Really? Me too and I can most certainly tell you that is not the case.
And I when I sent Tuco my financials on FOH, he got tax returns showing that the owner draw was only 4k a month over a multi year period. I pay myself what my Manager makes, and that's been confirmed by Tuco. Mind you, I live in a 5k+ square foot house, drive a Mercedes and live in a great school system. It's pretty damn cheap here in the Midwest. When I lived in Atlanta, you couldn't live in a good neighborhood on 8k a month. We had to squeak by, and lived in a 1,200 square foot apartment because that's all we could afford.
You're the one lossing out on $10,000 a month in backlogged and missed contracts. You're also the one who has posted pages and pages of the money you've spent on advertising as well. How much of that advertising at the moment is also being wasted sicne you can't even tdo the jobs they are bringing in?
It's more like 20k a month. We lose 2.5k a week in estimates we couldn't get to, and 2.5k in jobs that we couldn't complete in a timely manner. I've made adjustment to our ops to address the latter (bought newer and more efficient equipment and changed how the crews work so there is less slack in activity). So I expect we'll do 10k more a month from that, and I'm addressing the former problem now.
I hope you figure it out, I'm pulling for ya.
There's a thing in B-school called Sustainable Growth Rate (SGR). Over the years, one Estimator has been enough. But at an annual growth rate of 15%+, it's to the point where one will not be enough.
Think about it, I have two choices here:
1- Get a college grad, spend 300k and wait five years, hoping I get a return. Industry wisdom says this doesn't work, those that do the work can bid the work. It's also said that if your Estimator's prices get out of wack, put him to work with the crews for a week and they'll get back in line. Most college degreed people don't want to do the type of physical labor we do.
2- Get a Crew Leader from somewhere else, offer him more pay, and spend maybe 50k and six months, hoping to get a return. I've had two Estimators that picked it up in weeks, some guys are slower. There is a lower average investment in money and time.
That's not a tough decision.
This is a problem about adding on excess capacity. It's like if you own a business making widgets. Widget sales take off, you increase people, but eventually you get to the point where your factory can't produce more. Do you want to spend $50 million on a new factory, when it might only produce $5 million a year? How are you even sure you can maintain current demand? If sales drop, you might be stuck with a factory you can't pay for, and union laborers that you can't just simply lay off.
I'm pretty sure that in the next 12 months, I'll need to buy new trucks at $50k apiece, at my current trajectory, for new workers to be able to use. I'm getting to the point where I'll need two Secretaries. And that's with two Estimators.
It's a good problem to have, not being able to keep with demand in this economy. I'm 100% sure the best route to go on this is to find a laborer or Crew Leader and steal him from elsewhere (by paying him more).