Leadership Roles in Architecture Firms
The head of an architecture firm is typically called the principal architect. This person leads the firm and makes major decisions about its direction.
Firm Hierarchy and Revenue Generation
Below the principal architect is a hierarchy of roles. This includes senior associates, associates, and junior architects. Larger firms may also have chief executive officers and other executive leadership positions. Non-profit and for-profit firms have different structures as well.
The firm’s ownership structure impacts how profits are distributed and what taxes the firm pays.
- Most architecture firms generate revenue by:
- Billing hourly for services
- Charging a percentage of total project costs
- Product sales
- Property leasing
Starting an Architecture Firm and Market Demand
There is no single best way to start an architecture firm. The optimal approach depends on various factors.
Principals, unlike staff architects, decide the firm’s direction and project focus.
The demand for architects is linked to construction activity. When the economy and building market grow, the need for architects increases.