Even Accidental Plagiarism Can Cost You
Click for the full article at Contracting Business by Charlie Greer and Matt Michel.
Forward this one to your mail list. Every business owner needs to be aware of the risk from using plagiarized material.
Sales, marketing, business, and Internet tips for service businesses, such as plumbing, HVAC contractors, and other small business entrepreneurs.
Posted by
Matt Michel
at
3:22 PM
0
comments
Labels: Charlie Greer, contracting business magazine, plagiarism
Posted by
Matt Michel
at
10:47 AM
0
comments
Labels: capitalism, crony capitalism, economics, John Stossel
Posted by
Matt Michel
at
3:27 PM
1 comments
Labels: ben stark, branding, Retail Contractor Coalition, steve miles
If you're in a services business, you might want to bump your starting point higher than 5%. For example, like most professional services firms, my company is more margin-oriented than volume-oriented, so fueling its growth requires that we spend a higher percentage of our revenues. Last year, our number was just over 8%, and I've seen companies spend upwards of 15% when warranted—especially young companies that need to invest to build their brand.
Volume-driven companies tend to spend a tiny percentage of sales on marketing, in part because their large revenues enable small contributions to add up fast, and in part because of the margin pressures they face in having to compete with other high volume companies. By contrast, margin-driven companies tend to spend a larger percentage of sales on marketing: They have room in their margins to afford it, and they're often working from a smaller revenue base.
Posted by
Matt Michel
at
3:09 PM
0
comments
Labels: ben stark, budgeting, marketing, marketing as a percent of sales
When is your Black Friday?
With it is the being of a New Year, it signals new opportunity to have learned from last year’s pain or be forced to repeat it. During December, I spoke to several contractors who were not profitable for the year; one said he said he was waiting for his Black Friday.
The concept of Black Friday in the retail business has not been around for a long time. According to Wiki it was originally coined in Philadelphia in 1966 and had to more with traffic in the central area of the city the days after Thanksgiving till Christmas. About 15 years later was morphed into representing the day on an annual basis that a retail organization went from an operating loss to a profit. The truth is that most retailers make a profit every quarter.
Are you making a profit every quarter, month, week or every day? All businesses even seasonal ones should have a goal to be profitable all the time. The thinking that at a given date in a year, you have covered your expenses and the subsequence revenues are all profits is a head in sand approach that could lead to disaster and failure. If you are looking in terms of a year for your horizon, you will miss the chances to preserve the hard fought wins while accepting what falls into and/or off your lap.
With the advent of (1)accounting software like QuickBooks, Peachtree and MYOB to name a few, the ability to manage your business is a mouse click away. Industry specific add-ins makes these tools even more effective. Twenty years ago it took a programmer to generate a report with limited flexibility, now you can make your own report in matter of minutes.
To keep the reports accurate you need the information to be current. It is no longer acceptable to batch items and wait on a schedule. Here is where (2) “Lean Accounting Processes” and (3) “Single/One Piece Flow” pay large dividends. You get an invoice, to put it in the system, you get new order you put it in the system, you finish and ship product/service you invoice immediately. At the end of day a person’s desk is clear and is waiting for the new work of the next day. In essence whether you large or small you can have a reasonable snap shot of the day’s performance, and at the end of the week you should be reviewing the KPIs(Key Performance Indicators) AND THEIR TRENDS. KPI’s will differ for each company, but reflect the elements that most important in the life of that entity. Some standards, Cash, Days of AR, AP, WIP, GM, Projected Net Profit and a 13 week cash flow projection.
Back to the original question when is your Black Friday? My answer to you is; Every Friday should be your Black Friday. Because if it is not Black then you have something to be working on to correct that next week, not next year or even next month. This information should be shared with the managers along with the expectations for performance and goals. In a perfect situation the managers will react to correct the issue before the owner or superior has to motivate them. This is a goal for your organization to obtain.
1 http://accounting-software-review.toptenreviews.com/
2 http://en.wikipedia.org/wiki/Lean_accounting
3 One Piece Flow refers to the concept of moving one workpiece at a time between operations within a workcell. At the opposite extreme, we might process an entire batch or lot at each operation before moving it to the next operation.
This idea has many benefits. It keeps WIP at the lowest possible level. It encourages work balance, better quality and a host of internal improvements. http://www.strategosinc.com/onepieceflow.htm
Matthew R Prazenka
Abacus Business Leaders, LLC
Driving Shareholder Value through Hands-on Leadership
500 Lake Cook Rd. Suite 350. Deerfield, IL 60015
877.412.2228 x1030
mprazenka@abacusbl.com www.abacusbl.com
Posted by
Matt Michel
at
9:41 AM
27
comments
Labels: air conditioning, energy efficiency, ESOP, green contracting, green HVAC, hvac
Posted by
Matt Michel
at
9:35 AM
0
comments
Labels: Facebook, marketing, testimonials, website, yard signs
“One evening back in the mid-60s, when my husband and I were Ayn Rand’s lawyers [and] the three of us took a break from business . . . Rand drew a fascinating distinction about the impact that . . . fiction, as opposed to nonfiction, has on readers. ‘Reading non-fiction,’ she told us, ‘is mainly an intellectual exercise whereas fiction involves the reader in a personal experience. It’s the difference between reading a technical manual on flying a jet airplane as opposed to experiencing the actual sensation of hurtling through space in one. The manual may be educational, even stimulating, but the plane ride is happening to you.’” (Emphasis Rand’s.)If you want to write to be read, write stories. If you want your lessons to your team to be remembered, use stories and parables to make them more memorable. The way Jesus taught a couple of thousand years ago still works.
Posted by
Matt Michel
at
1:29 PM
0
comments
Labels: branding, contracting business magazine, cross marketing
I was struck by a couple of comments in Facebook over the past few days and feel compelled to share them:
Posted by
Matt Michel
at
2:41 PM
1 comments
Labels: air conditioning, bounce back, hvac, Matt Mauzy, referrals, retention

Note: I wrote this for Southern PHC Magazine and would normally link to it, but the article is not online, so I'm reprinting here.
As consumer yellow page usage wanes, local Internet search is becoming more important. Search for “air conditioning” and based on your IP address, search engines like Google will serve up local companies, including a map with locations. You want your company on this map.
Putting your company on Google Maps, which is Google’s local search, is simple. Visit http://local.google.com/ and click on “Put your business on Google Maps.” You will need to create a Google account, but that only takes seconds.
Your company may already be listed. If it is, Google will prompt you to claim it.
Fill out all information on your company. Make sure you incorporate product, service, and brand search terms.
Google verifies all local business listings. You can choose phone or postal mail. Pick the phone method. It’s faster.
The Ten Pack
The coveted placement for you is the “ten pack” of local businesses displayed next to the map during a search (the ten pack doesn’t always contain ten companies). Within the ten pack, you want to be ranked as high as possible. Here are five ways to improve your ranking…
Posted by
Matt Michel
at
10:45 AM
0
comments
Labels: local search, search engine optimization, Service Roundtable
Think you have customer service issues? Try running a fast food franchise where the customer calls 911 seeking protection from the wrong cheeseburger.
When I talk about the need to fire a customer every now and then, this is the customer you should fire.
![]()
David and I called a cab to take us from a business meeting to the hotel. At the very instant the cab pulled up, the meeting got interesting. We kept the cabbie waiting for a few minutes while we wrapped up and apologized when we loaded our luggage into the cab. The cab driver didn't seem to mind, though he did say that the dispatcher was getting itchy.
The cab ride was short. It was only a couple of miles. We were recapping the meeting for most of the trip. When we finished, the cab driver engaged us in the usual type of cab conversation. Where are you from? Why are you here?
At the hotel, the cabbie discovered that his meter hadn't reset from his last fare. It's going to be about $10, he said, but he has to get a supervisor to give him the fare amount. He worked the radio while we waited in the back seat. The supervisor wasn't readily available. The cabbie was clearly embarrassed about the wait and offered several apologies, which we brushed off.
"We made you wait," I told him. "It's okay for you to make us wait." A few minutes later, David offered the same comment.
The supervisor finally returned. The fare was $10.30. David paid $20.
The next morning we needed a cab to go from the hotel to the office. There wasn't a hotel bellman working the cab stand and we wanted a cab with a credit card terminal, so we walked down the line of cabs to find one.
The first cab with a terminal was eight cabs back. We shortened the cabbie's wait by pulling him out of line. His only comment was to grumble that we weren't going a long way.
He said it again before we got out of the parking lot.
"Yeah, you said that already," barked David in a clear signal that his tip was at risk if he continued to gripe. He did.
He griped that individual cabbies couldn't buy a medallion and that the cab drivers didn't stick together like they did in other cities.
"So move," said David.
"This is my home," snarled the cabbie.
So far, we'd travelled about a block. The cabbie commented again that we weren't going very far. He noted that there was a hotel much closer to the address we were going to and we could walk across the street from that hotel. Not quite. And with our luggage, we would've called a cab from that hotel too.
The cabbie informed us that a medallion cost $300,000 in New York and stated his belief that two people driving a cab over two shifts could each make $50,000 per year and pay it off in three years. I could be wrong, but I think he overlooked living expenses and pay for the second driver. I didn't ask about it.
He asked where we were from. David told him Dallas. He said, "Figures. You can always tell the ones from Dallas."
"What does that mean?"
"People from Dallas and Houston. They're different. You can tell."
He mumbled the rest.
Just before we arrived at our destination, the cab driver must have realized he was shooting himself in the foot. He started talking about the beauty of the sunrise and took a picture of it.
When we arrived, the total on the meter was a little less than $10. David paid the exact amount.
You couldn't ask for a different experience. The first cab driver underperformed the technical aspects of the job. He messed up the meter, which required us to wait while a supervisor gave him the fare. The final fare, based on the supervisor's estimate, was higher than the metered fare the next morning. The first cabbie overcharged us. By contrast, he second cab driver was technically perfect and accurately priced.
Yet, the first cabbie clearly outperformed the second. When tips were included, he was voluntarily given double the fare. If given a choice between walking and enduring another ride with the second cabbie, I would seriously consider walking, luggage and all, which is how some homeowners feel about home service companies.
With cabs and contracting, the distinguishing feature of the service is not the technical differences or even price. It's the interpersonal differences.
Technical proficiency is not enough. Offering a better price is not enough. Good human relationship skills are also required. Simply being a nice guy can overcome a technical miscue and allow you to charge more.

Copyright (c) 2007 John Severns