Growing Pains… Need to vent.

[Rodney Gold]

There is only one real course of action and that is to bite the bullet and hire a top notch person to do all the “dog” work that is stopping you from making money by doing what YOU do best. IE define where your bottle necks are and what is taking too much time for you and hire ppl that can do this , pay well. I think training low salaried employees is often a time wasting excercise as as soon as they have the skills and knowledge , they depart for fairer lands unless you really raise the salary bar. Get someone who is an old hand at the job and makes you money from day 1
I think client liaison and marketing and design are way more important that executing the job so that is what your function should be.
Cash flow squeeze is a part of a business growing , it’s generally a temprorary thing and if you do feel that you are expanding , borrow the money to finance the busienss and the new staff. If there is money owing to you , collect it smartly , use the fact that you are small to get big co’s to pay quick.

[Graham Martin]

First of all stop!! sit down!! have a cup of tea, Right, sit at a table and have two sheets of paper. On one you write the good side of your work and on the second you write the bad site. Take time out in your life to sit back and look at them both. Money is not B all, life offers you more Steve.

I ask you to look at the clock you will see 24 hours. I ask that you then portion your 24 hours up. Stick to this time table 9 hours must be for sleep, so we have 15 left, if you wish to work a 10 hour day, that would be good for you. So we have 5 hours just for your needs, you need to find time for you. Steve

Once you become so over come with work, you need to sit down and think, life holds so much for you, so enjoy yourself, The Grave Yard is a clear sign of what is to come, until that time find yourself, give time to you.
Go fishing, find something that you love to do, find yourself within your own 5 hours a day. You have some good friends on this Forum UK signboards and you are calling out, my friend you need to give yourself time and all will become well in your life. Your wife is your best Friend be kind to her, walk! talk!, be only kind to her, You need to sit back and look at your life at this time, and what is best for you and your wife first. I make this most clear, stop taking on more than you can give out put too, talk to anyone, that you are letting down on targets. One thing at a time.

[Dave Bruce]

Glad you posted that Steve, I have been in the same boat this year, and been putting off taking someone on till next year. As a result I have done nothing at home (I have a house to build), done no relaxation, no hobbies, nothing, and I can say it has taken its toll 🙁

Everyone has said, exactly what Graham is saying but in reality it is very difficult to stop taking orders when you want to build up your business. I bought a sailing boat earlier this year to try and prise myself from work and get back in to some leisure, just didn’t happen.

I have been ‘looking’ for someone to help out part time but not found anyone, and I am about to advertise for a full time person for next year, but the skills I require may not be around this area.

For me the bottleneck is in the design stage, and I tried to subcontract some of this out but the quality of the work and the cost was not acceptable.

Enough of my sad story, I hope you get sorted for a fruitfull 2006.

Cheers

Dave

[Graham Martin]

Sometimes when you people are right on top of it, you can’t see the wood for the trees, You hold all the key’s Steve, you hold all the keys, take time out and find yourself first, them your wife, and you will find all will come.

Bottle necks, call it all you wish, it’s you and only you that holds the keys to sorting this matters out, One thing at a time. Don’t take on work you can not meet targets for, Only a fool would do that, and in the end if you keep letting people down, your name will suffer. Bills you need to be more in control of billing and set your terms, payment with in seven days or COD, you do the work you need to be paid, payment by C Cards is the best way forward everyone lives with Credit cards today we all have a card in our pocket today, even to join here, I used my C Card. Get payment always first. ” (chat.) stop messing about” (chat.) It’s no good looking at the post each day hoping for payments to be in a letter, trust me no one wishes to pay to soon, that’s what’s keeping them a float by not paying you.

Don’t be a fool over money matters, right from the start “say”, How are you wishing to pay? NO Pay No Way, Got it!!. If you let this side slip you will be forever running around, always looking for new work to make ends meet, becauce you are waiting to be paid , ending up with you having no time for yourself. My friend start today change, you must become a little harder over matters of money also. Graham

[Shane Drew]

Steve, I had a business that employed staff. never again.

I am booked up 4 weeks ahead usually, but I don’t take deposits. I found that put extra pressue on me to make deadlines. Now, I give the customer an approximate time, usually 14 to 21 days. this gives me the target of 14 days, but I know that I can slip to 21 days if I am behind.

Sometimes I have to put in some really long days, granted, but that is my choice.

I employ my father on a casual basis as he is retired. You will find some older handyman types that can not get jobs are more than willing to help and pass on their knowledge if you are looking for a fitter or general hand.

In the early days I had this exact problem you have now. It was hard for the first year, but I got around it in several ways.

1) I factored my accounts. By selling your invoices, you get your money quickly, and pay a % of the invoice cost in commission. The down side to this, if the client does not pay the invoice in 90 days, you have to pay the money back. Look at this as a short term thing tho. It is not something I’d reccomend unless your profit margins are really good, but it is a good short term solution.

2) I did not do small jobs on account. Payment on completion was the rule.

3) Larger clients that had accounts, I offered 2 – 5% discount for early payment. Most large companies here, and local government too, have a rule, that if an opportunity arises to save money, they are obligated to take it.

4) In the early days, I didn’t buy more product than I thought I could sell in the month. Don’t get sucked in by the sales people offering you a ‘good buy’ for quantity or a roll rate. It is not a good buy if it ties up your cash, and it is sitting on your shelves for a few months.

Remember, putting on staff at the size you are now, you may actually be training someone to go in opposition when they get confident.

I employed about 10 people over the last 12 years, and I now have 8 opposition sign shops that were former employees. They know my clients personally, they now my pricing stucture, and they know by design philosophy.

I don’t mean to me too negative Steve, but just giving you my experience.

I hope whatever you do, works out for you.

[Graham Martin]

quote Shane Drew:

Steve, I had a business that employed staff. never again.

I am booked up 4 weeks ahead usually, but I don’t take deposits. I found that put extra pressue on me to make deadlines. Now, I give the customer an approximate time, usually 14 to 21 days. this gives me the target of 14 days, but I know that I can slip to 21 days if I am behind.

Sometimes I have to put in some really long days, granted, but that is my choice.

I employ my father on a casual basis as he is retired. You will find some older handyman types that can not get jobs are more than willing to help and pass on their knowledge if you are looking for a fitter or general hand.

In the early days I had this exact problem you have now. It was hard for the first year, but I got around it in several ways.

1) I factored my accounts. By selling your invoices, you get your money quickly, and pay a % of the invoice cost in commission. The down side to this, if the client does not pay the invoice in 90 days, you have to pay the money back. Look at this as a short term thing tho. It is not something I’d reccomend unless your profit margins are really good, but it is a good short term solution.

2) I did not do small jobs on account. Payment on completion was the rule.

3) Larger clients that had accounts, I offered 2 – 5% discount for early payment. Most large companies here, and local government too, have a rule, that if an opportunity arises to save money, they are obligated to take it.

4) In the early days, I didn’t buy more product than I thought I could sell in the month. Don’t get sucked in by the sales people offering you a ‘good buy’ for quantity or a roll rate. It is not a good buy if it ties up your cash, and it is sitting on your shelves for a few months.

Remember, putting on staff at the size you are now, you may actually be training someone to go in opposition when they get confident.

I employed about 10 people over the last 12 years, and I now have 8 opposition sign shops that were former employees. They know my clients personally, they now my pricing stucture, and they know by design philosophy.

I don’t mean to me too negative Steve, but just giving you my experience.

I hope whatever you do, works out for you.

Steve if you are week on accounts and money matters this is the area you need help, not the workshop, I am still sorry to say, all this 21 days and the word slipping is a no go’er sorry, No Money, No Goods,

[Shane Drew]

Graham, I do on average $14,000 a month for account clients.

No money no goods is a bit idealistic in my view. You’re competing with other companies that will get the business simply because they offer accounts.

If I had the no money no goods philosophy, I’d have to close my doors.

The secret is not extending more credit than you have agreed to.

[Jill Marie Welsh]

It’s amazing the difference in work loads from one end of Pennsylvania to the other….wish I was closer, I’d much rather help you than work at a damn hardware store.
Love…..Jill

[Graham Martin]

quote Shane Drew:

Graham, I do on average $14,000 a month for account clients.

No money no goods is a bit idealistic in my view. You’re competing with other companies that will get the business simply because they offer accounts.

If I had the no money no goods philosophy, I’d have to close my doors.

The secret is not extending more credit than you have agreed to.

I am with you on that one Shane, it’s hard today, you will always have someone under cutting you, and then you must offer it on account to get the job, Look at E Bay signs at low, low prices, with me dipping the brush hand painting on old Traction Engines, I get paid at the end each time, but a job maybe be in the workshop for 9 weeks,

[steve geary]

Thanks for all the input…. I appreciate it, and is just what i need to hear.
God, I wish I was doing 14,000 a month…. I’m doing 4-5,000 and working too much. I obviously need to make changes and have got great advice from other business people in my area. The advice i just got from you all is from a different perspective, and very valuable.. again I’m very thankful.
As I’ve said.. i’ve been learning a great deal this year and progressing, so hopefully it’ll keep going in the positive direction that it has.
The work load is just real exciting and scary at the same time.

I went for a cup of coffee theis morning and i’m thinking about how i’m going to get my work done this week…. ran into a client, he says.. Just got a 45′ trailer.. can you do it this week?
At least i can put marketing aside for now….

Thanks again… keep it coming

steve

[steve geary]

quote Jill Marie Welsh:

It’s amazing the difference in work loads from one end of Pennsylvania to the other….wish I was closer, I’d much rather help you than work at a damn hardware store.
Love…..Jill

Come On Jill…. 5 hour commute, 10 hours in the shop.. Leaves you 4 hours for sleep….
Or you can crash here for 3 days, then take the rest of the week off!
See you tomorrow morning!

[Graham Martin]

Good luck steve, nice to see your words, Kind Regards Graham PS Would love to see some of your work sometime,

[steve geary]

thanks Graham…. I’ll keep you all posted.

Here are a few things I put up on here…. hopefully I’ll get around to posting more work soon… gotta’ get it done first!

https://www.uksignboards.com/viewtopic.p … highlight=
https://www.uksignboards.com/viewtopic.p … highlight=
https://www.uksignboards.com/viewtopic.p … highlight=
https://www.uksignboards.com/viewtopic.p … highlight=

[Graham Martin]

Steve, Jean and myself watch OCC New York, Makers of Chopper’s we watch it on Sky, Some of the paint job’s, very nice, I think the 9 11 Fire Chopper is very good, But the Nam Chopper say a lot. Just had a look at your work the red truck reminds me of the 9 11 chopper.

Kind Regards Graham O and PS thanks for showing me,

[Lorraine Clinch]

Hi Steve

Very interested in your post, as like many, I also am in the same boat, been going for nearly two years, and getting behind with work and accounts, chasing payments etc….

I have a daughter who ‘helps’, and a mate who loves to help out, both get paid, but I am always chasing after them, coz neither have any experience in design or application, so need constant direction.

Rodney’s comment is extremely sensible, but the thought of paying a ‘real’ wage, when even I don’t draw a regular salary is very scary, and not a road I wish to take just yet.

I still don’t know what to do, and am just muddling along….

Good luck, I hope you get sorted,

Lorraine

[Bryan Cabrera]

Hey Steve,

I feel for you. I have been trying to come to a decision weather or not I should leave my full time job and make the sign biz a full time career. I have been working crazy hours – up a 7:30 am for my 1+ hour commute to work then the signs at night. Worked till 2 am 2 nights this week. (Sorry for the soap box but thought I would vent)

I am in slightly different position as I have a partner who will handle the bulk of sales. He already has an established business and has a lot of contacts, so that is a big help.

I think the in your situation you really have to evaluate your pricing structure. You put out great work and should get paid for it. I would rather lose a few clients for being overpriced then working for nothing. I think the key is to sell them on yourself and your quality. Let them know what makes you better then the next sign shop–better layouts, quality vinyl, reliability etc etc. By weeding out the price shoppers you can concentrate on quality customers and get top dollar.

I think that it important to charge for your designs as well, I may be wrong but it seems that a lot of people in the biz charge very little or not at all for designs. I think most people are willing to pay if they know that you are going to give them an effective, good looking design.

Just my thoughts, I still have so much to learn about this business but I do enjoy the work, so hopefully I can make a go of it.