When to call it Quits?????????????

[Jaime]

I have been in business for a little less than ten years full time through good and bad. However I lately have been having the itch to Sell Sell Sell!!!!!

I really don't want to in my heart, but due to all the scheduling problems, non regular paying customers, employees calling off, etc. I just am about at my witts end. Everyone says I should not do it because I have been in business for so long. They say they would kill for my job. I get allot of shallow offers for work but they don't work out. (It's always the wrong time for one reason or another.) My work is very much praised and I do have regular customers that love me, but they only pay ever 30 to 45 days when MY terms are net 10 days.

But every month I get further and further behind in my bills, till I finally swollowed my pride and contacted a non profit debt counsler.

I would love to keep going but I am emotionally drained. I am scared to death to get a real job, just because my whole working life I have done this for a living and don't have much I like to do to fall back on. Been in the drivers seat way to long!!!!!!

I do have a degree and am certified in locksmithing but I was offered 8.00 an hour by the biggest locksmith in town. Go figure!!!! And its to much of an investment to start my own. I also have my auto inspections license, but the average pay is still only about 7.00 to 10.00 an hour.

I have givin myself till October to turn things around but it still does not look good. I will be making allot of calls next few weeks.

Sorry to dump one you guys and gals like this but I figure if anyone would understand it would be you guys!!!!!!!!!!!!
Thanks for listening. Jaime

 

[laynlow]

When the going gets hard...

I don't powerwash for a living. I own a reasonably nice pressure washer, and I have been frequenting these boards looking for tips on usage, chemicals, ect. To that end, I appreciate all of the knowledge held by this boards members. More to your topic then...

I am 26, and work in a small print shop that is owned by my mom. We normally run a 3 to 4 person crew, including ourselves, but our pressman moved on to run larger equipment. Right now it is just mom and I running the shop. She keeps up with the copies, and I do the graphic design, layout, printing, ect. We have been through 4 pressmen, that all claimed they could do the job, and not one of them can print to the level I can. Its sad to think that I don't have any formal training, and could out-print most of the operators in this city.

My point is this, I believe that people with a solid work ethic and good job skills are getting harder and harder to find. You just have to keep searching for that crew that will be reliable. Eventually you will find them. As far as your billing terms, most businesses pay on net 30. They don't really care what your terms are, because they pay bills once a month. Our terms are net 30, and we have those who pay like clockwork, and those who don't.

I hope that you can make it through your hard time. I would hate to see another small business close up shop. Not to mention good paying jobs are hard to find. Best of luck.

Sam

 

[Jon]

Jaime,

Like Laynlow said most businesses pay net 30, to expect faster payment just does not happen.

The one exception I can think of is those that do work for homeowners, then most would pay when the job is done.

I say most as in a few post a week or so ago it was noted some of those homeowners just seem to have to run out for something or other about the time the job is finished and it comes pay time.

Ten years and you have had this problem all 10 years? or is it just lately you have not been getting paid on time? (on time is 30 days, not your ten)?

Stay with it but change your billing to net 30 with 1.5% interest for non-payment on time.

Then bill them again with the interest, OR give them a call and remind them about the bill, perhaps it got overlooked, it happens, we all put things down and forget about them. I have done it, you have done it and so have most others.

Another thing you need to do is when you get new accounts ask who pays and what their procedure for payment is, I have an account that pays every 45 days, sure they are using MY MONEY but they pay promptly in 45 days, I to would love them to pay faster but I know it comes on time.

I have another account that pays the bill the same day she gets it, gosh how we all would love that fast a turn around!

 

[Larry L.]

<b><font color=green>I don't think that is it at all,I know you say you love it and I want or will not say you don't ""My work is very much praised""

Dam man your burn'd out the way I read it but you want give into it,I see your problems above It all goes with building into a burn out.

Can I take a guess that when the phone rings you don't answer just listen to the mess'age........ or if you do you cann't get to it until so and so alot of times?....find yourself wanting to try something easier or maybe even wanting to get away from the chemicals?...do you find yourself feeling guilty on the ones""My work is very much praised and I do have regular customers that love me"' if you quit?......I've used the excuse above even sold one rig gave away 95% of the bussiness,still working for some of the (My work is very much praised) but finding it harder each and everyday to get back in the pat pat pat pat on the back thing.I love it also but see no end to my wanting to get out of it.....I try to surpise myself by taking on a new one everyonce in awhile,like this morn'ing,the guy pat pat pat it help some but by the time I got home that pat pat seemed to not matter even tho they shined and his money in my pocket .........if this is not the way you feel I read between the lines wrong.</b></f>

 

[Dave Olson]

Hello Jaime,

Think back to when you had the itch to get into your business! Where did that itch go? The reason that I say that is I have also gotten bored with some of the things that we do on a regular basis. But every once in awhile we are givien a challenge!

My latest challenge was to clean the interior of a 25,000 gallon stainless steel D.I. Water tank. Received the call last week Wednesday. We completed the project today. Three days work for three guys. We installed a stick build scafold in the tank and soda blasted the stains. Tank was 10 feet wide 32 feet high with only one manhole (24x18) at the bottom.

Certainly was a challenge, and we helped the customer out (saved their tank) and gave us something different to do and Yeh, we are wore out!! Sometimes things like this make the norm (for awhile anyway) seem less boring! Pays purty good too!

Guess what I'm trying to say maybe you should look for some new things to do and still keep your business!

Dave Olson

 

[Cali]

Been there, done that. I got burned out because of the "competition" They all but ruined me when "they" went out after my throat. Almost literally. I started contracts with ALL my customers, that states yes, Jon, I charge interest PER DAY after 15 days from the date of the signed invoice. Then when they overlook or forget about the bill, they call me and apologize and get it out immediately. If they move fast enough I will waive the fees. Otherwise I send a new invoice just for the fees as soon as I hit day 15. I don't do residential, so I don't usually have as many hassles. I also get in and know who is actually cutting my check, and develop a relationship with them from day one. It speeds my checks up every month. I can call the person and just remind them after I have dropped off the invoice. I also deliver 90% of my invoices by hand, so that they again remember me more than anyone else.

 

[JR Wood]

6 Years Residential.Billing terms 15 days from billing date,Usually get paid immediately.When In do bill, never on time(usually 30 days) Never pay interest on an overdue bill.Been burned twice!
Oh Yeah the people who I end up billing are always the people that call you 20 times in 2 days to find out when you plan on doing them,and they are always the ones who drive away 2 minutes before your done with the job.

 

[Straight Shot]

Jaime -. Grab something cold I got a little long winded!

There is probably a lot at play here and a lot of it you're probably thinking is out of your control. Chances are it isn't.

The employee thing is completely understood; it is incredibly hard to find loyal, half-good employees unless the pay and benefits are there. Idea - Keep cards on hand at all the times and when you see a really hard working person (even if they are at their jobs) talk to them and give them a card, it's like when your single and it seems all the good girls/guys are taken. They are. Employers know how hard it is to get good people; they do what ever they can to keep them. But, if needed drop your employees and scale back. I know many who work mostly alone and make a great income. Then once you master your business slowly bring the help back. I have a friend who is a gardener (he hates it when I call him that) he started by himself a few years ago and now has 50+ employees and yet he still swears he had more profit and a lot less headaches when he was very small.

The 45 days out (and longer as we know) is definitely something that can kill a company. Unless prepared. Like I tell my fiancé (partner) we work today for next month. Once the ball is rolling and the payments from last month or even two start coming in, you're fine, as long as you're still working today. I agree the initial hump is horrid, especially when the hole already seems deep.

In our business, we are small and have a lot less leverage with our customers than say credit card companies have when it comes to interest. I have had large accounts\companies (which typically take the longest to pay) laugh at the thought of us charging interest. What are we going to walk away from a few thousand dollar job just because they wont sign an invoice with a 2% net 15? No. We do the work and use the moneys generated from the previous month to survive.

We have all learned we can't make money without it, which means we have to keep our checking accounts as full as we can to get past the droughts. We have even gone as far as taking a dollar and breaking it down into percentages and placed that against every job collected on. For instance, we pay ourselves X% and put X% in a tax account, and X% left in for supplies and fuels, etc. In the beginning it is hard to stick with it, especially when everything you have is going to every bill you have. But, then that only leaves you searching for more credit to pay for your supplies next week. We've been there.

A few more things before I get off of my soapbox..

Seek help with business matters - a few simple changes may spark a huge change. Many cities have resources at a small business's disposal. For instance, here in our area the Entrepreneurial resource center has joined up with a local state college and offers free business coaching and courses. Find out if anything is offered in your area.

And lastly, think of your debts and think about the $7-10 an hour jobs you mentioned. I know you have done the math and cried when you found how long it would take to get out of debt!

PWing - Your customers are happy, you're doing good work, and even if you're burnt out your debt is still going to be there. As we know when you have the customers you can have a great income in this field. But, if you have to, get a part time $7 job and spend the rest of the time working and selling. But I'm sure if you spent even one day cold calling and selling your great company you would find enough work to not need the $7 job and make great money. But as with everything set strict time lines. For instance no matter how much you hate it, say, every Tuesday morning spend a TRUE six hours marketing and selling your business.

You will succeed and eventually get out of debt. Then you could sell the business for a profit or simply grow. I would be willing to bet that at that time you will be happy with good old pressure washing. Because chances are it isn't the industry and line of work that isn't making you happy, it's simply the rut or hole that you may have found yourself in - at the moment. The only thing constant is change itself; just try to make the change controlled, benefiting you.

Good Luck and hard work!!

Oh yea - this is my opinion.

 

[Walt Graner]

Jamie
Sounds like you got a lot of good info from this post.
I think your selling yourself too short. Good folks are too hard to find.

I understand you set a stop date, however did you have a full business plan on how you were going to change things?
If I were a betten man I'd say you did'nt, which again is selling yourself short. If you don't have a business plan do some home-work and put one together.

 

[Jaime]

Thanks!!

All the suggustions and support are great!!! And I really appreciate it!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!
I really do love my job and all my adult working career, power washing is pretty much all I have done. I will get on the horn today and drum up some business. I went yesterday and made 5,000 copies of my flyer to pass out at the local grocery store. (They pass them out for a penny a piece!!! Dummies!! It will cost me only $50.00.) I am gong to see how it goes the next few months and decide then what the best route is. I actually am appling at Rolex Collage. Yes the watch maker. Free schooling and $45,000.00 to start. My business made almost $100,000 last year but I personally made about $40,000 after employees, insurance, taxes, lunches(HaHa), etc. You guys really did help boost my spirits to keep trying and not give up some thing this good. Most of my freinds say they would kill for my job. And I reply "How much are you offering?" HaHa
I'll keep you updated!
See yeh Thanks again! Jaime

 

[Dan Flynn]

If you made almost 100,00 grand last year. Dump everyone and do it yourself. One guy can handle 100 grand of work per year.

 

[Clean County]

Jaime,
If this is your fulltime job then it sounds like your not generating enough money to keep to many employees. Cut back on the number of employees you have that way out of the $100,000 you made your take will be much higher then the $40,000 you pocketed.

It's great to have employees but you must have enough work to make it worthwhile. If Powewashing was your side work then doing it the way you are is Ok. But if this is your only job then you have to bring home more money which means getting rid of the workers or generating alot more work. Good Luck.

 

[HarQuin]

Dan

I have had the employee problems also (finding, keeping good help) and I am currently doing most of the work by myself. I do have part time help for those jobs that require two men. If 100k is to be the goal I would recommend OFFICE help!
I generate around 65-70k. I have found the the associated paper work requires more and more of my time. By the time I do the cleaning, office work and there is always something that needs maintenance, I need more hours in the day. I agree one man can see 100k in billable hours but how do you handle the work that is required before/after?

Harlyn

 

[charlie]

When dealing with businesses, you need to get all the payment information up front and tell them that you need to be paid in 30 days. Also if they pay in 5 business days you will knock of 5% off the bill.

Charlie

 

[Ron Musgraves]

Jamie,


I don’t know you very well however I believe you are and open minded person with a lot of heart.

I have read most of the post and not read some. So if I repeat things sorry.


Like always I have a different advice. I think your not happy because your only making 40,000??? Not to disagree with the guys judgment about not having employees but after 10 years if I had no employees and I was only making 40,000 I would be depressed. Keep the right number of employees and utilize them and treat them fairly. You have just told me that in your area the highest paying job your seeking is paying 7.00 to 10.00 dollars an hour. “Will get to this laterâ€


Anyway if your only making 40,000 a year if you don’t have a employee you e probably not going to make any more. Don’t loose the employee or helper of what ever you want to call him. If you’re using relatives stop trying that. Don’t hire friends because it doesn’t work out.

Ask your self these questions!!!!!!


Have I worked hard lately?

Can I work harder?

Do I really want to punch a time clock?

Do I stay after those accounts that pay slow?

Is my business running like a well-oiled machine?

Can I pay my employees better so they do stick around? {So my life can be easier}


If you down size know you will only be more disappointed later. I think you expect more out of owning your own business after 10 years. So give it one last chance and take all the risks you have been afraid of over the last ten years. This way when you really bag it you can at least say I gave it my all.


Sit down and write out a plan: call it the burn out plan. Take your focus in one direction and focus on what you’re successful with. I don’t know your line of work so I can’t get specific. I know it can’t be residential because you’re having problems with customers paying you.

Look back in some post about non-paying customers there are some great letters there that work for others to help with account payable problems. {Get caught up and get some working capital} every business runs on there own money while waiting for others to pay. This will help while waiting and you wont get so disappointed.

About the employees problem,,,, pay them and they will stick around. Stop selling your self-sort, hire and individual that can help you get more business someone that can do anything you do. Give them incentives if they bring in new work of if they up sell a customer. Reward them financially. Lunches are great and employees love it. Smart ones don’t, they only see it as he is under paying me so he buys lunch to ease his own guilt for under paying. That’s what my employees use to tell me when my payroll was a little more than minimum wage. Know I have employees that have been around for ten + years. I have many that have made the 4 & 6-year marks. Everyone that works for me can make extra money up selling and finding new customers. They all have business cards so they feel equal and share in a part of making the business work. They are proud to work with each other and work as a team. Bottom line is everyone is important, don’t get me wrong I have grunts, the difference is if they want something better the opportunity is there and they know it. I have found great people that I never would have thought they could do the job. I have enjoyed watching them grow along with my business. The people we employ are the key. Here is a simple phrase to use next time you hire someone. Get away from the idea they are working for you. I have no one that works for me. “â€â€â€â€â€They work with meâ€â€â€â€â€â€ that is a motto that I have used for about ten years and I like it. When I hear people saying they can’t pay the help that much then they are right they cant. If you pay people you will find people that will make you money and they will pay their own salary. Bottom line demand they make you money show them how to make money.



Taking a job: your right you might as well be working for someone else if all your satisfied with making that after ten years.


Over the hump: it hard to get over the hump. This is the difference between you and someone that take care of the daily dealings with business. Your still in the trenches or not in the trenches enough. You need to be in the trenches until you can make the transitions from grunt to manager. Almost everyone on this bb wants to have twenty or so rigs and sits back in the Bahamas while they are making money. After ten years you have tried but it just isn’t working. We have all been in your shoes ready to quit thinking there has got to be something easier. The difference between some is we didn’t quit others it may have been the right decision. I for one think you should motivate your self and get out and keep knocking on doors. Getting over the hump isn’t easy but it sounds like your close. Bottom-line we all what to make more and work physically as little as possible. We all start thinking can I do this business when I’m fifty if I’m still in the trenches??? Do I want ten more years of this?

Keeping the employees: you’re making forty know and if you found the right employee they could make you another forty. As said above keep the employee you have and start a new program with incentives. Start something fresh with a new approach.

Cash jobs: concentrate on cash jobs. But maintain a balance and stick with what you know.

Jamie, I love my business and you do too. If you need to call and want some sort term advice on how to market some things better and get over the hump call me. I think I could help- don’t be afraid to go for it. You can be happy I believe if you will get over the hump. These guys have given great advice and comfort. Sometimes we all need to reevaluate.