From a business standpoint, Pinterest may be the next best social media community and an opportunity to connect with your customers in a powerful way. If women are your target market, you are in the right place. A flat out sales pitch is not a good first approach. Consider instead how to make friends and influence people. Social media is replacing the backyard fence. Relationships first. Then, add some relevant, entertaining images of what you do, why and how…

That’s Right, 2 cents a contact! What is it? Email Marketing. The fastest, easiest, and most effective way to communicate with your customer base is also the least expensive. Creating a customized campaign is not as difficult as you may think.

I’ve spoken with a number of Nexstar® Network members who’ve asked for ideas to get the phone to ring. Together, we’ve come up with thoughts that we have gotten quite excited about, and I’d like to share some of them with you.

You are sick and tired of being a slave to that disaster you call a business. The one that pays slave wages and lousy benefits to employees and little or nothing to yourself and your spouse. The business that is sustained only by the patience of your vendors, who don’t get paid for 90 days or more when times slow down.

Finally, you are ready to make a change for the better. You purchase the Frank Blau “Business of Contracting Kit”- from ShuBee. You have become a numbers cruncher. For the first time in your life you’ve learned what it really costs to run a business, and what you and your employees are worth in the way of compensation. You make the decision to run a business as it should be run – in a way that takes care of you, your spouse, your employees and your customers the way they deserve.

I speak with plumbers all the time. The biggest question I ask is what are you doing differently to grow your business? Maybe when starting a business the most important consideration is the technical aspect of getting the job done and doing it right. That remains to be an important aspect in business, however as the business grows and matures many other aspects become equally important.

Sales, Marketing, advertising, brand identity; Fleet Management, etc just to name a few. It reminds me of a restaurant I went to once. It had just opened and the food was great! The next time we decided to go there, it had closed. We never saw any local ads, coupons, etc. That just goes to prove, you can have the best {fill in the blank}, but if no one knows about it, the business will not grow. In summary having a great technical skill is just one aspect of running a business.

Ellen Rohr
Contributing Writer
Bare Bones Biz, Owner
 

Imagination is everything.  It is the preview of life’s coming attractions.
~Albert Einstein
Have you heard about the bestseller, The Secret?  It’s a lovely book, full of inspiring stories illustrating universal truths. The Secret is The Law of Attraction.  What we think about comes about.
Author Rhonda Byrne shares tips and suggestions for changing your thoughts and your life.  What’s floating around in your head?  Are your thoughts positive and supportive affirmations of your best life?  Or they a relentless litany of what sucks about you?
Listen …

Last Buzz I addressed the general issue of overhead. That is, too many people in our industry don’t take into account all the overhead costs they entail in the course of business. As a result their selling prices tend to be less than the cost of doing business.

Once you learn how much overhead costs, you need to break it down to a dollar-per-hour basis. This issue, let’s take a closer look at exactly how you do that.

The chart attahced shows an actual firm’s dollar-per-hour overhead (DPHO) over the course of a year. Note the references to “allocations.” The allocations referred to were a profit sharing plan for employees and management bonuses. This firm, like most companies that offer profit sharing or bonus plans, only pays out if profits reach certain levels.

I picked up my phone, “Welcome to Bare Bones Biz…ready to make more money?” That’s our standard greeting.

“Yes, I am. I called you because you may be able to help me achieve my goal.”

“Why, I would be happy to help you reach your goal,” I replied. Then, we introduced ourselves and visited for a few minutes about life and weather.

“OK, what’s your goal?” I asked.

“To be the biggest plumbing company in the world,” he replied.

“Great. Good for you. How many employees do you have now?” I asked.

“It’s just me. My wife helps with the bookkeeping.”

“It’s a start. Let’s set up a time to visit for a half hour. I’ll send over a brief Questionnaire. Just fill it out and fax it back and that will help me get an understanding of your business as it stands now. Please, send over your financial reports, too, and we can hit the ground running when we visit on our next call.” I do this so that I don’t get caught up in the heat of the moment. If he is committed to his goal, he’ll do this much.

A friend recently asked me at what point, in terms of dollar volume or employees, does a PHC contractor stop working in the field and become a full-time business administrator? It’s a good question and here are my thoughts on the subject.

More important than any numerical benchmark is to be sure that you put down the tools as part of a reaction to more work than you can handle.

Suppose, for instance, that you embark on a stepped-up marketing plan that consists of more leave behind and sight-to-gain products, such as Frank Blau Valve Tags, Custom Refrigerator Magnets and/or Door Hangers. What happens if it works? What if your ads bring in more calls than you can handle with your current work force?

You may remember seeing Benjamin Franklin Plumbing®, Mister Sparky, America’s On Time Electrician®, and One Hour Heating & Air Conditioning® appear on The Celebrity Apprentice recently. In their episode, the first ever featuring a service company, wily project manager Bret Michaels came up with catchy and creative jingles that won Mr. Trump’s challenge and the hearts of the company’s executives. These catchy jingles are now being used nationwide by the brands.