bid cycle.

Public work often requires competitive bid letting where price dominates the award decision. According to AISC, this process is frequently used for selecting fabricators on bridge projects and other public infrastructure. Private owners and developers operate differently. They set quality levels and may name approved fabricators based on capability, safety record, and past performance rather than price alone.

U.S. Census Bureau data shows private nonresidential construction spending at $755.2 billion seasonally adjusted annual rate in July 2026. This large private market rewards early engagement. Direct outreach to owners and developers before projects break ground allows you to influence specifications and avoid commodity bidding. AISC certification and documented safety performance become differentiators that justify higher prices than low-bid competitors.

Public construction spending reached a $543.4 billion annual rate in July 2026 according to the U.S. Census Bureau. Public work usually runs through competitive bidding, and AISC notes that competitive bid letting is the common method for selecting fabricators on bridge projects. Certification and a clean safety record help a shop qualify for that work.

Private work runs on relationships as much as price, which means it needs active business development to keep flowing. In Seqnced's experience, many family shops blend the two: public bids keep the shop loaded, while direct relationships with owners and developers build negotiated work. A useful planning figure from the steel industry is one ton of steel for every 200 square feet of building area, so tracking private development square footage in your region gives a rough view of coming tonnage.