It took us 5 years of focusing exclusively on construction to make it profitable. Maintenance is so much easier to consistently to make money, not to mention easier on your body. We are considering adding maintenance in the next year or so to help with cash flow.
I really liked that graph on how to make more money doing less work. I just recently learned that over the last few years. Last year I made more money and did way less work with less labor even by charging more. I have less customers but like you said I have more customers that will pay top dollar.
It seems to me they knew their problems and they knew the solution - but they (or specific he) had to much emotional bonding to let go construction. I know this problem. Being the one to convert a dirt pile in a well structured garden with clear lines is a great experience. It makes you feel lucky. And if this experience is being honored by being payed with a big bill in the end makes it so satisfying - even if the bill may not really pay your effort. You go through all the downs like spending Money for paving stones, sand, concrete, flowers, turf and trees but you always see results that make you fell good for your effort. That’s the magic. And that’s the trap. You buy turf and it hurts - you go to the site and the turf is layed and the hurt is healed. Already. And then you go home and one day - as the construction site is finished - you are to write the bill. And as the money arrives you feel like it is a second reward. It feels like a bonus, like an extra. So even if the money might not be enough to be profitable the feeling says: that was great. That is what makes it so hard to drop projects.
Use a factoring company that buys your invoice they give you 70% of the invoice up front and when the company pays the invoice they take out the charges (interest) and send you the rest. Problem solved
This guy is just chasing his tail. 22 employees and 11K in the bank is a disaster, he is basically running a private welfare program. He needs to scale his business down and keep his best employees/clients. I used to have a similar sized crew and reduced it by well over 50%. I kept all the best guys and my profit margin is far higher than it was previously. I also have no trouble making payroll, have raised my prices substantially and only take on the best/highest paying clients. I actually make more today than with a larger crew because I can focus on running my company and not chasing my tail like the guy in this vid.
You will go bankrupt have 22 employees at 1.6 million. Period. You're already bankrupt you just haven't filed yet. Its a mathematic impossibility not to.
So your argument is raise your prices? What education and qualifications do you have other than bringing a few camera guys and making a leaf blowing video . This company is a for profit llc not a 503c and both divisions need to be profitable. You can’t simply grow a contracting business without hiring an estimator and a superintendent.
A NEW TURNAROUND?! IT'S GONNA BE A GOOD WEEKEND!
😱😱😱😱😱😱
Keep both sides, raise prices, do better at collecting on the projects--half up front, half on completion.
I've been looking forward to a new business turnaround episode
It took us 5 years of focusing exclusively on construction to make it profitable. Maintenance is so much easier to consistently to make money, not to mention easier on your body. We are considering adding maintenance in the next year or so to help with cash flow.
I really liked that graph on how to make more money doing less work. I just recently learned that over the last few years. Last year I made more money and did way less work with less labor even by charging more. I have less customers but like you said I have more customers that will pay top dollar.
Love the turnaround videos.
God bless you Mike.
🇨🇦🇲🇽
Over 20 employees at 1.2M 🤯
Idk if I heard right but that's at $45/man hour.. even more 🤯
Your insights are invaluable. This video has made me see that success isn’t about avoiding failure, but embracing it and learning from it.
Appreciate all that you do Mike!!
Did I hear $45/man hour... 🤯
New turnaround?? LETS GO!
I just couldn’t do it, idk how a lot of you all do but I need at least 50% up front for big projects along with a contract in place
Raise pricing. Solve all the problems. Get a better pay schedule in contracts
It seems to me they knew their problems and they knew the solution - but they (or specific he) had to much emotional bonding to let go construction. I know this problem. Being the one to convert a dirt pile in a well structured garden with clear lines is a great experience. It makes you feel lucky. And if this experience is being honored by being payed with a big bill in the end makes it so satisfying - even if the bill may not really pay your effort. You go through all the downs like spending Money for paving stones, sand, concrete, flowers, turf and trees but you always see results that make you fell good for your effort. That’s the magic. And that’s the trap. You buy turf and it hurts - you go to the site and the turf is layed and the hurt is healed. Already. And then you go home and one day - as the construction site is finished - you are to write the bill. And as the money arrives you feel like it is a second reward. It feels like a bonus, like an extra. So even if the money might not be enough to be profitable the feeling says: that was great. That is what makes it so hard to drop projects.
Love your content!
Use a factoring company that buys your invoice they give you 70% of the invoice up front and when the company pays the invoice they take out the charges (interest) and send you the rest. Problem solved
Any employee with 2" long nails gets a pay cut.
She her him they will sue you for discrimination 😂
10 likes if you can pronounce it “Bidness” on the show.
This guy is just chasing his tail. 22 employees and 11K in the bank is a disaster, he is basically running a private welfare program. He needs to scale his business down and keep his best employees/clients. I used to have a similar sized crew and reduced it by well over 50%. I kept all the best guys and my profit margin is far higher than it was previously. I also have no trouble making payroll, have raised my prices substantially and only take on the best/highest paying clients. I actually make more today than with a larger crew because I can focus on running my company and not chasing my tail like the guy in this vid.
You will go bankrupt have 22 employees at 1.6 million. Period. You're already bankrupt you just haven't filed yet. Its a mathematic impossibility not to.
So your argument is raise your prices? What education and qualifications do you have other than bringing a few camera guys and making a leaf blowing video . This company is a for profit llc not a 503c and both divisions need to be profitable. You can’t simply grow a contracting business without hiring an estimator and a superintendent.