Business Interrupted

Brad Hinkson, of Hinkson Construction, in Bloomfield Mich., underwent a kidney transplant. He had a plan for his company during his absence and recovery, and his employees rose to the challenge.

Photo Credit: Fabrizio Constantini/WpN

Two months before his 42nd birthday, Brad Hinkson's world changed.

Routine blood tests showed that he had some decreased kidney function and had likely developed kidney disease two decades earlier. The damage was severe enough that he would need a transplant.

Over the next eight years, Hinkson went from being a healthy father of five to a man struggling through each eight-hour day as owner of Hinkson Construction, in Bloomfield, Mich. "From a physical standpoint, it really started affecting me the last six months,"Hinkson says just five months after receiving a kidney donated by his daughter Caryn . "Where it really started to take a toll was on the psychological side. Being the leader of a company, everyone is looking to me — not only my employees but [also] my clients."

When company owners are dealing with illness, divorce, death, or family trauma, it can have serious consequences for a business.

There's the mental and physical distress that such events create: "There were so many days when I was an emotional wreck and lost to the world," admits Denny Conner, owner of Conner Remodeling & Design, in Seattle. Conner endured three years of legal battles before his divorce was settled. "You hit points where you just don't care," he says. "You're emotionally and physically exhausted."

Not only was he on an emotional roller coaster, there were also many missed workdays due to court appointments and meetings with attorneys. "It took up a huge amount of time," Conner recalls.

Although you can't always avoid a traumatic event, you can ensure that you and your company will emerge intact once the drama is done. This includes taking some simple steps — and making some tough choices. "Any change in a person's life is going to be stressful," says Dr. Nancy O'Reilly, a clinical psychologist, author, and the founder of Women Speak, an online resource for women.

DIVERSION AHEAD

At first, Paul Zuch's divorce four years ago had a minimal impact on his business. "I had a good team in place that stepped up and carried some of my load," says the president of Capital Improvements in Allen, Texas. However, a year later the pipeline of work came to a grinding halt. "I was naive and often commented to concerned friends and colleagues that though my personal life was a wreck, thank goodness [that] my business was healthy and doing well," Zuch says.

What he had failed to realize was that the pain from his divorce was spilling over into his business. "My ability to function in my primary role of sales and estimating in the company had been greatly altered by my poor attitude and lack of focus," says Zuch, who soon found his company in serious financial trouble. "I was forced to pull my head out of the sand and to seek advice if I was going to survive this crisis in my company."

Zuch turned to Remodelers Advantage, a consulting and education resource. "[They] helped me identify a course of action that was my only opportunity to save my sinking ship," Zuch says. That included advice on cash flow, managing employees, and handling relationships with suppliers.

Zuch went solo for about a year, then was able to begin building up a staff again. "A business is vulnerable in the midst of personal crisis," he says. "If a business owner takes his hands off the steering wheel or eyes off the chosen roadway, it won't be long until you're in the ditch, or worse, in a fatal collision."

PREP WORK

One way to keep from veering off your chosen path is to have a plan of action before a crisis presents itself. Although you may not be able to prepare for a death, disease, or a divorce, there are steps you can take in your business today to ensure that your company survives, should you become distracted by a life-altering event.

First, you must learn to let others help. For many remodelers, letting go of even simple day-to-day tasks is difficult. O'Reilly suggests starting small. Try asking someone else to make your follow-up phone calls or to run errands. "Once you start to delegate, slowly it gets easier," she says. "Learn now how to do it. Don't wait until you have no other choice."

In the event that something does take you away from the business, you should have a plan in place for how the business will function in your absence. This should include everything from who will handle your daily duties to what happens to the company if you are unable to return.

Hinkson made sure that both his business and personal affairs were in order before he underwent the kidney transplant. He made arrangements with an architectural fi m he frequently works with to ensure that his company had plenty of work. He also had six months of the company's overhead in place and divided his responsibilities among his staff.

It's very hard to be a small-business owner. You are 100% hands-on ... The business becomes you." — Paul Floramo, owner, Kitchen & Bath Studios of Ocala

Photo Credit: Ryan Morris/WpN

Still, the employees were "so overwhelmed, they couldn't do it all," he says. So some things began to fall off the radar. That included, unfortunately, job schedules and margins. When Hinkson returned five weeks after the kidney transplant, he faced a handful of upset homeowners. But a few weeks of damage control got the company back on track.

Looking back, Hinkson says there are some things he would do differently, including letting his customers on the bigger jobs know about the transplant. "I was a little nervous that they would say 'we don't want to take a chance,'" he admits. But being upfront with your clients will ensure that you "have them on board so it doesn't feel like they are being hoodwinked," Hinkson says.

Another strategy he wishes he'd used was to ask his mother, who helped start the company, to return during his hiatus. With mom at the helm, the "owner" role would have been filled.

Although everything didn't go exactly according to plan, Hinkson is pleased with his employees' effort. "They really gave their heart and soul. They tried to do their very best for the company," he says. "We were able to recharge up, and we're meeting or beating our gross margin target, and we've smoothed the jobs out."

Like Hinkson, Conner had a plan for his business. He knew other contractors whose companies had gone under during a divorce, so he procured a good line of credit and had systems in place to ensure his company's continued growth. He also had faith. "Trust that if you just keep at it, it will work out," he says — even if that means letting go of your business.

Paul Floramo made this painful decision when his wife Cindy was diagnosed with cancer in 1993. Floramo had started his business during the early '70s. After years of struggling, he and Cindy had built a successful company and expanded their showroom in 1993 .

But shortly after moving into the renovated facility, Cindy was diagnosed with cancer. The couple was able to hang on to the company until 1997. But running a business while caring for Cindy — who had been an integral part of the company — and the couple's two elementary school-age children became overwhelming for Paul. He closed the showroom and went to work for a fellow remodeler.

Although a difficult decision, Floramo says it was the right one. "I was able to spend more time with my wife and take care of my family," he says. "It allowed me to focus more on sales and design for another company than on the day-to-day running of a business."

Once freed from the obligations of keeping a business running, Floramo found that he enjoyed his work as a kitchen and bath designer."I crawled into my work when I could," he says. "The work became a distraction from the illness, from the day-to-day issues at home."

Two years after Cindy lost her battle with cancer in 2000, Floramo began anew. "Starting over was difficult," he admits. But he found a business partner who was skillful in roofing and siding. In November 2006, Floramo and his second wife, Colleen, relocated to Central Florida and opened a showroom under the name Kitchen & Bath Studios of Ocala. A second showroom was under construction as of late 2007.

FINDING A BALANCE

For too many remodelers, little time is invested in pursuits outside the office. "It's very hard to be a small-business owner," Floramo points out. "You are 100% hands-on. You write the checks, worry about the sales, do the scheduling. The business becomes you."

Scheduling time away is "how you get away from the distractions of the business,"Floramo says. "You have to spend time with the family. You cannot work 13-hour days and expect to enjoy your children's childhood. You have to make time."

After his wife's death, Floramo realized that he had put so much of himself into his business that there was little room for family life. "If I could do it all over again, I would probably do it a lot differently," says Floramo, who used to work 12 to 13 hours a day, six or seven days a week.

When Floramo started another company, he made significant changes in his work habits. He now works "regular business hours," takes vacations, and enjoys life. "When you realize that life is very short, and you think about the things you've missed, you have significant regrets," he says.

Now, Floramo says he leaves the business behind when he walks out the office door. Last year, he and Colleen enjoyed a two-week trip in the Mediterranean. "A few years ago, I would have never done that," he says. "You learn you have to be able to have a life."

Balancing a remodeling company and family life is an everyday challenge for Ruth and Jonathan Kantar, owners of Sage Builders, in Newton, Mass. When the Kantars' son was born in 1995, he suffered from multiple birth defects, requiring numerous surgeries over the past decade.

Creating an office suite in their home has made a huge difference for both their company and the family. "That has really been key for us and has enabled us to keep the business going and still be available to our son," Ruth says.

"You're not in a clear-headed state and will not be making the best decisions. Having an outside perspective helped me stay focused." — Denny Connor, owner, Conner Remodeling & Design

Photo Credit: Ron Wurzer/WpN

The 1,200-square-foot office suite — complete with a conference room, kitchen area, and offices — encompasses the entire first floor of the Kantars' home.

An understanding business partner and caring employees have also made a difference for the Kantars. The employees are comfortable working in the office suite and are accepting of the Kantars' family obligations. And, even though the Kantars live on the upper two floors, they have worked hard to be professional and keep their home life as separate as possible. "Once you come down the stairs [to the office], you don't have the sense that you're in a house anymore," Ruth says. The employees have even developed a relationship with the Kantar children. "They're very supportive," Ruth says.

Hinkson learned over the years how to create a balance between business and family life. But it wasn't too long ago that he was working 80 hours a week and "missing more than half of my kids' activities," he says. His work schedule also wreaked havoc on his marriage. So he reassessed his core values.

"I started telling people that I can't meet with them on the weekend," he says. "I never again missed my kids' events. I will not put business before my family."

Most customers will understand, Hinkson says. "Everyone respects that." And for those customers who don't, it's a great qualifier. "I have no desire to do anything with that person because they don't respect my family," Hinkson says.

TAKING CARE OF YOU

One of the most important things you can do for your business — during good times and bad — is to take care of yourself. That includes a healthy diet, moderate exercise, and sufficientrest. "You need to take care of the basics first," O'Reilly says. "[Then] you have a better chance of attending and focusing."

To keep yourself on track physically, O'Reilly suggests journaling to track your eating, sleeping, and exercise habits.

Another approach is to reflect on what got you through other stressful times and to tap those resources. "When you can see that you've had some successes in the past, it becomes more possible for you to get through this tough time," O'Reilly says.

Most important, however, is to give yourself time; time to heal, to grieve, to collect yourself. Too often, business owners get caught up in the idea that they must always be in charge or be the strong one. "Sometime during the day, allow yourself time to grieve," O'Reilly says. "It's really important to allow yourself to have the emotions that you're having and [allow] time for them to come out. Give yourself permission that what you're feeling is normal, it's OK."

Missed work, and the emotional and physical toll that life-altering events bring about, should be expected, O'Reilly says. Work performance and focus will be affected in various ways. "When a person understands what the issue is, it's easier to deal with," she says. "You can't be all things to all people, especially if you've experienced a death, a divorce, or some tragedy."

Nor can you rush recovery, as Hinkson has discovered. "Everyone looks at me now and thinks, 'OK, you're back to normal,'" he says. Even though he looks healthier than he has in years and does have more energy, Hinkson says he still needs time to heal both physically and mentally." Everyone thinks I'm back to 100%, so that's been a challenge," says Hinkson, who also has high expectations of himself. "I tend to push more than I should. But I do have good balance in my life."

Support, both at work and at home, is essential to making it through pain and trauma. Seek support from the people who know you best — your family and friends — but also look beyond your inner circle. These people might include an attorney, financial planner, members of the professional organizations you belong to, or even a therapist. "You're not in a clear-headed state and will not be making the best decisions," Conner says. "Having an outside perspective helped me to stay focused."

When the body and mind are in such a stressed state, logic often goes out the window, so it's not the best time to make important decisions. "If you're not able to focus, and you're not sleeping and eating properly and getting some physical activity, that's going to impair your ability to problem-solve," O'Reilly says.

Long-term stress can also lead to physical problems, affecting the body's immune system, causing ulcers, headaches, gastrointestinal issues, and other ailments. "This is the body's way of saying, 'Help me,'" O'Reilly says.

Having downtime will not only allow your body and mind to rejuvenate but also will decrease the chance of burnout. "You need to make sure that you have time with family and friends," O'Reilly advises, "and [that you] pursue your personal interests."

Hinkson says he learned long ago to set his priorities. "I hear a lot of remodelers who have resentment toward their clients and elements of their businesses," he says. "It's because they have allowed the client or the business to trump one of their core values. Maybe they're not even aware of it, but thei rbody and mind are aware of it. And that's where that anger comes from."

Instead, Hinkson says he has learned that he can say "no" to a Tuesday night meeting if there's a conflict with his family life — and still sign the project. "You really don't know if you have tomorrow," Hinkson says. "Live each day aware of what it really means."