New licenses and growth

I love the fact that I am part of my community. I feel personally responsible for the outcome of every roof. I've had up to 15 employees, but have settled back down to 7. I know nearly every customer's name, even seeing them a year later. We serve a populous of about 50,000 or less(combining local towns), and have pulled in up to 2 mil a year. We are getting better every day. I'm very happy to be getting better, not bigger. Everyone has different goals and ideas, and national companies coming into our region has made a difference. I change my mind about 92 times a day at age 29, but I'm fairly sure I like operating a Small business with a large impact.

Wow...There are people that truly "get it" out there! Keep on educating them Tico.

I read some more of your post Rocky....It speaks for itself....I'm w/Tico

Rocky....Don't play dumb....The "subs" we're refering to are not actual subcontractors...They're employees. They, in turn call their employees "subs" and it goes right on down the line. You'll find that's the way it goes in Colorado and most states, w/o licensing.

As for "combating" the illegals...There is no combating by the gov't...Quite the contary....We, the employers must battle our own gov't to keep the illegals out.....

It should work like this; ABC hires xyz emoloyee....When uncle Sam receives the bogus SS #, ABC employer is notified to terminate xyz, (illrgal),,,If not, jail &/or fines apply....Real flip'n simple....But, NOOOOOOO, Uncle Sam sends ABC a letter on how to avoid terminating xyz employee, & so it goes.....

Your response came across as the typical kool-aide drink'n version of throwing more money and legislation at a problem, intead of simply taking care of business, (KISS)....

Tico, I take exception to your comment on justifying my profit margin. There wasn't a single word on justifying. I only stated that I keep my margins stay the same. There is nothing hollow about that, and how you read messages and expound on then with your rhetoric reeks no less of crap and is "more than welcome on this block" and post. Im willing to listen to you. So what of my boast? which wasn't my intent. I feel I earned my chance to beat my chest like a beast in the jungle, or Roar as loud as the king of the jungle. I feel I am doing something to help the economy and my fellow American as well as documented workers. Yes, I don't deny making a good living but it sure sounds better to me than everybody bitchin and moaning about every roadblock, mexican, legislation, no rain, or any other problem thay can blame their hardship or lack of business on. You got the same opportunity as everyone else, take advantage of it. If you read in earlier posts, I take very good care of my employees, I spelled it out on what I pay them and their benefits. I treat others as I would like them to treat me, and as long as I'm at this helm I will continue that tradition. Let me throw a coupl other good deeds I have done in the past couple years. 4,000 lbs of turkeys just before Thanksgiving Day to St. Mary's Food Bank, a $120,000.00 roof for The Salvation Army for free. The Sojouner center for Battered Women and Children $300,000.00 worth of roofing, 90,000.00 of Air conditioning,paint, wood replacement all at no charge to the facility. 120 kids to the Shriner circus. 3 free roof giveaways to needy families. Recognize by the ESGR National Guard program for employing vets and rehiring them when they return. End of that rant. Overhead must mean something else to others. Office secretaries, phones, managers, excutives(me)ha, office supplies. Almost everything else is job related, material, labor, burden, supervision, equipment. I don't need more office space or scretaries or management to go from 2-1/5million to 5 million. Well maybe a little. So the 30% or $750k does not expoentially grow. Most of my growth to date has been locally. I understand when I go to thes other states that I will have to set up office, but those costs will not exceed 30% of the sale price and should come in somewhat lees than that number. TomB, if the subs have their own comp and liabilty, why do away with them. I don't use them, but I have no agrument with them. What police force are you or can the govenment put together to combat the illlegals any better than they have, that won't cost me and you, another arm and leg in taxes. Come forth with a gameplan and take it the government or the people, pay for it and implement it and I'll give you that extra arm and leg. Twill, you're right, the variable is job costed the fixed OH is relatively fixed unless you open additional offices and some of that cost doesn't have to be duplicated. When I say I, I really mean WE, because without them there would be no I, We are a team.

Right on Tico! I realize a bit off topicis....However, that's where our focus, as an industry should be....Clean-up the illegal worker mess....We/they, can pass all the idiotic laws/legislation...Not gonna help...Get to the root; Eliminate the illegal workforce.

As I've said for many years; It's real simlple. Two dynamics; 1) Do away with the "sub-game" 2) Gov't not accept bogus SS #'s. That would do it.

Our gooberment is the culprit allowing the illegal workers. Then come the unscrupulous employers. The illegal immigrant is simply a symptom.

Going national makes sense for commercial & hailstorm chasing, (if you've the stomache for it).

Overheard increases exponentially with rise in sales....To think one can do 1/2 mil more work w/o any overhead increase is.....well......(a bit naive?)

Setting up shop(s), in completely foriegn business environments is very risky....Keep that hail $ from the freak AZ storm and be greatfull. Wouldn't it be easier/ make more economical sense, to increase your market share in AZ?

Tico, Actually, I don't have a problem with the documented roofer. As far as the undocumented workers, this nation was built on the backbone of documented and undocumented workers, for over 200 years. How about all the african american who kidnapped from the families and countries and brought over here to do slave labor? Now, I know I'm walking on thin ice, but the problem really lies in the owners. They are the real perpetrators and perpetuators of the problem. They all say "we're just tring to make a living and pay our taxes", "just leave us alone and don't legislate us anymore" "We make the world go round". All kinds of rationalization to confirm their positions. You heard we have the toughest sheriff in the nation down here. He walks into business on a weekly basis and pulls a INS raid on their employees. Alot of it is for the cameras, but it has had an effect on the number of people hanging out on the corners of Home Depot. Most resturant workers are now white people. same with landscaping. Still alot of hispanic in the roofing industry. I would reckon most of them are legal,somehow. and there is nothing wrong with Hispanics in the work force as long as they are legal. OS, just because someone can do 10 million or 20 million a year means they have to make less margin or money. My margins haven't changed because I sell more now, my overhead drops dramtically with more sales. Overhead is always much higher in a smaller company, percentage wise. My overhead is 30%, at a 2.4 million breakeven point with 5% net profit. I can do 5 million with almost the same amount of overhead 750K to $800K a year as I can on the 2.4 million. Yes I have to buy more material and more manpower, but that doesn't touch the additional 750k to 800k nor the 5% net profit. It is paid from the first 2.4 mil. And remember, my wages, all my costs, are included in the overhead. I'm not telling any secrets here. These are standard operating procedures. I don't want to sound like boasting, but I really don't care who knows what I make. I have a tenth grade education, pounded nails for 25 years for someone else and then decided to take a chance. I was scared as hell. I feel my company can be a nationally company and thats the direction were heading. We've built a great team. Ive worked for so many companies that beat down their employees, including me, and decided I ain't taking this shi.... no more. Most of those companies, maybe all of them are out of business. I treat my customers great and more employees even better. I do very little advertising, most of my work comes from repeat , referrals and door knocking the neighborhood we're working in.

I'm back fro Cal and the test was a breeze. Fingerprints and a 12,5k bond and I'm all set. Montana, Missouri, Colorado, Texas: They're all in the same pack. Cali is a little tougher and so is Illinois. I thought centimark was all commericial. Gotta have sales before I have installers. OS, there is a lot of ego stuff in here, and goals and "I told you so's". I'm still hungry for the fight, too. I've got a good team, and looking for more. Players with the right attitude. I really don't care what the economy is doing, forward or recession. We have a go get-em style that has brought to almost 10 million is sales in 10 ten years and hopefully 20 in the next 5. We're still learning and not afraid to be taught a new lesson. I wish I started this when I was 37 or even 30 years old. Steve, gives me a couple of months if not sooner and you'll be hearing from me, Thanks. Egg, I think you hit the nail on the head. It doesnt matter the economy or the industry for that matter. There is plenty of work out there, always has been, if someone wants to go get it. Then it's a question of how much of it do you want. Nothing happens until someone makes a sale. Unknown author.

I know that my area could stand some competition now that I've retired. ;) No, seriously, email me with any questions Rocky. I'm located in Bakersfield, California. Have some good equipment as well. Steve Cagle, email: jcagle9595@aol.com

It wouldn't to you and it wouldn't to me, but Rocky clearly has the heart for it.

Frankly, I don't think the economy is ready for growth in the typical sense. That's not to say growth isn't possible for an entity working within a non-growth sector. Companies grow sloppy, make mistakes, run out of enthusiasm and a new guy can pull things back together his way if he's organized, capitalized, driven, and lucky. Happens all the time. Don't need "growth" if you aren't doing "new work." If you're going to base projections on new-work, not so cool. If you're going to base them on discipline, precision, good will and vision, why not?

Not hiring roofers/laborers? I've heard the questions on the IL test are very unique these days. I need to get to studying sometime myself.

Wow! Montana contractors lic huh? ...and Colorado? I understand they both have very tough licensing requirements. :P