Tag Archives: Wealth Building

Fill The Seats Or Go Broke!

If you were the owner of a NFL football team, your number one goal would be to fill all the seats every week. To fill seats takes a multiple approach. You must put a winning product on the field and you must sell seats. Seats don’t sell themselves. It takes a huge effort to create sellouts at profitable ticket prices.

Over the last ten years, you didn’t have to sell very hard to keep profitable revenue flowing into your company’s coffers. If you put a mediocre team on the field, called the usual plays, and used an average business strategy, your customers would keep coming back for more, if your price was somewhat competitive. And because business was plentiful, you didn’t have to try to win over many new customers. You stayed focused on doing the same type of work for the same type of customers and your business grew. Because there was enough work, you also didn’t have to try different types of projects, customers, or contract delivery methods. In fact, you even prided yourself as a specialist in a very focused type of business niche.

Fast forward. Today it is hard to fill the seats, revenue is scarce, and customers are hard to find. Having a winning team doesn’t matter if they can’t find a game to play in. You’ve cut your overhead and reduced your expenses as low as you can to survive. You continue to bid more and more work against too many competitors at lower and lower prices. Now you are even calling on new and potential customers you really never wanted to work for. You’re trying to get on any bid list you can including public works, which you always avoided because of the paperwork and prevailing wage issues. You’ve assigned your office manager or estimator to cold-calling and emailing any lead they can find in hopes of a miracle. Nothing is working and getting new business at a reasonable price is next to impossible.

Now what? You’re thinking you’ve got to fill the seats with paying customers or go broke. If the sudden slowdown in the economy taught everyone one thing: ‘Putting all your eggs in one basket won’t work forever.’ Many contractors and business owners focused their efforts on doing only one kind of project and service for one type of customer. For example, to keep revenue and jobs flowing in, many focused on only building housing tracts, or shopping centers, or industrial parks, or custom homes, or office building interiors. Some focused on building for general contractors, developers, or home builders. Some expanded and did more than one type of project. But, most didn’t crossover into totally different or diverse types of work. And offering a service component to their revenue stream wasn’t even considered as they were too busy to mess with little jobs.

Multiple streams of income sells more seats!
A diverse business plan includes three types of revenue streams with many different types of projects per stream. For example, here is a partial list of the unlimited revenue and business opportunities contractors have to choose from:

Multiple Revenue Streams & Opportunities          

1. Contracts & Bids

Private Construction
Retail shopping centers
National chain stores
Industrial buildings
Manufacturing & factories
Metal buildings
Office buildings
Banks
Medical buildings
Hospitals
Self storage
Renovations
Interior Improvements
Utility Company Projects
Housing Tracts
Custom homes
Residential remodeling
Residential home upgrades
Residential replacement work
Site improvements

Public Works Construction
Schools
Offices
Hospitals
Facilities
Roads & highways
Transportation projects
Sewer & water projects
Storm drain systems
Plants

2. Service Work & Ongoing Accounts

Ongoing Monthly Or Annual Accounts
Property management
HVAC maintenance
Electrical maintenance
Plumbing maintenance
Landscape maintenance
Site service & management
Spring & winterization
Light bulb replacement
Roof service
Road and drainage repair work
Generator service
Energy management & controls

Repairs & Service To Fix Broken Components
Plumbing & mechanical repairs & upgrades
Window replacement
Tenant improvements
Tenant relocation
Carpet and flooring service
Building damage repair
Clean-up and debris removal

3. Wealth Building & Passive Income

Own income producing real estate

Rental homes
Apartments
Shops and yards
Industrial buildings
Offices
Shopping Centers

Own income producing businesses
Rental equipment companies
Wholesale materials
Supplier
Services Continue reading

The 8 Traits Of Great Companies!

Earn More, Work Less, Live Life!

Good news! Now is the best time you’ll ever have to take a hard look at how your company does business. Why wait? When you start a company, you’re happy getting some work and making a little money. Then it grows into the company it is today by doing what it does relatively well for the few customers it has acquired. As an expert on entrepreneurial companies, I can tell you this is not the right way to design and build a great company that maximizes its’ potential market share, resources, people, and bottom-line profits.

When studying market-leading companies, you’ll find they have eight traits that make them stand out and stay at the top of their field. Make a list of top companies who are leaders in their marketplace. Your list might include: Apple, Caterpillar, Wal-Mart, Microsoft, McDonalds, Ritz Carlton, BMW, FedEx, Forbes, Star-Bucks, or Google. What sets them apart from the rest of their competitors and allows them to continually maintain market share, growth, and profitability?

Owning a company that offers the same basic services or products as most of your direct competitors will keep you busy during good economic times. But as the economy struggles or shrinks, business becomes more difficult, harder to grow, and make a profit. Especially when you offer almost exactly the same thing as most every other company you compete against. In order for your company to become the leader in your marketplace, you have to offer something unique or different than your competitors do. You also have to be passionate about your vision and where your company to go. You need organized systems and a professional management team that consistently delivers the same results for your customers every time. And you must be clearly focused on hitting your targets, goals and financial numbers. With these characteristics, your company will make an above average profit margin and have extra funds leftover to invest in wealth building opportunities.

IS YOUR COMPANY GREAT?
Take this True / False Test to determine if your company has the eight traits of great companies.

1. Our company has a written passionate vision that is prominently displayed for all of our customers and employees to see. Every manager and employee knows exactly what the company stands for, its’ values, and where it’s going.

2. Our company has written targets and goals for the overall operations, each department, and every project. These goals are tracked every month so adjustments can be made quickly.

3. Our company has a structured organizational chart clearly describing the accountabilities and responsibilities for each position in the company. Every employee knows exactly what they’re responsible to do and is fully accountable to make it happen.

4. Our company owners and managers are focused on achieving the numbers required for the company to hit its’ financial targets and goals. Our company makes a very large profit compared to the industry average and our competitors.

5. Our company has a unique or different delivery system, product, or service that attracts customers who will pay more to buy from our company than our competitors.

6. Our company has an ongoing, systemized, and pro-active sales and marketing program to find, contact, attract, retain, and service our customers. Our sales and marketing system has allowed our company to grow at least fifteen to twenty percent, or more per year.

7. Our company has written operational systems and procedures for all employees to follow that insure all workflow is completed in a similar standardized manner by all employees without exception.

8. Our company’s bottom-line delivers significant excess profits that allow us to seek investments and find opportunities to grow and build our equity and wealth. Continue reading

The Sad Truth About Small Business Owners

Talk to 95 out of every 100 small business owners with less than 100 employees and follow their progress for 10 to 20 years. You will hear the same sad story repeated over and over. They work too hard for the effort and risk they take. They don’t make any real money or have enough left over to invest. They can’t stop working or take much time off to do what they want. They can’t find any good help. They sell low prices to get most of their customers and revenue. They’re out of control and spend too much time putting out fires. They wish they could start saving some money and can’t figure out how to make their business better.Only 5% of small business owners will ever become wealthy or financially secure.

Why? 95% don’t implement the 8 key success factors that guarantee you can get your business to work for you:

1. Have a Passionate Vision
2. Written Clear Targets & Goals
3. Structured Organization
4. Accountable Responsible Management Team
5. Operational Systems Run the Business
6. Hit the Numbers & Make A Profit
7. Unique Delivery System
8. Pro-Active Sales & Marketing
9. Seek Wealth Building Opportunities

What key are you missing in order to help your business reach it’s full potential?