Today's Remodeler eNewsletter
Published by the Professional Remodeler's Organization
4120 Secor Road
Toledo, Ohio 43623
August 2009
(printer friendly version)
President's Message
With the season fading fast, it is time to turn some of our thoughts towards some summer fun activities with your PRO members, and enjoy the opportunity for some fun social / business networking with some planned events on the horizon for us.
Our August Family Mud Hens Night is not far away, nor is our September U.T./O.S.U. bus trip to the Cleveland Stadium. As we enjoy some fun, we can pass along some of our thoughts / ideas to our fellow members, and get a feel for some Fall strategies. Then we can put some of those ideas / thoughts towards making our October Life/Home/Leisure Show at Tam-O-Shanter a great success. As we’ve tried a Fall Show before, last year was clouded by the fall elections. And with our economy still sluggishly creeping along, this show will provide great opportunity for those participating.
So, as we enjoy, and get in some last minute vacations and summer fun, please remember your PRO association is always striving and working hard for you, our member base. Continually improving the image, and imparting to our buying public the quality our proud members represent, and the valuable services our association provides.
See you at the ballgame!
Dave
Remembering Charlie M. Hobbs
We lost a legend in the industry recently. Charlie M Hobbs,
past president, has passed on will be sorely missed. Charlie
was a self-made man who started out as a millwright at
Libbey Owens Ford and then started his own business,
Hobbs Builders, Inc. He was known for his honesty,
integrity, and work ethic. He was one of the founders of the
Toledo Home Remodelers Association and an example of
what professionalism is to our industry. We would like to
offer our condolences to the family and friends of Charlie.
It was a wonderful service and great send off to a great man.
Executive Director's Report
The seminar season is coming upon us and I have been and still trying to line up several seminars for the fall. Some of them are listed on this website. I will add to them as I get them finalized.
I have received numerous calls from people who haven’t even started collecting continuing education hours. So, in order to try to help you obtain those hours, I am working diligently to have plenty of hours this fall. However, and this is not a threat, but you come the time to renew your 2010 license, you will be audited and required to show proof that you attended 30 hours of continuing education. Our office does keep track of your hours of the seminars that you have taken with us. In every instance you have received a certificate showing the name of the seminar and how many hours you were credited. Check your files now and make sure you have what you need. If you need a copy of a certificate, we can do that for a $5.00 fee per certificate. We will mail it to you for no additional cost.
Also if your dues are past due, keep in mind that you will be charged non-members rates for the seminars. So let’s get those dues in so that we can wrap up the year. I know that it is a tough year, but many, many of you have sent them in. I still need you to increase the membership for 6 years running. You know that belonging to the PRO is a benefit. Your association works hard for you. If you have any questions or concerns please let me know.
2010 Dues
Thank you to those who made the decision to remain a member of the Professional Remodelers Organization. Many of you have sent in your dues for 2009-2010.
Keep in mind of the many benefits that are available to you for being a member:
- In these tough economic times, you can not afford not to be in the next Spring Home & Garden Show. The savings on one booth alone pays for your dues. If you did not participate last year, I can tell you that we had a record attendance walk through the doors. If you don’t believe me, ask anyone who was in it. It was great. And we are going to have yet another promotion of some type to keep bringing them back. There will be plenty of opportunity for you to try and solicit some work.
- The Fall Life, Home, and Leisure Show is filling very fast. If you are at all interested, go to www.playsylvania.com and sign up now. There are several things going on that day to entice a crowd for the event.
- We have been steadily getting 3 cents a gallon off our bill from Speedway for some time now.
- I have 36 hours of continuing education lined up so far and am working on more. Obviously members will receive a better rate.
- And if, or hopefully I can say when, that 25M stimulus package comes in, I am going to need you to flip up to 300 foreclosed homes in the area.
If you are still contemplating paying your dues this year, sit down and do it. Do it for the good of the remodeling industry. Because the community needs to know that there are companies like yours in the Toledo area who are willing to give them an honest and worry free remodeling job. Call me if you are having problems coming up with your dues. We can work something out.
PRO appreciates you being a member of the Association. Because of members like you, PRO can boast that we are still the largest independent Remodelers Association in the world. Your association can also be proud of the fact that we have not had a reduction in membership for five years running. With your help, we can reach that goal for the 6th year!
Life, Home & Leisure Show is Now Ready!
Go to www.playsylvania.com on your computer for information and sign up. If you have a question, please call Jamie Moan (419-885-1167 ext 4) at the Tam-O-Shanter.
Amending Toledo Municipal Code Chapter 1345 (ORD. 269-09) “Electrical”
Read all about it by going to the City of Toledo website:
http://www.ci.toledo.oh.us/LinkClick.aspx?fileticket=4ArR94rjiHo%3d&tabid=221&mid=1046
How Do I Turn This Mess Around? by Kevin Lister, Paradigm Strategies
With the construction market in the mist of a deep downturn I have been taking more and more calls from well-established, reputable contractors who are struggling for the first time in many years. Gone are the days when their phone rang off the hook with hot prospects that were ready to start their project yesterday. Today their phones are quiet, revenue is down, cash flow is tight and overhead is growing. They are concerned and frustrated and uncertain on how to turn this dismal situation around.
One of my more recent calls was from a second generation design-build remodeler whose company has been around since his father started it in the mid-fifties. Over the last few years (when the remodeling market was hot) his focus was on sales growth. He took his company from $2 million dollars to $4 million dollars in sales in just 3 years. He was running eight projects at once, had a dozen or so carpenters in the field, with an overabundance of project management, marketing and administrative support working in the office to sustain this activity.
On the surface things looked great. His phone was ringing, he was very, very busy and a large amount of cash was flowing though his checking account. But underneath this facade his business was slowly coming apart. The rate at which leads were coming in was slowing, projects were increasingly running over budget, customers were becoming more difficult, surplus cash was shrinking… Although he was aware of some of these issues, he believed that they were the result of growth and were nothing to be concerned with. Sadly, due to this lack of concern and good business and project oversight, late this summer his company unraveled.
Following our brief discussion on the phone we got together to talk further about his situation. After further conversation it became fairly apparent what the specific problems were:
- Although having hit $4 million in sales this year he was projected to have a business loss for the first time ever.
- By focusing only on growth, his once healthy gross margin (30%) was 1/3 of what it was three years earlier thus cash flow and profit was nonexistent.
- His long-held “quality contractor” reputation was severely damaged due to poor project management, constant budget overruns and lack of financial, operational and management systems and controls.
- His overhead had grown by leaps and bounds and was now two-times what it was in 2006.
- His fairly substantial retirement fund (that he had created over that last thirty years) was considerably depleted because since the spring he has been using it to sure up cash flow to keep his sinking company afloat.
- Lastly, with the down economy, sales had significantly slowed and his three-month backlog was now only one-month at best
-Kevin Lister, Paradigm Strategies
To continue to Part 2A of this article click here
THRA Mudhens Family Night
When: August 28th, 2009
Where: The Roost
Hamburger & Hot Dog Buffet: 6:00p.m. – 7:00 p.m.
Beverages: 6:00 pm – 9:00 pm
Tickets: $35.00 each
Yes, sign me up!
Life, Home & Leisure Show
Sylvania Tam-O-Shanter, Sylvania Area Chamber of Commerce, and PRO are working together to have a Life, Home & Leisure Show on October 17, 2009 at the Sylvania
Tam-O-Shanter. This show will focus on the various aspects of home improvement, health and beauty, and leisure activities. The cost of a booth is only $225.00. There will be activity going on all day including cooking shows with Kathy Smith from The Blade, a fashion show, and demonstrations from local home improvement companies.
There are three levels of sponsorship available. The “LEISURE” sponsor ($500) would receive one free booth, advertising mention and a demonstration opportunity. The “HOME” sponsor ($1000) would receive one free booth, advertising in print, radio and signage mentions plus a demonstration opportunity. The “LIFE” sponsor ($1500) would receive two free booths, television, print and radio advertising, signage mentions and first choice on demonstration slots. Register now on the Sylvania Tam-O-Shanter website (www.playsylvania.com) now. Don’t procrastinate on this one. There are very few booths available and a lot of interest throughout the city. Call the office if you are interested in being a sponsor.
If you have a question, please call Jamie Moan (419-885-1167 ext 4) at the Sylvania Tam-O-Shanter.
UT vs OSU PRO Bus Trip
$80.00 per person, includes: Bus ride, driver tip, tolls, parking fees, pre-game party
that includes hot dogs, side dishes, chips, cookies, non-alcoholic beverages, game
ticket. BYOB (small coolers only)
Click Here to reserve tickets!
Professional Remodelers Organization 2009 Seminars