Dec 25, 2015
All Construction Companies Have Growing Pains - When you started your construction company it was all you or perhaps you had a partner or somebody who was helping with the office work like answering phones, bookkeeping and running a few errands.
Your Construction Company Grew - And you found yourself with problem employees who little by little took over the back office operations and were preventing your business from growing.
Here You Realize - The people who got you where you are cannot take you where you are going! It is a harsh reality that has everything to do with change. The only people who embrace change are wet babies and everyone else hates it.
- Employees in positions of authority and
especially Bad Bookkeepers become envious of your success and
will destroy your contracting company from the inside like a
cancerous infection if you don't replace them. The most common
reason is they believe you lied to them! Their paradigm is entrenched and not open to personal growth
and change. When they joined your contracting company it was small
and fun and not a lot of rules just right and now it is become a
profit and money tree just like every other successful contractor.
Expansion Isoquants - Are pretty pictures to demonstrate the process of how a construction company grows.
When The Economy Is Expanding - Demand for construction rapidly and almost overnight outstrips supply because so many contractors gave up and left the industry.
Well Intentioned Yet Unseasoned Contractors - Seize the opportunity to grow their contracting company rapidly by haphazardly bidding and winning projects without giving any thought to calculating their company Expansion Path Isoquants, infrastructure, logistical support, working capital requirements, Job Costs or Key Performance Indicators (KPI).
There Is Inevitable Chaos - Caused by too much work and not enough labor, material, other costs and subcontractors (LMOS) leads to the contractor becoming a pipe through which money flows with increasing velocity and not in a fun way.
The Answer Is Simple But Not Easy - Which why construction company owners who do the work have the results; cash, capital, freedom and time to do the things they really want to do with their lives while everyone else is looking for a shortcut or an app. Instead use the Contractor Strategic Development Outline.
Level One - Dog and Pickup Truck with annual sales roughly $100,000 to $200,000 and a friend or relative doing the bookkeeping.
Level Two - Salt of The Earth with annual sales roughly $200,000 to $400,000 and the demands of the business have outgrown the skillsets of the friend or relative doing the bookkeeping. It is time to outsource to Strategic Bookkeeping Services and move the bookkeeper to executive assistant. This is where feelings get hurt and people feel unloved because they gave you the best years of their life (Actually you paid them in cash, perks and benefits) and now you are putting them elsewhere and taking away their power! This is where a lot of construction businesses get stuck because "Environment Trumps Will Power!"
Level Three - Professional Small Contractor with annual sales roughly $400,000 to $5 million. This is the "Sweet Spot" where we see a lot of our clients make a lot of money and begin to focus more on what Michael Gerber calls "Working On The Business; Not In The Business" with a Board of Advisors and a business plan.
Level Four - Enterprise Contractor with annual sales exceeding $50 million are run by people with a lot of heartburn and stress because they are so heavily regulated and watched by everyone from the laborer in the trench to the board of directors and shareholders.
Employees At Each Level - Are not suited to work in the levels above or below. Entrepreneurs like you are the only ones who can transition because you learn to embrace change and when you try to make your staff grow with you it rarely works because they normally will not change.
Need A Mentor? - Someone who has been were you want to go and can guide you. We would like to be that person for you. Fill out the form on the right or call Sharie 206-361-3950 or email firstname.lastname@example.org and schedule your no charge one-hour consultation
I trust this podcast helps you understand that outsourcing your contractors bookkeeping services to us is about more than just “doing the bookkeeping”; it is about taking holistic approach to your entire construction company and helping support you as a contractor and as a person.
We understand the good, bad and the ugly about owning and operating construction companies because we have had several of them and we sincerely care about you and your construction company!
That is all I have for now and if you have listened this far please do me the honor of commenting and rating podcast www.FastEasyAccounting.com/podcast Tell me what you liked, did not like, tell it as you see it because your feedback is crucial and I thank you in advance.
I trust this will be of value to you and your feedback is always welcome at www.FastEasyAccounting.com/podcast
This is one more example of how Fast Easy Accounting is helping construction company owners across the USA including Alaska and Hawaii put more money in the bank to operate and grow your construction company. Construction accounting is not rocket science; it is a lot harder than that and a lot more valuable to construction contractors like you so stop missing out and call Sharie 206-361-3950 or email email@example.com
Thinking About Outsourcing Your Contractors Bookkeeping Services?
Click On The Link Below:
This guide will help you learn what to look for in outsourced construction accounting.
Need Help Now?
Call Sharie 206-361-3950
Thank you very much and I hope you understand we really do care
about you and all contractors regardless of whether or not you ever
hire our services.
Bye for now until our next episode here on the Contractors Success MAP Podcast.
Randal DeHart | Contractors Accountant