How do you handle growth with out going crazy?

7153 Views 46 Replies 22 Participants Last post by GMack, Mar 11, 2011

DeanV

Discussion Starter · Jul 8, 2008

I am trying to plan out the rest of my summer exterior work. I landed more home exteriors than I expected in addition to my regular condo exterior work. Trying to keep residential interior repaint work going, plus one large new construction job just has me spinning my wheels. I am running with one year round employee and 5 summer workers for the exteriors and need to hire 2-3 more summer helpers plus another year round painter. I have 2 subs working with my year round guy on a large new construction home. I feel like I am spending all my time driving between jobs it seems.

I want to start working on some contracts for next summer, start my first advertising/mailing ever, come up with a good system for finding a good year round employee, etc and just cannot do it all anymore.

I feel like I need to re-evaluate my entire pricing structure to be able to pay a good painter enough to keep them around (beginning to think the $45/hour billing rate is not unreasonable after all, especially if it is going to take 18-20/hr with a few perks, no health insurance). This would sink my new construction work though, since most of it is done T&M( at $35/hr) and how these jobs are scheduled, it would be impossible to bid them anyway.

How have you guys got through this stage in the business? I feel like I am now at the point where it is taking off to the extent that I should be able to (and need to) spend a couple days a week doing business work instead of painting all the time and doing business work in the evening, but making that transition is hard.

21 - 40 of 47 Posts

Dave Mac

· #21 · Jul 9, 2008

Handle growth with out going crazy, imo very slowly, first thing is you have to find someone you trust that can run the job and get it done as you would or at least close to your satisfaction, this guy has be able run the job with out any help from you. From thier growth can start. Hiring painters is fine but hiring someone who can run and supervise the painters is key. I think this is why subs are very apealing, you work with crew leader, as far as sceduling and change orders and such, but he is responsible to run the show, of course if he doesnt run the show in a good way its you but on the line.

It about building relationships with your guys and knowing what they can do, they know what you expect of them, and you know what they expect from you. another thing about expanding is cash flow, you need to be able to pay your workers even if you dont get paid.

I prefer a very slow steady graduall pace for growth.

dave mac

ps
when I was a younger man I had a differnt view on growth. lol (that was for you scott) lol

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vermontpainter

· #22 · Jul 9, 2008

ps
when I was a younger man I had a differnt view on growth. lol (that was for you scott) lol

[/quote]

Haha...yah I remember back in the day, when we were young, dumb and full of spunk, we took a much more aggressive course to growth. Now that we are older and wiser, its much smoother. :wheelchair:

premierpainter

· #23 · Jul 9, 2008

When we started 18 years ago, we were in the bucket. Back then I had a partner. He and I got so busy that a time came when we knew that we had to divde up and grow. We added vans and men. We were up to 17 guys at the time. Well we came to a point when we new it was better to go on own own and we did. I started out with 9 guys and three vans. Since being on my own, I have never painted. I own and run a painting business. Well the 9 guys is now 23+ and we have more business and equiptment than I ever care to think about. Being "in the bucket" will leave you exactly there. Go to www.yourcostcenter.com you will see that by adding employees to your business you can charge that $35 per hour that you were talking about and make much more than $45 and two guys. I bet that you will be surprised, your two guys and yourself probably need to charge around $65 an hour to make profits. Our rate per hour needs to be $31.25...yes that is all. At that rate we are far more competitive and win more jobs. I get paid, my wife gets paid, we make great margins, and go on vacation 5 weeks out of the year. Granted, most jobs are billed much higher, and that just means far greater profit.

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Reactions: 1

Brian

· #24 · Jul 9, 2008

premierpainter said:
When we started 18 years ago, we were in the bucket. Back then I had a partner. He and I got so busy that a time came when we knew that we had to divde up and grow. We added vans and men. We were up to 17 guys at the time. Well we came to a point when we new it was better to go on own own and we did. I started out with 9 guys and three vans. Since being on my own, I have never painted. I own and run a painting business. Well the 9 guys is now 23+ and we have more business and equiptment than I ever care to think about. Being "in the bucket" will leave you exactly there. Go to www.yourcostcenter.com you will see that by adding employees to your business you can charge that $35 per hour that you were talking about and make much more than $45 and two guys. I bet that you will be surprised, your two guys and yourself probably need to charge around $65 an hour to make profits. Our rate per hour needs to be $31.25...yes that is all. At that rate we are far more competitive and win more jobs. I get paid, my wife gets paid, we make great margins, and go on vacation 5 weeks out of the year. Granted, most jobs are billed much higher, and that just means far greater profit.

Another great testimonial for knowing your numbers.

Brian Phillips

Kelly Painting

· #25 · Jul 9, 2008

Thanx, reading all your posts reminded me just how small and stupid I am.
I'm still in the bucket..but only 2 1/2 years in..I have had 20-30 guys come and go. But one guy who's been with me from the beginning...didn't even know how to hold a brush.. he's turning 20 friday...maybe I'll throw an extra hundred in his pay for all his hard work.

vermontpainter

· #26 · Jul 9, 2008

Kelly Painting said:
he's turning 20 friday...maybe I'll throw an extra hundred in his pay for all his hard work.

That may be the best investment you make this month.

Wolverine

· #27 · Jul 10, 2008

Man, this is just awesome! Congratulations dude. There is nothing I like better than seeing someone succeed. As some of you know, we are in an extrememly steel sales growth and have been for a few years now.

What have I learned?
Delegate... Relinquish Authority... FOLLOW UP!

What I am saying is that sucessful managers do just that... manage. I made some mistakes and you don't have to make the same ones if I share with you. The first mistake I made was thinking that I could do it all myself. *Delegate

Then, even though i delegated I would sometimes jerk the reins back out of the person's had that I delegated to. *Relinquish Authority

Last, I learned that although I delegated and then relinquished authority... you MUST follow up and check behind your employees to ensure that the work was completed to satisfaction.

It's a really had place to be but SO rewarding. With all of that said, the only thing that got me through it was God.

tsunamicontract

· #28 · Jul 10, 2008

George Z once said that one day he realized that there was a lot of good paint work done in Toronto, and he hadn't done it. That's when he realized that others can do good work.

this is quite possibly the most beneficial, important thing I have read on this site. Hopefully this will really help me with my employee dilemma.

ewingpainting.net

· #29 · Jul 11, 2008

tsunamicontract said:
What do you guys do for training that installs accountability in ones work? Do you install a system of rewards or consequences if work is done efficiently or I have to come back and touch it up?

I think you hit on a perfect point. does one need to be rewarded for what one is suppose to be doing any way. I get the "I work hard so I deserve a raise" all the time, but isn't that what we all are suppose to be doing just to keep ones job?

Rather than coming up with a reward system, I found by getting my guys involved with their suggestions and ideas. Like what procedure would you do? or How much paint do you think this will take? Even if you have the answer, it shows that you care about your guys. Also give them a title other than a worker or painter like lead man, foreman, or journeyman works as well. All of this gives on ownership and pride. I like my guys to have passion for their work just as much as I have. butt not so much that you can't direct them.

englishdave

· #30 · Jul 15, 2008

DeanV said:
For me, that right there is a big part of the problem. It is just having the confidence to do it. It is easier to think of a hundred reasons why it will not work out.

There probably are at least a hundred or more!

watson51

· #31 · Mar 9, 2011

Hi Guys, I'm new on this board - What's "in the bucket" mean?

Workaholic

· #32 · Mar 9, 2011

watson51 said:
Hi Guys, I'm new on this board - What's "in the bucket" mean?

In the bucket means you are still slapping paint.

Give us an update Dean, that was almost 3 years ago.

straight_lines

· #33 · Mar 9, 2011

You could always sub it out.

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daArch

· #34 · Mar 9, 2011

Damn,

Read have way through this before I realized it was a Necro Thread

We gotta close these things down when they run their course.

Now, back to Uncle Sam's work....apparently he needs to be paid.

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ewingpainting.net

· #35 · Mar 9, 2011

Ahh, these old threads have been interesting reads. How the times changes!

straight_lines

· #36 · Mar 9, 2011

I didn't know it was nerco until you posted it. Caught myself on another before opening this thread.

NEPS.US

· #37 · Mar 9, 2011

What ever happened to tsu, gmack and kelly?

Workaholic

· #38 · Mar 10, 2011 (Edited)

NEPS.US said:
What ever happened to tsu, gmack and kelly?

tsu is going to school near Chris I believe, gmack comes and goes and is beating VP out of all the jobs in Vermont and Kelly just faded away.

RCP

· #39 · Mar 10, 2011

I was in contact with Tsu last year, he was going to college in northern Utah for engineering, I think. I was going to use him on a few jobs but our schedules didn't pan out. Have not heard from him since last fall.

vermontpainter

· #40 · Mar 10, 2011

NEPS.US said:
What ever happened to tsu, gmack and kelly?

And Watson. Dude posted twice and was all set. And this is back when we were a content based platform. And they say people get scared off...

21 - 40 of 47 Posts

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