Table of Contents September 2005

FEATURES

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  Moving on up to your own office

  Have you outgrown your home office? It's a sign that the time has come to move out of your home office when you keep being woken at dawn by workers knocking on your bedroom window. Habitually drifting into the office in your pajamas is another red flag, as are subcontractors casually interrupting...

   

• Helping key employees grow

  Despite the risk, it's worth the effort to help key employees grow and take on new responsibilities. Here's why.

   

VIEW POINT

FIRST WORD

• Make the Most of It

   

• Good design is timeless

  Good design should last a long time. This is true in the sense of good engineering, but also in the sense of timeless relevance.

   

IN PERSON

• Remodeling Briefs

   

• Seminars at 2005 Remodeling Show

  With more than 80 courses —including CAPS, CGR, workshops, and seminars — offered in this year's Remodeling Show conference program, there are more opportunities than ever for remodelers to learn from the experts.

   

News + Notes

• Tariff fight over lumber dumping

  Canada has won an important decision in its ongoing battle with the United States over softwood lumber tariffs.

   

• Bosch saw recall

  Bosch is recalling 69,000 of its circular saws — models CS20, and CS20 because of three reports of lower blade guard malfunction.

   

• Census data shows industry's health

  The latest release of U.S. Census C-50 data provides further proof that the remodeling industry is healthier than ever.

   

MARKET WATCH

• Figure This

   

• Location is good for business

  David Sowders of Sowders Co. Designers/Builders, feels blessed by his location.

   
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  Refinancing affects remodeling industry

  Cash-out refinances were a major boon to the remodeling industry during the boom period that began at the beginning of this century. With interest rates steadily climbing higher from their all-time lows of a few years ago, however, refi's have been considered something of a dead source of...

   

COMMENTARY

GUEST COLUMNIST

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  Work as a voyage of personal discovery

  Several years ago, after almost 20 years in business, I had begun to actualize a planned succession strategy. In doing so, my day-to-day role changed. An unanticipated result of these changes was an eroding of the passion I had for my work. I couldn't understand how this had happened; this is...

   

LINDA CASE

• Look within for answers to business issues

  Have you been wondering what you'll do “when you grow up?” Feeling blah about your business and position in life? Ever wonder if there's more (satisfaction, money, free time, balance, fun) than you're currently experiencing?

   

MARK RICHARDSON

• Preparing your business for consolidation

  I'm not going to suggest that you change your thinking or alter your day-to-day game plan. But I will suggest that you start to think about — and maybe even position yourself for —what could be very interesting times over the next 3 to 10 years.

   

WALT STOEPPELWERTH

• Time has come for mass customization

  One of the great benefits of the Internet for new home builders and the real estate industry is its ability to show prospective buyers a complete picture of both new and existing homes in great detail. Users who can walk through a “virtual house” and view almost all of its rooms are increasingly...

   

YOUR BUSINESS

Sales and Marketing

• Cold calling can pay off

  When a client abruptly postponed a major project earlier this year, Greg Antonioli did something most remodelers despise but marketing experts advise.

   

• Cooperative advertising is cost effective

  When remodelers flourish, their subcontractors and suppliers also flourish. Neil Kelly Co., Portland, Ore., harnesses this truth and runs with it, creating a lucrative source of business by way of cooperative advertising: sharing the cost of advertising with subcontractors, suppliers, and other...

   

• Hiring the right salesperson

  Next time you need to hire a salesperson, think outside the remodeling box. “Look in other industries,” says Phil Rea, an industry sales consultant. “Our industry is still lagging in sales” compared to industries such as cars and real estate, which revere the sales function and emphasize training...

   

• Promoting business referrals

  Sometimes it takes more than a gentle nudge to get a referral from a client. Next time, consider an “actionable piece” — an eye-catching response mechanism that thanks clients for their business and makes it worth their while to jot down others who might need your remodeling services.

   

BOTTOM LINE

• Planning for expansion

  Gary Moffie had already expanded The Remodeling Co. in Beverly, Mass., from $500,000 to a few million in revenue, but knew that if he wanted to continue on this path, he would need help.

   
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  Investigating pre-existing conditions

  Hudson Valley Preservation in Sherman, Conn., works on old houses. In the past, both the remodeler and his clients have been surprised by what they have found behind the walls.

   

BY DESIGN

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  What America wants in its homes

  Last year Better Homes and Gardens magazine received survey responses from nearly 60,000 Americans describing home improvement projects and future home-building aspirations.

   

FIELD NOTES

• Keeping the jobsite clean

  Everyone is responsible for customer service, but your field staff spends the most time in the client's home. What's the number-one issue? Jobsite cleanliness.

   

• Change Order Cha-Ching

  Before any work begins, clients sign off on language stipulating that every small change they request will cost them a $75 administrative fee, a flat labor rate of $55 per hour, plus the cost of materials and subcontractors, with a 25% markup on all but the $75 fee.

   

• Reality check for field employees

  When Bill Keilty's field employees threaten to go into business for themselves, the Boise, Idaho, remodeler sits them down for a reality check. “For the most part, they're just going for the money,” the owner of Keilty Construction says.

   

GOOD FORM

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  Focusing on employee training

  As a former remodeler, Joe Zanola knows how difficult it can be to effectively train employees. That's why, as president of St. Louis-based consulting, training, and research firm Zanola Co., he developed this training program for his clients to use.

   

Tech at Work

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  Dig Into Digital

  Documenting jobs seems to be a no-brainer, and in the digital age, documentation is faster, less expensive, more flexible, and longer lasting than ever.

   

Ways + Means

• Contract cancellation clauses

  If you are demonstrating and executing contracts in the consumer's home, you have to make sure you do a number of things required by the Federal Trade Commission:

   

• Sizing up a big job

  When REMODELING asked Craig Durosko of Sun Design Remodeling Specialists, Burke, Va., what the employees at his company think about when eyeing a big job, they compiled this list.

   

• Benefits of a one-year warranty

  Inevitably, after a job is done, the phone will ring within weeks or months and what you thought was finished is now undone.

   

• The importance of saving

  Although Social Security and pension issues have been in the headlines for some time, many people still don't take advantage of employer-supported savings like 401(k) plans. Some of the reasons cited in a study done by Hewitt Associates, a global human resources services firm, include...

   

BIG50

CLOSE UP

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  Profile of Donald Matteson of DLM Building & Design

  When most of us hear about a lucky lottery winner, we fantasize about what we'd do if we won the money. But when Donald Matteson of DLM Building & Design in Phoenix, heard about someone hitting the jackpot in 1993, his thoughts didn't turn to vacations, yachts, or diamonds. He thought about his...

   

FACE OFF

• Becoming friends with clients

  We have developed more than client/provider relationships with many of the people we've worked with.

   

SECOND LOOK

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  Profile of Alon Toker

  Early in his career, Alon Toker of Mega Builders in Chatsworth, Calif., equated volume with success. He spent most of his time increasing the number of leads and training sales staff to close on sales. By the mid-1990s, the remodeler had 124 employees (including 18 salespeople), a phone room with...

   

SOLUTIONS

• Handling the company's books

   

KITCHEN AND BATH

SPEC BOOK

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  New faucet products

  Modern, efficient design marks this season's faucet offerings. Though there are still a few curves and embellishments, the new look is clean, sharp, and gleaming.

   

Management

• Company sponsors storage design contest

  Rev-A-Shelf's first annual design contest will honor a variety of kitchen or vanity designs that use Rev-A-Shelf storage organizing accessories. The company combined five of the awards with 20-20 Design software and the new Rev-A-Shelf 20-20 catalog.

   

• Makeover show inspires remodel

  Ed Rowland, owner of NDA Kitchen in Nesconset, N.Y., noticed the popularity of the ABC show Extreme Makeover and decided to run a similar local kitchen makeover contest for homeowners with a special need or situation.

   

REPLACEMENT

SIDING

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  Siding repairs present difficulties

  Best practice calls for stripping off existing siding, then installing a good weather barrier.

   

Windows

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  Tactics for closing the sale

  Everything your prospects read advises them they need three bids from three contractors.

   
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  Window treatments pose challenge

  Window treatments, such as shades, blinds, drapes, and shutters, are an obvious upsell on any remodeling project involving new windows. But they're not automatic profit centers. The window coverings industry is oriented to the interior design trade — an industry that revolves around thread, fabrics...

   

PRODUCTS

FIRST LOOK

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  New remodeling products

   

IN FOCUS

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  New tile products

   
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  New lumber products

   
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  Paints and Stains

  Every year, paint manufacturers come up with a rainbow of new paint colors and give them sensational names to charm and captivate us. The marketing of these colors is a dazzling feat — visual media employed to the hilt in a kaleidoscopic cacophony of brochures, chips, and vibrant photography that...

   

TRENDS

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  Unique sinks make splash

   
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  Construction celebrates sustainability

  What better way to mark the 100th anniversary of the USDA Forest Service than by building a house that celebrates sustainability? The 1,200-square-foot Sustainable Resource House was built on the National Mall in honor of the organization's centennial and as part of the Smithsonian Institution's...

   

LAST WORD

Bench Mark

• Profit Per

   

• What's Your Number?

   

• Indicator of business health

  Can you pick just one number to use as the weather vane of your company's success? The owner of a start-up company worries most about staying busy when the current job ends, so he might choose backlog.