Joseph Kupstas spent years running a “successful” remodeling company that received multiple awards for growing from $300,000 to $5 million in annual sales in just over three years. But it was all an illusion. “We grew too fast, and we didn’t have the money to sustain growth,” says Kupstas. “I was driven by growth and volume, and I didn’t understand how to run a business. I was on every list, but it didn’t matter.”
When he started RemodelWerks in 2012, Kupstas was determined not to make the same mistake. First, he focused on developing a company that was process driven, rather than volume driven. Next, he got comfortable with slow, steady—and here’s the key—profitable growth. “It’s been seven years and we’re going to hit $2 million this year,” he says. “But we’re making money.”
That new business approach also allows Kupstas to be more client selective. “I can say ‘no’ at any time, which is nice,” he says. “I’d rather go home to my kids and coach their baseball team than work with someone who doesn’t appreciate us and what we’re doing.”
Being that selective pays off in more than profits. RemodelWerks enjoys an 80% to 90% repeat and referral rate along with top online reviews. Kupstas says it comes back to the design/build process, which after lengthy discussion produces a detailed contract including everything the customer wants. “Every single thing is fully selected before we go into build,” he says.
Kupstas’ ultimate goal is to avoid any change orders—unless they’re customer driven. To accomplish that goal, he takes his process to subs and does a thorough walk through of the project before they provide a bid. “They cannot change their price once they start working, so they know to be thorough,” he says.
All those processes allow Kupstas to provide a five-year warranty on projects. But Kupstas uses that warranty not only to set himself apart, but also to stay in touch with clients and keep the referrals coming. Again it comes back to the process. “They’re always saying, ‘We met three or four other people, and no one has anything like this,” Kupstas says. “When I’m the only one sitting at the kitchen table talking about process on a $300,000 project, it makes it really easy.”
