FEATURES

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    Creative Solutions

    The task: Take an existing kitchen and make it more usable, more beautiful, and more conducive to the homeowners' lifestyle.

     
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    Updating Game

    Richard Forbes says older homes and kitchens are not equipped for the entertaining today's homeowners like to do.

     
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    Kitchens that Cook

    The task: Take an existing kitchen and make it more usable, more beautiful, and more conducive to the homeowners' lifestyle. For example, says Isley, raised dishwashers are a great idea, but some designers forget to create a "landing space" on the counter between the dishwasher and the sink.

     
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    Marketing Focus: Business Cards

    The winning entries highlight professionalism and creativity.

     
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    Marketing Focus

    The winning entries highlight professionalism and creativity. Newsletters, business cards, and post-job surveys were the focus of this year's REMODELING marketing contest. And similar to the companies that won last year's top honors, the winners spent money on professional design and consulting.

     
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    Marketing Focus: Survey and Judges

    This one-page survey has pertinent questions and a rating scale that helps the company track customer service information. The judges also appreciated the inclusion of a self-addressed, stamped envelope and remind remodelers to always include one with any customer survey.

     
  • Best Defense: Mold Prevention

    Heightened concerns about toxic mold have been spreading across Austin and the rest of Texas since last summer, when a jury awarded Melinda Ballard of nearby Dripping Springs $32 million in a suit against Farmer's Insurance Group for the mishandling of a policy claim. According to the Texas...

     

Before and After

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    B + A: Details Details Details

    The rehab of a historic Orlando bungalow tests the exacting systems of a 15-year-old remodeling firm. As the scope of the project took shape, it evolved from a ballpark $150,000 remodel to a complete $263,000 rehab and addition.

     

Reader Panel

  • Digital Daze: Upgrading Office Tech

    As remodelers struggle to integrate the hardware and software they already have, they ponder the role of new technology in their businesses.

     

VIEW POINT

FIRST WORD

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    Those Bad Good Habits

    Our positive, can-do attitude regularly results in grossly underestimating how long a project is going to take. We either lose money by failing to charge what we're worth, or we work through our guilt about our high margins by playing Mr. Fix-It for our customers without writing up a change order.

     

News + Notes

  • BELFOR USA Widens Reach

    As part of its continuing growth strategy, Birmingham, Mich.-based BELFOR USA entered the Indianapolis disaster recovery market with its purchase of S-K General Contracting, the company announced in December. The newly acquired offices will be known as BELFOR S-K for "probably a year," Fenton says...

     
  • IRS Amends Reporting Rules

    IRS Commissioner Charles O. Rossotti announced a new rule governing cash accounting for many service-related small businesses, including contractors, with annual receipts between $1 million and $10 million. Several states are currently working with the IRS on a pilot program to create a single form...

     
  • Hardie Buys Cemplank

    The Big Three in fiber-cement manufacturing became the Big Two in December when James Hardie Building Products bought the fiber-cement operations of Cemplank, giving Hardie an estimated 90% share of the fiber-cement market.""We're always looking at whatever opportunities that would present...

     
  • Finding Eco-Friendly Wood Now Easier

    The Certified Forest Products Council (CFPC) has launched a new Web site (www.certifiedwood.org) that makes it easier to find and purchase lumber harvested using sustainable, environmentally friendly methods. The FSC's certification is the only one that earns points in the U.S. Green Building...

     
  • Liability Premiums Spiking

    Liability insurance is becoming increasingly expensive and is often completely unavailable to builders and remodelers in California, Mike Pattison, head of the California Building Industry Association, told state lawmakers at a legislative hearing in December.Jim Sasko of Teakwood Builders in...

     

MARKET WATCH

  • Slow But Sure Recovery

    The NAHB's Current Remodeling Market Index (RMI) of 45.0 was nearly the same as the 45.7 for the third quarter. Record existing home sales Existing home sales in January rose above a 6 million-unit annual rate for the first time in history, according to the National Association of Realtors. The...

     

COMMENTARY

GUEST COLUMNIST

  • Get a Divorce -- From Production

    Shortly after dissolving a partnership that did business as a subcontractor building and designing decks for home builders, I got a call from one of the home builder's superintendents asking me to build the decks on the new homes he was building. Today, my production manager, Tom, who once ran his...

     

LINDA CASE

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    Finish With Flourish

    Yet it's so easy to fritter away the client's trust and affection during the last 2% of the job, even though we may have been heroes for the first 98%. Here's a question to ask yourself: Would your company handle punch lists more expeditiously if your draw schedule gave you 10% of the money on...

     

WALT STOEPPELWERTH

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    Consistent Results

    For many years, the toughest job to fill in a remodeling company was that of production manager. As the cost of remodeling and the average size of a remodeling project have both increased, this benchmark can now exceed $1 million.

     

YOUR BUSINESS

Sales and Marketing

  • Databases Offer "Inside" Info

    Escobar and Robb Services of Potomac, Md., uses a leased real estate and property tax database to pinpoint prospective clients. The full-service remodeling company also repairs and treats cedar shingle roofs (see www.cedarsave.com).Using the leased Criss+Cross Plus Real Estate directory on CD...

     
  • 5 Traits to Look for in a Marketing Pro

    They should have potential to progress into client management, keeping clients happy through their remodels, a function Steve Heffner of Davitt Design Build grew into. Thanks to Howard Walker of Helping Hands Construction of St. Simons Island, Ga., who hired a marketing manager two years ago for...

     
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    Cooperative Spirit

    But Tim Britton of Tim Britton Construction Services of Falls Creek, Pa., has discovered a way to fund a third of his $50,000 advertising budget. Britton, whose construction business and showroom revenues topped $1.4 million last year, has for 15 years used cooperative programs with such companies...

     
  • Turning Up Sales in a Downturn

    Track the quality of leads and monitor trends in weekly sales meetings. If a great lead is 80 and you get a lead worth only 45 points, prioritize accordingly.

     
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    Drive-By Marketing

    Paul Sullivan has come up with a convenient way to spot houses needing work and then solicit prospects with postcard mailers. Sullivan, of The Sullivan Co. and maintenance repair company DOMO Inc. in Newton Highlands, Mass., has equipped his DOMO crew with microcassette recorders. At the end of...

     

BOTTOM LINE

  • Back to Basics: Visualizing Gross Profit

    You have to understand the critical relationship between direct costs, gross profit, and selling price to make the right amount of money on any job.This article explains the critical relationship between estimated costs, gross profit, and selling price.

     
  • Lump-Sum Depreciation

    If you need to reduce taxes, Section 179 can be a useful tool.

     
  • Controlling Operating Costs

    I find that service contracts on copiers usually make good sense, but not those on computer hardware.The effective interest rate charged may be higher than what you would pay to finance a purchase.

     

BY DESIGN

  • Design Fees: To Charge or Not To Charge

    Anna Mavrakis, TNL Design/Build Canton, Ohio We do charge a design fee for any drawings done for a job. I own two businesses, Monson Interior Design (high-end kitchen and bath design/build) and a kitchen and bath remodeling franchise, DreamMaker Bath and Kitchen.

     
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    Just Passing Through

    Half the work of laundry is getting the clothes to and from the laundry room. Architect Holly Cratsley of Nashawtuc Architects, Concord, and contractor Douglas Bellow of Gilman, Guidelli and Company, Somerville, Mass., designed and built a solution that makes doing the laundry a breeze.The laundry...

     

FIELD NOTES

  • Project Management Test

    An online diagnostic test from Skills-Edge offers remodeling company owners a way to evaluate a project manager's skills. Results are immediately shown on the screen and are also e-mailed to the person.

     
  • Tricks of the Trade: On-the-Job Education

    Dale Brown, lead carpenter, DeCiantis Construction, Stonington, Conn. I had a crown molding job in a historical home and the ceiling and corners were not at 90 degrees. Ron Little, lead carpenter, D.G. Liu Contractor, Dickerson, Md. D.G. Liu offers its lead carpenters $2,000 toward the purchase of...

     
  • Scheduling One-Person Crews

    A one-person crew is the most misunderstood part of the lead carpenter system. Fact #1: When people are added to a crew, the production per dollar spent always drops.

     

Tech at Work

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    Timely Training

    The open-book format of the online instruction allows users to print out exams, then find answers as you read the coursework. Although he would prefer in-person instruction, the local AIA chapter is in Portland, an inconvenient 45 miles away. Dawn Maggio of Broward Kitchens and Baths in Pompano...

     
  • Create an Online Service Catalog

    Remodeling gurus agree: A fixed-price catalog is a must for service or handyman work. zShops uses "Amazon Payments," including major credit cards and online escrow.

     
  • Property Assessment Via the Web

    Pittsburgh remodeler Ken Moeslein has turned a county Web site -- created to show property owners assessed values and comparable houses -- into a tool for scoping out homes prior to sales calls. They can almost estimate the job's cost from the Web site data.

     

Ways + Means

  • By Law: Cash the Check?

    This check constitutes payment in full and endorsement hereof releases payer from all other claims by the payee. If you cash the check, do you forfeit your rights to collect the other $8,500?In the example, cashing the check might be sufficient to show implied acceptance of the offer.

     
  • Check It Off

    David Wysong, president of Trac Remodeling, Spring, Texas, says the biggest reason clients become unhappy in the course of a project is preventable: They think nothing's going on.""Let's say an electrical plug isn't straight and needs to be adjusted," Wysong says.

     
  • Feedback from the Field

    A little more than six months ago, Jill Liptow, owner of The Remodeling Center, a $1.7 million remodeling company in Pewaukee, Wis., held an off-site meeting in which she asked field personnel what they found most stressful about their jobs. Liptow guesses that, on average, the walk-through results...

     
  • Be a Guinea Pig

    Last fall, Mike Cordonnier of Remodeling Designs in Dayton, Ohio, contacted the engineering department at University of Dayton with a proposal. As for the report, Cordonnier says, "I'm just starting to digest it and come up with a game plan to improve."

     
  • Land Matters

    The owner of the landscape company he'd used for 15 years had decided to get out of the business, and Peterson didn't like the level of service provided by the new owners. So when clients needed landscaping as part of a job, Peterson began referring them to a short list of landscapers he knew.

     

BIG50

CLOSE UP

  • Profile: Tim Pleune

    Tim Pleune (Big 50 1990) has reached what he calls the fourth stage of remodeling, the point where he must graduate from being the founder of Boa Construction to being the CEO. "If you survive long enough, you go through the same stages as a larger company," Pleune says.

     

FACE OFF

SECOND LOOK

  • Second Look: Scott Gregor, CR, CGR

    Since 1998, Gregor has added CGR credentials, changed the company name from Master Plan Construction to Master Plan Remodeling, and overhauled his logo. But no business milestone has brought Gregor as much pride as an accomplishment closer to home -- becoming a grandfather at 49.

     

SOLUTIONS

  • Q+A: Hours of Operation

    Many remodelers have stopped making appointments with potential clients outside of daytime business hours. Bill Simone, Custom Design and Construction, Los Angeles, Big 50 2001

     

KITCHEN AND BATH

SPEC BOOK

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    K/BIS Preview

    Around the floor, visitors can expect to see an emphasis on luxury, as manufacturers unveil an array of relaxing products for stressed homeowners, including new shower systems, bathtubs that incorporate aromatherapy and chromatherapy, and steam generators. As always, stainless steel will be...

     

REPLACEMENT

SIDING

  • Siding Companies Try New Tacks

    Southwest Exteriors, a company in San Antonio, Texas, that specializes in installing fiber-cement siding, is taking a new tack in its effort to add business this year. By expanding the number and type of events -- this year, for instance, the company will market at a golf expo and a boat show --...

     
  • Hiring a Kitchen and Bath Salesperson

    You need to hire someone to sell kitchens and baths. Specifically, I'd look for someone who displays the following characteristics: Genuinely likes people

     

Windows

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    Window Talk

    Solar Heat Gain Coefficient: Measures as a number between 0 and 1 the amount of solar heat entering through the window as well as the amount of heat absorbed and generated inward. Air Leakage: Measures the amount of air escaping through cracks in the window construction.

     
  • Remodelers: Know Your Windows

    Not long ago, Ray Westmoreland, owner of Wood Windows Inc. in Boise, Idaho, received a call from a client interested in sound control. Westmoreland's company had installed vinyl replacement windows in the client's house several years before. Now she wanted to know what could be done to tune out...

     

PRODUCTS

IN FOCUS

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    Exterior Trim Products

    Vantage Products has re-engineered its vinyl siding accessories to accommodate siding up to 1 1/2 inches thick. Accessories feature reinforced locking positions and can be ordered in one of 300 colors to match any major siding brand.

     
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    Lastest Home Security Systems Go Wireless

    As Americans opt to stay at home more and more, security systems are providing them with a greater sense of well-being. On some systems, homeowners can access security functions from their computer or a cell phone to check and change settings.Many of today's security units can be integrated with...

     
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    Roofing Products With Style

    The company GAF has added three new colors to its Slateline shingle collection: English gray, mariner blue, and emerald green. The shingles feature reverse teardrop cutouts for a slate-like appearance.

     

READERS CHOICE

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    Reader's Choice

    A small kitchen and bath designer, Chris Paquette says 3D Home Architect offers him a simple, inexpensive home design software program that still delivers quality designs. Remodeler: Andy Fusia, CR; Company: Aurora Construction, Cumming, Ga.; Product: Leafilter gutter guard.www.leaffilter.com.

     

TRENDS

  • Make the Most Of a Show

    Making the most of a trade show should be a priority if you're planning to invest anywhere from $1,000 to $3,000 to get there, not to mention your time. --Mark Richardson is president of Case Design/Remodeling, Bethesda, Md. (301) 229-4600; mrichardson@casedesign.com.

     
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    Show Off: Wrap-Up of Hottest Trends

    But even if familiar, many of the new products on display were packed with looks and features that give remodelers plenty of great ideas to pass along to clients.Everywhere on the show floor, metal looks in a range of finishes made a showing across several product categories, from Weather-Shield's...

     

LAST WORD

Bench Mark

  • Job Cost Analysis Tips

    To avoid being fooled into misidentifying the source of cost overruns, Jud Motsenbocker of JUD Construction in Muncie, Ind., makes the following recommendations: Compare hours estimated to hours spent. Summary reports usually provide enough information, but sometimes they can be misleading.

     
  • Time Sheet Essentials

    Otherwise, each employee will describe what they were doing differently and the data will be difficult to input and analyze. Employees are more likely to cooperate if they have input into the estimating process, followed up by regular summary reports that show how actual performance compares to...

     
  • Accurate Job Costing

    If you only have one part of bookkeeping done right, it better be your progress job costs," says Mike Weiss of Weiss & Co. in Carmel, Ind. Because variances in labor costs are a major source of slippage, tracking payroll is key to accurate job costs.