It's Not Your Fault

Do you remember when you first started dreaming about owning your construction business?

I remember my own early days. From high school, I always wanted to be a contractor, just like my Dad. I did all the right things, went to college, worked out in the field, and put in the endless hours mastering my construction skills. I'm sure you did the same.

Then, I started my business, just like you probably did, thinking I possessed all the skills; I need to become a success.

Hang in here with me while I explain something that has an immense impact on you and your contracting business.

Somewhere in the beginning, an idea started to evolve within us. One grew in size and desire to own our business. That idea felt great and seemed in itself destined for success.
Not that this idea of owning our construction business was perfectly aligned and flawlessly synchronized with the proper business intellect driving it. That didn't matter at the time, our long hours driven by our dream was all that counted.

I'm certain that just like me. You have experienced the starts and stalls, static periods, frustrations with employees, clients and unsatisfactory results, and times when your dream appeared bigger and better than your business.

The problem only gets worse when we think we need to accept it as part of doing business. Which is false.

It's an imbalance just like the love as a parent sometimes eclipses the skills as a dad. No one properly prepares us, and no owner’s manual exists.

Fortunately, for me, my early warning system warned me that what felt solace was really a prelude to complacency. I was accepting something that was always going to be lesser than I desired until I took action to change it.

No construction business has ever grown over time by accepting complacency. When business skills and their executions are in harmony, nothing moves forward since neither has to catch up to the other. Stagnation settles in.

However, back in the seventies, there was little help available who were skilled in the knowledge of owning and operating a successful construction company. So I had to dig deep.

Everyone needs a guiding light!

You see. Success is ALWAYS out in front of us. It is there, ready for us to catch up to it. Even in a down economy, success exists, all around us. It lies in waiting for those prepared to catch it.

As you move through life, nurturing a family, and building a business, you face the option of doing what comes naturally or ---and this  BIG or ---driving yourself to achieve a higher standard. Pursuing relentless improvement. Continuously assessing every aspect of what you do and how you do it with the determination to raise the bar.

The passive amongst us are "comfortable within their own skin," but the truly successful reject this, shedding their skin as they grow towards the new and continuously more effective embodiment of themselves.

Athletes know this. Even with natural athletic skills, they still require a coach to perfect their performance. Jimmy Connors required a coach to help improve his swing. Tiger Woods the same for his putt. They couldn't do it alone because they were not equipped with the all skills, and they recognized this one determining fact. Without help, success alluded to them easily.

There is a powerful dynamic at work here. Anyone who has achieved success knows it. Rather than accept who or what you are as the finished product frozen in place by time or genetics, you can get help to take you to a higher level.

Anytime you can learn from anyone, anywhere, seize the opportunity. This isn't idle talk. It is the fundamental core of the risk and reward equation that alludes to many. However, only a small number  listen to it.

Don't allow this holding pattern to obstruct your fulfillment of your original dream. Instead, realize that it is not your fault; rather it is something you can overcome. However, see it as a natural process that you can perfect with a little help from the right source. Chalk it up to a B-school education, if you want. It doesn't matter, as long as you do something about it. That is the key. Just don't allow yourself to become comfortable or worse yet, complacent.

There will be no business, no turnaround, no growth, no success, and no change, if you close your eyes to the problem.

That's where I come in. That's where my business coaching can help. It will enhance your skills, improve your business, your philosophy, expertise, methodology, and give you someone to help you create new and innovative ideas for you and your business.

I'm announcing the opening of a new website, focusing on coaching contractors. In the last three-months, I've had great results with those willing to do something. If you're one of these take-charge personalities, not afraid to seek help, please check out e site at:

http://www.contractorcoaching.com/

Check it out, the future is yours, seize it!

Housing Boom or Crawl?

The latest news from the entire media source is touting a boom in the housing industry. The truth is the numbers are so small I tend to call it more of a long, hard crawl out of the deep hole we’re in. I especially say this since I believe the misrepresentation causes rippling effects over the economy in a false manner.

To be truthful, this alleged turning point in the housing market can very quickly fizzle to a new low. Any business venturing into such sticky waters may find itself short on its expectations. The expected revenues, the costs of doing business, the cost of acquiring customers could be a gamble that might not pay off.

                  

However, some indicators are up, including data for housing starts and permits as well as the NAHB/Wells Fargo Index of traffic of prospective home buyers, which has made a spectacular rebound since last spring.

Unfortunately, it is difficult to pin down because nothing drastically different has occurred in the economy from March until September. I for one, have a serious time believing the unemployment rate, for example, dropped to 7.8 percent from 8.2 percent. Yet, 24 million workers are still out of work?

I believe we have a short run of optimism playing out here. Something that could fizzle, if one economic element shows its dirty face and spoils the party. I would not bet the farm on any significant recovery lasting a long period of time.

Take a look at the facts. The mortgage market is being dominated by the government. This can’t be good because they really have no reason to be in the mortgage market. Between Fannie Mae, Freddie Mac and the FHA, they are holding 90% of the market in loans. That just doesn’t make me sleep better at night.

The FHA is also in a bind facing a $16.3 billion shortfall, and the only way out is to look to us the taxpayer. Unfortunately, the FHA can’t foreclose on a property and turn around a doomed note, maybe even leasing it back to the defaulted owner. They have rules they have to follow.

The truth is, they are holding approximately 734,290 seriously delinquent loans in the FHA portfolio alone. Next year, they expect to dump up 50,000 of these bad loans to private lenders. The question is, and then what, we bail them out with taxpayer funds also? It seems like a cat chasing its tail.

I wouldn’t be so naive as to think that the worst is behind us. It appears that Americans are more likely to rent rather than to own. According to the Census Bureau, the home ownership rate has been falling from 69.0 percent in the third quarter of 2006 to 65.6 percent in the third quarter of 2012. This is validated by the strong numbers in mufti-family units’ construction and the availability of single-family homes at discounted prices scooped up by investors for renter units.

The other storm cloud hovering over the entire economic growth is what remains to happen in the other aspects of our economy. The ridiculous spending in Washington, the lack of job creation, tax increases, the Middle East and of course, the problems in Europe, all playing a possible spot as a spoiler for the economy.

With all this uncertainty floating in the air, I would be cautious with making any speculative moves. Play it close to the vest until we can see a brighter future on the horizon. Meanwhile, keep your expenses down, pay off old debt, and be careful what work at what price you take on.

Sorry, I can’t offer a clearer picture full of rosy news. I don’t see it, and I think misleading anyone is the wrong thing to do. Until things get better, this will be a long, slow crawl out of a very deep hole.

How to Make Money as a Contractor!

How to Win In the Housing Recovery

Will home builders be able to take advantage of the slow climb uphill in the recovery of the housing market?

Certainly, a valid question and definitely one that you must explore if you’re a builder.

There is a definite up trend taking place with the national builders. Over the past year, homebuilder stocks have risen 80%. That’s at least five times the S&P 500 indexes for the stock market.

What is happening is being fueled by low interest rates, a dwindling supply of homes that now represents only a five-months supply versus the 11-month supply of a year ago. Under these circumstances, it is reasonable to expect this trend to continue.

Nevertheless, what about the small local builder?

If you look behind the fog of economic recovery, low interest rates make affordable homes more attractive to younger buyers. Let me explain.

If you’re a young couple, say between 25 to 38 years of age, both fortunate to be working, presently renting, owning a home is becoming extremely attractive for this simple reason. With low interest rates, a starter home with a price tag of $125,000 to $150,000 is cheaper than rent. If they are even close in the same amount, it makes good sense to own over renting.

For the local builder, this is your emerging market.

When You Want to Quit and Walk Away

Last week while doing my coaching calls; I suddenly realized that I was hearing the identical problems from my clients. The irony was; they weren’t the same size businesses. One was in a few hundred thousand dollars in Sales, while the other was in multi-million dollars in Sales. They were both stressed out, overwhelmed and ready to call it quits.

This got me thinking. Even though we may not be doing the exact same or have the exact same size business, we all share in the feeling of being overwhelmed and stretched beyond our capability.

Sometimes in our business lives, we actually think it would be simpler to run away. That giving up would be easier than following through with our responsibilities. In both cases, my clients were having trouble dealing with deadlines, making sales, and the constant barrage of requests from employees and clients that wanted more from them in time, energy and resources.

Both wanted to escape from handling their duties, from the managing of their businesses. It was becoming too much. To quote one …

“I just want it to end. If I shut down the business, maybe I’ll be better just taking care of myself and my family. Maybe we could buy a farm and live off the land.”

I smiled on that one, since I too had had that same thought many times in my career.

I remember being a kid and going up to the farm in New Hampshire. It was a dairy farm set up in the mountains. I use to love going in to see the cows. They were jersey cows, and I had given many of them names since they had such beautiful personalities. Those were the good old days. My Dad and I would go hunting, fishing or just hang around the farm. Not a care in the world.

Just the rewinding of that memory makes me feel better.

However, that’s not what I’m trying to express here.

Just last week, I had one of my coaching clients tell me that I gave him back the, deep down, desire to enjoy his contracting business again. That same feeling he had when he first started his business over 10 years ago. He too was thinking of the final solution strategy to his business, shutting it down and walking away.

However, he didn’t. Although he was going through tough times, he decided not to give up.

If you study some of the great persons of our times, you will find one common fact among them. They’ve all failed, some miserable, but they didn’t quit.

Now I know, for a fact, that the desire to quit, to walk away is immensely strong sometimes. We’ve all had those days when we think “Enough!”

The truth is, you can’t because you still have too much to do. Instead, you have to work on your problems. It is there that you will find your solutions.

In fact, if you did walk away, you wouldn’t be really free. You’d just feel like it.

Why? Because what you gained in freedom, you will lose in value and worth. What I mean is that what we do is add value to other people’s lives.

It’s not about us.

It’s about what we give to our clients and customers when we deliver them the product or service they wanted. We provide the solution to their problems or bring value to their lives when we provide them with what they wanted. It’s all about fixing someone else’s problem.

No matter what your business problem is, no matter what hurdles you feel you can’t overcome, or what obstacle has you down, or how frustrated you are with your business problems; remember, it’s not about you and your problems. It’s about fixing someone else’s problems. It’s about bringing something of value into another person’s life.

When you come to terms with that, you’ll find the worthiness and the energy to continue forward. Because one grateful customer, one glowing testimonial, one sincere word of thanks will keep you going through thick and thin.

And when you keep going, you’ll keep delivering. As you provide that solution, you’ll grow and become better. As you get better, you’ll help more people. As you help more people, you’ll hear more positive feedback. And that provides the spark that you need to keep going, the hardest times, and through the slow grinds.

Never stop. Never quit. Never give up. And never listen to that little voice that says it is time to quit.

If there is one thing that I have learned in my career it is this. There will always be difficulties, but the quickest way to rid ourselves of them, is to take positive action to keep ourselves moving forward.

After all, isn’t that all that really matters?

Lead and Asbestos: Common Renovation Hazards in Older Homes

In an uncertain economy, more homeowners choose to renovate their existing homes than relocate to new dwellings. Home renovations can make houses more livable and increase their resale value. Houses that were built during or before the 1970s, however, harbor potential health risks for the people who live there.

In 1977 and 1978, the United States government banned the use of asbestos and lead in insulation, paint and other construction materials. Before then, they covered practically every inch of American homes. Renovation projects in older homes could introduce toxic particles into the air, which could lead to serious health conditions.

Wise homeowners hire a home inspector to evaluate older dwellings and identify potential hazards. When identified, these dangerous materials are best removed by a professional contractor or building abatement company. Large renovations, especially in older homes, are not the best do-it-yourself (DIY) projects.

Lead Exposure

Common home renovation activities such as sanding and cutting can disturb lead-based paint. The hazardous paint dust and chips can be harmful to humans and pets. To protect homeowners from potential health risks, the Environmental Protection Agency (EPA) passed the “Renovation, Repair and Repainting Rule” in 2008. It calls for certified renovators for projects that involve lead-based paint.

According to the Mayo Foundation for Medical Education and Research (MFMER), lead poisoning can be hard to detect. Even people who appear healthy can have high levels of lead in their bloodstream. Lead poisoning can cause high blood pressure, reproductive disorders, cognitive problems and mood disorders in adults. In children, high lead levels can lead to learning disabilities and stunted growth.

Asbestos Exposure

Asbestos exposure is another potential health risk during home renovations. Asbestos is a strong, fibrous mineral substance notable for its heat-resistant, flame-retardant properties. Most homes built before the late 1970s contained asbestos materials for insulation, flooring, roofing and more.

Solid asbestos that is still intact is generally safe. However, frayed or crumbling materials that contain asbestos are highly toxic and hazardous to health. Lung cancer and mesothelioma are the worst-case scenarios. Both of these cancers are life-threatening diseases with high mortality rates. Yet, even minor asbestos exposure can cause asbestosis, pleurisy and other respiratory problems.

Minimizing the Risks

Fortunately, homeowners can minimize their risks for lead and asbestos exposure during home renovations. The Centers of Disease Control and Prevention (CDC) and the EPA have produced a number of safety guides for DIY renovators. Many are available online.

Practical steps include wearing protective gear, isolating construction areas with heavy plastic and misting walls before sanding and scraping. Homeowners can reduce the movement of airborne particles by shutting off their heaters and air conditioners during demolition and construction. If there are any known toxins they should only be handled by a professional.

Article written and contributed by Brian Turner

Are You Ready to Take Advantage of a Flood of Work as a New Administration Revs Up the Economic Engine?

Or . . .  Will Your Construction Business Become a Martyr to this Double-Edge Sword?

It has been six long years. Contractors all over America had found themselves sitting on the side-lines as a dismal economy ran rapid over their businesses. Big businesses swimming in an ocean of cash along with wealthy investors also sat anxiously, waiting for a rising tide of confidence and economic certainty. Ready to pounce on the best opportunity, if the right moment presents itself.

 For the last four years, none of this has happened. Instead, we saw astronomical unemployment numbers as if launched from the shuttle, reaching for the stars. Big, fat, over-bloated government turning out endless pages of regulations suffocating any chance of recovery, doubling of fuel, never-ending rise in material costs, and foolish spending that ram-rod trillion dollar deficits every year of this present administration. Now, we are faced with increased taxes and no plan to stem this rising tide of economic failure.

 Meanwhile, America waited.

 This November could be the beginning of a bright, prosperous sunrise. A new beginning. Fresh policies, ideas and initiatives that can get America back to work. I believe we are on the edge of an emerging dawn, a change that will prove itself in the best interests for a free-enterprising America. It won’t be easy. It will take sacrifices, but it is emerging like the rising sun, ready to spread warmth and certainty over our land.

 However, we can’t ignore the wrath and damage that have been inflicted upon our industry. And this is the true message for this blog.

 As a business consultant to contractors, I have seen my fair share of financials and heard the stories of financial horror many have suffered. Fortunes have been withered away. Savings depleted. My message hasn’t wavered, and it is still the same. Reduce your debt and build your cash reserves. The message stays the same, and the reasoning is simple.

 One major obstacle for many will be their ability to finance new work. With low or no cash to fund it, many will be forced to sit on the sidelines as an up tick in the economy gets started.

Some will foolishly cut their prices to get the work. I strongly advise those who think this is a valid approach without trimming expenses, to reconsider this action.

Money will not be freely handed around. In fact, due to the last six years, it will be coveted by those that have it. Expect some difficulty prying it from their fingers.

However, there is the other sharp edge to the double-edge sword. I can say it in one word: LABOR

With the scarcity of work, many skilled workers have left for other jobs in either other parts of the country, or in other industries. Some, actually many, have simply retired. Getting skilled or adequately train workers will prove in itself a major hurdle for many owners of construction companies.

I strongly urge those of you who recognize this upcoming problem as I have, to find a way now to stem this troubling problem. Locate resources, even work with them in training young workers to enter our industry.

No matter what you may want to think or believe, you can’t be part of a recovery if you don’t have a cash reserve and a workforce.

Take action now, because after November 6^th, if a real change takes place, you may get benched.