Estimated reading time: 3 minutes, 54 seconds
I recently got a note from an old friend and remodeling marketing business coach that got me thinking. What the hell did I get myself into by starting a remodeling business? Having been a restaurant owner and Paramedic, I have chosen my third career, that of a remodeling contractor.
Here is the list Kyle Hunt prepared that spells out what I need to be doing to have successful remodeling business. It fills me with great pride that I am doing all of these things simultaneously, it also terrifies me to see what needs to be done day in and day out. I keep reminding myself DON’T LOOK DOWN!
Is a home remodeling business the most complex small business to own and operate?
“If it were easy, everyone would be doing it” Wait a minute…
• Ever changing rules, regulations, and inspectors to deal with
• Ongoing training and certifications to keep on top of
• Keeping employees productive, trained, and happy. Always planning on who you need to hire/let go of next
• Managing the relationships with your group of sub-contractors
• Effectively marketing your business to generate a flow of quality leads
• Having an effective and streamlined design and estimating process
• Managing your sales pipeline and follow-up
• Continuing to improve and work on a strong sales process from start to finish
• The pressure of signing work and selling it at a solid markup while competing against a host of competition
• Running job cost reports and then evaluating performance, and making adjustments
• Understanding and consistently reviewing your Profit & Loss Statement
• Managing risk – having the proper insurance
• Managing cash flow, accounts payable and receivable
• Being a leader. Setting the vision for the business. Setting annual goals and managing your overall business plan
• The need to keep an eye on new products and ways of doing things more effectively
• The need to buy tools/equipment and the tug of war on what to invest and not invest in
• The hard work it takes to deliver a high-quality finished project on-time and on-budget
• Oh, and you’re also in people’s homes – tearing them apart and putting them back together. It takes time, patience, and effort to manage the relationship and expectations of your clients
“You’re running a very complex business Joe”. (DUH!) Understatement of the year award goes to Mr. Hunt.
Who has a more complex business model?
Mr. Hunt’s point is that it is not easy to do it alone. He offers assistance for those that are trying to get a deeper understanding of their business especially the marketing related to remodeling. He is there to offer assistance. Kyle is a master of that. Here is his link
Some entrepreneurial humor
I once told a friend who wanted to open a restaurant that rather than actually going through with it, he could save himself 10 years of his life, and give him the same feeling by just giving me $100,000, and let me kick him really hard in the groin.
You know how to make a million dollars in remodeling? Start with 2. I must have misunderstood and I literally did start with 2 not 2 million, I wish I had paid more attention.
Here is my take on it all
Other challenges include compensating myself appropriately for the work I do. Remembering to have time to be with family and friends, rest occasionally, clear my head, and stay healthy.
I can proudly say that I have assembled an amazing team and we are constantly improving systems. Some of our best learning scenarios happen right after a spectacular failure.
I’m right where I want to be.
I love what I do and I am turned on about solving all sorts of problems. Yes, there is risk, yes there is danger, and at the end of the day we do some very wonderful work that I am very proud of. This is why I get up every day and pour myself into what I do. Thank you Mr. Hunt for recognizing the complex nature of my chosen profession and most of all for helping me out from time to time.
Your comments are welcome. To ask questions or get more information about remodeling, click here to email me directly, or call 208-947-7261
If you or someone you know is considering remodeling or just wants to speak to a trustworthy remodeling contractor please contact me, you’ll be glad you did.