How To Build a Profitable Business Without Burning Out
How To Build a Profitable Business Without Burning Out
Why is it so difficult to find highly skilled and committed tradespeople in North America?
In Europe, the education system requires students to choose between an academic or trade path right out of high school. Trades are often multi-generational—if someone’s father and grandfather were cabinet makers, they are likely to follow the same path. In North America, however, many people enter trades by chance, often because a job is available. As a result, the level of commitment and energy towards the trade differs from those who inherit it as a legacy.
Why should business owners use expert advisors or coaches?
Historically, the strongest leaders have consistently sought wise counsel. Take the Knights of the Round Table, for example, who were advisors to the king. Although a story, it serves as an allegory for historical advisory practices. Similarly, when a president addresses the nation, they are backed by a team of experts providing informed advice. For instance, if asked about the status of cod stocks, the president would consult the minister responsible for fisheries, who provides the precise figures. This reliance on trusted advisors has always been pivotal for leadership. Recently, the awareness and acceptance of business coaching have grown significantly. Interestingly, many successful businesses, especially in trades, benefit from coaching, although they might not disclose this competitive advantage.
What are the key differences between a hands-on business coach and a theoretical one?
I only work with people who share my perspective, so I can't speak for others. However, I've heard from clients who have had other coaches that there can be a disconnect. They often need practical answers for real situations, like issues with their production crew or understanding which metrics to track. A theoretically inclined business coach might refer to a book, offering textbook answers that, while useful, may not apply directly to the situation at hand. For example, I occasionally question a minor $30 discrepancy in the ledger to keep my bookkeeper alert and demand an explanation within an hour. This approach keeps the team vigilant, knowing I scrutinize the details closely. It's not just about using a carrot or a stick; it's about being actively involved and metrics-driven in every department, from production to quality control. This practical, hands-on approach isn't something you typically find in books.
What factors are driving demand for home repair and improvement services?
Currently, it is an exceptional time to be a contractor. Consumers are busier and more financially equipped than ever, yet they lack the time for home repairs and improvements. Consider the average household in your neighborhood: few likely own a comprehensive toolbox or even a ladder. Imagine a parent commuting two hours daily, managing children's activities like sports and dance. They don't have the time or the risk appetite to climb ladders for home repairs, fearing an accident might prevent them from working. In this environment, people prioritize convenience and reliability in hiring tradespeople over cost, making it an ideal time for trade professionals.
How can business owners tackle challenges using their strengths?
The effectiveness of being a business owner varies and truly depends on the individual's strengths. Each business owner has their unique superpower. For instance, if you excel in interpersonal skills, marketing, and sales may come naturally to you, whereas quality control might be challenging. In our coaching, we categorize challenges into several key areas: time management, people management, financial management, growth or exit strategy, and sales and marketing. Each person typically excels in one area but may struggle in others. For example, a business might have substantial incoming work yet remain unprofitable, keeping the owner busy but not financially successful. This prevents them from spending time with their family despite working tirelessly. On the other hand, a different challenge arises when a company consistently fails to complete projects on time, leading to financial losses as deadlines extend. The frustration might manifest in trivial ways, like getting upset over a piece of wood, indicating deeper underlying issues.
*This interview has been edited and condensed for clarity.*
