Business plan

[Junior M]

So, over the last few months of reading about needing a plan to really help you succeed, I've pondered on how to do this?

My biggest question, how do you do it with this business? There are so many open windows and things, you never know when your going to have work, what is going to happen, if your going to hit a spell of no work..

How do you make a plan to fit with this? I understand the whole setting goals thing, but how do you do it with all those holes in the system? And how do you go about keeping it up and things like this?

I am curious because I am sick of just winging things, I want something to shoot for instead of just shaking things off and keep going..

[stuvecorp]

So, over the last few months of reading about needing a plan to really help you succeed, I've pondered on how to do this?

My biggest question, how do you do it with this business? There are so many open windows and things, you never know when your going to have work, what is going to happen, if your going to hit a spell of no work..

How do you make a plan to fit with this? I understand the whole setting goals thing, but how do you do it with all those holes in the system? And how do you go about keeping it up and things like this?

I am curious because I am sick of just winging things, I want something to shoot for instead of just shaking things off and keep going..

I think the business plan is a good idea but to me I have more of a general goal or direction and kind of wing it. There are much savvier guys here and hopefully they have a better answer for you. How do you write a big thing down when you don't know what tomorrow will bring?

[ksss]

A business plan is pretty important, if you apply for grants the Gov. wants to see a business plan, some bankers will want to see a business plan especially on a new business, I have also seen some bonding companies ask for them. Done correctly, its a pretty comprehensive plan on where your at and what direction you plan on taking your company.

[Junior M]

I think the business plan is a good idea but to me I have more of a general goal or direction and kind of wing it. There are much savvier guys here and hopefully they have a better answer for you. How do you write a big thing down when you don't know what tomorrow will bring?
You said the exact samething I did Stuve..

but it seems most of the successful larger companies have somewhat of a plan, and it seems to have worked for them. My question is, how the hell do I go about making one with so many unanswered questions?

[stxkyboy]

It is deciding the answers to those unknowns that will mean the difference between growing into a business and being a guy with a bobcat that is always chasing the next job. Having a business plan is about:

1 Identifying your strengths and weakness.
2 Which markets you will focus on and why.
3 What are your goals 3 yrs, 5yrs 10yrs and what will it take to get there.
4 Where will your financing be coming from.
5 Where will your customers be coming from.

I think most guys feel like they already know the answers to these questions go about thier lives and five years later find themselves in the same place, needing new bobcat. I think if you take the time to really think this out you will find these answers to be harder and more insightful than you thought.
Obviously it is not meant to be a document written in stone but it should allow you to evaluate new opportunities, equipment, hires as part of an overall strategic goal. Is it guaranteed success no...would I venture to guess most successful companies have one...yes.

[J. Peterson Grading]

I had a simple business plan. Here it is.

DON'T FAIL.

I didn't start out with any loans, I didn't apply for any grants.

I started with a $2500.00 tax return, a small pick-up, a rented skidloader, and some basic hand tools.

I have only had to take out two loans over my entire business history. one for a hydro-seeder, which was paid off in only one month. One for a dump truck. Which I am still paying on.

The only plan I have ever needed, was Work hard, do a good job, treat your customers good, and be able to adapt as fast as you can.


J.

[Treemow]

The only plan I have ever needed, was Work hard, do a good job, treat your customers good, and be able to adapt as fast as you can.


J.[/QUOTE]

[Treemow]

JPeterson That is it in a nutshell.

[Gravel Rat]

One thing is don't get a bad reputation it spreads faster than you think.

Being self-employeed is tough. Where I'am anybody self-employeed is really struggling I think some of these people are just making it with one foot in the bankruptsy door. The biggest problem is people are paying their bills its at the point nobody gets credit it is C.O.D. .

Talking with some carpenters I know said they never seen it this bad the work just isn't out there.

Just be lucky junior your still in school maybe by the time you graduate the economy will be better then. When I graduated highschool it was a recession very little work. It was very tough to make a dollar. I was self-employeed I did everything from lawn mowing to construction. Work was always spotty never anything steady it was tough to get a decent wage. I was lucky to even get 10 dollars per hour back in 95 that included me and my tools.

I don't think I could be self-employeed again just not enough work in my area anymore. You have to do too many things to try scratch out a living. Landscaping is a tough business to be in because nobody wants to pay for services. People figure you shouldn't charge money for mowing lawns and pulling weeds. I was in the brush clearing business where you go in and remove trees and clear heavy bush. Alot of work for little money.

I watched many other guys try what I did and they couldn't make it I could do many things the tree removal and clearing I could do well.

Guys trying to get into the skid steer business to go broke faster than they could blink. There really isn't any demand for a skid steer around here because of their limited use. The ones at the rental shops get moss growing on them because they are not a very high demand rental.

The mini excavating business isn't a money maker anymore too many people ruined a good thing. Actually any business where you dig dirt is pretty much overfull with people in the business.

That now we are in a down turn its really point out the fact there is way way too many contractors. With the economy the way it is and the way it looks for the next few years somebody has to get out of the business. Can't keep operating if there is a "X" amount of work and 10 too many contractors.

There was some bid jobs in the area there were contractors that came 200 miles to bid on the jobs. Its never happened before to have 50-60 bids on a 50,000 dollar job. Contractors are starving to death especially excavation contractors. Some of these companies are bidding the jobs with a very little profit.

It is still a very tough market out there lots of people hungry. Friendship doesn't mean anything when it comes to money.

One thing about it nobody can compete with me in the junk removal business watched a few people try it couldn't make a living at it. I can't make a living at it either.

I wanted to start a mini bin rolloff service but the numbers just didn't add up. With so much regulations on waste disposal you can't fill a bin with a mixed load. The bigger disposal guys got right out of the mini bin business even the fullsize bin (40 yard) bins are not a big money maker.

To make a living nowwadays to have to clean toilets to construction to ???

I may have a boring desk job that I can't stand but I'am employeed there is not other choices out there. Would I rather be doing something else you bet is there work I want to do "NO". I'am going to see if I can make any money this summer using my truck to deliver topsoil.

Good luck with what ever you choose. You can bust your azz all you want but your not recogized for it. Go do a job for a person and not get paid or fight to get paid. I'am at the point with people I tell them this is what it is if you don't like it tough chit. For people I don't know I don't leave without a check in my hand or cash. I don't do the job unless I'am paid on the spot I don't do the never never pay plan.

I don't deal with squeeling very well start complaining about costs they will hear it from me.

It is at the point where people don't pay their bills they are getting a personal visit. Lots of them screen their calls on the call display. Avoiding the people they owe money too. Phone these dead beat payers and they have every excuse in the book.

Lots of fun :laugh:

[Junior M]

It is deciding the answers to those unknowns that will mean the difference between growing into a business and being a guy with a bobcat that is always chasing the next job. Having a business plan is about:

1 Identifying your strengths and weakness.
2 Which markets you will focus on and why.
3 What are your goals 3 yrs, 5yrs 10yrs and what will it take to get there.
4 Where will your financing be coming from.
5 Where will your customers be coming from.

I think most guys feel like they already know the answers to these questions go about thier lives and five years later find themselves in the same place, needing new bobcat. I think if you take the time to really think this out you will find these answers to be harder and more insightful than you thought.
Obviously it is not meant to be a document written in stone but it should allow you to evaluate new opportunities, equipment, hires as part of an overall strategic goal. Is it guaranteed success no...would I venture to guess most successful companies have one...yes.
Thats what I've read(had to read a financing book in school and the biggest thing was planning)

I guess my biggest problem, I have no clue where to start, I mean like I wanna start doing brush removal and mowing and selective clearing. And thats strictly all residential, as far as goals, I have no clue, I just wanna get a machine and get some work..

[ksss]

With that rate at which businesses fail, the more planning the better. I have never written mine out but I never stop thinking about it. I have been lucky enough to catch some breaks along the way. I try to keep my eye on the ball. I would add Jr. that diversification is very important, especially now. The more things your into the more less likely you are to be effected by economic downturns. A skid steer is a great tool for diversification, I would try and take advantage of that. There are many excavtors around here that are doing next to nothing. The competetion for digging foundation has the price down to nothing. If thats all you do, things look pretty bleak around here. I have been fortunate. I have not dug many foundations but other areas are looking good, so I can at least stay moving. Don't be a one trick pony.

[Junior M]

With that rate at which businesses fail, the more planning the better. I have never written mine out but I never stop thinking about it. I have been lucky enough to catch some breaks along the way. I try to keep my eye on the ball. I would add Jr. that diversification is very important, especially now. The more things your into the more less likely you are to be effected by economic downturns. A skid steer is a great tool for diversification, I would try and take advantage of that. There are many excavtors around here that are doing next to nothing. The competetion for digging foundation has the price down to nothing. If thats all you do, things look pretty bleak around here. I have been fortunate. I have not dug many foundations but other areas are looking good, so I can at least stay moving. Don't be a one trick pony.
I dont plan on being a one trick pony, but I'd like to focus my business around that, but what J said in Stuves thread seems like the answer, there are so many things we are capable of doing, its hard to list them all..

[Junior M]

Another thing for me (Along the lines of doing just one or two things) I changed the way I describe the services I provide.

I went with "Property Improvement Specialists" as our company direction. It covers the very broad range of services we provide.

most guys have seen my pics, but I don't post everything se do. We aren't a land scaping company, or a grading company, or even a maintance company. Sure we dig and grade, but we also rebuild any type of retaining wall, Seed, (All practices) we do selective land clearing, Development maintance. Drainage repair/correction. And the list goes on. I should of went with "JPG, Yes we can!!"

J.

There is what he said, it seems to be the answer right about now..

[murray83]

I think the best plan is to market yourself in areas that are recession proof like someone is always going to need a septic repaired,water and sewer services always break or need replaced,in very heavy rains draintile is a big issue too.

I find so many guys run and buy excavators to do new home work planing on a builder to just call them out of the blue,start small build a good reputation and let the work come to you.I found around here guys don't wanna get out of bed to do smaller jobs its not "worth their time" and many smaller outfits have grown feeding off these jobs.And as said above word of mouth is the best advertising anyone can have.

Stay small,keep your overhead as low as you possibly can,provide good service and your phone will never stop ringing.

[RockSet N' Grade]

Junior...hello? You already have the components of a plan and you just don't know it as that.
You want to get a skid and get to work........that is step one.......write it down. Now, how much can you afford to spend on a skid? Write it down. Now, how much money you got? Write it down. How much more will you need to get your skid and how long do you have to get that money? Write it down. Now you know how much you have to save each week/month to reach your goal of aquiring a machine. Step one of business plan completed. Step 2 of your plan would be? (hint: how am I going to find work and a marketing plan and cost.........write it down on a separate piece of paper). Step 3 would be?

[Junior M]

Junior...hello? You already have the components of a plan and you just don't know it as that.
You want to get a skid and get to work........that is step one.......write it down. Now, how much can you afford to spend on a skid? Write it down. Now, how much money you got? Write it down. How much more will you need to get your skid and how long do you have to get that money? Write it down. Now you know how much you have to save each week/month to reach your goal of aquiring a machine. Step one of business plan completed. Step 2 of your plan would be? (hint: how am I going to find work and a marketing plan and cost.........write it down on a separate piece of paper). Step 3 would be?
Thats the kind of answer I was looking for, that makes total sense to me(I am kinda slow, I cant help it:laugh:)

[RockSet N' Grade]

Junior......you haven't met slow till you meet me.....takes a 2x4 slapped cross my head for me to get it sometimes. The key to your getting your skid is figuring out how much you have saved for it right now and how much you have to put away each month/week/day to pay for the rest. Then you just figure on taking that dollar amount and putting it aside until you have reached the point of saving enough.....

[Junior M]

Junior......you haven't met slow till you meet me.....takes a 2x4 slapped cross my head for me to get it sometimes. The key to your getting your skid is figuring out how much you have saved for it right now and how much you have to put away each month/week/day to pay for the rest. Then you just figure on taking that dollar amount and putting it aside until you have reached the point of saving enough.....
You sound like me.. :laugh:

And thats what I am trying to do as it sits, but dam girls and getting a vehicle keep getting in the way.. :realmad: But I only live this life once and work is everything, right? :laugh: