Table of Contents December 2004

FEATURES

• Group Therapy

  Erik Anderson of Winston-Salem, N.C., had only been in business for four years when, he says, “I realized I couldn't continue working at this pace. We thought if we worked hard, we'd earn a good living. We were working really hard and we were hitting a brick wall.” That's when he joined one of the...

   

• Thorough Contracts Prevent Problems

  Sound business practices and solid customer relations are key to keeping yourself out of court while still collecting every dime that's owed to you. So, too, is choosing your clients carefully, so that you're working for people who aren't looking to pull one over on you.

   
• 

  Good Design Tailored to Homeowners' Needs

  The 2,000 square feet of space in this 1967 ranch house had small rooms and an awkward flow. After living with the unsuitable space for 20 years, Mike and Helen Moskal began looking for a new house, but they ultimately decided to stay and remodel.

   

VIEW POINT

FIRST WORD

• A remodeling project that fixes up one section of the home can lead homeowners into realizing the rest of the house pales by comparison.

  A remodeling project that fixes up one section of the home can lead homeowners into realizing the rest of the house pales by comparison.

   

IN PERSON

• 2004 Remodeling Show Best Attended to Date

  The 2004 Remodeling Show, held in October in Chicago, was the best-attended ever, registering a record 12,147 attendees. And if bigger means better, this year's Show was the best in quite a while.

   

News + Notes

• Trading Casas?

  Flip on your TV on any given night, and you'll no doubt find people eating cockroaches, exchanging family members, and selecting their spouse from a group of complete — but attractive! — strangers.

   
• 

  RAI Shows Continued Growth

  Third-quarter data compiled by the Joint Center for Housing Studies at Harvard University indicate that homeowners continue to spend heavily on improving and repairing their homes.

   

• Safety Violations

  If you cut corners on your scaffolding, it turns out you're not alone; improper scaffolding was the most frequently cited violation of construction and remodeling standards by OSHA.

   

• Demo for a Cause

  This is the giving season, and there are ways you, as a remodeler, can play Santa Claus for families in need. You won't get milk and cookies, but you don't have to dress up, either.

   

COMMENTARY

GUEST COLUMNIST

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  Risking Change

  Too often I have found myself in a conversation at the lumberyard with other builders who mention how hard it is out there and how difficult clients can be. I've been in business for six short but rewarding years. I've had both slow and lucrative times. I can understand the frustration of my fellow...

   

LINDA CASE

• Company Culture Should Create Success for Everyone

  In a successful company, the company “way” creates the platform for everyone's success in their job, success in delivery to the client, and success for the company's continued operation. But that “way” must allow leeway for change and input and empowerment. In most challenges, there is no major...

   

MARK RICHARDSON

• Your Enthusiasm Will Spread to Your Employees

  About every two weeks, we host a day-long event called “Discovery Day” at my company. It's designed as a time to share with prospective partners and other companies with whom we have or are contemplating forming an alliance, our insights on the industry and consumer trends, and to explain how our...

   

WALT STOEPPELWERTH

• Computers, Technology, and Remodeling

  The computer industry has greatly evolved. Hardware and software are incredibly sophisticated. We have desktop computers, laptops, handhelds, and pocket PCs. E-mail communication has made huge strides; video e-mail and Blackberrys are showing up at companies of all sizes As software becomes more...

   

YOUR BUSINESS

Sales and Marketing

• 

  Making Product Campaign Cards Work

  Direct mail helps maximize leads, and, later, sales. While 81% of Americans read newspapers, 96% have phones, and 98% have TVs, everyone has a mailbox.

   

• Sales School 101

  The time to ask is the third or fourth day of an eight-day project. That's when the homeowners see things coming together — things you promised to do. I

   
• 

  Marketing Workshop/Before+After Hanging Out

  Critique courtesy of Ruth Lozner, M.F.A., who has been an associate professor of design and marketing at the University of Maryland in College Park for 18 years.

   

BOTTOM LINE

• Insuring Tools

  Most business insurance covers the office structure and some property but may have limited coverage for tools and equipment. If your policy does not cover off-site equipment, you should consider inland marine coverage. This is a separate insurance that can be purchased as a stand-alone or endorsed...

   

• Remodelers Expanding with the Help of Equity Firms

  If you're looking to expand your remodeling company, investment banker Scott Sanderson has some advice for you. The managing director of Goldsmith Agio Helms, a Chicago investment banking firm, recently helped a remodeling company find funding for expansion through an equity firm.

   

BY DESIGN

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  Design/Build Basics

  It's interesting to note that even in companies that consider themselves design/build, 41% of the owners say they do their own design work.

   

FIELD NOTES

• Efficient Change Orders

  Change orders rarely come neatly wrapped. At my company, we complete a form in the office based on information we receive over the phone, estimate the cost of the change, and then present it to the client. We try to respond within one day, but our other work often takes precedence.

   

• Safety Incentive Programs Well Worth the Cost

  Construction companies do not spend enough money on safety incentive programs. That's according to Greg Perricone, a safety specialist for Aon, a national construction-based insurance company in Pasadena, Calif. “If they take a small portion of what they are putting into capital projects and put it...

   
• 

  Colleagues Donate Allowances to Recover Stolen Tools

  A carpenter at DeCiantis Construction had his tools stolen from his truck while it was parked in his driveway. His vehicle insurance didn't cover the loss because he had not specified the tools in his policy. His coworkers came to the rescue, donating their tool allowances to help him replace what...

   

Tech at Work

• The Evils of E-mail

  On the one hand, e-mail is the No.1 Internet application. On the other, e-mail can cause more problems than it solves.

   

• Remodelers Need Cell Phones

  Cell phones have moved rapidly from being accessories to being necessities, especially in the remodeling business.

   

Ways + Means

• Balancing Act

  How do I hold my team accountable for specific, measurable results with- out being perceived as overbearing and demanding?

   

• Call Me

  It's 5:30 a.m. and your cell phone rings. The last person you want to hear from is a client. Unless you're Norman Gavin. He has a 24-hour answering service that directs calls to his cell phone when no one is in the office. His cell is always with him, he says, “because it's necessary to take care...

   

• Carpenters Take Pride in Their Craft

  “We want our carpenters to love their craft and not get bogged down in administration,” says David Amundson, owner of TreHus Builders. Instead of a lead carpenter system, this Minneapolis design/build firm has used a “master carpenter system” for the past 15 years.

   

• Check It Out

  Several years ago, Dale Nikula's Encore Construction laid a tile floor in a client's first-floor entryway. The client had picked out the tile with Nikula, who was then in sales. Construction began, and the client decided on a different tile. She and Nikula spoke about the change but never...

   

BIG50

CLOSE UP

• 

  Profile: Ken Moeslein

  Swingline Windows has been exhibiting at the Pittsburgh Home and Garden show for 17 years. But this past March was the first time the company didn't build a booth but, rather, towed its exhibit onto the show floor.

   

FACE OFF

• Face Off: Should incoming calls be answered in person or is a voice mail routing system a more efficient option?

  Should Incoming Calls Be Answered In Person Or Is A Voice Mail Routing System A More Efficient Option?

   

SECOND LOOK

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  Second Look: Jim Friedman and Paul Ryan

  While their new construction business is still just 50% of their jobs, they have grown into multi-million dollar projects. New offices in Hawaii and Napa Valley focus on commercial construction and wineries, while the original San Francisco office focuses on projects requiring complete gutting and...

   

SOLUTIONS

• Why Remodelers Chose to Organize Their Companies the Way They Did

  Most Big50 we talked with understand how their companies are organized, although few could specify all the pros and cons of every alternative. For those details, they all bow to the advice of their accountants and attorneys.

   

KITCHEN AND BATH

DESIGN CLINIC

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  Three Kitchen Layouts That Help Clients Work Best in the Space

  The large expanse of counter space gives two people enough space to work without bumping into each other. This layout has an open side that usually leads to the adjacent family room or breakfast area or a combination of the two. “The cook is not isolated,” Rose says. The other side of the U is a...

   

SPEC BOOK

• 

  Water Closets

   

Management

• 

  What's in a Name?

  From the minute Dan Luck took over Modern Kitchen in 1989, the name of the company bothered him. The family-owned company had been around since 1963, and the moniker had limited it ever since. “It says modern and it says kitchen,” Luck says. “People would ask if we did entertainment centers and...

   
• 

  Master Bathroom Combines Modern and Traditional Elements

  Chaden Halfhill is both a sculptor and a remodeler, so it's only appropriate that his residential designs reflect his artistic side. For this master suite bathroom, the owner of Silent Rivers in Urbandale, Iowa, created an elegant and eye-catching central tower to hold the sink and tub.

   

PRODUCTS

IN FOCUS

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  In Focus: Trucks & Truck Accessories

   
• 

  In Focus: Tool Belts; Storage Chests; and more

   
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  In Focus: Heat pumps; programmable thermostats; and more

   

TRENDS

• 

  Decorative Concrete Offers Unique Looks at all Price Points.

  Regarded as the fastest-growing segment of the concrete industry, decorative concrete now is making its way into projects of all sizes and budgets as color and texture experimentation has revived interest in the category. Once only found in high-end homes, colorful concrete can be molded into any...

   
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  Remodelers Are Showing the World How to Age in Place.

  Baby boomers spend more money on remodeling projects than any other segment of the population, according to a report by Harvard University's Remodeling Futures Program. Adding universal design features, however, is usually not on their agenda, nor do many remodelers think of it as a priority.

   

LAST WORD

Bench Mark

• The Measuring Stick

   

• Measuring Managers and Employees

  Whether you're starting to think about regular employee performance reviews or want to revamp a casual process with something more formal,