By nature, remodelers are a hands-on group. But as companies grow, there's too much for just one person to handle; owners must give more responsibility to others. More than half of respondents have delegated production, bookkeeping, and payroll duties to employees. Some 32% have handed design over to someone else, and a quarter have passed along estimating and sales responsibilities.
All that adds up to a lot more risk. It's important that remodelers protect themselves from both the honest mistakes and fraudulent intentions of those with whom they share the work load.
More than 50% of respondents hadn't used a purchase order system:
If you haven't used a purchase order system, why not?
“We approach checks and balances in another manner.”
John Coburn, Bowers Construction, McLean, Va.
“I never looked into it and never gave it much thought.”
John Barrett, BLS Construction, Indianapolis
“The owner reviews and approves all purchases.”
Linda Olson, Loren Imhoff Homebuilder, Middleton, Wis.
“If I didn't buy it, then the employee must have a receipt.”
Larry Stangl, Gulf Hills Remodeling, Ocean Springs, Miss.
“With the accounting system we use, it'd be duplicating our efforts.”
Elaine Taylor, Taylored Restoration, Anchorage, Alaska
“It would require additional office support.”
William Shaw, Wm. Shaw & Assoc., Houston
“I have complete trust in my employees.”
Mario Cabrera, M.F. Cabrera, Inc., Miami Springs, Fla.
“Currently, my company isn't large enough to justify the use of POs.”
Mike Rasmussen, Nesco Construction, Las Vegas