‘69er’

At present I’m sitting in an ‘up-market’ barber’s chair donating plasma in a Red Cross facility, so I have 45mins spare to write the next article for the Aussie Painters Magazine.

The term ‘69er’ had a very different meaning to me in my younger years. Now that I have just turned 69 years of age, I don’t quite see the humorous side of it. When I was 20, I thought 50 was old, and then 40, 70 was very old. Now that I’m only one year away from that figure, I’m not sure what Old really is. Maybe 90!

Anyway! I thought I would look back to my years as a business owner and share some advice that is important for you to think about and the traps to stay clear of.

Professionalism

You are, ‘Not Just A Painter’. You are a business owner. So, look the part and be the part of someone that knows and cares what they are doing.

Learn from others

Don’t think you know everything. The best way to build a successful business is to take close attention on what others are doing. You can learn from their successes and failures.

Don’t overspend

When in business it’s always tempting to purchase new equipment and have all the ‘Bells and Whistles’, but I strongly suggest holding off until you can really afford it. For instance: If you’re occasionally using scaffold or a spray gun, then just hire them for a while and add the cost to the quote. I did this for the first few years of business which helped build up my bank account. Also, personalised number plates and 1800 numbers are not at the top of the list of things to have, so wait until you have excess money available.

Put money aside

Don’t assume that having a reasonable amount of money in the bank that you’re doing well. Many businesses make the mistake by not allowing for future bills. The biggest items would be the Quarterly BAS Statement, Superannuation and of course the dreaded Tax bill. Then there are the yearly items like insurances, registrations, and accountancy fees. Budget yourself for them so you know when and what expenses are due.

Small is good

There seems to be a mindset for many painters that they must have a large crew to be considered successful. This is very untrue. In most cases, big headaches come with big businesses. You have to be a very business minded person to organise a lot of staff and a lot of jobs, so this doesn’t suit everyone. I personally know many painters that work by themselves and are very content. They have no stress, work when they like and have plenty of time to spend with their families.

Choose your clients

It’s hard I know when new in business to have continual work ahead of you. The obvious solution is to work for project builders, which is fine if you choose the right ones. Make sure they pay regularly and on time. It is also important to keep track on how long each individual job takes. When you calculate the hours taken, divide that into the contract price (minus the materials used) and it will show you what you are making per hour. With this in mind, you need to know what your break-even cost is to operate your business. If it’s more than what the builder is paying you, then you are running at a loss, so get rid of them.

Customer satisfaction

We all know that the customer isn’t always right and the worst thing you can do is to argue with them. This will just hold up payment and attract negative feedback to their contacts or on Facebook. Take a deep breath, listen to what they are saying, calmly put your case across and come to some agreement you are both happy with. If it’s a rectification you don’t agree with, spend the time to fix it. Even if it costs you time and money, you are better off leaving the job site with a satisfied customer as they’ll appreciate your professionalism in handling the situation.

Testimonials

These are the best means of advertising to increase your quote leads and acceptances. People just love to read positive reviews which takes into an account, the person they choose. The more testimonials you have, the better it is.

Keep track and keep in contact

Your ‘present’ customers are also your ‘future’ customers, so give them a courtesy phone call or email every now and then. Ask how the paint job is holding up and if they need any more work done. This is also to ensure they think of you straight away when recommending a painter to someone.

Take on an apprentice

Good tradespeople are hard to find at the best of times, so consider investing in an apprentice. You may feel that this is a huge commitment to start with, but you will see the benefit after only a short period. So think ahead and remember, apprentices will become fully qualified after 3-4 years and this will alleviate your labour problem in the future.

Jim Baker www.mytools4business.com