45 min read
Watch Fergus founder, Dan Pollard, share his story of how his 19 person plumbing business got through the 2011 recession by developing new...
Watch this video to learn all about remote quoting – what they are and how you can use them in Fergus
Why you favor the joint like here. Iran comes in. Well, it is only boots. I've got a terrible day actually. Why did the clothes. I'll give the plenty. A glass of water. Because he was a little hoarse. I love a good dead joke. All that Heavenly going to come in. We'll see. I'll take him is back at work. Yeah You say one morning myself actually. I was down at Carter's at 7:15 men. The trainees were already site working was actually quite inspirational really. I mean, you think about it. Well, I was always thinking about those like men. Yeah try starting work by 7, 6 o'clock in the morning like the other ones you start the day he get the cafes and get a lot of shops like because trays are actually working. It's quite motivating when you see trays. Yeah, they're working hard efficient or with us right in to try to grind it out till it's quite it's quite motivating. I also remember going to 91 time in hearing to talk about as I rebuilt after the earthquakes. And the engineer insisted that all the steel work was riveted together rather than welded because he wanted the city to hear the noise of construction as it's quite motivating hearing people getting to work and knowing things they rebuilt. So I can say that it's very good for the economy and people's morale to see construction happening and people working and yet you see the economy getting back into action. So it's interesting seeing the attendance of the people tuning in is a lot lower than normal. I'll take a trade. I have gone back to work. So that's good for them. But also it will be sad to miss some of the good audience. We've had. So I'll just give it one more morning to 12 by 1. And then we will start. It won't be. It'll probably take the full hour again and I'll cover a few things as always. I never just stick just on remote quiting I touch the touch a little bit uncovered and a little bit on what to be wary of post. Busy busy time because it's important. We don't get lulled into a false sense of security with pent up demand. So it'll be the last slide. I just have got some Warning signs to watch out for. As always at least we'll send out any notes if you wish to secure an ice or answer those as I go. And it leads right to a one sided it starts to housekeeping. Thanks Thanks you again for joining me. For those who don't know me by probably know I am dean politics and trade aimed fans all through this. And this woman I will cover a few things she could do. Now we're locked in to prepare the business still for the future. Housekeeping with me. Did you launch your lines too. What background noise. If they point you to question type it into the q and I I'll get back to them. If you have the same question as someone else, please ask that question. So that it runs up the list. Right and without further ado we will. We will stop. So with everything. If you've been shooting for a while, you know that I always like to start from a conditional layer and work and work my way up. So this is. So this will be the long winded way to get to remote quiting. I just someone took it out to remote quiting without having the right foundations in place so that when you do quite you've got the highest chance of winning the win on sight or winning the whip when talking to the client. Right So the fact, the foundation of all trades businesses is that we exist because we can fix things. It's as simple as that. So we will always have work to do because we have the skills to fix something as broken or improve something right. The foundation will always have work. So the question. The trick is, how do you get the work. Because this is the structure of the paradigm that we're operating in right. So the law that is applicable is the law of survival and the strong survive and the weak die. So businesses the same. Right So in the law of the jungle even as competing and are competing for resources for food right with each other. And so businesses the same way competing for the scarcity of resources namely cash. So running there'll be a scarcity of it. And so the only way animals thrive is by adapting. If you don't actually get behind. And so they think it's actually very good for the community when the buyers right. Right because customers get the service to closely at a cheaper price. So the positive y that's always sold is a rising tide lifts all boats. And the hard thing is for those who don't make it. Is it some businesses. I going to go under during this time. And it's actually quite good, because it means that the business wasn't delivering value to the customers wasn't meeting the customer's need. So it's terrible for the individuals who lose the business. But good for the wider community and hence, we have survival of the fittest businesses. And so no amount of social conditioning or legislation will ever change as the outcome equals those who don't know the golden rule brought this one down. This is this a classic this the golden rule. Those that have the gold makes the rules. So I don't ever forget that the property owners had the gold they get to make the rules. So if you keep that Maxim in mind, you'll never really go quite wrong. It's like gravity. You can't fight it. You have to work with it. So So that's the situation we have at hand as the customers have money and they all say something Maybe they want to fix or improve. So your job is to work out how to get the money from their pocket to your pocket willingly so this is the next block talk about is how heavy. Make that happen. It's well known. And I talk about many times and I'll always talk about until the whole industry knows it backwards like maybe say, well, this may yet. OK So those who haven't joined in before. Not sure if you know the time cost, quality triangle. So the old maxim is you might have any two. But never all three in construction and in most of life. Right So obviously lowest time lowest cost, highest quality right. So you can have any two. But never all three. The reality is is tradespeople we have to deliver in the middle. Right which is we have to deliver the optimum outcome for the customer. Right We have to work out where is this middle balance between these three points so that I can make some money and the customer gets the outcome and pays me right. So this is the paradigm that's in place. And this will get sent out. And there is another wave. It talks much more in depth about this time cost, quality triangle. If you haven't heard about it the other side being that leads onto this is where time cost, quality goes wrong for construction businesses. I know somebody had heard it and seen it before, but it's really good to know. So once I understood this really changed my business life. I should touch on it closely don't know. So I've had probably for plumbing companies in my time to do. Well, one place for tech struggle one place for stress. One was in Chaturanga education that one to open went very well. We 25 staff did very well. But the last business did very well, because I work out this problem. And so when I broke it all down to find out where things always went wrong. It was this is it. I could work out with the customer, the frame the cost and the quality right. But the issue was that wasn't being communicated clearly to try to equal because the people aren't really they don't care how long it takes or what kind of materials I buy. Generally they care about quality and hunting. So I can hopefully say the job of delivering outcomes of the customer is making sure the communication to you try to equal is spot on because that's where it all breaks down. So what's the women are on this. Lot talk about that and much more in run. But this is the key puzzle. If you don't understand Tom cost, quality. And you don't understand how to train people to fix that, then it's going to make your quoting an outcome journey very, very difficult because if you're not able to deliver the outcomes of the customer, which impact actually catch right. So that's that sort of set trade there. Mike I got a few screens going on. All right. So now let's get into this get into quiting and there's another webinar coming up on sales in a few weeks, which you should also watch. So I will touch on selling here because it's important to understand. So when we think about quoting we to think about why did the customer call us right. Because a problem had some pain. And so when you're selling appearing you're quite you have to really think about what's going on. And so this could pain or pleasure. What is the greater motivator. And so if you don't understand this this foundation on quoting you won't even be able to connect with the customer in a real way. And really get them on your side to buy your solution. So let's say I'm on pinching you're really hard been this hands with a really nice chocolate bar in your hand. What's going to motivate you more you're going to move towards the chocolate bar or move away from the pain that's obvious pain is the greater motivator than pleasure right. Pain is the greater motivator than pleasure. So good for you. First for you stop trying to sell presents a solution. First, you must understand the customer's pain and show them how that your solution is going to let them move away from the pain. So when you're all when you're talking to the customer. Your job is to uncover what that pain point is right. What is the outcome they are after. Very this is absolutely critical because let's say the kitchen tap is leaking in the region. Why is it really a big deal. Like is it, wasting water. Is it leaking under the sink. It's not just a dripping tap. There is some there's some intrinsic motivation that they finally decided to take action and give you a call to solve it. And so you need to your job is to really drill into it, understand it and find out what cause and to give you a call and what solution where they are. So for example kitchen taps and only leaking for months and months and months you said, OK, what you know what's going on. What happened. What do what you call. What do you want to get done. And the cousins say all because the team is moving out the nutrients and moving in on Saturday morning. So I need to get it fixed by Saturday morning for the new tenants. So there you go. That's the important thing that you need to find out. The point I was trying to make was connecting with the person when selling is very important because what do you think is the single most important thing you could ever do for a person. And this is not just instances of any relationship. What do you think is the single most important thing you can do to do for a person that is our feedback to them that you listened and understood. Now, if you do that, you will always have successful relationships. If you take that lesson into every conversation you have had with anyone ever. Make sure you actually understood and feedback to them. And then ask that I get it. I got it. And you want them to say, yep you got it. Because then the Saudis basically use. So the thing is so get to the kitchen to example, the customer had a kitchen tap but that wasn't the motivation to buy the motivation to buy was that the new tenants are moving in on Saturday morning. So they need to fund anyway. I got it. OK So you need to tap for this Black Friday 5:00 PM to get 500 bucks. So the new tenants can move in on Saturday morning. That's what you talked about. And I call it into the customer guys. Yep, you got it the sale is yours right. So the point of all your communication when you're interacting with a customer, whether it's on the phone and in person or whether a video call that foundation of what you're trying to achieve is still the same as what was the pain motivator that triggered them to finally take action. So then you must uncover that and feedback to them and get their acknowledgment that you've got it right. Because that that is this thing that you're trying to get right is getting the guy. Yeah, you got it. You understood me. Because that is the most powerful thing you can ever do for human human beings that someone felt listened to and understood. Right and then you want to do the same for your staff. So you do tell them you needed this and this and this and this nurse right. Can you feed it back to me because you want to stop me to say all you want me to get that finished by Friday 4:00 PM the box got it, you will be amazed at the amount of time, we will get it wrong. It is it's truly astounding. So you'll be very surprised at the difference. You can make when you just cheat that even got right. So the whole business is now being geared around. Did I get it. But this layered on top that you understood because you talk to the customer on the time cost, quality paradigm right. And you work out. Right this is the outcome you're after at the time cost, quality paradigm. I got it. Yes, you make sure that stock community staff safety gets you going. Yep We got it right. So life is starting to get peachy right. So now if you think about your job quitting it's now to instead the site run. I have to get it go to getting this aha moment. So how do you get the item I mean, doesn't really, it doesn't matter what meeting you met her right. So whether you'll be doing it by video or on fine or imprison it doesn't really matter. There are many ways to get it. Generally speaking, it has always been told that the best way to get it is by face to face what may be in front of the person to build that relationship. And I have subscribe to that a 5800C2W I don't think I actually need the new technology. So I think actually, I probably could have done things a lot better by actually taking more remote pointing. She did a little video, which Elise will share. So there are probably 4 minute video released. It shows why did the example of remote quoting a hot water cement and then upselling with the customer. Now I've got a customer actually Dave show me his Hot Wheels. So I know it was a mock job the tune into a real job in Uppsala right. And you'll see it's a funny look really on how to do remote coding. And I'm sort of kicking myself. I didn't do video quoting years ago because I was a huge believer. I mean, the place on site and building that trust is it makes it easier to sell if you've meet the person. But I can't see with technology that no longer needs to be the case. Because if you're quoting and if you always keep in mind that your job was on the right mix of course quality client. I get it. It doesn't matter how you do it. Which leads you to the next full point is, you also, you don't want to win 100% of the quotes you quite because that means you're too cheap if you're around sort of 50% win right. That's actually kind of great. Like 30% win right. It's about that's about where you want to be. Not too deep and not too expensive sort of in the middle. Now two things I think I might be the low money model tuned. And if I do in a movie truck might not be me that's not surprising. So if I do disappear for a minute my apologies. But you know try things that they never call if we look at this in this time of code and lock down and a shortage of work. I'll just close the doors riders people coming into the noisy saga that if we want to maximize our time protect the safety of everyone involved. It totally makes sense to do this by video codes to get the information you need and watch the video to see what's done. And you just ask the customer to walk around the site and look at the water meter or the hot water Sunday or the switchboard or whatever it is that needs improving to get the information that you need to do the work. The next most important thing that I was once you. Once you've been talking to them. You've established what the pain point is right. There was pain point. You've got agreement on your solution, then you make sure this takes you do the quite what. Almost immediately. Right you can never underestimate the importance of fast coding and fast turnaround time for a customer. The next thing you must do this follow up that I've received the price in there. Any questions. It's you. Believe you'll win rights how much they will go through the roof, if you just stop calling the customer and see where they're at with your price. It's too easy for a customer to say no by email or text. It's hard to see by voice and how to still buy video or person. Now, the reason it is very hard to say no to someone when you talk to them more in person is that we're hardwired for community, right. And that means people by nature Look for connection rather than conflicts. So saying no to someone's face is incredibly difficult because it's very confronting and difficult to say no. So if you've quoted something incentives to them. And then arranged for a video fine up. Cool There are very few people are good at saying, no, you're too expensive. What they'll do is they'll say, oh, yes, it's not quite right on time. It's not right. And I'm not sure about this. So as soon as he knows that saying things like that. That means you know your price is too much right. That's what's actually going on. So then your job is to quickly do some objects and healing and go, OK. What's your timing what's your budget like you want to cut some costs through this and stuff you know which you hit it with pricing it's trying to weigh that issue into objects and having to try and win the price to try and find out what is the objection because it's nearly always money that they if they say all. And I'm sure not showing up for you can pretty much be guaranteed They got a cheaper price. So your job is it with a cheaper price was uncovered. What was different between the two prices. If you got it rolling. Did I get it wrong. Try and get the customer to give you as much information around the difference in price. And in front and cover. If you match it or if the other trading missed stuff. Nice but you'll have to be quick on your feet when you're going through that moment. But if you've got the aha moment before you quoted and already got a price estimation around what they were thinking you're in a pretty good position and you shouldn't be in that position where you have to read when the work. Once you've seen it through. But if you talk to the customer during the quiet there. And then call in the back immediately. The chance of willing to work is already dropping quite dramatically. And so if you think about it, the time, you used to spend in traffic going to the job the next job just put you put your mind on. You're going to be all sort of 45 minutes for every quite did a video call and then you've been quite out there. And then you'll seen it and call them back to make sure they got it. This the best way to always sell is right to you and to the customer. I'm going to send you the quote in Quebec and we discuss it the way you say it is. I'm going to see to the quote I'm just going to call you as soon as I've seen it just to make sure to tune it from the writing in the box because it's amazing how many times the email goes to junk or spam or I get something wrong. It doesn't quite turn out. So just yet. You just pick up the phone and let me know you got it and have a quick check to make sure I got it right. And then that will lead pretty quickly to the talk about price. There is a sales tactics Americans use and some companies use it. The high pressure approach is not to seen the price until you are actually talking to the customer. And so you try and pressure them into the sale because you'll face to face in nicely talking to you. And indeed, as you've seen it. Jeanne real not for this approach, because I never like putting people under pressure or feeling pressured. And if you did the job. And you really uncovered the primary motivators. You shouldn't have to be in this position right. The caveat is I'm completely happy to put a pressure salon off someone's probation driven what 40 minutes, an hour to go and see a customer for a very small job. Absolutely I'll put pressure on them because you take an hour of my time. And I won't get that money back. But if it's in 3, 4, 5 drain job. There's a better view as a bit of fat in it. I'm happy not to put a high pressure sales technical on people because I've found that people don't like it when it's done that a great tool and a of force and that just needs a bit of a better title. It all starts. It's just beats not to be in that position. But there's always nuance wants on every situation right. So now the next bit is being set up for success to do remote quoting now this is a photo of my current setup. And you see my mother and rod inside. So you can actually prove it's mine. She can see my laptop here is all plugged in really, really. I talked to a lot of treaties and treaties and do not have a good setup. And I'm saying you don't think you trade that with cheap power. So you bought the right tool for the right job. So to make a remark quoting easy, you need to have a dedicated laptop set up like this. And the audio and video and book speakers plugged in. I've got it. I've got Skype and Zoom and face time in Google Hangouts and it's all them all. All setup on this one computer right. So it's good to go. It's is good to go. I never have to worry about adjusting things. And it's just makes life easy. And if you wanted to if you want. We're not trying to be easy. You've got to see yourself up for success to make it easy to quit. I have two big screens like this. That's really helpful. He read any course, makes common sense. Productivity goes up 40% with a screen, which makes sense because you can get lots of information on the screens. So you on the laptop, you can see the customer in on the right spot. Inside you can have Ferguson a work dock open so that you can be taking notes when talking to the customer as you talking to them. In trying to get all the information as you will if you're doing it with them, right. And screens are so cheap nowadays is screens are what two or $3 right. So do you get yourself. See that was a good set up like this and like a good laptop right with good cameras. Not not something shaped but it just goes to it. It's really easy to use. And then obviously, when you talk to the customer find out what your preferred method of video calling is right. And whatever it is. Skype, whatever. And then when you send them the email. The calendar request with the link to the video call in that email schedule right. Now, the reason you want. This is you want to make it super easy to call wouldn't take it. How do you, and vice versa. Like I so classic example was I've been trying to get some one a degree night. So behind me is the photo of my upstairs lounge. So stripped down. I mean get some timber from Carter's I have made it almost impossible to buy. So I the road is the cyclic branch on the language. So there is no way to find the site looks email no email address to scene in order. So when the only today course, the security guard on the key can't go in. He gave me the email address they sent a note to them bounced back from email. So I finally called out and spoke to a lady she said, oh no, you have to go through your account manager and get it for the tribunal. I'm like, I don't have a count and just a case out. Oh we'd already do that. I said, oh, why not. She although we just don't. I said, can I please send you an email and you can type you want this with thousands of dollars, OK. She gave me her email. So I finally email to call me back. We might know order. Oh my goodness, why did they make it so hard for me to be. I wanted to give them thousands of dollars worth of my money and they made it almost impossible for me to get hold of them. So please do not be doing that to your customers. Just that's easy for you know. I don't care about what AP what's good for your customer. Find out what medium they use and meet them with rest. Don't make me make them where you are at inside checking up on under my quiting. The more I thought about it and started shooting that one. I watched videos Quinn was funny actually. And the more is Yeah, I've gotta get it wrong for sure. Why should I mean, the video. Cause I need just a guy. I think it will the Tumblr sites and open traffic. Oh my goodness. And the other thing. It also does is allows you to see. It's the client and how much of a time waster they are. Like I like xy jean genuinely, genuinely interested in paying for the service you repeated over all day just while less people just want the lowest price and it just really difficult to work with you find that out before you've just seen an error in traffic because I'm not Uber customers with working for you. You can do the quote immediately in the time you would have been driving is done. I don't know about you, but that feeling that is done, not when you get home is like asking 5 questions being asked tonight. Just that filling is done a lot. I like that feeling of knowing it's done. You call the customer back on it, whether they get acceptance right. Customers they do love it. And try to answer it. If it's accepted you can start by seeing the deposit invoice in. Would've materials. It's just not what happened within the hour. You get to go right get the job you want customers happy you actually will get the agreements written down for the tradesman tradesperson and you. And if you want to work like this, it just works. So please note that like now declining and replacing your question through no. I'm just going to dredge this over now. Hopefully you can see that. I think he's you should be able to see that screenshot just released. Can I see that. Yes, we've I'm not sure he can see the web page. I've just dragged in. I really can't resist. Now what we've just done And if you've missed it. So for all of you. We have. Edit and I. This isn't sittings. This is actually my personal focus again. So we've added in this default cheapness here figures checklist. Will made and all in all your accounts. Now it's a default checklist that you can then attach to every job right. And so that's good for your customers. So then you start to notice. And it's a good template you can use. And we've also done the same for custom forms for contact tracing and so these default forms are in all of your accounts. And also give an example of how to use it because forms of free trade for a while yet still actually we're all through this. So please do look at cheapest forms and look at these templates we've put training on all these. This is a really good one. This one here because all these custom forms pull all this information automatically from the job card. And so it's super easy. If we staff to fill out and maintain. It's just automatic go to the mobile device on and attach the job. So super easy, super good. It's amazing. So I do take advantage of them max like really great right. Like easy. The other thing I did I've just done for you guys, if you want this one is always looking at the risk make gypsies available that were available for traders to try to seize the houses. And I was like, oh my goodness is a ridiculous like I've gone through all the while all the stuff from the. You should think we have seen Al is going through the mall for you guys. And I didn't like any of them. And I was just going to touch on a few guys knew the difference between descriptive versus prescriptive from a legislation point of view. So descriptive as we describe the outcome you want right. And so all health and safety legislation is descriptive because they describe the outcome that you required to achieve how you achieve it is up to you. Risk prescriptive is prescribed the outcome that if you do it this way, you will achieve the outcome that is in compliance with them. So the classic example of building codes that prescriptive. Thou shalt do it this way. Thou shalt do it this way. Right and if you do it that way. You attempt to have compliance of the act. So that's why I love to work with on a why she just being told what to do without that. So he lied about this risk matrix for you because it's very prescriptive. Super easy to understand. And so there it is. So on. There's a second page, which is a text, which is 1, 2, 3, 4, 5. What's that different level of PPE requirements for all the different statuses for 1, 2, 3, four, five. Right and so you you'll edit this on left hand side, you put the tops of customers you have right tops of work. And then you put the green box. So the trade is and we don't select those are like, I'm going to keep a sort of a level three right. What do I have to do for level three. And when I got into this recently, the dragon. So this is all I've done. So Yep, just put on label three what they have to do right. Right nothing complicated is super easy for you to comply not to get through a complicated risk matrix analysis and go, oh, well, this is like this to you. We ain't got time. I don't have you. But I'm a trader, I was going to go. So you go, oh, yes right ppaca and tell us what's chosen it's like your copay that we've on not having to do anything too complicated. It's like chess right. Keep it simple, stupid. So that will be available. I say, no, it's not you know. Oh, look you went through so many of them try to work out that these too complicated now Oh, cool. So it's going to be a short commercial one. OK We'll talk about unwinding for this next bit. What I'm going to do is give you all 1 minute to get a glass of water in and take a breath because I want you all to be reflective and have some open minds for the next five minutes right. Because it's important that NYC is always correct when we're thinking about business. And what's coming up. So I'll give you 2/12/53 to just give us water tech take a breath right. One in a minute. Right So right please or we'll have you in four and then open mind and just be open to thinking. So this thing. So is code is innovation and in basement and little story to illustrate. I think he got. So one time many, many years ago in a land far away. I had the privilege of just doing work in a big glass manufacturing facility and part of my job was to run what aligns to this new machine. And that was a new manufacturing unit. This big glazing unit for producing double glazed glass that would cut glass and refit and decking it and do the thing right. That machine was $8 million to buy from Germany $8 million. And so I was lucky enough to be just having meetings with the CFO and I was just like and every year they kept asking Tens of millions of dollars upgrading the plant and equipment all the time. He explained they had to do to compete with China because if they didn't keep competing and investment in technology spending Tens of millions of dollars to be able to produce glass cheaper and cheaper every couple of years, they would have to shut the business down completely, because when developers are buying apartment for commercial apartments by let go Niles price literally those price. And so I asked them. How do you cope with it like measured being in business and every year you better place all your lanes and all your tools if you like simply having to keep investing most of your profits back into your business just to stay in business and still how do you not worry about the threat of them always outstanding and always in basic needs and always pulling you out of business. How do you cope with that pressure. Of always having to spend Tens of millions of dollars just to stay in business to stand still when there is real pressure. And his answer still sticks with me today. And I will share with you all the just not. The is not our family. So right. And the answer was he sees that there's only two ways to look at it. The sea is a threat whereas an opportunity. And so we as a business realized we had no choice but to look at it as an opportunity and see the good in it. Instead, it was good to be constantly forced to innovate. So that means the staff was getting good staff. He was smart and clever and they always felt the culture was developed around being innovative and clever and smart and fast and moving because the other choice was to have crappy morale and a sunset business. So I think they had no choice right that fit survive the weight off. And so they just mean, they just hate to shift the cultural expectations that there would always be competitive and always be looking to deliver cutting edge solutions. And so it's really summed up in this little thing. You either have a hunted mindset or a hunting one it and they decide to have one hunting one seat to just embrace it and go with it not worry about it. And so they go to a culture of innovation and upskilling around it. And his point was the only result ride. That's short changed last financial year. Yield to shareholders but long term value to shareholders and a stable increasing share price. And this relates really the issue right. Investing in your business just means you type at least short term cash out of the business. But you increase the long term value of the business. And so this is very important for you to think about that is that really the only impact upon you is he goes in more money. Short term. But if he does spend the money, you won't have a long term business. So you need to give yourself the freedom of thinking to go, you know what. It's actually OK for me to reinvest money in the business to make it more efficient, more scalable prices is better policies. It's OK. It's better for my long term value my future self will be very grateful that I made this investment right. So it's taking that hunting mindset taking that long term view that your future self would be very pleased with, you know, the reason I talk about that is this really applies to you in this time. So I will keep it with my quiting. These are all opportunities for you to innovate and move into a hunting once yet not 101 seat know all of those who plays you play any ball sports you all know it's so much be that the ball in hand to be running it the opposition attacking always feels better than the feeling of that, you still by playing the game still tough, but it's always better to be attacking with ball. And Ryan. So the same with your business same with your mindset as you have to think, well, how can I get the ball in hand and actually be attacking not defending so rather the thing covered in all these legislative requirements is yet another onerous imposition upon me that I have to comply with. That's a hunted closed mindset. You have to go hard. This is an opportunity for me to be in a bit innovative and different and actually lead the way motivate my staff and customers shun legal processes. This is a way for me to differentiate my business and really improve it because really that is your own choice you have right. You're either going to grow and innovate and survive or you're going to be going to constricting constrain and be squeezed out and I tell you I was funny. I was thinking about this having lost a couple of businesses early. OK That's nothing. It's you don't want to go through that, because it's very hard to recover from that, especially emotionally right. You people dig very deep in some other reason I'm always thought greedy and worked very, very hard as I have learned it's much easier to dig deeper and have more carrot into you continue then having to start again from nothing because that's really hard. Don't you. Don't be in this position. So therefore think they have some grit and I could this better than the alternative if you can return the forces that seem upon you into an opportunity. And look look at it to improve your business. That's where you want to be. Listen here. Here here. Now I'm just wrapping up. I'm just going to talk about economic activity. This is very important to pay attention to look. I'm very competent at predicting the future for the rest of the year. Very confident I've been through so many renovations and so many economic ups and Downs. I've seen this pattern quite clearly. You're all going to come back to quite a good quite a good growth state of work right because we've got pent up demand from a month at home in all the previous work that was just waiting to die. So depending on what your workload is what was pent up. Some of you might be busy for a few weeks or even two nights. Like Christian right. Organ do not think that that is going to be going to carry on after this business. We are going to be in a recession. No question the tourism industry is 160 4,000 people out of work. The education sector. All this all those foreign students are not here. All that extra cash is not coming into this economy. And it's not coming back anytime soon. But the good thing about this recession is it's a good thing is that after the police that goes and it goes quiet. We will see the beginning of the end of the recession. Now the taste of 2008 financial crisis, the worst thing about that will take about two or three years to get to the end of the recession. And then that was a year. Then we came out just because most positions. And would take a long time to get to rock bottom and it's annoying. But with this recession after the lull the worst of the recession will be here upon us in less than six months. The reason it's going to go. Take a little bit longer is because the governments propped up businesses will fill with all these wage subsidies. But after that within six within six months all the business are going to close will be closed right. And so that will be the peak low by the end of the year. So on screen are the sort of four key metrics you want to be keeping your eye on for the bottom of this time only boarding concedes make sense right. So you will see those tracked down, down, down, down, down, down, down the unemployment numbers they're going to go up, up, up, up house listings for sale. Expect to see a good spike of house listings that ABM base that will come on or the excess rentals that would just marginal will come back will come back on the market. So that's a big deal. Obviously there's a deficit tween house listings on not sold because the difference between the two is the key barometer of economic activity right. How many open job house numbers up sell because this is a good option for first time buyers to buy homes. So there could be a lot of buying and selling which is good. But you want to keep an eye on that on how many are actively open and how long it takes to sell. That's a good sign of activity. And then open job offers. Like how many job offers are out there that are remaining unfilled because that's the worry right. So you could keeping an eye on those by the end of the year, they will peak at the bottom and they'll sell the turnaround. So that's when the bottom comes. So the good thing about this recession is that you'll see that the bottom pick out this year and then that will be the worst of it. And then it will be like, all recessions it's always a slow, slow but steady climb out of the bottom in the bottom of recessions to getting sort of halfway house is a couple of years, right. So you can expect a good little recovery for the next month or two max and then you will slowly unfold for most of this year and April into the year keeping on those four key metrics on screen, you will see the bottom. And when those turn around. We have reached peak bottom and the business will come out right. Is foundational thinking there are a couple of principles that always apply. So in the construction contraction the economy. So recessions are when the economy shrinks. The role is you cut costs and conserve cash. You get out of trouble as a default. Right the default row. You cut costs and conserve cash. Now you can vary that role. If you're making an investment in technology that will bring you new work to be more innovative. So in the last big recession. We invested 15k on a wall detection device. It's my eye investing because we've got a bit of cash really. But you got to take out for the replacement water main. So that was the right investment in the business. But you sell the boat and all the flash cars. It all just goes in an expansion economy. So when the economy is growing. That's when you spend money to grow travel. That's when you invest in sales and marketing. Taking on more jobs. Why not the tolls really pushing it right. But in a contraction economy cut costs and can save your cash to get out of trouble. So very important. Now that brings us to the end of what I have to discuss. You've got list participants and user, which is good sign. But if you can type in your questions. I'll answer them. Otherwise, we will sort of almost wrap it up. Do please shake out in settings and firmness your detail cheapness and forms are all done. Yep summary Yep. We have the tried huck's and tried to have as on the main figures website, which all the videos on how to use the different functions and phrases. This daily freely online training to get my set of figures. So yep look to those. Great obviously, I do this coaching every week and do these webinars. I think we'll going again, every fortnight once you guys get back to work, which is good. And you can always email me specific questions as well. Now I've written a book. It's $9 for the vision. Virtually nothing. This will tell you everything you need to grow business to 25 staff, which are words for business owners and operations guys who want to grow a business. It's nice to go away for free. But if any of you don't pay for it. And you don't graduate it's $9. Honestly it's the best money you'll ever spend. I've convinced 25 years of knowledge and losses and wins into this one book. You guys questions if you got it. But if not, we will finish early and we can all just break for lunch email the same webinar for overstock.com for any topics you want me to talk about. You will all enjoy the sales one. So it all will encourage you to tune in for the silence. So I personally do a lot of sales coaching to learn how to sell figure software. I like to go from hating selling being late trading hated selling to actually loving it. And the reason I now. Love it is because I got taught that it is a science. And a methodology to it. And so like all things, when you have the training and you understand it, then it becomes very easy. So now. I really love selling super fun and selling is not about getting a whenever somebody's selling is about actually just understanding with the client as and in delivering that solution to the client and it's super fun. When you punch you once you hit it goes off course. Then selling a super fun, super easy. So that would be which while you're bringing in yourself to the business and anyone else who is a good salesperson if we're trying to that business right. But there's not many questions today. So all did a really good job and/or are you. Because you get when to get back to work. Thank you for those who teams in place to us some feedback. If not all. I'll see you guys in a week's time. All right all over Renato Nadella. Renata what does free software do for the software. It's really a practice management software. What does that mean. What that means is it is designed to run your business. So it's specifically rate highly made for plumbers and electricians and those who do a high value high volume of jobs that have lots of labor and materials on it. So this was managing not just managing companies in Sparky is going to jobs all over the city. And 3 5 jobs a day and all the complexity of multiple invoicing and all that. But at its core Ferguson is designed around the concept of cash flow and profit. So what cash flow mean so in order to get cash flow. I have thought the thing to be one of probably the simplest beast invoicing system that exists. It's its size like it getting labor and materials in the system that your average invoice takes three minutes to do, right. It's just phenomenal at making it easy to invoice right. So I see you got cash flow and the profit. The second thing it does is it is exceptional at best costing jobs automatically and letting you know your gross margins. So you can see if you're making money on jobs right. Because all that matters that the whole foundation of a business must be based on cash flow and profit. Right you've got to have cash coming in the door to pay bills and you've got to have profits. So UK stay in business in great. So retarded ask your question the long way around focus is a cash flow Profit Machine that just transforms businesses. I argue that was a good answer. But after all I'll wrap it up there and run out of doing it. Email the team. And I'll call you directly. Thank you guys. We do take this all on board. The answer to most problems is to spend money in your business just reinvest the profits you making back in that can systems and prices and policies right. Get into one hunting one state don't want it. And just go yet market yourself said we place up with great rock n roll business right. So keep it in mind. Keep an open mind. Dig deep. Get some grit and say, this is a time to innovate and really improve your business right. See you guys take it.
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Watch Fergus founder, Dan Pollard, share his story of how his 19 person plumbing business got through the 2011 recession by developing new...
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