If you are working too many hours as a renovator or contractor, there are two bad things that can happen to you. One, you can burn out – have physical health problems. Two, you won’t be able to sell your business when you want to retire.
What’s the difference between “building a brand” and “lead generation”? The first term is “nice to have,” but the second is “need to have,” as Renovantage’s Mike Draper explains in this short video clip.
This is the perfect time of the year to ask yourself this question. “Do I really want to fly by the seat of my pants as a renovation contractor, or do I want to try to come up with the Three Year Business Plan?”
What happens when you decide there will be no deficiency list? It changes everything and makes you much more profitable.
Mike Draper of Renovantage.com concludes his chat with Rob Koci, editor of Canadian Contractor, about problem solving with clients
Whenever there’s a glitch, a screw-up, or a surprise on a renovation project, it’s tempting to forge right on with a solution that you, the renovator, thinks will work. But you need to make sure the client agrees with the changes you are going to make to the plans, to the schedule or to the finished look. Watch the video for more.
I recommend that renovation contractors have a Three Year Plan. Three years is a good timeframe as it is close enough that it is motivating, yet far enough out that you have time to reach your vision.
If you are going to grow your business, you will need to finance it somehow. Yes, there is a risk to that, but it’s a calculated risk. Understanding your cash flow is one of the calculations you will need to do.
If you are still doing all the construction yourself in your business, that’s fine. But understand that you will quickly reach a maximum annual earnings, and it will never really grow. You will be maxed out.
The fastest way to increase your bottom line is to be more efficient – or, simply put, by saving time. Everybody has heard the expression “time is money,” but only a few contractors – the extremely successful ones – are masters at saving time and operating with brilliant efficiency.