Stages of Growth: Cracking the Million Dollar Code Not everyone wants a business that grosses a million (or multi-million) dollars a year. Some business owners prefer more of a "lifestyle" business just big enough to pay you a comfortable income without a lot of complexity. This education session is for Painting Contractors who have a bigger vision and who want to grow an organization with a structure that gives you more freedom and more options for your future. Options like being able to delegate key activities of the business so you can take more time away from the business without losing money. How about creating a business that is more saleable? Or one that continues to pay you in retirement after you've stepped back from an active role in the company. How do you get there? Many contractors struggle with getting past the stages of growth to get you to that Million Dollar mark and beyond. In this workshop we'll explore: • The stages of growth that Painting Contractors work through on the way to reaching certain levels of income and business maturity. • Mapping out a structure to achieve your vision at each stage of your growth • Best business practices for Painting Contractors who want to grow a successful and professional company • Creative ways to achieve results by not doing what everyone else does What is keeping you from achieving your growth goals? We'll explore some common stumbling blocks, and suggest strategies and actions you can take to increase your ability to successfully evolve your business to achieve your vision.

1. Linnea Blair, Advisors On Target
Painting and Decorating Contractors of America
PDCA Expo 2014
March 13, 2014

2.  Stages of growth that Painting Contractors
experience on the way to reaching levels of
income and business maturity
 Mapping out a structure to achieve your
vision at each stage of growth
 Best business practices for Painting
Contractors who want to grow a successful
and professional company
 Common stumbling blocks to growth
 Achieving sustainable growth

4.  Increase profits and
owner compensation
 Work ON not IN
 Exit Strategy
 Expanded service
offerings
 Work/Life Balance
 Create life for various
stakeholders

5.  Stage 5 – Next levels of Growth
 Stage 4 - $1Millon +
 Stage 3 – Mid Stages of Growth
 Stage 2 – Early Stages of Growth
 Stage 1- Start Up

7.  Focus
 Competence
 Commitment
 Organization
 Intelligence
 Curiosity
 Natural / Developed Talents

8.  Financial situation
 Family commitments
 Other businesses, jobs
or endeavors
 Other commitments

9.  Economic
 Geographic
 Demographic
 What else?

10.  Focused, competent, committed, organized,
intelligent, curious
 Willing to learn and grow
 Willing to seek help and advice
 Willing to invest in their business
 Committed to their Vision and a Strategic
Plan to achieve it
 Committed to spending time planning on a
regular basis – annually, monthly, weekly

11. What structure do you need at each stage of
growth

18.  Field personnel
 Overhead personnel
 Facility - Office/Shop
 Marketing
 Systems
 Advice

23. Invest in your people
 Training
 Safety
 Benefits
 Incentive programs
 Career path

26.  Policies
 Meetings
 Communication
 Marketing

27. Are you putting roadblocks in your own way?

28. 28
 No Office/Shop
 Not enough Vehicles/Equipment
 No (not enough) overhead personnel to take
on key tasks that aren’t getting done by you
 Lack of adequate financing
 Lack of documented systems and processes
 No client list
 Hiring the same position over and over and
not getting the results you need

29.  Lack of planning
 Lack of commitment to initiatives you start
 Incompetent employees (or family members)
you refuse to let go
 Trying to do an end run around Uncle Sam
 Bleeding your painting company to fund other
ventures
 And….

30.  Not investing in your
company
 Not investing in your
people
 Not investing in your
professional and
personal growth
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31.  Insanity: doing the
same thing over and
over again and
expecting different
results.
◦ Albert Einstein
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33.  What changes need to
occur in your financial
structure with growth?

34.  Increase in assets, cash, receivables, vehicles
and equipment
 Increased need for working capital
 Increased need for financing (debt and equity)
 For every $1 of assets added to your balance
sheet, you will require an additional $1 of
debt or $1 of capital (reinvestment of profit)
to finance it

35.  Additional overhead
costs
 Periods of decreased
profit margin
 Increase in revenue per
direct labor hour

36.  What changes need to
occur in your company
structure with growth?

37.  Shop/Office
 Skilled Office Management
 Sales/Estimators
 Strategic Marketing Plan
 Streamlined Estimating and Proposal process
 Training programs for employees
 Incentive plans for peak performance
 HR Systems and employee development programs with
role definition and expectations
 Financial Management
 Effective, efficient, documented business systems
 Quality Control systems to consistently deliver high level
of customer service
 Recruiting systems

38.  Have a vision for what you want to achieve
 Make a strategic plan to get there
 Consider variables and success factors
 Use best business practices
 Look for creative ways to develop the
structure that supports your growth

39. Business Coaching and Consulting Services for
Painting Contractors
 Group Coaching for Painting Contractors
◦ – starts April 3 2014
 One to One Business Coaching & Consulting
 On Target Peer Group Program
Find out more at AdvisorsOnTarget.com
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40. Advisors On Target
Business Coaching & Consulting
Linnea Blair
 Office: 619.291.3700
 Email: Lblair@AdvisorsOnTarget.com
 Web: AdvisorsOnTarget.com
 Twitter: AdvisorOnTarget
 Facebook: facebook.com/AdvisorsOnTarget
 LinkedIn: linkedin.com/in/linneablair
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