I was asked recently, “Is it time for a price increase?” All business owners ponder that question when profits start slipping and the bank account starts dropping. Well, it depends. Price changes should be based solely on the data and market trends. The first thing I review is your field labor and material expenses to […]
Whether you have licensed plumbers or technicians with experience working under your Master License, they each have a cost to the business. Hourly pay systems are the most understandable and most common. The hourly system is also one where most owners pay out the most. Meaning, their staff is overpaid based on the production revenue
Paying Your Plumbers and Technicians Read More »
If you are a service plumber, electrician, HVAC tech – you are not in the construction business. You are in the people business. It just so happens that this people business involves mechanical systems that require a good education, state and local licenses, the ability to work with your hands and be somewhat of a
What the Customer Wants Read More »
I am encountering more and more plumbing companies whose owners are scared. I am not sure if it is scared of success, or scared of change, or scared of asking for help. Why do people with the dream of going into business, think that they know it all and can’t ask questions? A doctor goes
I am sure you have heard the term; build it and they will come. It’s based on the movie Field of Dreams. Build a baseball field in the middle of nowhere and people will show up to watch baseball. There is much more to the story than that, but using that thought, think of your
What do you track on a daily basis? Probably the revenue brought in is first on the list. The money does pay the bills, but that is not all you should be tracking. Below are some items you should be tracking daily, weekly, and monthly. Close Rate: That is the relationship between the jobs that
Years ago, a plumbing company would purchase the largest ad they could afford in the Yellow Pages and the phone would ring. As a matter of fact, many new plumbing companies would not open their doors until the Yellow Pages were starting to be delivered to the public. Unless your company was absolutely terrible, you
This morning I got an inquiry through my website. The business owner was interested in Financials, Operations, and Staffing. Then there was the question, “What is your consultation rate per hour?” My response was “I really don’t have one,” and I don’t. So, I ask. “Do you have a few minutes today for us to
Your Business Sucks Read More »
If you are a plumber, there are several great reasons to do residential service work. First, there is always a need. Every city and town have a wide variety of housing, from brand new to possibly over 100 years old. The plumbing systems cannot last a lifetime, and generally the dwelling out lasts those systems.
Managing Accounts Receivable Read More »
When is the last time you actually pulled up a seat, sat down, and talked with the people who work with you? What are their goals? Why are they working? And, why are they working for you? The answers, if everyone is truthful, may surprise you. Most everyone needs to make a living. There is
Why Do You Work Here? Read More »
Another year is basically in the books. If you own a plumbing company, this should have been your best year ever! There was more work that anyone could handle. If only we could find a few more plumbers so we could capture all the jobs that were available. This was one of those years that
What is Your Cash Flow Ratio? Read More »
Late Tuesday afternoon before Thanksgiving, I arrived home and my garage door would not open. After getting into the house, I investigated and found one of the springs on the door was broken. So, I called the company that has been here a few times who actually replaced that spring about 2 years ago. I
10 Easy Steps to Success Read More »
