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Knowing how many jobs you need to complete and collect for on a monthly and quarterly basis is critical to meeting the financial goals you set for the period. But how do you know on a week-by-week — or even day-by-day — basis whether your jobs are moving you toward the goal line?
Take a look at your “break-even volume,” which is the bare-minimum volume of work that you need to complete (and get paid for) in order to keep your doors open.
Home to many financial companies, Wilmington has been hit particularly hard by the recession. But local architects aren't completely without hope.
Managing by the numbers
Do you really need a “blog” for every house you start or a “Twitter feed” telling your prospects what you had for lunch? You just got your Web site up and running last year — isn’t that good enough?
Not only do I lack any particular talent for playing the piano, but I didn’t even start taking lessons until early middle age — far too late to develop the neural pathways I’d need to play well.
As the owner of a small remodeling and handyman company (nearly $1 million annual sales before the downturn), I’ve always been careful to stay focused on our core offerings — bathrooms, kitchens, basements, and small jobs ranging from two-hour service calls to week-long “honey do” lists.
In recent years I’ve spent a lot of time speaking to and consulting with builders and remodelers, big and small, and I’ve noted that there’s often confusion about what types of costs go where on a financial statement.
We run a full-service remodeling company with a division solely dedicated to kitchen and bathroom remodels.
Has it ever occurred to you that dropping your prices to stay in business could put you out of business? Many contractors tell me they’ve had to drop their prices to remain competitive in today’s market. They just know they’re losing jobs because the “other guy” is cheaper.
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