Most restoration companies started off the same way– with a dehumidifier and a dream. Literally speaking, it may not have been an actual dehumidifier. It may have been a truck, an air mover, or a truck mount water extractor. But there came a point when you realized that in order to reach your dreams, you had to invest in the right tool or that big piece of equipment. Your investment was going to be the bedrock of your ability to build your business. For a young company, that meant you had to put your chips on the table and go all-in. But you knew that by paying that money up front, even if it hurt your pockets a little bit, you would one day be able to get a return on it.
Savvy restoration business owners know how to invest in the right tools in order to get a return. Let’s take a dehumidifier for example. The average LGR dehumidifier costs $2,500, that may seem like a lot of money, especially when you could rent it for $125 a day. For some businesses, especially those who don’t deal with a lot water damage claims, a $2500 dehumidifier might not be the best investment. But if you’re a restoration business owner who is looking to get more water damage business, it makes a lot of sense. After 20 days of renting a dehu, you will have spent $2,500 to rent it. On day 21, you’ll start losing money. However, if you would have purchased it at the beginning, you’ll start getting a return on that investment on day 21.
Think Outside the Tool Belt
Investing in the right equipment is pretty basic business. You spend a little money on them in order to get more profit. But have you ever thought about other tools you could invest in in order to get a return? Here are a few other ways you can invest in your company:
- Invest in help – Try a little exercise. Calculate how much time you spend during any given week on small administrative tasks such as updating schedules, looking for job updates, or communicating with teams about project details. As a restoration business owner, your job is to manage, yes. However, it is also think strategically and grow your business. If you spend a lot of time micromanaging your day to day business, you can’t do that. But if you invest in project management software like DASH, you can offload some of the basic, routine tasks that fill up your day. Project management software can take care of the schedule updates, provide you easy access to information so that you aren’t spending time looking for it, and do hundreds of other tasks for you. By investing in a software like DASH, you’ll accomplish more for your company and have more time to find ways to bring in more money.
- Invest in Marketing – Have you ever considered a marketing strategy to be a part of your tool belt? That dehumidifier is great. It was built for work. It craves work. But it needs help. Invest in marketing for your company so that you can get jobs and put your dehu’s to work. If you spend $2,000 – $3,000 of budget on basic marketing and end up getting one or two $5,000 projects from your efforts, you’re getting a great return on your investment. In the restoration business, reputation and referrals are important, so if even one of those projects turns into a referral, you’re getting further return on your investment. With all of this being said, you may want to check out Next Gear’s new CRM offering, Luxor CRM. It has built-in marketing managing capabilities to help you plan, track and monitor your campaigns. You can also check out this site for great ideas on how to market your company for less than $100.
- Invest in Yourself – This may seem like a no-brainer, but as a restoration business owner, you are your business’s greatest asset. That being said, when was the last time you took a vacation? Take one. You need to invest in your personal health in order to be a more productive worker. Studies have shown all sorts of benefits for taking time off including more creativity, better health, and increased productivity. According to one survey, 34% of respondents felt better about their job and more productive after taking a vacation. Again, as with any investment, it will cost you on the front end. You will have to step away from the job. But when you get back, you’ll be able to work harder and more efficiently. This will increase your bottom line.
Your company is where it is now because of your hard work as a restoration business owner and your commitment to helping people get back on their feet. As you think about what kind of equipment your company needs in order to continue to grow, think about other ways you can invest in your company. There are more dehumidifiers to buy, people to help, and dreams to realize.