Aussie Painting Contractor April 2018

Becoming a Master of the Time-Scarcity Demon Keep an Eye on Your Competition

Do some market research and use old school and modern tactics

Staying Healthy on the job Look after yourself !

The importance of documenting processes and systems www.aussiepaintersnetwork.com.au

CONTRIBUTORS • Angela Smith • Anthony Igra • Beryl Buckby • Caroline Miall • Eric J. Hill • James Brown • Jim Baker • Leo Babauta • Monroe Porter • Raquel Peel • Robert Bauman • Sandra Price

EDITOR

From the Editor Hey Everyone,

Happy Easter!

I’m sitting here writing this month’s Editor whilst sitting at the beach with the kids running around and swimming in the ocean. It’s great to have some family time to let you relax for a few days.

We have started the around Qld trip again last month with us visiting the Gold Coast and Western Qld as well as some of the local South East areas, and this month heading up to Central Qld seeing apprentices as well as painters from around those areas. Contact us to find out where we are going to be if you want to catch up and discuss the issues of your area.

We are looking for feedback and local stories to share amongst our readers, if you have anything you would like to share with us please let us know.

Hopefully everyone has had the opportunity to have a couple of days rest and relaxation before getting back into the hard slog of work.

Nigel Gorman Until next month, EXECUTIVE EDITOR

Happy Painting!!

Caroline Miall GRAPHIC DESIGNER J. Anne Delgado

Nigel Gorman

nigel@aussiepaintersnetwork.com.au

07 3555 8010

Contents 6 How to Best Keep an Eye on Your Competition

18 Becoming a Master of the Time-Scarcity Demon

9 Can having high cholesterol REDUCE your chances of dementia?

What makes someone more likely to be bullied at work

High cholesterol increases the risk of developing Alzheimer’s disease.

The Importance of Valuing Your Work The importance of documenting processes and systems

12 17

21

how companies can help them

Seven Tips for Tradies 24 to Stay Healthy on the Job

27 What To Do When You’re Seriously ‘Done’ With CHASING PAYMENTS

Hire Slower, Fire Quicker What is your ‘ELEPHANT TETHER?’

30 32

ask yourself what is controlling your life...

Industry Idiots

36

Important Contacts

37

Opinions and viewpoints expressed in the Aussie Painting Contractor Magazine do not necessarily represent those of the editor, staff or publisher or any Aussie Painters Network’s staff or related parties. The publisher, Aussie Painters Network and Aussie Painting Contractor Magazine personnel are not liable for any mistake, misprint or omission.

Information contained in the Aussie Painting Contractor Magazine is intended to inform and illustrate and should not be taken as financial, legal or accounting advice. You should seek professional advice before making business related decisions. We are not liable for any losses you may incur directly or indirectly as a result of reading Aussie Painting Contractor Magazine. Reproduction of any material or contents of the magazine without written permission from the publisher is strictly prohibited.

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How to Best Keep an Eye on Your Competition Do you know what your competitors are doing? You might have known who’s doing what in your neighbourhood at some point but have you kept your finger on the pulse?

Just like your business evolves over time as you open up new markets with new products or services, so do other businesses that are in direct competition with yours.

To be able to respond to emerging market trends,you need to keep your business performance at an optimum level and that includes knowledge about your competition. We recommend that you put a few measures in place to help you keep an eye on what your competitors are up to.

Just to be clear, I am not talking about stealing your competitors’ trade secrets. I am talking about doing some market research using a combination of old school and modern tactics. It could involve a bit of online stalking, but in a systematic way. After all, most businesses have some kind of online presence these days, be that via a website or one or more social media accounts, eg Facebook, Twitter, LinkedIn, Instagram, Pinterest, Google+ etc. All of this information is publicly available and accessible to you and anyone else.

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Utilise everyday conversations to mine data You and your staff have so many ways and opportunities to glean insights about your customers’ behaviour in your day-to-day interactions with them. For example, in the event that a new or existing customer decided not to go ahead with a purchase from you, take the opportunity then and there to find out why. There could be a new kid on the block who you haven’t heard of yet, or your competitors may have changed their pricing or product offers, which could be more appealing to customers at this point in time.

Make sure you talk to your staff about this new strategy so that they can respond in the right way when a situation arises where they could get some feedback from your customer. Customers are more likely to share their views with you in a friendly conversation that flows naturally. Just chat and take away what you can find out.

It’s also important to create a process to record the information you or your staff are getting. Write it down in a shared online document if you are working mainly digitally,

or use a special notebook in which everyone can record their information. This is really valuable intelligence that can be very useful for your discussions in your m arketing planning and strategy meetings.

Get online Do some online stalking such as visiting your competitors’ websites.

You might even want to join their Facebook or Twitter community (or any other social media platform they are using) if they are communicating big on social media.

I frequently come across posts in my Newsfeed where someone is asking publicly for advice on how to get a certain product, which product is best, what people in their online community think of the various product options. These conversations can give you insight into things you hadn’t even considered.

The beauty of it is that you can also participate in these public conversations and offer advice, or if appropriate, contact links to your own company website. When you help people answer their questions it will also build your authority in the eyes of your target market, and they will remember you more easily.

Again, it is important that you create a supporting process for this activity. Create a policy or procedure for your staff where they can document information about any new competitors that they come across.

You can create a simple spreadsheet to start with where you list all your competitors’ website addresses for each of your products they are competing against.

Remember to include links to their social media pages as well in the spreadsheet. Go and Like their page. Read what people are saying and note any interesting conversation topics that help you understand how they succeed in marketing their products, or where their weaknesses are. Delegate this task to one of your staff and schedule review meetings at regular intervals.

Record any relevant data you can find out, like product benefits and pricing, so you have a rich source of information to benchmark your own sales performances in the same product area. Last but not least, don’t forget to visit the most popular online business directories, where you can see which businesses have built a strong online community and you can monitor their interactions.

Scan the media Advertorials in local papers are highly informative, and so are the Classifieds. Look around the media landscape, whether in print or online, and learn about any successful sales and marketing strategies that are covered in an article about another business. You could find out they are doing something you aren’t doing, and this will give you the opportunity to refine your own sales strategies.

Staying up to date with what’s going on in your market or industry can also help you focus your own marketing strategies. When one of your competitors discontinues a feature that you still offer, it would make sense to start a marketing push for that feature and attract customers, who continue to value this feature, away from your competitors. Likewise, if you find out through your research that you haven’t got a particularly popular product or service feature that is offered by your competitor, then you can add this feature to your service or product line to stay in the race.

Document the names of journalists who are covering business and industry news, and which newspaper or Blog they are writing for. Marketing is about getting your name out to the world and letting your customers know what you’ve got to offer. Getting an article in a newspaper, either through an advertorial or editorial, about your business and products can be a neat way to get your name out there for very little investment.

But you need to know who to approach and which outlets are best to approach… ideally those that are

read by your target market. So a bit of research and sleuthing around in this area can go a long way.

Find unhappy customers There’s nothing more satisfying than finding unhappy customers and making them happy again. Social media conversations on company business pages have all sorts of avenues for customers to say their bit, like in reviews or feedback they are posting in the comments of a blog or on a social media page. When you find an unhappy customer, don’t be shy, just contact them. Just think, you could have exactly the solution they are looking for, and unless you tell them, they won’t know about it.

The worst that can happen is that they say no, and the best is that they become a new customer.

If you are looking for more straight talk business advice, arrange a FREE No Obligation Meeting. Call me on 07 3399 8844, or visit our website at www.straighttalkat.com.au and complete your details on our Home page to request an appointment.

Copyright © 2018 Robert Bauman

2018 March Issue | 7

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Can having high cholesterol REDUCE your chances of dementia? and the use of statins to reduce cholesterol levels is split, making it an intriguing and controversial area.

People over the age of 85 with high levels of cholesterol have a reduced risk of marked cognitive decline, according to a new study. Does this mean that having high cholesterol in old age can prevent the onset of dementia?

Cholesterol is a waxy substance produced by the liver which is also found in many foods. It circulates through your bloodstream in carriers made of fats and proteins, known as lipoproteins.

These lipoproteins are classified according to their density. Lowdensity lipoprotein (LDL) cholesterol is often called “bad” cholesterol, as it contributes to fatty buildup in arteries. High-density lipoprotein (HDL) cholesterol is often referred to as “good” cholesterol as it carries cholesterol away from the arteries and back to the liver. Collectively, the different forms are referred to as total cholesterol.

There’s no one cholesterol type.

Shidlovski/Shutterstock Cholesterol is essential for normal function of cells throughout the human body, but has gained a bad reputation as it is also linked to coronary heart disease. This link means that cholesterollowering drugs, like statins, are used to manage the risk of having a cardiovascular event, such as a heart attack or stroke. Nevertheless, scientific opinion over cholesterol

Interestingly, research has shown that cholesterol is involved in a loss of cognitive function. Cognitive function includes mental processes such as attention, processing speed, learning and memory and verbal fluency.

Dementia, including Alzheimer’s disease, occurs when these functions decrease significantly more than you would expect with normal ageing.

While the studies in this field lack consistency, there is evidence that high cholesterol in middle age increases the risk of developing Alzheimer’s disease. Also, alipoprotein E, a protein that acts as a cholesterol carrier in the brain, is a major risk factor for the development of late-onset Alzheimer’s.

2018 March Issue | 9

What the new study found

ever, as the age of the people studied increased, some of these associations were reduced or reversed.

The new study compared cognitive function in people of different ages. The research team looked at existing data from the Framingham Heart Study, an ongoing cardiovascular study of residents of Framingham, Massachusetts.

Most interestingly, in subjects aged 85 to 94, a high midlife total cholesterol level was associated with a reduced risk for marked cognitive decline. This finding is in contrast with both younger age groups in this study, and other studies where midlife cholesterol was associated with increased risk of cognitive decline.

The researchers evaluated a variety of total cholesterol values, including “midlife” total cholesterol, “late-life” total cholesterol, mean total cholesterol since midlife, and change in cholesterol since midlife. Midlife would be around 40 years of age, and late-life around 75 years of age.

The team assessed whether marked cognitive decline was associated with any of the cholesterol values measured. They also studied whether these associations changed depending on the age when cognitive assessment was done.

The study showed that several cholesterol values, including increased cholesterol levels since midlife, were associated with increased risk of a marked cognitive decline. How-

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The take home What does this new finding actually mean in real terms then? It is unlikely that high total cholesterol per se is actually good for cognitive function at 85 years of age. This means that it’s probably not wise to attempt to increase your cholesterol or to stop taking any medication that reduces cholesterol.

Controlling cholesterol levels, especially at midlife, would probably still

benefit most of us. Taking into account the findings of other studies, it is almost certain that the people in this study, aged 85 and older, had unknown additional protective factors that prevented them from undergoing marked cognitive decline.

This means that the risks associated with high cholesterol do not apply to them.

Until these factors have been identified it is impossible to know if cholesterol is a marker of these additional factors, or if cholesterol itself is important. For now cholesterol remains an intriguing and controversial subject.

James Brown

Senior Lecturer in Biology and Biomedical Science, Aston University

Eric J Hill

Programme Director MSc taught programmes, Aston University https://theconversation.com/can-havinghigh-cholesterol-reduce-your-chances-ofdementia-92367

2018 March Issue | 11

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The Importance of

Valuing Your Work Few contractors understand the need for an easy-to-understand method of valuing their work. In a payment dispute, getting the client to accept that additional work means additional cost is only half the battle.

So at every stage of your work, starting at quote stage you must always be considering the ‘what if’ scenarios. What if a few more of these were needed? What if more lineal metres are required? What if that plant is required for longer?

The real battle is agreeing on what that additional work is worth: how is it valued?

Let’s look at some of the easiest ways to nail down the value of additional work:

The parties then look to the contract or agreement for guidance on value, and most of the time there is nothing there. For example, if you agreed to excavate a trench for a lump sum fee of $15 000, what is the value of excavating an additional 20 metres? Without an agreed rate the parties will argue forever.

Schedule of Rates This is by far the easiest way to value additional work. Get agreement in advance on what various items are worth. Think about your unit of measure; per metres, per cubic metre, per tonne, per room, per item, and so on.

I recently was involved in a dispute about bricklaying. The parties agreed on a lump sum for the work, but there was no guidance about how to value the bricks laid between each progress payment.

The parties agreed on a rate per square metre to resolve this. Then the wall area simply needed to be measured up.

Think carefully about the best ‘unit of measure’ for your trade and calculate rates for each one. This way the argument won’t be about value, but about quantity. That is a far easier matter to handle. You just need to count it.

2018 March Issue | 13

Cost Plus This method of valuation is based on the invoiced cost of materials or subcontracted work, plus an agreed percentage. This method only works if you can produce complete records of your cost, and your client is satisfied that the invoice cost is within market rates.

But when this method works it stops any argument about value, because the value is there in black and white on the invoices.

If possible you can agree with your client beforehand on who your main suppliers will be and that will stop any argument about whether your ‘at cost’ invoices are genuine.

Quote by Quote This is the best method for managing additional work. Simply supply a quote for it as you go. Many contracts require additional work to be approved in writing. Use this to your advantage. Simply supply a small quote for the additional work, and within that quote you can also include a schedule of rates.

For example you may supply a quote to install 2 additional switchboards. Assume you quote a lump sum figure for this work. You could

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supply a schedule of rates for additional cabling, wiring, conduit, etc. You never know what might happen. I once had a client who installed fire reels. But as soon as he installed it, the client got him to move it. This went on nearly a dozen times. If he had had a rate for removal and re-installation upfront, a lot of the argument would have gone away.

Quantity Surveyors If there is no resolution you can employ a quantity surveyor to calculate the quantity and value of work completed. Again, it could be agreed beforehand that each claim will be valued by an independent QS. This is especially useful on work such as civil works, where it can often be hard to establish exact quantities of work completed.

These methods will help you, but for them to work you need to develop a

keen sense of anticipating what your client might argue about. Use your experience.

For example, for a bricklayer it would be smart to include in any quote a schedule of rates that apply to additional square metres of brickwork. For an electrician, an hourly rate for labour, and an agreed rate for additional materials (maybe cost-plus). For a steel fabricator, perhaps a rate per tonne plus a labour rate would work.

Think about all the arguments you’ve had about variations in the past, and think about how agreed rates might have killed the argument off before it started.

A clear and easy-to-apply method of valuation is an important part of any agreement. It prevents parties from arguing about what work is worth.

Anthony Igra

For more great articles and video information about dealing with payment problems go to

www.contractorsdebtrecovery.com.au

or call us on 1300 669 075

2018 March Issue | 15

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The importance of documenting processes and systems Many entrepreneurs operate with their business processes and systems in their heads. They know what they need to do each day and the way they want to get things done.

Unfortunately when a business grows and staff need to be hired – or the owner needs to take time away from the business – it’s a real liability not having processes and systems documented in one place.

Documenting your processes can also ensure jobs are consistently performed to a high standard. Sharing your procedure guidelines can help new employees and casual staff quickly get up to speed on expectations, and give them a reference to check before asking questions.

Read on to learn the top five reasons to record your company processes and systems, so your business can run more efficiently and effectively even when you’re not there.

1. Improve efficiency When you sit down to record your processes and systems, you may discover gaps where improvements could be made. You might find better ways to perform routine tasks, reducing bottlenecks, and eliminating extra steps. You may decide that some tasks are too time consuming, and you’d save time and money switching to an automated solution. Reviewing how you do things as you record systems can help create better systems, improving productivity.

2. Support staff training When it’s time to hire new talent, a systems manual can dramatically reduce the time you spend training.

3. Sell your systems Develop a unique turnkey system that other businesses can implement to save time and cut costs, and you can increase profits by selling your operating manual. Those documented processes are part of your company’s intellectual property, and can be licensed just like your brand name.

4. Get away One of the perks of running your own business is setting your own schedule. But without systems in place, it can be difficult to get away for a vacation, let alone retire. In order to build a business that can run without you, you need to be able to delegate

the tasks and processes to someone else, with confidence they’ll be performed correctly and consistently.

Another excellent reason to make sure your systems are recorded, and your manual is updated regularly.

5. Sell your business When it comes time to sell your business, you’ll get top dollar if you can provide a buyer with an operating manual. A potential buyer wants to know the business will continue to run smoothly without you throughout the transition period, and that institutional memory will be retained when there’s staff turnover. The greater ease with which someone can step in and operate the business, the greater the value and the higher your compensation when you’re ready to sell.

As we’ve seen, there are a number of excellent reasons to review your systems and record them, even if you’re just starting out. You might plan to update it yearly, just like your business plan, to discover best practices and ensure it maintains its usefulness to you and your staff.

Try this free template by manual template.org to help you get started.

Sandra Price

Phone: 07 33724554

VISIT US ON FACEBOOK

2018 March Issue | 17

It’s something most of us deal with every day, often without realizing it’s there: a feeling of time scarcity.

We know it well: the feeling of having too much to do and not enough time to do it all.

This is true not only of work — where we have too many projects, meetings, emails, admin tasks, calls, requests, messages — but also of our personal lives. We want to exercise, eat well, meditate, learn something cool, travel, go out with friends, spend time in solitude, go for hikes, read a million books, take care of finances and errands, keep up with podcasts and news and interesting online content and our loved ones on social networks and fascinating people on social media, while finding space for contemplation and quiet.

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Whew....

Whats Going On

How can we manage to do all of that in what is obviously limited time? How can we stuff all our hopes, dreams, tasks and errands into such a limited box?

The problem isn’t that we have too little time — we all get the same amount of time each day and each week. It’s the exact right amount of time, because it’s all there is.

One answer is to do fewer things — simplify by cutting things out of your life, do some things less or not at all. Another answer is to outsource, hire a team, delegate.

These are all great options.

But true mastery of the time scarcity demon only really comes from a mindset shift.

It’s possible that we have too many things to do. But actually the real problem is that we want to do too much in the time we have. The amount of things we have to do is not usually the difficulty, but rather that given how much time we have (let’s say a day), we want to cram too much into it.

We have to address the feeling rather than figure out the logistics of it all. Addressing the logistics (the hows and whats) don’t really change the feeling. The feeling will always be there, until we deal with it.

We want more and more, and are not satisfied with what we’re actually able to do in the time we have.

Becoming a Master

of the Time-Scarcity Demon

We want more, and what we have is never enough. It’s this lack of being satisfied that is the real problem. We reject our experience, and want more.

In Buddhism, this is called “greed.”

I don’t love this term because it feels judgmental, but it’s simply that we’re not satisfied with what we have, we want more.

The answer to greed, according to Buddhism, is generosity. Which is to say, to see the amazingness in what we already have. To see the profound beauty in the experience we’re having right now. To love what is.

Mastering the Demon To master this demon of time scarcity, this feeling that we never have enough time and we have too much to do … takes a development

of awareness and a development of this quality of generosity.

We need to be aware of when we’re feeling overwhelmed. What does this feel like, right now, for you in your body? What does it feel like to never feel like there’s enough time to do all you want to do? Learn to identify this feeling, and start to recognize it when it’s happening.

When the feeling comes, start retraining your mind from wanting more … to seeing the greatness of what is right in front of you. Retrain by using a new thinking pattern.

All we can do is one thing at a time.

All we have is this moment, this day.

And it is enough. It is beautiful, incredible, if we just really see it and appreciate it.

We can do one thing, and be incredibly grateful that we are able to do that one thing.

Each moment, we can do another one thing, giving it our full attention, giving it full weight, acting as if it might be our last act, and truly appreciating the opportunity we have to be alive in this moment.

----------------------------------------------

Leo Babauta

a successful ‘simplicity’ blogger and author from California, the creator of top 25 Blog,

ZEN HABITS

2018 March Issue | 19

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Being bullied as a child, being female, young, and neurotic are significant predictors of whether you might be bullied in the workplace, our online anonymous survey shows.

Our team investigated the personality traits and coping styles of workplace bullying victims which might contribute to their victimisation.

Neuroticism is defined as a vulnerability to negative mood states such as excessive worrying, anxiety, anger, hostility, self-consciousness, and difficulty coping with stress.

Destructive behaviours such as bullying or harassment reduce employees’ potential at work, in turn increasing businesses’ operational costs. They are often associated with staff absence, increased sick days, and high staff turnover, which are also expensive for organisations.

Absenteeism is usually a direct consequence of repeated harass-ment in the workplace. However, presenteeism (attending work when not fit

to do so) is the new norm in psychologically unsafe workplaces.

Our study showed that most employees suffering repeated abuse at work nevertheless chose to continue attending. Yet only a small percentage reported taking action towards changing their situation – 10% of individuals had attempted to resolve the situation and 9% had made a complaint.

Presenteeism contributes to a loss of work productivity. An Australian Medibank survey in 2011 showed that presenteeism results in the loss of an estimated 6.5 working days per year, per employee. This cost an estimated A$34.1 billion to the Australian economy over 2009 and 2010.

These statistics show that although employees might keep going to work, they do not maintain their previous standards when their mental health is compromised.

Neuroticism and mental health difficulties are often expressed in subtle ways.

For example, an employee might become excessively worried about missing work and professional opportunities, or unreasonably concerned about what others will think or do in their absence.

But mental distress is not always a function of personality. Resilient people can also be brought to breaking point by the “climate” at work without the control to change it.

Bullying takes many forms Safe Work Australia defines workplace bullying as repeated and unreasonable behaviours directed towards a worker or a group of workers creating a risk to health and safety.

What neuroticism looks like in the workplace 2018 March Issue | 21

But bullying is not limited to overt behaviours. Covert and subtle victimisation, such as spreading gossip about someone or deliberately excluding them, also causes distress.

Concealed harassment tactics often involve abuse of power that functions to silence potential complainants.

Organisational policy is one effective way to stop bullying and incivility at work. However, there is a difference between policy and application. Most bullying policies only tackle overt behaviours.

What should be done?

Suffering in silence and not seeking help is costly to individuals and organisations. On the flip side,

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workplace psychological increases productivity.

safety

According to the Mental Health Commission of Canada, employers who invest in psychologically safe workplaces see the benefits not only in productivity but also in recruiting and retaining staff, reduced workplace conflict, and declining costs of disability and absenteeism.

Whether the individual chooses to leave or stay at work, the consequences of bullying persist for years and are never forgotten.

All workplaces should provide effective policies for managing continuing abuse and improving the mental health outcomes of individuals after bullying.

Raquel Peel

PhD Researcher, James Cook University

Read more:

Beryl Buckby

But to tackle the problem effectively, workplace policies need to tackle all types of bullying behaviours, both overt and covert.

https://theconversation.com/whatmakes-someone-more-likely-to-be-bullied-at-work-and-how-companies-canhelp-them-90305

What happens when employees are fired for complaining at work

Lecturer, Clinical Psychology, James Cook University

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When you’re working long hours in the heat of a hot Aussie summer, if you don’t look after yourself, you could end up in a bad way. But staying healthy doesn’t have to be a drag – and you don’t need a strict diet or exercise regime to keep yourself in good shape. Here’s a few simple, nofuss tips with maximum return, that even the busiest of tradies can fit in to their daily schedule.

1. Take Breaks It sounds obvious, but how many times have you skipped lunch or a tea-break because you felt too busy, and needed to get the job done? I bet the answer is plenty – but the fact is if you push on and don’t take a break to recharge, chances are your energy levels will drop and your concentration won’t be what it should be. In this state, you’re more likely to make mistakes which will

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set you back even further – so put the tools down and have a break.

2. Wear Sunscreen This should be a no-brainer, but there are still plenty of tradies out there who think a tan comes with the territory. Unfortunately, if you skip the sunscreen you’re likely to get more than a tan – approximately two in three Australians will be diagnosed with skin cancer by the time they are 70. It’s not just the hot, sunny days you need to worry about, as sunburn can happen on overcast days too. So be smart and cover up when you’re working outdoors.

3. Stay Hydrated If it’s hot, keep up the fluids – and when we say fluids, we mean water.

Although a nice cold soft drink – or beer at the end of the day – is refreshing and can cool you down, it

won’t go far in keeping you hydrated.

For that you need water, so be prepared and keep a big bottle or two with you at all times, especially when it’s hot. And it’s a good idea to cut back on (or cut out completely) energy drinks as they have some serious side effects, including dehydration.

4. Smart Lifting I’m sure you’ve heard this before – when you’re lifting, lift smart!

Unfortunately, the message still doesn’t seem to be getting across, as one in three injuries to Australian workers are caused by manual handling. So, identify any hazardous situations, and reduce or eliminate the risk before you lift. Protect your back and never attempt to carry anything that’s too heavy – don’t be shy about asking for a hand if you need it!

5. Exercise Outside Work Many tradies assume that because they have a physical job, there’s no need to exercise outside of working hours. While you do burn more calories and build more muscles than someone who works behind a desk from 9-5, it’s still recommended that you include some regular exercise outside work to stay fit and healthy. It’s great for your mind and body, and certain types of exercise, such as swimming or Pilates, can also prevent injuries.

6. Eat Well You are what you eat still holds true, so skip the takeaway and pack a healthy lunch. When you eat nourishing food, you’ll have more energy and feel better – no more mid-afternoon slump after a heavy meal. Healthy food doesn’t need to be boring, these days there’s a

bunch of quick and easy healthy meal options available from the supermarket. But if the thought of giving up pies and chips is just too depressing, don’t panic – you can still treat yourself, just make a habit of eating healthy meals more often than not, and build from there.

7. Sleep Well Getting enough sleep will benefit you in many ways – it repairs your body and refreshes your mind. On the other hand, lack of sleep can be bad news for tradies. Some of the symptoms are obvious, like fatigue and bad moods, but not getting enough sleep can also result in poor concentration and memory, impaired judgement and reaction time, and poor physical coordination. All of which are bad news on the worksite, and can result in stuff-ups and injuries. Aim for eight

hours sleep most nights, and you’ll be much better for it.

Last Word Being a tradie is hard work – and if you don’t look after yourself, you’re likely to get sick and injured a hell of a lot more. When you’re healthy and feel good, everything is just that little bit easier – so follow the tips above, and give yourself some TLC on the odd occasion!

Visit our website

www.traderisk.com.au

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2018 March Issue | 25

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眀眀眀⸀氀攀愀搀⸀漀爀最⸀愀甀

What To Do When You’re Seriously ‘Done’ With

CHASING PAYMENTS

If “chasing” payments increased fitness as much as chasing the footy around did on a Saturday afternoon with your mates, then I bet sometimes it feels like you could run in an Olympic marathon, and win.

Chasing payments is certainly one of the unfortunate realities of owning a painting business. Although it’s not a topic that should NEED discussion, the rising accounts receivable of many painting businesses necessitates it.

When you’ve shown a customer exceptional service, completed their painting job promptly and done so to a high standard, it seems unfair that all of a sudden you need to chase them for payment.

The harsh reality is that late paying (or even worse, non-paying) customers can completely ruin an otherwise healthy business.

Not only does chasing payments cost you or your employee substantial amounts of time (in effect reducing productivity), but, unfor-

tunately this owned money is not technically yours yet. This means it cannot contribute to your financial security and equally cannot be invested in business growth (hence slowing the growth rate of your business).

Sometimes having money owing is something that can’t be avoided. You can however, lessen the amount owed by customers as well as increase their frequency of payment (and get your money quicker) by implementing terms and follow up processes moving forward.

The terms There are many ways you can approach customer payments and the ‘correct’ way depends on your specific trade, the types of jobs you attract, your clientele and simply how you wish to run your business.

For maintenance style work or smaller painting jobs a suggestion that will eliminate any customer debt is to collect cash, card or cheque on site at the completion

of every job. Explain this to the customer when booking the job. If they aren’t on site at the time of completion, then call them immediately to collect payment over the phone.

When completing bigger jobs, you may choose to stipulate in your contracts that periodic payments are to be made at the beginning (with a deposit), and at the completion of different stages of the job. This gives you the power to increase the pressure of expecting payments throughout the work, or worse case walking off a job if need be, if the customer continues not to pay. As a result, this will reduce your loss should they end up not paying entirely. This will also increase customer motivation to pay as they’ll just want the job done.

If you work with strata companies allow 30-day accounts. But don’t forget to follow them up.

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Follow up process Before following up invoices you need to legitimately understand how much is owned and by whom.

This can be done through an Aged Receivables Statement (get your book keeper to send this to you weekly, or print one off yourself from your cloud accounting package).

Many businesses choose to use automated SMS or email invoice follow up processes. However, reminders via post will avoid your follow up disappearing amongst the ‘busyness’ of an inbox.

For a 30-day strata account we send our statement every 2 weeks within the 30-day period followed by phone calls after 30-days.

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For invoices still outstanding after 30 days we send a statement and copies of the outstanding invoices on coloured paper (pink, blue or yellow so they have cut through in the pile of paper of an in-tray). These are also followed up with ‘friendly reminder phone calls’ on a weekly basis.

When working with businesses and strata companies it’s very helpful to build friendly relationships with them. This will aid communication, transparency and thus drive clarity about payments. Remember; if you are a friendly pest, someone that calls all the time but asks nicely about payment, who do you think they will pay first?

The person that they owe money to but doesn’t call at all, or the

friendly pest? Yes, you guessed it.

They’ve successfully stopped your phone calls and feel relieved!

With hope this article has sparked some ideas that will have you spending less time chasing payments and spending more time growing your business.

For more information on understanding the numbers in your business, hear what Andy and Angela have to say at their event The Next Level Tradie. CLICK HERE to grab your FREE Aussie Painters Network ticket.

Angela Smith

Co-founder – Lifestyle Tradie

“Helping Trade Business Owners Fast-Track Financial & Lifestyle Success”

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䌀漀猀琀椀渀最 䴀礀 䠀漀甀爀氀礀 刀愀琀攀 䜀甀椀搀攀 䌀愀氀挀甀氀愀琀漀爀

眀眀眀⸀洀礀琀漀漀氀猀㐀戀甀猀椀渀攀猀猀⸀挀漀洀2018 March Issue | 29

Hire Slower, Fire Quicker Finding good employees is a never ending battle facing contractors. As frustrated as it can be to find and keep good people, having professional employees is the heart and soul of every contracting business.

Contractors tend to keep bad employees too long. This can be caused by many competing emotions and rationales. Possibly, you are thinking the devil you know is better than the devil you don’t.

Maybe you are busy and just hope the problem employee will miraculously straighten up. Possibly you have gotten emotionallyattached to the employee and have bought into their never ending stream of problems. Regardless, having employees who are underperforming drags down the entire organization. Rarely does the employee you terminated keep you up at night.

If you have someone in your organization who is about to lose his or her

30 | Aussie Painters Network

job, one big question; does he or she know it? Frequently, we have discussions with tenured employees but they tend to be more like nagging sessions. If we do it long enough, the underperforming employee sees you as a dog with no teeth.

You must give problem employees a clear ultimatum that if the behavior continues they will be terminated.

As a consultant, I don’t fire people, I merely layout the criteria required for them to continue employment.

He or she must choose to either conform to the behavior or leave.

We recently surveyed our customers to determine the profile of a long term employee who had gone south. First, almost everyone wished they had terminated the employee years before. In hindsight, they felt that it was in both the employee and their best interest to move on. What was interesting is that well over half of these enabled employees had the capacity

to do good work but there was simply too much drama in their life.

You name it, from drug addict kids to crazy spouses, the drama never ended. Since the employer could not control these outside influences, it was nearly impossible to have the employee generate consistent performance. No matter how much sympathy you show for people, you cannot wish them into compliance or wish away their poor judgment.

Let’s focus on the more positive aspect of hiring good people. Too often contractors wait until they are desperate to hire someone and then they have to accept a less than spectacular applicant. Contractors should always be hiring the same way they are always looking for more work. Finding good people is not easy. If you see someone working hard in a fast food restaurant, consider offering them a job. Let everyone you know that you are always looking for good people.

What do I mean by hire slow? First, make sure you take the time to ask the appropriate questions. Make sure what the applicant is telling you makes sense. If it seems too good to be true, then it probably is.

Try taking a phone interview cut.

Call the applicants and do an interview over the phone. Tell them a little about your company and then ask some broad questions to see if his or her employment with your company would be a good fit.

Good questions to ask are: Tell me a little about your last job and what caused you to leave?

If I was to call your former employer, what would they save positive about you? What would your past employees say you need to improve?

If you had the perfect job, what would that look like?(Listen and probe into what they are saying.)

What was the first job you ever had that you were paid to perform duties? (This question shows work ethic and how the person grew up.)

plication. If they have a job, have them work on Saturday. That way both of you are protected. Do your due diligence.

When interviewing field employees, ask what tools they own?

What specific type of work do they enjoy the most? Would they rather have an experienced person to work with or would they mind training someone? Give them a simple task to perform such as painting a window, flashing a chimney, leveling some pavers. See what the person’s skill level looks like. If you are hiring an office manager, have them take a Quickbooks test or some other type of office efficiency profile.

Hiring people is never easy but you can’t give up. Also, remember that if were easy everyone would be able to hire. Your competitors have the same hiring issues you do. You out market and sell your competitor every day in order to win jobs.

You have to take that same attitude towards recruiting and whip up on them. There are lots of bad employers out there. Be a good place to work and beat your competition on the playing field.

Trust your gut feeling. What’s the person’s story? If the story makes sense, consider hiring them. If it doesn’t, ask more questions and beware. Consider having the person work a few days as a test ap-

Monroe Porter

is president of PROOF Management a firm that teaches seminars and runs networking groups for painting contractors.

www.proofman.com 2018 March Issue | 31

What is your

‘ELEPHANT TETHER?’ If you are like my wife, you wouldn’t know what I’m talking about either, so I will explain.

When was the last time the Circus came to your town? Now when was the last time you saw live, exotic animals performing? Growing up, I remember the Ashton, Lennon Bros and Moscow Circuses. I believe they are still operating today but without the exotic animals as it has been banned (thank goodness) in Australia.

Back in those days, Circus animals were subjected to months on the road and confined in small cages.

They were forced to live in enclosures denying them the opportunity to express their natural behaviour. Lions and tigers continually walked, back and forth in a limited four by two metre area. Elephants

32 | Aussie Painters Network

on the other hand were too large to be enclosed, so they were tied with a simple rope around their foot. I remember seeing this clearly and made me think at the time (as it was the strongest animal on earth) what stopped them from breaking the rope or pulling the stake out it was attached to? Let’s face it, they can push over large trees with little effort so what was holding them back?

I found out much later they could have escaped, but it would only have happened if the elephant was able to break, not the rope, but its years of training and the way it was taught to think.

Elephant trainers could not have achieved this with a wild elephant though. It was only possible with the ones at a very young age. The training began by attaching one

end of a solid chain to its leg and the other end to a very deep stake.

It made the baby elephant incapable of breaking it with its limited strength. After constraining it for a few years, it begins to realize that pulling and trying to escape is impossible. This is embedded in their mind and continues through adult captivity allowing the trainer to later, ‘tether’ the elephant with a slender rope tied to a broom handle knowing very well, the elephant will make no attempt to escape.

As we can all agree, humans are more intelligent than elephants but, sometimes we find ourselves tied to that ‘stake’ and have difficulty breaking loose from it.

So what is your ‘Elephant Tether’ and is it holding you back from achieving your goals?

To answer the question, ask yourself what is controlling your life.

Where and when did you stop believing in yourself and was it because of something someone said to you? Why did you listen and agree, and what makes them right anyway? Maybe it was because of a previous failed attempt? Did you really fail, or did you just give up trying?

From an early age at school, I had always been terrible at English (and most other subjects come to that). I failed so many exams it stopped me from going into 4th Year High (now Grade 11). When the easy option of a job in my fathers’ painting business came about, I classed myself as ‘just a painter’ for the following sixteen years. But in 1986, I broke the ‘Tether’ around my ankle, gained confidence and respect for

myself, changed my way of thinking and became ‘Not JUST A Painter’.

trying no matter the circumstances, you will eventually succeed.

So if there is something holding you back, then it’s the time for you to escape the mental constraints of the ‘rope’ and begin to use your true strength and capabilities to live out your full potential. Only when you realize this and are prepared to break years of doubt about what you can and can’t do, can you truly be free. If not, you will simply join the growing number of people who are frustrated, unhappy and discontented with their current path.

After all the doubts I had about myself in the past, I can proudly say the ‘Elephant Tether’ is no longer attached. I have won multiple Business Awards, become an author of a best-selling book, am a mentor and provider of advice to painters all over Australia, I give business talks and have written over seventy articles for this magazine.

No matter what your ‘Tether’ is and no matter how tightly you feel it is wrapped around your ankle, you can be strong enough to break-free from it. Remember, you can never truly fail? If you keep going, keep learning, keep changing and keep

So if you believe in yourself, put your mind to it like I did and break the chain that is holding you back.

----------------------------------------------

Jim Baker

www.MyTools4Business.com

2018 March Issue | 33

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2018 March Issue | 35

The Industry

Idiots

36 | Aussie Painters Network

Important Contacts Aussie Painters Network www.aussiepaintersnetwork.com.au

Ph. 0430 399 800

National Institute for Painting and Decorating www.painters.edu.au

Ph. 1300 319 790

Australian Tax Office www.ato.gov.au

Ph. 13 72 26 / Ph. 13 28 65

Award Rates www.fairwork.gov.au

Ph. 13 13 94

Fair Work Building & Construction www.fwbc.gov.au

Ph. 1800 003 338

Mates In Construction www.matesinconstruction.com.au

Ph. 1300 642 111

Workplace Health and Safety Contacts Comcare WorkSafe ACT Workplace Health and Safety QLD Victorian WorkCover Authority WorkCover NSW SafeWork SA WorkSafe WA NT WorkSafe WorkSafe Tasmania

www.comcare.gov.au www.worksafe.act.gov.au www.worksafe.qld.gov.au www.vwa.vic.gov.au www.workcover.nsw.gov.au www.safework.sa.gov.au www.commerce.wa.gov.au/WorkSafe/ www.worksafe.nt.gov.au www.worksafe.tas.gov.au

1300 366 979 02 6207 3000 1300 362 128 1800 136 089 13 10 50 1300 365 255 1300 307 877 1800 019 115 1300 366 322

www.actcancer.org www.cancercouncil.com.au www.cancercouncilnt.com.au www.cancerqld.org.au www.cancersa.org.au www.cancervic.org.au www.cancerwa.asn.au

(02) 6257 9999 (02) 9334 1900 (08) 8927 4888 (07) 3634 5100 (08) 8291 4111 (03) 9635 5000 (08) 9212 4333

Cancer Council Australia ACT NSW NT QLD SA VIC WA

2018 March Issue | 37