I have recently started a small remodeling company. It is basically just myself and 2 other guys that I use on a part time basis. I have not had much of a problem finding enough business to keep me busy, but I know there is a lot more and bigger jobs out there. I would like to know what is the most efficient and effective way I can market my business. My budget is not very big.
Also, In my initial meeting with potential clients I am trying to put together a packet of some sort to give to my clients to help my company stand out from the others. Because I have found that a lot of remodelers of my size are many times very unprofessional. For example, I have been giving them copies of the following in a nice Folder: Typical contracts, Home Remodeling: Know your consumer rights, Typical change order forms, Brochure on Home maintenance and checklist. However, I would like to make it as professional as possible and I would like to add some things to it. If anyone has any ideas or does something similar I would greatly appreciate some advice.
Finally, I have been requesting a rather large deposite from my clients. Typically, I try to get enough to cover the costs of the materials and I basically then cover the costs of labor, mainly because right now I cant afford to cover the costs of the materials until the job is complete. Is this typical and/or what is the standard for an initial deposit?
Thanks,
Matt
Replies
You're probably going to get an array of good answers...
From my own experience, I started with remodeling and repairs, did my best to do the best job possible. First customers were not real flush so I more or less charged on a sliding fee scale. Got lucky and landed a client with megabucks who let me have some creative license in his vacation home.
Now I'm doing a new house or two per year and some remodelss and additions...enough to keep me with tools in my hand, but able to sub out the portions I'm not licensed for or not as good at.
I've never advertised...all word of mouth referrals. No sign on my truck. I have all the work I want now and refer some to competent/reliable friends in the trade (YOUR referrals ultimately reflect on you).
I usually take a deposit, but mostly so the client has a vested interest in our contract. Even when times were lean, I could generally generate enough cash flow to carry me to month-end when accounts came due with suppliers.
Your labor is another issue. If you're going through a temp place, they've probably secured a reserve from you, but still want you to keep current. If you're paying cash, and have no WC on your guys, you're flirting with trouble. If you're handling your own payroll, you know the IRS can be pretty cold.
My only real advice is; be patient and work on building a good reputation on your performance and execution, keep your bills paid, don't overcommit yourself and try to amass some working capital so you're not on the edge and so you're prepared to take on one of those jumpstarters that can get you on solid ground, like my rich guy who I still work for on occasion and to whom I will always be grateful!
Have fun!
From the get-go, have a photo album of your work, to serve as example of quality, and as an idea generator. I do it as a regular photo album in my office, with some of the pics online. In the book, shots range from standard 4x6 prints to 8x10 enlargements where more detail needs to be shown.
The photos need to be top notch quality - color, composition, layout, lighting, etc. I do my own photo work, have pro quality gear to do it right. Check the photo club at your local high school, community college, or university for a student who would be willing to make side money shooting your jobs.
If you don't have an office, have something in your briefcase when you meet a client. If you do it on the web, keep it simple, and be prepared to email a list of links to prostpective clients that will take them directly to the photos that will relate most to their project.
You can say "oh, yeah, I've done a project like that before", or you can prove it with a picture of the actual work. A thousand words and all that.
As your business grows, and you complete more projects, cull out some stuff, and show the best of what you can do.
Good luck!