dgargan said:
I just keep paying my employees through the slow times and try to find things for them to do. It just kills me when we go through entended slow peroids and I run out of things for them to do. You can only sweep out a shop so many times... I still pay them because they need the job and it's not fair to them to cut their pay and I want them to stay because they are good employees.
David
I feel your pain, Dave. We hit the same thing. Trust me, I am envious of Ken "only" having a 50-65% residential volume drop in winter. Our residential during a Colorado winter would drop to almost zero after Christmas (except for assorted vomit/ urine/ spilled red
punch spotting calls from Christmas parties that had gotten out of hand!) and would not pick back up till after the spring thaw, which depending on weather would be mid April or later. Sigh!
So we sort of stumbled into water and fire damage restoration only as a way to keep our people busy. It was only later we learned the incredible profit potential found in restoration. (When I sold the business restoration accounted for 40% of our gross volume and almost 80% of our total net profit!)
Now, Dave, I am not saying you should impulsively jump into water damage (like I did!) only to keep your people busy. However, I would certainly examine W/D as a very useful way to smooth out the peaks and valleys plus add a very profitable revenue stream to your business. (Fire damage is a whole 'nother can of worms and I suggest a lot more analysis be done before a small company goes into it.)
IF someone is interested in moving into W/D they might want to go here:
http://www.strategiesforsuccess.com/section/resources
and then click on the link for a "Smoother Running Restoration Business". The download is free and I guarantee there will be no spam that comes with it.
Steve "Island Boy" Toburen (only 11 more days till I am back in sunny Santiago, DR!)
www.StrategiesForSuccess.com
PS Now if you don't want the inevitable stress of late hour emergency calls, the liability exposure and the dealing with seriously messed up people that restoration brings two other options for keeping your crews busy in winter are:
1. Start promoting a residential pre-paid "Stay Beautiful" program that offers your client two cleanings per year, one of which usually will fall in winter time. When I sold the business we had aproximately 7,000 bucks a month coming in from these customers for work we had not even done yet! This sure helped us make payroll when we had employees doing "busy work".
2. Develop a commercial contract route of regular accounts that are done monthly. This work helped us stay busy plus kept our cash flow healthy.
For lots of info on how to set up either of these options just go to the web address above and click on the appropriate link for your free download.