Former Handyman | Remodel & Repair Contractor | Father of 6 | ✝️
Joined April 2023
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I cannot believe the responses to this 😂
(I would never do this, have never missed payroll, didn’t buy 5k gallons of diesel)
Respectfully, this guy needs to chill 😂
“Coming for throats” talk is wild with 12 leads per month. Growth is good, yes.
But you can grow without burning bridges to other contractors in town. Grow enough and you never know, they just might come work for you?
We’ve developed a relationship over the past 3 years with a hotel owner. Absolutely phenomenal customer.
We are now at this stage:
He lays out each fall the various projects he wants done. I ask him what total cap ex budget is. Then we work backwards.
Everything T&M
Last year I figured about $175k or so (I think) in total costs for a siding project.
Actual costs came in around $15k less and that included a ton of rot repair we would have change ordered for in a flat-rate scope.
Win/win for everybody.
Not that controversial of a comment here.
Our standard is:
- full written scope laid out like an instructional work order for techs
- total material cost
- total labor cost
- estimated completion time
Materials/labor not broken down. Just one line. Good balance.
Got our first 3-star review today. It’s been a long time coming and was deserved.
It reads like a 4-star tbh, but 3 is ok. We have served way too many customers to not get a real down to earth review.
As much as it stings to see, oddly feels about right for the job.
Don’t know any context here with this guy obviously, but general PSA:
If your contractor doesn’t warn you about how disruptive your bathroom/kitchen remodel can be, you’re gonna have a bad time.
Find friends/family, a cheap VRBO, an RV, or go on vacation.
Can’t overemphasize the importance of nailing down your insurance policies and (when initially setting up) making sure your estimated numbers are accurate.
If you’re growing, an audit is coming and very likely a large bill to pay as well.
Not fun!
I have and always will be pro-handyman.
If done correctly (and you have a strong skillset) it’s easily top 3 options for a solo residential trade business.
Having said that, plumbing/electrical work (no matter how simple) is not legal. Don’t make that mistake.
Everybody disagreeing with the last part of this post:
Your area may differ, but in general/most cases plumbing/electrical is not allowed without a journeyman license.
Furthermore, even in “grey area” jurisdictions or scope of work, you are still exposing yourself to lawsuits.
Insurance companies will find any reason they can to not cover a claim.
Once every few years you get an opportunity for a huge moneymaker as a contractor.
This job (without a doubt in my mind) is *that* job for whoever’s working on this project 😂
Primary concerns for us as a company from customers perspective:
1. Customer Experience
Initial call , onsite estimate, proposal & follow-ups, approval/contract, pre-construction planning, communication throughout project to completion.
It’s not just about price and finished product. Was the overall experience positive?
2. Value
Never the cheapest, always the best value proposition. Are we advocating for the best solution and value, based on customers needs? Or are we just trying to book a job?
3. Speed & Execution
Two guys can bid the same price, but who’s going to get it done quicker?
Two week bathroom remodel vs four makes a dramatic difference. Customers will pay the delta.
4. Quality
Plumb, level, square, tight & right. Variations in materials and scope to fit budget are one thing, baseline level of quality work is non-negotiable.
There’s a lot of ways we can measure a successful project. Are we gonna fire on all cylinders every single time? No.
But if we can consistently raise standards over time and make corrections as necessary, we’ll be the best overall contractor in our area.
I’d argue we already are within a 20 mile radius but it can be so much better.
General business/market update for us in Oregon:
1. Summer is generally slow for us with leads.
People are usually busy vacationing and not thinking about home improvements a ton. We also service a fair amount of vacation homes who prefer to do their work in off season.
But we have been absolutely cranking estimates the past three months ($750k to $1 mil per month sent). Probably 3x normal for this time of year.
2. We have projects ranging from $2k to $300k going on at any given time. Anything sub $10k gets done within two weeks from approval at most.
Our median job size however continues to increase. $50k to $80k is the preferred sweet spot at the moment.
3. Currently booked well into November with a large portion of summer estimates still pending.
The spring/fall is usually our heaviest lead periods and fall has barely started.
With soft commitments we are booked through end of year at least, but things can change fast.
4. Been hiring, currently at 14 employees strong. 2 office staff, 2 estimators, 1 superintendent, and 9-10 field technicians.
We also sub out at least $20k to $30k a month as well.
5. General market sentiment with other contractors is actually pretty good. Most are busy but our subs definitely jump when we have a job ready.
6. We are barely putting effort into marketing beyond GBP/LSA/Local SEO and minimal social media activity.
I really want to get it going but we aren’t really starving for leads, which I am thankful for.
7. Payroll increases and capital expenditures never seem to slow down, cash flow is super important to us but our customers are generally very quick to pay. We keep a low A/R balance.
8. Fulfillment/project management systems need refining and the longer we book out the better we can prepare for projects accordingly.
Downside to that is you lose jobs to people needing/wanting quick turn arounds.
And most importantly, family is healthy. 6 beautiful children and a godly wife.
Complete chaos but many blessings!