Carolinas Vol 1 2019

design Carolinas Carolinas ISSUE 1 | 2019

CAROLINAS

design Carolinas Carolinas

CAROLINAS

ASID Carolinas Chapter Office 1300 Baxter Street, Suite 360 Charlotte, NC 28204 704-940-1717 administrator@nc-sc.asid.org Cwww.nc-sc.asid.org ASID National 1152 15th St. NW, Suite 910 Washington, DC 20005 Tel: 202.546.3480 Fax: 202.546.3240 membership@asid.org www.asid.org

PublIShINg StAff Advertising Sales Duff Tussing • 972-562-6966 Jamie Williams • 352-448-5873 Ad Director Dawn Lyon • 972-436-2841 Design Carolinas magazine is published quarterly for the Carolinas Chapter of the American Society of Interior Designers by DSA Publishing & Design, Inc. Editorial content and Design Carolinas magazine are controlled and owned by the Carolinas Chapter of ASID. Reproduction of this publication in whole, in part, in any form is strictly prohibited without the written permission of the Carolinas Chapter of ASID.

06 15 16 18 20 22

2019 EXCELLENCE IN DESIGN AWARDS WINNERS’ GALLERY

LEGAL DO’S AND DON’TS FOR INTERIOR DESIGNERS

By Alan M. Siegel, Esq.

THE INTERIOR DESIGNER’S GUIDE TO WEBSITES

By Deb Mitchell CHAPTER HAPPENINGS AND

DESIGN COMMUNITY MEETINGS DESIGNING YOUR STRATEGY

By Julia Molloy TIME BILLING

By Marc A. Molinsky

advertisers

23 | Care Free Carpet 5 | Cosentino

23 | Designer Advantage

5 | Dreams and Destinations

2 | High Point Showroom Association

24 | Sherwin Williams

ASID CAROLINAS CHAPTER | ISSUE 1 2019 - 3 -

ASID CAROLINAS

1300 Baxter Street, Suite 360 Charlotte, NC 28204 704-940-1717 administrator@nc-sc.asid.org www.nc-sc.asid.org

BOARD OF DIRECTORS PRESIDENT Shane Jones, Allied ASID President@nc-sc.asid.org

PRESIDENT-ELECT Olivia Neal Leyland, Allied ASID President-elect@nc-sc.asid.org PAST PRESIDENT Rebecca Compton, ASID gallery406@sc.rr.com

G

rowing up, my family was packed and ready to travel to my grandparents in Florida the day after school ended. Summer always reminds me of fun, family celebra-

tions and creativity. It’s no different now, I love to see summer come and travel to places that inspire me. As well, many of you take this time to slow down and travel for education while finding inspiration along the way. I am extremely excited to offer this magazine to our membership and industry partners in hopes it will educate, inform and inspire.

Since becoming Chapter president, I have been about the business of design to bring the chapter’s visibility to a whole new level by promoting our designers, industry partners, students

DIRECTOR AT LARGE Randy Masters, Industry Partner Rep at-large@nc-sc.asid.org

and sponsors through our monthly newsletter, Facebook and Instagram platforms. We introduced “Members on the Move” and with “New Member” spotlights we learned just a little more from about our members and friends in the design community. In this issue you’ll see Chapter

MEMBERSHIP DIRECTOR Rhonda Hull, Allied ASID Membership@nc-sc.asid

Happenings where the first ever “Business of Design” lunch experience which included many

FINANCIAL DIRECTOR Dee-Dee Bonds, Allied ASID Finance@nc-sc.asid.org

Vicky Serany, Southern Studio, and Marta Mitchell, Marta Mitchell Interiors moderated by Ashely

PROFESSIONAL DEVELOPMENT DIRECTOR Nicole Maltarp, Allied ASID ProfessionalDevelopment@nc-sc.asid.org COMMUNICATIONS DIRECTOR Dallas Till, Allied ASID communications@nc-sc.asid.org STUDENT REPRESENTATIVE TO THE BOARD Emily Conn, Student ASID StudentRep@nc-sc.asid.org EMERGING PROFESSIONALS DIRECTOR Catherine Ingegneri, Allied ASID cingegneri@calclosets.com DESIGN COMMUNITIES DIRECTOR Nicole Long, Allied ASID longnicolee@gmail.com STUDENT AFFAIRS DIRECTOR Kayla LaChance, Allied ASID kaylalachance93@gmail.com CHAPTER ADMINISTRATOR Melissa Klingberg administrator@nc-sc.asid.org

- 4 - ISSUE 1 2019 | ASID CAROLINAS CHAPTER

of our Industry Partners. Carolyn Noble, National Director At-Large brought an informative State of the Industry address and an inspiring designer panel included Traci Zeller, Traci Zeller Interiors, Hotham Cox, Home Design & Décor Magazine. It was held at the beautiful and stately Duke Mansion in Charlotte. Seventeen adventurous designers and guest experienced a once-in-alifetime, designer-focused and completely customized five-day spectacular trip to San Miguel de Allende, Mexico this March. We are doing it again in 2020…there’s still time to sign up.

Leading up to March, our board was hard at work to create an action-packed day in Raleigh. On pg 5, the Spring Conference ended with an exciting evening of “Excellence in Design Awards” with over seventy design projects submitted and won by many of our talented members across the Carolinas.

We are in the middle of the year and it’s been busy in NC with many working for recognition of interior designers as a profession. Our Carolinas Chapter is leading the legislative effort to protect the practice of interior design. NC House Bill 858 was introduced in the spring which you will learn more about throughout the year. The board of directors and I are working hard to bring value to your membership through communications, design community events and student engagements. We can’t do it alone, there are many committee opportunities available to volunteer; visit https://nc-sc.asid.org/chapter-involvement.

With the upcoming Fall Conference right around the corner, it will be eventful offering up CEU’s, networking, vendors and a whole lot of creative fun...come and be inspired. No matter where you travel to this summer, I hope you will find inspiration and joy in everywhere you go!

Shane Jones, Allied ASID Carolinas Chapter of ASID President 2018-2019 president@nc-sc.asid.org

Designing Destinations Curated itineraries rich with design inspiration

Designing in San Miquel de Allende, Mexico Nicole Norris designed this "salle" or living room in the casa in San Miguel. The boveda brick ceiling is original to the house; the canterra stone fireplace was custom designed and fabricated in San Miguel and the travertine floors are also from Mexico. The light fixture was hand made in a nearby local lighting store, Artes de Mexico. The paint color is a favorite of mine, Sherwin WilliamsSW 6374 Torchlight.

info@wheredreamslead.com wheredreamslead.com 866-585-1631 • 703-724-1243

Nicole Norris, ASID NCIDQ; Nicole Norris Design Studio

For design inspiration travel with Dreams and Designations on a trip of a lifetime.

8:43 AM Get full details: https://wheredreamslead.com/asidcarolinas

8/15/19

ASID CAROLINAS CHAPTER | ISSUE 1 2019 - 5 -

2019 Excellence in Design Awards

Winner’s Gallery

Our Excellence in Design Awards recognizes the best of ASID Carolinas commercial, residential, and hospitality design. The celebration featured cocktails, a three-course dinner, and networking with new and old friends. This is such an exciting event that we wait for each year and in March it did not disappoint! Getting dress up and socializing with colleagues and industry friends made it special. With anticipation we listened to our emcees from Madcap Cottage of High Point, Jason Oliver Nixon and John Locke, call out the winner’s names…it was an evening to remember. Truly its exciting to see the extraordinary work done by our exceptional members. As we took time out of our busy lives to celebrate the design that impacts lives in our community it is what makes the evening so magnetic and inspiring. We would like to congratulate our winners and everyone who entered the competition this year.

Moreover, our design awards event would not have been achieved without the financial support from our chapter sponsors. We always appreciate their generosity and the commitment they offer to our success.

Urban Interiors Inc.

Robin Johnson Second Place Category: Bathroom

Thank you to our Sponsors: Sherwin-Williams, California Closets and Arhaus

Margaret Donaldson Interiors

Margaret Donaldson First Place | Category: Bathroom

Barbour Spangle Design | Christi Barbour Honorable Mention | Category: Adaptive Reuse

Alem Dickey Keel Interior Design Second Place | Category: Adaptive Reuse

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| Melinda Dickey

Catherine M. Austin Interior Design First Place | Category: Bathroom

| Catherine Austin

J. Banks Design Group

Hannah Toney Second Place | Category: Bathroom

Canter Lane Interiors

| Shelly Gerritsma Second Place | Category: Bathroom

Nicole Norris Design Studio, Inc. Second Place | Category: Bathroom

| Nicole Norris

Lauren Ferderigos Interiors LLC

| Lauren Ferderigos First Place | Category: Corporate under 7,000 sq ft

Danville Interior Design Gallery, LLC

Second Place | Category: Bathroom

Catherine M. Austin Interior Design Second Place | Category: Designer House

| Dawn Driskill

| Catherine Austin

Ann Ferguson Design Ann Ferguson Second Place Category: Furniture or Special Cabinetry

Ann Ferguson Design | Ann Ferguson Second Place | Category: Furniture or Special Cabinetry ASID CAROLINAS CHAPTER | ISSUE 1 2019 - 7 -

Design Authentic Interior Design | Susan Carson Second Place | Category: Furniture or Special Cabinetry

J. Banks Design Group

Sisu Home Designs | Sara Lee Honorable Mention | Category: Furniture or Special Cabinetry

JDavis Architects, PLLC | Brittany Warlick Second Place | Category: Healthcare over 7,000 sq ft

Alem Dickey Keel Interior Design | Melinda Dickey First Place | Category: Hospitality

Barbour Spangle Design | Christi Barbour Second Place | Category: Hospitality

JDavis Architects, PLLC

J. Banks Design Group | Joni Vanderslice

| Brittany Warlick Second Place | Category: Hospitality

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| Joni Vanderslice Second Place | Category: Furniture or Special Cabinetry

Second Place | Category: Hospitality

Barbour Spangle Design

Christi Barbour Second Place | Category: Institutional

J. Banks Design Group

| Joni Vanderslice Honorable Mention | Category: Hospitality

Canter Lane Interiors | Shelly Gerritsma

West Trade Interiors | Hadley Quisenberry

J. Banks Design Group

Catherine M. Austin Interior Design | Catherine Austin

First Place | Category: Kitchen

| Hannah Toney Second Place | Category: Kitchen

Nicole Norris Design Studio, Inc. Second Place | Category: Kitchen

| Nicole Norris

Second Place | Category: Kitchen

Second Place | Category: Kitchen

Sisu Home Designs | Sara Lee Second Place | Category: Kitchen ASID CAROLINAS CHAPTER | ISSUE 1 2019 - 9 -

Danville Interior Design Gallery, LLC | Dawn Driskill

J. Banks Design Group

Design Authentic Interior Design

Nicole Norris Design Studio, Inc. | Nicole Norris

Second Place | Category: Kitchen

Honorable Mention | Category: Kitchen

| Susan Carson

Barbour Spangle Design | Christi Barbour First Place | Category: Model Home

JDavis Architects, PLLC | Brittany Warlick First Place | Category: Multi-Unit Residence - 10 - ISSUE 1 2019 | ASID CAROLINAS CHAPTER

| Joni Vanderslice Second Place | Category: Kitchen

Honorable Mention | Category: Kitchen

Plantation Building Corp

First Place | Category: Model Home

J. Banks Design Group

| Chrissy Bonney

| Lisa Whitley Second Place | Category: Multi-Unit Residence

J. Banks Design Group

| Lisa Whitley Honorable Mention | Category: Multi-Unit Residence

Design Authentic Interior Design | Susan Carson Honorable Mention | Category: Multi-Unit Residence

J. Banks Design Group

Margaret Donaldson Interiors

Starr Miller Interior Design

Catherine M. Austin Interior Design

J. Banks Design Group

J. Banks Design Group

| Hannah Toney First Place | Category: Residence over 3,500 sq ft

| Starr Miller First Place | Category: Residence over 3,500 sq ft

| Lisa Whitley First Place | Category: Residence over 3,500 sq ft

| Margaret Donaldson First Place | Category: Residence over 3,500 sq ft

First Place | Category: Residence over 3,500 sq ft

| Catherine Austin

| Sharon Cleland Second Place | Category: Residence over 3,500 sq ft ASID CAROLINAS CHAPTER | ISSUE 1 2019 - 11 -

Marta Mitchell Interior Design

Gaylord Design LLC

Grace Godfrey Thomas

Nicole Norris Design Studio, Inc. | Nicole Norris

Southern Studio Interior Design

Southern Studio Interior Design

Barbour Spangle Design | Christi Barbour First Place | Category: Residence under 3,500 sq ft

Urban Interiors, Inc.

| Marta Mitchell Second Place | Category: Residence over 3,500 sq ft

| Grace Thomas Honorable Mention | Category: Residence over 3,500 sq ft

| Vickey Serany Honorable Mention | Category: Residence over 3,500 sq ft

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| Sandra Gaylor Second Place | Category: Residence over 3,500 sq ft

Honorable Mention | Category: Residence over 3,500 sq ft

| Vickey Serany Honorable Mention | Category: Residence over 3,500 sq ft

| Robin Johnson Honorable Mention | Category: Residence under 3,500 sq ft

Barbour Spangle Design

Second Place | Category: Retail

| Christi Barbour

Catherine M. Austin Interior Design | Catherine Austin Second Place | Category: Retail

Swell dĂŠcor | Angie Persson First Place | Category: Singular Space

Barbour Spangle Design | Christi Barbour Second Place | Category: Singular Space

Canter Lane Interiors

Swell dĂŠcor | Angie Persson Second Place | Category: Singular Space

| Shelly Gerritsma Second Place | Category: Singular Space

Margaret Donaldson Interiors

| Margaret Donaldson Honorable Mention | Category: Singular Space

Design Authentic Interior Design

Honorable Mention | Category: Singular Space

| Susan Carson

ASID CAROLINAS CHAPTER | ISSUE 1 2019 - 13 -

Danville Interior Design Gallery, LLC

Honorable Mention | Category: Singular Space

| Dawn Driskill

Dianne Davant & Associates

| Pamela McKay Honorable Mention | Category: Singular Space

Ann Ferguson Design | Ann Ferguson First Place | Category: Vacation/Secondary Home

Barbour Spangle Design | Christi Barbour First Place | Category: Vacation/Secondary Home

Margaret Donaldson Interiors

Southern Studio Interior Design

J. Banks Design Group

Marta Mitchell Interior Design

| Margaret Donaldson Second Place | Category: Vacation/Secondary Home

| Hannah Toney Honorable Mentio | Category: Vacation/Secondary Home - 14 - ISSUE 1 2019 | ASID CAROLINAS CHAPTER

| Vicky Serany Second Place | Category: Vacation/Secondary Home

| Marta Mitchell Honorable Mention | Category: Vacation/Secondary Home

LEGAL MATTERS

36 Legal Do’s and Don’ts for Interior Designers 36 DO’S AND DON’TS

Alan M. Siegel, Esq.

I

must confess; I am a die-hard list maker.

Some of my lists are of no real consequence, and others have a very short lifespan, particularly when they are forgotten in a pocket and sent to the dry cleaner.

Other lists survive longer, and often become the basis for one of my articles. Such is the case with my everevolving list below. The Do’s and Don’ts are in no particular order of importance—they are all important! Some are obvious, others not so much.

Some are self-explanatory, others need explanation. No doubt this list is not exhaustive; nor is it intended to be. If you have any questions, need an explanation, or wish to offer a comment, feel free to send me an e-mail at asiegel@LSSLLP.com

• Do not select the wrong client to work for.

• Do not do favors for clients at your own peril.

• If you intend to use a form contract, use the correct one, and be sure to modify it according to the project requirements.

• Do advise your advisors (your attorneys, accountants and insurance brokers) as to what you actually do for a living. They will then be in a much better position to advise you.

• Do understand the legal importance of contract “boilerplate” provisions.

• Do use the contract as an opportunity to educate your client.

Remember, a surprised client is not a happy client.

• Do understand your vendor’s terms of sale. They are not in your best interests!

• Do recognize when you have a problem (in other words—do not stick your head in the sand!).

• Deal with the problem on a timely basis. Problems do not go away over time—they only get worse.

• Do be familiar with local laws applicable to your services.

• Do not forget the three biggest client • Do not put all your “contractor eggs” in one basket.

• Do not make “innocuous” representations; particularly when they are not “innocuous.”

• Do understand contract termination rights.

• Do contractually reserve the right to suspend performance of services and to withhold delivery of merchandise if your client fails to make timely payments.

• Do take a flexible approach to your fees and compensation.

• Do keep historical time records.

They help you determine how best to charge fees on your next project.

• Do have the last letter in the file.

You will make your attorney happy.

• Do understand your insurance coverage; specifically, what is and what is not covered.

• Do not ignore your client’s calls.

The client you don’t want to call back is the first client you should call back.

• Do communicate often with your client, even if nothing is happening.

• Do understand the importance of the pre-contract phase. How can you prepare a contract when you don’t understand your new project?

• Do not relinquish intellectual ownership rights in your designs to your clients.

• Do not underestimate your client’s anger or frustration.

• Do reserve the right to photograph your client’s project and to use the photographs (for business purposes).

• Do try to contractually shift responsibilities over to third parties where they properly belong.

• Do not violate the home improvement contractor laws.

The consequences are usually quite severe.

• Do not practice “interior architecture” or hold yourself out as being an “interior architect.”

• Do understand the exclusions of your professional errors and omissions insurance policy.

• Do limit your personal exposure by operating your design business in a legal entity that provides you with the benefit of limited liability.

• Do remember, however, that some types of business liability can become personal obligations (e.g. sales tax), even though your business entity enjoys limited liability.

• Do not ignore the statutory licensing requirements governing interior designers in the states where your client’s project is located.

• Do not be “hard of hearing” during contract negotiations.

• Do practice good risk management techniques.

Alan M. Siegel is a partner of the New York law firm of Levy, Sonet & Siegel, LLP, 630 Third Avenue, New York, New York 10017, (212) 661-1212; asiegel@LSSLLP.com.

40+ years of legal experience within the design and architectural industry representing the interests of interior designers, architects, product designers and resources to the design industry. For over twenty years served as national legal counsel to the American Society of Interior Designers.

Interior Designers, Inc. Member of National Board of Trustees of DIFFA. Trustee of the Angelo Donghia Foundation.

General Counsel for the Association for the Contract Textiles Inc. and the Decorative Fabrics and Furnishing Association. Honorary Fellow of the American Society of

Alex K. Ross, a senior associate in the firm, assisted with the preparation of this article.

Co-author of A Guide to Business Principles and Practices for Interior Designers, published by Whitney Library of Design. Frequent lecturer and contributor to industry and trade groups publications.

ASID CAROLINAS CHAPTER | ISSUE 1 2019 - 15 -

The Interior Designer's Guide to Websites Here's What You Need to Know Before Investing in a New Site

By Deb Mitchell

Undertaking the task of getting a new website isn't exactly at the top of most interior designers' "Yes, Please!" lists.

The thought of starting from scratch with a brand new design and copy can be daunting. After all, it's a big investment of both your time and your money, and it's important for the success of your business that you get it right!

But you don't need to dread a stressful, time-consuming process or fear ending up with a website that's somewhere between mediocre and absolutely disastrous as long as you know a few key things up front.

Here's my take on what's most important for you to know before taking the plunge.

SHOULD YOU START WITH YOUR WEBSITE'S DESIGN OR ITS COPY? I can't tell you how many times I've been the bearer of bad news when my website copywriting clients have asked me to weigh in on their already finished website designs. More often than not, there's a bevy of layout and design elements that I know could be much better for marketing their services, like project images that are far too small to effectively showcase their designs, or no space allotted for client testimonials or a description of their processes.

Even if your web designer is great at what they do, they're probably not experts at marketing for interior designers.

Without understanding your industry, they simply won't know how to create a site for you that accommodates your unique needs - let alone offer ideas that are in keeping with your peers' sites while still differentiating you from your competition.

Simply put, I believe that designing your site before mapping out your brand message and your copy is like pouring a home's foundation before drawing the plans.

By doing so, you're creating one of two unhappy scenarios: 1. Settling for a new site that doesn't deliver a strategic brand message that fully appeals to your prospects 2. Paying costly change fees and dealing with substantial delays to make the initial site design suit your brand messaging needs.

Instead, start your project with a team that includes a dedicated professional copywriter - preferably one well versed in brand messaging for creative professionals and luxury lifestyle industries. That way, you can be assured your copy and your design are being created simultaneously to complement one another, and that there's a brand messaging strategy behind both.

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IS IT OK TO REUSE YOUR OLD LOGO AND BRANDING FOR YOUR NEW SITE?

the information they need at a glance - including confirming to those local clients (who don't want to pay their designer's travel fees) that you're right in their backyard!

Your brand's logo, fonts, and colors send an important message to your prospects. They reveal what kind of designer you are just as much as your website's copy and your portfolio images do. If you let them get dated or if you don't invest in branding that's in keeping with the caliber of your interior design work, these visual branding elements can undermine the message you're trying to send about your brand.

HOW CAN YOU MAKE SURE YOUR NEW SITE'S COPY WILL APPEAL TO YOUR PROSPECTS?

While in my experience, most designers are very conscious of their visual branding's importance, they can be tempted to skimp on it when taking on the expense of a new website at the same time.

Much like the spaces you design for your clients, the end results of your website project depend on the elements you put into it. While in some cases it may be just fine to reuse a few of your clients' existing furnishings in their new design, you also know that you'll undoubtedly be able to achieve a better result if they invest in items chosen specifically for the new design.

The same goes for your logo and branding. If they don't seem dated and you feel they're still a good representation of your aesthetic, it's probably fine to reuse them. However, it will become dated and/or your aesthetic will change at some point - and usually sooner rather than later. Bear in mind that it's going to cost you more in the end to get new branding in a year or two since you'll also have to pay at that time to have it added to the website you're buying now.

SHOULD YOU PUT YOUR GEOGRAPHIC LOCATION ON YOUR NEW SITE? The argument designers often make for not placing their location on their website is that they don't want to limit themselves to local clients.

After all, what designer wouldn't mind landing a high-budget gig in Paris or Dubai?! Or even in the next state over, as long as they're being paid fairly for their time and travel expenses.

Point taken. But I can promise you three things: 1. If you're excellent at what you do, showing where you're located will never chase away great clients who are willing to pay your travel fees.

2. Not showing your location won't help those clients find you.

3. Not showing your location will absolutely prevent great clients in your area from finding you.

Even if you include your location behind-the-scenes in your site's SEO, if local prospects don't see where you're located once they're on your site, they're likely to move on. People are not patient on the web. If you don't want to lose them, you have to give them all

While brand voice and word choice certainly have something to do with making copy appealing, the main way to ensure your copy resonates with your prospects is by not focusing it on yourself.

That seems counterintuitive - your prospects need information about you and how you do business. But keeping the focus on you and your story can actually work against you.

Instead, center all your copy (including your About page) around your prospects.

Address things like...

What their challenges are and why you understand their struggles Why their needs match with your specific solutions How they'll benefit from your aesthetic and service model How they're in the right place because your background, experience, and expertise make you the perfect designer for them Of course, this also means you shouldn't try to make your copy appeal to everyone. You need to know your clients and prospects well; you need to understand how they think and what they need from a designer. Make sure your copy is for them and only them, staying focused on how every piece of information you give on your site relates to their specific needs.

There's no need to drag your feet, fearing a long, painful project and unpredictable end results. If you start with these key items in mind, getting a new website that markets your interior design business beautifully will be an easy, breezy endeavor, as well as one of the smartest investments you'll ever make in your brand.

Previously a freelance features writer for lifestyle and shelter publications, Deb Mitchell now works with interior designers and other creative professionals through one-on-one copywriting, ghostblogging services, and online courses in content creation and marketing. With nearly a decade of experience in and around the interior design industry, Deb has a deep understanding of designers' unique marketing needs. She's currently undergoing a full rebrand and getting a new website for her own business, so she knows the struggle is real! For more of Deb's website tips, visit http://bit.ly/sneaky-website-mistakes .

ASID CAROLINAS CHAPTER | ISSUE 1 2019 - 17 -

CHAPTER

HAPPENINGS

Celebration Gala and Leadership Experience 2019 CCASID College of Fellows

Business of Design

Legislation Q&A Panel Spring Conference

CCASID Board Members

- 18 - ISSUE 1 2019 | ASID CAROLINAS CHAPTER

Duval Acker, Rebecca Compton, & Margot Olson

Spring Conference in Raleigh, NC

Carolinas Students

President's Forum and Scale (Student Forum) in NYC

Student Awards -Otto Zenke Competition

San Miquel de Allende, Mexico Trip

Student Live Broadcast at High Point Furniture Market

ADAC Trip

Design Community Meetings

Live Cooking demonstrations Hickory

Paint and Sip SocialWilmington

6th annual Local Industry Night Western

Design Community Charleston

ASID CAROLINAS CHAPTER | ISSUE 1 2019 - 19 -

DESIGNING your STRATEGY

By Julia Molloy

Hi everyone! Welcome to the new year! This is a big one for a lot of you out there and I'm truly looking forward to it. So how do we begin? Well, we all hear about goal setting and resolutions for the New Year and I am all for it. But, I think there is something that comes first and I'll share with you what I recommend... A STRATEGY SESSION!

List out items for discussion including challenges, problems and areas for growth.

3. Have an agenda or list of objectives

Invite those you respect and trust to help you navigate your firm forward.

Like any meeting, put together a list of objectives or an agenda of items you'd like to discuss and resolve during the meeting. Often the first one will be to review all products and services as well as areas of concern or need for refinement. Pull them together and brainstorm about what is possible and what fits with your firm's mission and values. Don't focus too much on logistics, as you'll have a separate meeting for that. This is all about ideation, vision and overarching direction for your company's growth and development as well as innovative ideas for solving issues you've been challenged by.

Before you can prioritize and set goals, you need an overarching strategy!

I recommend having 2 per year, one at the beginning of January and one during the 3rd quarter if possible. There are a few prerequisites and components involved with strategy sessions.

1. You need your company's key

characteristics clearly defined and updated Those of you that know me well, know that I constantly refer to the key characteristics. Simply put, this is a list of a dozen or so adjectives or short phases that describe your firm's values. The bottom line is, you need guiding principles and a mission statement to help you navigate through all the ideas and options that will come up in your strategy meeting.

2. Put together an advisory board Who are the few people that you absolutely trust and respect for their savvy, expertise in their field, sage experience and mindset? Find them and invite them to be an adviser for your firm. You just need two people to start. They can be a senior member of your firm if you're fortunate enough to have someone of that caliber on your team. All that is required on their part is to join your 2 strategy sessions each year. It is helpful if most of them are in completely different fields and bring to the table strengths that you do not possess.

- 20 - ISSUE 1 2019 | ASID CAROLINAS CHAPTER

To effectively implement, establish clear tasks, who is responsible and when it is to be done.

4. Hold the meeting out of your office, in a

new environment

Studies have shown that you cannot think 'outside of the box' very effectively when you are physically sitting 'inside your box'. So have the meeting out of your normal environment. Preferably somewhere uplifting, non-distracting and open feeling. Changing the scene will disrupt your normal thinking patterns and make new ideas come to you more easily.

Have lunch brought in and run from morning through the end of the day. You may need to have a 2 day intensive, especially as you run yours for the first time, or as massive growth or changes are occurring in your interior design business.

5. Follow it up with plan of

action meeting to discuss implementation and timing

Once you are clear about what you want to create or the solutions to implement, it is all about execution. Have a secondary meeting a couple days later with the team members or advisory board members that are logistically oriented and get a firm plan of action on the books. Include tasks, timing and the persons accountable so that it really does get done.

Add all tasks to your Master Task List and if needed, hold a few follow up meetings at set intervals to discuss progress on assigned projects.

Your objective is to come up with an overarching approach and direction for your interior design business. You'll want to emerge with a crystal clear understanding of what your firm does and, more importantly, what it does NOT do and who it does it for. Be clear on your 'packaging' or how you present or bundle your services, along with your various modalities for charging for them.

WELCOME NEW MEMBERS PROFESSIONAL

Stephanie A. Leap, ASID Isabelle Odjaghian, ASID, NCIDQ, LEED Green Assoc.

Barbara L. Petrus, ASID, Petrus Cheryl Skoog Tague, ASID Kathryn Marie Ulven-Payne, ASID, CID, BS - Interior Design

ALLIED

Tarsha Britton, Allied ASID Nicole Culler, Allied ASID Betsy L. Edwards, Associate ASID Chloe Wray Ervin, Allied ASID Noelle Trotter Graves, Allied ASID

You will be empowered by the clarity this session will provide. Once your strategy is clear, you are ready to set goals, milestones, and plan for the needed resources to accomplish your goals.

I hope you all have a great start to this most tremendous New Year!

Send me a note and find lots of great info and resources for your business at my website www.JuliaMolloy.com.

I am looking forward to hearing about your ambitious and brilliant plans for this year!

Monica M. Joyce, Allied ASID, ASID Jessica K Kern, Allied ASID Veronica Lawson, Allied ASID Rebecca Y. Pierce, Allied ASID Lisa Williams, Allied ASID

ASSOCIATE Julia Molloy is the leading operations specialist for the interior design industry. She has over 2 decades of operations experience, 12 of them in the design field and has a wealth of knowledge from the interior design, graphic design, operations and technology sectors. She is a sought after speaker, a Business of Design faculty member, on the Better Practices Network board of advisors, has been a continued education instructor to the faculty at New York School of Interior Design and a member of ASID. Molloy has also chaired the ASID Student Affairs Committee and the board of advisors for the Art Institute – Interior Design program.

Julia Molloy is also the founder of the renowned BOLD Summit – Business of Luxury Design Summit. This event focuses on the special business needs unique to firms positioned in the luxury market and is a powerful catalyst for luxury focused interior designers and architects around the world. In pursuing her mission to advance the industry, each year she galvanizes the world’s leaders in luxury design to share their wisdom and advice. The BOLD Summit continues to be a driving force for enriching lives and propelling excellence in the design community around the globe.

Anne S. Buresh, Associate ASID Andrew Greer, Associate ASID Patrick Tedeschi, Associate ASID Christopher Todd Todd Page, Associate ASID, BA Josie Woods, Associate ASID

STUDENTS

Gabrielle Barrett, Student ASID Jordan Renee Efird, Student ASID Audrey Alexander Hood, Student ASID Brandi McCoy, Student ASID Courtney Faith Mullens, Student ASID Sydney Christine Wydra, Student ASID

ASID CAROLINAS CHAPTER | ISSUE 1 2019 - 21 -

TIME BILLING

By Marc A. Molinsky

As the leading provider of bookkeeping and expediting services to interior designers in the United States, we have seen first-hand how the interior design industry has been changed dramatically over the past 20 years. No change in the industry has impacted design businesses more than the way designers charge fees for their services.

Pre-1990, the interior design business model was originally designed to build in all or most of a designers’ fees directly into the price of the product. This technique, called “charging retail” allowed interior designers to receive a “built in” 40% profit margin (which also equates to a 67% “markup” on the designer net price). For example, if a designer were to sell a sofa to a client with a $10,000 suggested retail price, they would achieve a profit of $4,000 because their net designer price would typically be 40% “off retail” or $6,000.

This “built in” profit margin of 40% was precisely what a design business needs to achieve a reasonable bottom line.

This “retail” model was quickly blown up by the internet when consumers for the first time had gained transparency into designers’ profit margins. Consumers were quick to condemn this model because they could not imagine how and why a design business would need to make some much money on product to sustain their businesses. Consequently, designers were forced over to reduce their markups on product from 67% down to 35-40% despite the fact that the cost to run their businesses had not changed and if anything went up. Given the financial reality that a design business cannot run their businesses on simply a 35% markup, designers slowly over time began charging hourly for their time.

The evolution of the time billing model for interior designers has overall been a positive change for the industry but it is a model that has some challenges that must be overcome for a designer to achieve a healthy profit margin.

Based upon our years of experience and research, the following is a list of the top 5 challenges that designers are currently facing with time billing along with our recommendation for how to solve them: Keep Description of Time on Invoice Short – It is very common for interior designers to use very lengthy descriptions of their work in their time billing invoices with the intention of “answering all of the clients questions up front”.

Our experience has shown us that lengthy descriptions make the billing process far more tedious and cumbersome and though not intuitive, it actually results in more client grumbling, not less. We recommend that you group and present your time in general categories such as: sourcing, client communication, vendor communication, on site meetings, project management, project administration, travel and construction management. This approach will speed up the time billing editing process and reduce the amount of painful client feedback.

Negative Client Feedback – It is very common for interior designers to receive negative feedback from their clients about their time billing invoices because - 22 - ISSUE 1 2019 | ASID CAROLINAS CHAPTER

clients do not have a clear understanding of how much time and effort is required behind the scenes to bring a design to reality. This negative feedback can significantly impair a designer’s confidence and consequently cause them to invoice far less time than what their contractual arrangement allows.

We recommend that you carefully consider what type of client is giving you negative feedback before making any changes to your time billing process.

We recommend that you classify each of your clients as either A, B or C. A & B clients are reasonable people that value what you do for them and they are interested in you making a profit on your work. C clients do not value your time or your design, regardless of their net worth, and therefore you should not take their criticisms to heart because they are not reasonable in nature.

Find the Right Time Tracking System – There are countless systems currently being used by interior designers to track and invoice time (ie. Microsoft Excel, Google docs, Quickbooks, Studiodesigner, Harvest and DesignerLinkapp.com).

Finding the right system for your firm can be challenging due prodigious number of options. We recommend that you try and use the same system for both of your time billing and accounting – so if you use Quickbooks for accounting, it is best to use Quickbooks for your time billing (the same holds true for Studiodesigner). Our experience shows that Harvest and Designerlinkapp.com are the most user friendly and popular time billing software other than Quickbooks and Studiodesigner.

Managing Client Expectations – Due to the tremendous amount of time that goes into a design project, it is imperative to manage the clients’ expectations of your time billing from the very beginning of a project. Although it must be explained to the client that it is impossible to give them an exact estimate of your time before the project starts, you can tell them that time billing usually represents 20-30% of the total project spend (which includes the sum of hourly billings, cost of product of labor and markup). You can also explain that where they fall in that range will depend on how custom and how decisive they are during the sourcing process.

Are Your Billing Rates in Line with the Market? Interior designers generally do not have access to the time billing rates of other firms in their region so it is a very common problem for firms to be charging far less for their time (or more) than the market rates. We recommend that you try to join a network of designers in your area that are comfortable in exchanging information about their own firms in a “non-threatening” way. These designer groups are growing in popularity and likely to present in your city.

Marc is currently the founder and CEO of DesignerAdvantage, Inc., the nation's first and largest provider of business services and software exclusively to the interior design trade. Prior to founding DesignerAdvantage, Marc obtained his CPA while working as an auditor at Ernst & Young, LLP. Marc obtained his B.S. in Accounting at Boston College.

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ASID CAROLINAS CHAPTER | ISSUE 1 2019 - 23 -

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