Table of Contents July 2004

FEATURES

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  Owners' management weakness often come as surprise

  Outside forces can wreak havoc on a business, but sometimes the most damaging dangers come from within. The weaknesses of an owner's management skills are often unknown until exposed by extreme circumstances. Three remodelers offer candid looks at their decision to close their businesses.

   

• Managing Tough Customers

  It goes against everything we've always been taught: It's not about fine craftsmanship. For demanding clients, masterful design and brilliant execution are not enough to save a job from unraveling.

   

Before and After

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  Before+After: Perfect Choices

  When the Hesses decided that their townhouse was too tight for a family of four, they cursorily shopped for a new home. Husband Adam was unimpressed with what builders had to offer: “You could have Plan A, Plan B, or Plan C — like packages. With a new house, you couldn't target what was important...

   

Reader Panel

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  Reader Panel: Balancing Act

  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.

   

News + Notes

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  Global Giving

  Winning awards and designing high-end projects are not even close to the most important work that Vujovich does.

   

• Nut House

  We knew that the series finale of Friends would result in more business for movie theaters and bowling alleys on Thursday nights. But who would have guessed that remodelers would be affected as well?

   

• Report Looks at Mold and Health

  A recently released report takes a major step toward discovering the truth about mold, though there's still a lot of research to be done.

   

VIEW POINT

FIRST WORD

• The problems that take you down can accumulate slowly over a period of months or even years.

  Like any business, remodeling involves risk. It doesn't take a lot of money to get started, but once you're up and running, you have a lot of skin in the game.

   

COMMENTARY

GUEST COLUMNIST

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  Planning Makes Succession Less Painful

  My dad, Jim LeFaivre, formally began the exit process in 1999 after he'd owned the J.R. LeFaivre Construction Co. for 23 years. But I believe he had a plan in mind long before he actually set things in motion.

   

LINDA CASE

• Don't Delay in Firing Someone Who Isn't Cutting It

  You can't be in business very long without needing to fire someone. Unfortunately, none of us mortals do it with such vigor and enthusiasm.

   

MARK RICHARDSON

• Choose Who You Work For

  There are steps you can take to not merely avoid the wrong client but to ensure that you work only with the "right" client.

   

WALT STOEPPELWERTH

• Keep Up the Markup

  Most contractors, particularly those under $800,000 volume, don't understand true job costs.

   

YOUR BUSINESS

Sales and Marketing

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  How Are You Doing?

   
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  Marketing Workshop/Before+After

   

• No Free Consultations

  The percentage of people who use you for free consulting isn't worth worrying about. It's something to watch for, but if it seems they're looking for free advice, determine their motive.

   

BOTTOM LINE

• Program Provides Bonding to Small and New Companies

  The Small Business Administration's Surety Bond Guarantee (SBG) Program is a partnership between the federal government and the surety industry to provide bonding to small and emerging companies.

   

• Payroll Taxes

  Understanding and complying with payroll rules can go a long way toward avoiding unpleasant tax situations

   

• Lessons Learned From Takign a Client to Court

  When Troy Cannaday had clients who refused to pay him the last $12,000 they owed for a whole-house remodel, he knew he had to take some sort of action.

   

BY DESIGN

• Microsoft's Project Software helps a lead contractor avoid bottlenecks

  Microsoft's Project Software helps a lead contractor avoid bottlenecks.

   
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  Leather Tiles Provide Distinctive, High-End Look

  Tiles made of leather, installed on the walls of a powder room and on the floor in the library, create a distinctive high-end look for a two-story condominium.

   

FIELD NOTES

• Mentoring, Part I

  Mentoring is a great way to create a skilled crew and encourage camaraderie and sharing on the jobsite.

   

• Safety Manual

  Safety Services developed the tailgate program specifically to meet the needs of small contractors.

   

• Bosch Power Tools is partnering with the software company ToolWatch to prevent tool theft.

  Bosch Power Tools is partnering with the software company ToolWatch to prevent tool theft.

   

GOOD FORM

• Specification Gathering Form

  Once Tim and Janeen Welsh have signed a design agreement with a client and received a down payment, they sit down with the homeowner for what they call a 'specification gathering session.'

   

Tech at Work

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  Clients View Design Work Online Through Company Web portal

   

• Cash in on Home Technology Without Rewiring

  Higher-end 'home technology' projects demand over-the-top installations that can cost as much as a starter home. But what about your average homeowner who just wants to share the Internet with a couple of computers, or wants a little more control of their lighting so they don't have to walk into a...

   

Ways + Means

• Work + Life: The Art of Delegation

  Delegating to achieve work/life balance doesn't mean dropping the ball.

   

• Exclusion Clause

  What the construction agreement leaves out may be as important as what it includes.

   

• Family Matters

  Getting to know the family can help make a project run smoother.

   

• Down to the Letter

  The letter of intent can be a viable, stand alone document remodelers can use to protect themselves.

   

BIG50

CLOSE UP

• Profile: Max Isley

  It might seem like filling out a materials order would be relatively simple, but anyone who has done it long enough will tell you that there are myriad things that can go wrong. Max Isley, president of Hampton Kitchens, decided he'd had enough of the wasted time and money such errors caused.

   

Live + Learn

• Double Check Everything

  Double check everything; it's a simple rule and easy to forget. And it only takes one little slip to cost a contractor a chunk of cash.

   

• The Five Dysfunctions of a Team; Full Steam Ahead!

  Recommended reading for those seeking to move their business ahead.

   

SECOND LOOK

• Second Look: Michael D. Beldon

  In 1997 when Beldon Roofing Company dropped its remodeling component, owner Michael D. Beldon wasn't sorry to see it go.

   

SOLUTIONS

• Face-Off: Track or Trust?

  Here's a look at how six people monitor the time their workers put in.

   

KITCHEN AND BATH

DESIGN CLINIC

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  Homeowners Dissatisfied With Kitchen Size, Cabinets, Flooring

  When asked about the last time their kitchen was renovated, 41% had never remodeled their kitchens. Of those who had renovated, 24% had done so five or more years ago.

   
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  Ambient and task lighting together create beautiful, functional bathrooms

  Use a combination of ambient and task lighting to create bathrooms that are functional and beautiful.

   

SPEC BOOK

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  Unique Cabinetry

   

Management

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  Ugliest Bathroom Gets a Makeover

  When designer Barbara Schmidt saw the winner of American Standard's Ugliest Bathroom Contest, she laughed out loud. The master bathroom had a 1970s décor that included shag carpeting, foil wallpaper, a plastic vanity top, and hanging globe lights. When the owner of bstyle in Minneapolis recovered...

   

REPLACEMENT

SIDING

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  Limit Salespeople to One Product Line

  I have a friend in full-line remodeling, with about six salespeople. Two sell nothing but guttering. One makes a six-figure income. Now let that salesperson present everything the company sells and I bet you he won't make six figures.

   
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  Design/build companies with a siding division go to market differently

  Today, roughly $850,000 of Alpha Contracting's $3.6 million in volume comes from exterior renovations. But much has changed. Originally a separate division, siding's been folded back into the company. Lutes found that because so many contractors were installing vinyl siding, he needed to...

   

Windows

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  Pros and Cons of Using Subcontractors to Install Windows

  When it comes to using subs for window installations, many remodelers just say no. Design/build companies, especially, tend to limit subcontractor involvement in any job to excavation, foundation work, mechanicals, and other highly specific trades they don't have on staff. Window installation is...

   

PRODUCTS

FIRST LOOK

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  First Look: Power Box; Safety Kit; and Gates

   

IN FOCUS

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  In Focus: Fall Protection

  According to OSHA, falls account for the majority of construction industry deaths every year. Safety education on and off the jobsite is crucial. To this end, the Construction Safety Council (CSC), based in Hillside, Ill., offers a wealth of services, including training, education, and training...

   
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  In Focus: Lighting

  The sine sconce light from motiv fits into both refined and casual settings. Part of a complete series of coordinating bath accessories and mirrors, the sconce joins a mouth-blown glass shade with a solid brass base, available in polished chrome or satin nickel. It uses incandescent or fluorescent...

   
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  Vinyl and fiber cement options give wood a real run for its money.

  Vinyl siding has long been a sensible choice for consumers who want to refurbish the exteriors of their homes. Now, new technology and fresh ideas are making vinyl siding not just practical but aesthetically appealing. More and more, homeowners are choosing vinyl based on color and trim options...

   

ON THE JOB

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  Circ Saw Safety

  Circular saws are dangerous if you don't use them properly. Even glancing contact with a moving blade can result in serious injury, and, like any other power tool, circular saws can present electrical hazards. Using any power tool carelessly can change your life forever. The key to safety on the...

   

READERS CHOICE

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  Reader's Choice: Fireplace Xtrordinair

  There's nothing like a fireplace to up the cozy factor in any home. Owning a construction business in Colorado means that Brenda Warren installs a lot of them. Her favorite is the Fireplace Xtrordinair by Travis Industries. “They have a really nice appeal for the Colorado home or any mountain or...

   
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  Reader's Choice: Ipe

  When remodeling the exteriors of older houses, Danny Feig-Sandoval and his colleagues at Small Carpenters At Large (SCAL) in Atlanta found that the newer composite woods just didn't work for them. They didn't look right against the older woods of the homes, which made it impossible to create a...

   

TRENDS

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  Sliding and patio doors offer valuable views

  Sliding and patio doors are available at every price point, generally starting with lower-priced steel models and moving up in cost to wood and fiberglass models. But vinyl products are popular across the board, because they're cost-effective and meet basic codes. What's more, many vinyl doors...

   
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  Luxe Laminates

  Laminate may be one of the least-expensivecountertop materials available, but it can be a great way to add a little pizzazz at a low cost. Laminates can also be a good cost-efficient choice for those who like to change out their countertops and other surfaces frequently, according to Wilsonart's...

   
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  Convection Ovens Save Time

  Convection ovens typically reduce the temperature and/or time required to cook or bake food. Food cooks approximately 25% to 30% more quickly in a convection oven, according to experts. When roasting meats, convection ovens quickly begin crisping the outer surface, sealing in moisture and reducing...

   

LAST WORD

Bench Mark

• High-Priced High Tech

  Just 10 years ago, computerizing your remodeling company was optional; today, it's essential. In 1995, a state-of-the-art desktop computer cost about $2,500. The average remodeler bought just one and used it for five years before upgrading. Today, a desktop system that's 100 times more powerful can...