5 TIPS TO AVOID BUSINESS FAILURE

Recession aside, their are other reasons why you need to guard against these 5 reasons your business can fail. 

Yes, I know there is a recession going on but won’t last forever and what you do now while you’re weathering the storm will carry you over into the good times.  Just don’t let your guard down and fall into one of these sure fire ways to kill your business:

1. FAILURE TO UNDERSTAND YOUR MARKET.  If you don’t have a marketing plan that states just who your customer is and why they should spend their money on one of your houses, you’ll be one of the first casualties of the post recession new home wars.  Builders that survive these tough times will be going after the new home buyers with a vengeance and without knowing who your customer is, it will be tough to compete.
2. FAILURE TO ANNOUNCE WHAT MARKET YOU’RE SELLING TO.  Just because there is a recession going on, refuse to be a part of it.  You don’t have to spend a fortune to get your message out.  Make sure your offices, trucks and showroom is clean and neat.  Hand out your business cards to everyone you meet and tell people what type of home you build…green, Energy Star, system built or whatever is your niche.  Go after your ideal customer with direct individual mailers stuffed with your factory’s literature.  Just do something.
3. FAILURE TO HAVE ADEQUATE CASH.  If you don't have enough cash to carry you through the sales cycles and downward trends, your prospects for success are not good. Start hoarding money by saving on things you can do without and save money by getting rid of things you have that are dragging you down such as that backhoe that you haven’t used in 4 months or extra staff or advertising in the newspaper.
4. FAILURE TO DEFINE YOUR BUILDING STYLE.  Trying to be everything for every new home buyer is tough.  Oh I know, sticks, steel and glass can be made to look like anything the customer wants but can you really do it?  If you are a luxury home builder, how will you relate to the “affordable” home buyer?  Will you suggest things out of their budget and then watch as they run away.  Or if you build modest houses, do you really think that you and your workers are prepared for all the luxury items the affluent buyer wants and can afford.  Produce homes that you are comfortable building.
5. FAILURE TO MANAGE.  Management of a business encompasses a number of activities: planning, organizing, controlling, directing and communicating. The cardinal rule of small business management is to know exactly where you stand at all times. A common problem faced by successful companies is growing beyond management resources or skills.

If your business is slow because of the recession or whatever, take this time to get ready for the pent up post recession home buying season.  If you do this while things are slow and you’ll be better prepared for the future.

GREEN HOME FEATURED AT IBS

Everybody loves the newest gadget, toy and “green home” but how many are willing to pay upwards of $300 a sq ft for that green home, not including the land?

The lines waiting to buy the latest game console might stretch around the block and the newest toy might have you scrambling to find it on Christmas Eve and now you’re lining up to buy the latest LivingHomes model.  We were OK up to that new home part.  Two things are working against the consumer’s zeal for modular modernistic Green homes.

First, the average new home buyer and even the affluent new home buyer as well are reluctant to shell out $300 a sq ft just so they can do a lot of work around their home making sure it stays as Green as the day they moved in.  Being green is a lot of work.

Then the recession showed up and people are now reluctant to spend a lot more money to be green.   If a very livable house comes in at $150 sq ft and this is $300, how long will it take to recoup the difference?

Everybody loves the idea of going Green but few people are really going to do it.  Being Energy Star certified or LEED certified does not make your home green, it just helps your home be more energy efficient and healthier. 

Here are a couple of pictures of the IBS LivingHomes modular home displayed at Vegas this month.  Personally I like it a lot!  Would I live in it?  Maybe, if I could find a neighborhood where the people wouldn’t hold protests because of the radical design and the fact that it’s modular.  I know for sure that I couldn’t build it in Louisiana or some parts of Texas, Oklahoma or ….

BANKS CRYING BECAUSE WE’RE NOT WRITING BAD CHECKS

Just when you think nothing can surprise you ab0ut the banking industry, up pops another real eye opener!

It seems that we are not writing  bad checks and using our Debit cards and ATMs enough.  The fees associated with these services are down because people are starting to get very careful with their money.

The banks are telling their associations that bad check fees, which usually cost the customer about $40 for each check, are drying up.  So what have they done to counter this problem?  Well, here’s their answer!  They have begun by taking the biggest check or Debit amount off the account first, which if you’re overdrawn with that one, then all the littler ones will also be overdrawn.

Here’s an example:

In the past if your account had a balance of $200 and 3 checks totaling $450 came in, they would be deducted as they came in.  $200 minus a $50 check for groceries, then the $100 check for the dentist and finally the $300 check for your car payment.  End Result:  $35 bad check charge.

Now the largest check, in this example the car payment, is deducted first causing the overdraft to be followed quickly be the other checks in descending order.  End Result: $105 bad check charge.

But because we have started to use more cash for our purchases and pay more attention to our bank balances, these fees are starting to dry up.

And don’t get me started on ATM fees.  If you’ve ever stopped at an ATM machine other than your bank’s, you’ve paid a fee, even if the machine says it is fee free.  Now your bank will charge you!  At $2 each, do the math on how much that is costing you.  Taking $20 out every day costs you over $700 in fees!

Here’s a great way to beat that charge while you’re on the road.  Stop at a grocery store, buy a Pepsi and get $100 out of your Debit card with NO FEE!   

And now the banks are in for a second round of bailout money!  I just read that over 90% of bank management still have their jobs.  What the hell is that all about.  Bankers screw up the economy and they not only get to keep their jobs, they are given retention bonuses to keep them there…and we’re paying for it.

CURRENT STATE OF OUR INDUSTRY

New-home construction plunged to an all-time low in December, capping the worst year for builders on records dating back to 1959.

The Commerce Department reported Thursday that construction of new homes and apartments fell 15.5 percent to an annual rate of 550,000 units last month. That shattered the previous low set in November.

It was a much weaker showing than the pace of 610,000 that economists were forecasting and ended 2008 on a dismal note.

For all of last year, the number of housing units that builders broke ground on totaled just over 904,000, also a record low. That marked a huge 33.3 percent drop from the 1.355 million housing units started in 2007. The previous low was set in 1991.

The report also showed that applications for building permits — considered a reliable sign of future activity — sank to a rate of 549,000 in December, a 10.7 percent drop from the previous month.

The collapse of the once high-flying housing market has been devastating to the United States' economic health.

Its spreading fallout has contributed to big pullbacks by consumers and businesses alike, plunging the economy into a painful recession now in its second year.

The National Association of Home Builders/Wells Fargo housing market index, released Wednesday, dropped one point to a record 8 in January. The index was at 9 for the previous two months. Index readings higher than 50 indicate positive sentiment about the market. But the index has been below 50 since May 2006, and below 20 since April.

2009 HOUSING PREDICTIONS

Chief Economist for the National Association of Home Builders, speaking at a news conference at the International Builders Show in Las Vegas last week, said “We do expect ‘09 to be the down year, to be the bottom”.

He also expects the number of new homes constructed to fall another 29% this year before rebounding in 2010 when he sees a 34% increase. Let’s hope his crystal ball is broken and we don’t see that 29% drop this year.

Home builders are pulling out all the stops to increase sales including stepping up their incentives, lowering prices and cutting back on speculative new construction.

Frank Nothaft, Freddie Mac's chief economist, said he expects the US recession to be "relatively long, relatively deep." He projects the US unemployment rate will rise to 8.7 percent by the fourth quarter of this year. The rate hit 7.2 percent last month.  "The single most important trigger event leading to (mortgage) delinquency is unemployment," he said.

So where does put modular builders?  Probably in better shape than site builders!  With factories willing to discount and holding prices stable for the year, modular builders can be confident that if they quote a house to a prospect now, the price will probably be good for the balance of the year.

ARE YOU FROZEN?

Adrian Miller sent me this article about being stalled in your work.  I think it is very appropriate for today.

In an economic downturn, we are all like deer on a dark and windy road. Some of us see approaching headlights and instinctively know to leap into the woods. Unfortunately, others of us freeze. Unable to go left or right; we think that wherever we leap to will be worse than our current position. I certainly don’t need to elaborate on what happens to the deer on the road that freezes.

If you’re one prone to frozen panics in tough financial times, you need to embrace some logic. Just like the deer in the headlights, you will be doomed to a painful demise unless you take a leap. When times are challenging, being coward and indecisive can be fatal business mistakes. Alternatively being bold, creative, and quick-thinking can not only help you weather through challenges, it can propel you to leap ahead of your competition that is still stuck in the middle of the road waiting to be hit.

TAKE ACTION. Start by resolving yourself to do something. Join a new networking group, discover a new promotional opportunity, or learn a new way to market yourself online – just do something!

STAY VISIBLE.It’s natural to feel a little blue when business is slow, but don’t let the blahs turn you into an office recluse. Detaching yourself from customers and prospects only helps them to forget you and notice your competitors. Get your name out there any way that you can. Make calls, send emails, write articles for trade publications, start a newsletter, send out a press release, and attend any events where you can reach out to others.

Don’t Cut Your Marketing Efforts.  Companies often make the knee-jerk decision to cut spending on marketing and promotions during a slowdown. What a big mistake! This is the time to communicate your message and offer a value proposition that will resonate with your market. Inevitably, you will have competitors that scale back their marketing out of sheer financial necessity. Take advantage of the less crowded playing field and shout to your customers that you’re still going strong when times are tough.

Keep Positive.  Everything in business is cyclical. It may seem like this economy is taking an incredibly long time to turn itself around. However, new opportunities and more business will be there for the taking if you can hang in there and maintain your ability to think fast and keep moving.

Adrian Miller Sales Training

516-767-9288

516-445-1135 (cell)

www.adrianmiller.com

http://www.adrianmiller.com/blog/

3 GREEN PRODUCTS TO CONSIDER IN YOUR NEXT HOUSE

Andalay Solar

Andalay solar panels' built-in mounting rack enables snap-in-place rooftop installation for more seamless blending with a home's architectural details. Each panel is fitted with electrical wiring, reducing the chance of electrical grounding errors.

Click HERE to visit their website

Rinnai America Corp.

The LS Series tankless water heater uses 30 percent to 50 percent less energy than tank-style water heaters, supplies hot water on demand, reduces water consumption by cutting the "wait time" for hot water, and produces 30 percent less carbon dioxide emissions than tank-style water heaters.

Click HERE to visit their website

Cree LED Lighting Solutions

Using light-emitting diodes (LEDs), the LR6 light bulb offers a 20-year life span, delivers light and color rendering comparable to that of incandescent bulbs, generates less heat in use than an incandescent, and uses 85 percent less energy than an incandescent and less than half the energy of a compact fluorescent bulb.

Click HERE to visit their website

DO YOU EMBRACE SPEED?

By Kerul Kassel (c) 2007 New Leaf Systems, Inc. October 2007

It’s a fast culture out there, and getting faster. We expect emails and voicemails to be returned within a few hours, orders from Amazon.com to arrive in less than 3 business days, and we’re tapping our fingers on the keyboard in impatience if a website doesn’t pop up within 10 seconds.

To an extent, we love speed, but there’s still something about it we distrust, right? We feel we’re losing something in the process, like perspective, safety, time to plan. Haste makes waste, we’ve been taught. Besides that, it’s darn hard to keep up with the pace, so we get frustrated and dig in our heels. But speed is dragging us along behind it, anyway, kicking and screaming. That wears us out and wastes a lot of energy.

Change is constant, and faster than it’s ever been. If we want to stay on top, be informed, remain on the leading edge and reap the many benefits of being there, we have to evolve.
But here’s the thing – we don’t have to DO everything faster (wow, isn’t that a relief?), but we do have to be a lot more focused and sharp. Here’s how:

• Go On An Activity Diet You can do all you want, but if you’re doing too much unimportant stuff too often, you’re diluting your energy for the "big rocks." Re-examine the way you’re spending your time, and trim back a couple of lower priority activities you’re now doing a few times a week to once per week or once every couple of weeks.
• Be An Engineer Of Efficiency and Effectiveness Always look to tweak every activity. Efficiency without effectiveness is useless, and the opposite wastes time. Use haste when the quality of the result doesn’t much count (that’s a lot of the time!), and keep your eye on whether your results are the highest they can be for the amount of effort you’re putting in.
• Become a Calendar Contortionist Be willing to re-prioritize and juggle depending on the circumstances as they change and mutate from moment to moment. Calendars are wonderful planning tools, but they are your servant not your master. Flexibility and a toleration (dare we say, even a growing taste) for reconfiguring each day as needs dictate helps you turn on a dime…and give change!
• Grow Into The Role of Fire Captain Speed is enhanced by being decisive. Fire Captains have to make rapid decisions about risking lives and equipment in order to save other lives and property, and these decisions are based on experience and gut wisdom. Practice being more decisive in the smaller choices, and that will give you confidence to make quicker, better decisions in situations that involve more risk.

Your return on investment for welcoming speed is high, and the ROI on efforts that are left unexamined is much lower. Time’s a wastin’!

Kerul Kassel is a recognized expert in procrastination and procrastivity.  She’s been quoted in the NY Times, Investor’s Business Daily, the Chicago Tribune, TIME Magazine and elsewhere.  Interested in finding out more about procrastivity? Check out http://www.StopProcrastinatingNow.com and www.Procrastivity.com.

Permission is granted to use this article provided format, content, and contact information are in full and intact.

Copyright © 2004-9 New Leaf Systems

6 KEY TRAITS THAT LEAD TO FAILURE

Builders and their sales reps are trying to make sales in this downturn and it’s not easy.  Modular plants have shuttered their factories, builders have closed their doors or simply cut back on staff.

After learning that home sales were down 53% in 2008 from 2007, I started to wonder how many sales were lost because of our own misconceptions about sales.  I know that being a builder today is as tough as its ever been, but let’s be honest, could one more sale have helped your business?  Probably.

Here are what I consider the six traits that we all have embedded in us that cause some to fail and others to overcome failure.

No clear direction.  If you are a builder with one or more people on your sales staff, you have got to make sure they know your priorities.  If they don’t hear it from you, they start to think everything is a priority and they get caught in gridlock.  If you are a builder and you do all your own sales, you’ve got so many things creeping into your day that sometimes it’s hard to stay on target.  You start to think everything is a priority.  You need to sit down and prioritize just what you want your staff to accomplish and let them give you feedback on how to achieve it!

Lack of Accountability.  Where there is little or no accountability in your business, then your sales staff start to drift from prospect to prospect and can’t see the benefit of reaching goals and being rewarded for their performance.

Planning, planning and more planning!  Builders often spend a lot of time, money and resources on short and long term plans but fail to list the fundamental things they want to accomplish.  Then when goals aren’t met, they tend to blame the plan.  If your business is in the dumps, you can’t have a 2 year plan and then not tweak it every month or quarter.  You have to review it and make adjustments to it as this recession is going to continue for a while and what was accurate information when the plan was written can and will change almost daily.  You, the home builder have to buy into your plan and then you have to get your sales staff to do it also.

People can rationalize anything. “I had no sales for 6 months because of the recession.”   “Nobody is coming in my door.  So how can I sell to people that don’t show up?”  If you have every stopped and blamed things outside your control for your lack of home sales, then it’s time to look in the mirror and face the real problem…it’s YOU!   Justifying poor home sales is called rationalizing.  Stop it.  If you are the builder and your staff rationalizes slow sales, take the time to help them realize that you do know what is going on out there and be prepared to help them with good solid training and motivation.  The problem that occasionally arises is that neither the builder nor the sales manager have been on the front lines for awhile and telling the staff what to do is looked at by the staff as more blah, blah, blah! Get down in the trenches and work their side and if you make a sale, then they will believe just about anything you say because you’ve done it!

You stop taking risks.  Go back to the beginning.  Remember the days when you started your business?  You worked on the house from morning till night if one of your workers didn’t show up.  You took out a loan for a spec house that if you didn’t get a house sale from it within the first month, it could be the end?  You’ve got to think that way again.  And tell your staff that if they can make a sale by going out on a limb, go for it.  If you’ve made them part of the process and they bought into your business plan, then they will know how far they can go. 

Paralysis by Analysis.  Many builders are introducing procedures that will track and account for every aspect of selling the home.  They think that showing the sales staff the results on a weekly basis will build sales. Sales by each staff member, number of times the model is entered compared to the number of home sales.  The number of times the prospect asks to use the bathroom in the model compared to number of visits to the design room.  Just about anything that can be measured is.  And in the end, it’s just a big pile of crap lying on the floor of the closed model!  “We can’t be broke!  Our statistics say that we are on track with our bathroom counts!” Measure and track what is important and forget the others.  Your sales people will thank you.

Any of the above traits can hurt your business, any two can cripple it and three or more can make the ice crack under your feet.  It’s time to recognize these traits and be honest with yourself.

LIBERTY HOMES JOINS LIST OF PLANT CLOSINGS

The Liberty Homes plant in Syracuse, Indiana will be shuttering it’s doors in March.  With the slowing of the housing market, their plant suffered from declining sales over the past year.

The company which manufactures HUD homes will lay off 81 people but will not sell off the plant or equipment just in case the market rebounds in the near future.  The plant opened in 1958.  Company officials said that if the market doesn’t warrant reopening the plant within the next couple of years, it will be sold.

The recession has hurt modular and manufactured home sales. Manufactured-housing companies nationwide sold about 70,000 homes last year.  Sales have plunged since the late 1990s, when the industry typically sold 350,000 to 400,000 homes a year.

USING GARBAGE BAG SALES PRESENTATIONS

Builders, their sales reps and even factory sales reps are faced every day with great opportunities to make sales.  Sometimes they’re successful but in most cases they tend to … what is the word I’m looking for…Yeah, that’s it… SCREW IT UP!

They don’t mean to, it just happens.  They get all excited to be in front of a prospect and in today’s economic disaster, they really can’t afford to make too many mistakes.

Almost every sales rep has materials available to help them “close the deal”.  Literature, brochures from the factory, business cards, folders, whistles and bells galore.  But what really happens is that the sales rep doesn’t use them the way they were intended.  The “stuff” is usually put in some sort of binder or folder and handed to the customer while the sales rep goes on and on about how good the company is and that they’ve been in business since Noah’s boat got back to shore and much more.

If a sales rep thinks that a prospect is interested in what the company builds, the following usually happens;  they bundle up everything and send the people home to look it over and tell them to call if they have any questions.  Factory reps leave the information on the builder’s desk and tell the builder they will call them next week to find out what they think of the houses their factory builds.

I have a better idea.  Take a garbage bag, fill it with old newspapers, plastic bottles, potato chip bags and anything else lying around the office.  Then take the binder or folder filled with all the great stuff you sell and put it in the bag, tie it up and shake it well.

Then hand it to your prospect and tell them to call you when they find it and read it.  I’ll bet you’ll get more call backs this way than what you normally get with your standard presentation.

Why do I say this?  Because your information package is going to end up in the garbage bag anyway and you might as well get rid of some of the junk in your office while you’re at it.  Yes, people are visual but they need someone to make those pages come alive.  Do you really think they understand the things that have to be done to make a house Energy Star ready?    No!

They need you to show them what the literature says.  I did a quick experiment using my wife and daughter and found if I gave them a book of house plans, the only ones they looked at were the ones with the pretty front renderings.  Then I sat down with them and went back over the book and pointed out great floorplans that had “not so hot” renderings.  When I explained that a factory can make the front of the house look like the one they like with the floorplan from another house they had skipped over, they started to do it themselves and found out they could build just about anything they wanted.

Reps, factory and builder, have to do the same thing.  They have to slow down, use the materials supplied and explain it to the prospects because they won’t do it for themselves.  Why do you think convenience stores use pictures of sandwiches on the touch screen menus?  It’s because the customers don’t want to read a written description! 

So the next time you have an appointment, slow down and put yourself in your prospect’s shoes and explain what they are looking at in your brochures and literature.  And make sure you have a garbage bag ready, just in case!

LET THE CHINESE DRYWALL LAWSUITS BEGIN

Just as I predicted, manufacturers, builders and developers will soon be heading to court along side other industries such as the dog food and toy companies to defend themselves against accusations that they bought defective materials from China.  Even though the problem seems to be confined to Florida and Virginia for now, Knauf, a major distributor of drywall to the housing industry ships to a lot of states.

Here is the story from NEWSinferno.com about the problems arising from the drywall lawsuits.  Let’s hope your manufacturer didn’t have to use any.

Florida Drywall Class Action Lawsuit in the Works

Date Published: Monday, January 19th, 2009

A Florida law firm is fielding a lot of calls these days from homeowners dealing with defective Chinese drywall.  According to Jordan Chaikin, an associate with Parker Waichman Alonso LLP in Bonita Springs, the number of dry wall inquiries the firm has received has grown as media reports of dry wall problems in South Florida have become more frequent.

“With more publicity, more people have been contacting us,”  Chaiken said.  “Many people didn’t realize the problems they were having in their homes could have been because of drywall.”

Those problems include an odor in new homes that many people have described as rotten eggs, as well as corroded air conditioning coils, pipes and wiring.  Chaiken said today that Parker Waichman expects to take on several clients, and most likely will be filing a class action lawsuit on their behalf in federal court in the near future.

Drywall is the board used to make interior walls.   Owners of new homes - mostly in South Florida, but some in Virginia as well - have been reported the rotten egg smell. Other accounts indicate that the drywall emits a sulfur compound that corrodes wiring, air conditioning coils and other metals, and may cause health problems from chronic exposure.

According to Chaiken,  the drywall responsible for these problems was imported from China and came to the U.S. through the port of Tampa.  Knauf Plasterboard Tianjin Co. Ltd. of China, a  subsidiary of German-based manufacturer Knauf,  manufactured the defective drywall, he said.

Usually, drywall is manufactured in the United States, but a shortage between 2004 and 2006 prompted many builders to buy drywall from China.  Chaikin said the inquiries Parker Waichman has received involved homes built during the height of Florida’s construction boom.

Chaikin indicated that the problems with drywall have put many Florida homeowners in dire financial straits.  “The Florida housing market is already in trouble, and foreclosures are very high,” he said.  “People with these problems are worried that no one will ever want to buy their houses.”

Chaikin said that odors in some homes are so bad that residents have had to move out, adding to their financial stress, as they must continue to pay their mortgages.  This -  along with costly repairs for air  conditioning and other systems damaged by drywall fumes -  has left many Florida families on the verge of financial disaster.

For that reason, the Parker Waichman class action lawsuit will likely seek economic damages from builders, manufacturers and others responsible for the defective Chinese drywall making its way to Florida homes. Chaikin added that most of the inquiries received by his firm have involved economic losses, rather than health problems caused by drywall fumes.  “But that could change over time,” Chaikin said.  “Any complaint we file will include personal injury damages as well.”

NATIONWIDE HOMES LAYS OFF 102

The slowing housing market has brought down another modular plant.  Nationwide Homes, a division of Palm Harbor, will idle their Siler, NC plant in mid March laying off 102 workers.

No word yet from the company if this will become permanent or if it’s the first of more to come.

PANASONIC GOES GREEN WITH NEW FLOORING

Let me get this straight...Panasonic not only makes Plasma TVs and modular homes, they are now introducing a line of Green building products for your homes under the Panasonic Electric Works name.

The first product to be introduced is the E-Floor, a composite 100% recycled chip board flooring that is extremely durable.

Very soon you'll be able to buy a complete eco-friendly home from your neighborhood Best Buy!

PAYING YOUR SALES REP TO QUIT!

How many of you have hired a sales rep or manager and discovered that either you or they made a mistake.  Now what do you do?

Well, you could try this.  When you hire them, tell them that if they really don't think this is what they signed up for, you will give them $2,000 to quit within the first month plus their time worked. 

It may sound expensive, but how much will it cost your company if they stay on and work just enough to keep their job. 

If the new hire doesn't have the passion for the job, no amount of effort by either side will instill it.  It is much better to lose the $2,000 than to keep them on board.  And if they are not passionate about your business it can spread like wildfire throughout the rest of the staff.  They also tend to last only about 6 to 9 months before they quit anyway.

If you hire or promote an employee into a position they are either not qualified for or aren't passionate about, things can go downhill quickly.  If it's a new hire and they simply aren't doing the job you thought they were capable of, pay them to quit, don't find another position for them.  Cut your losses.   If they were promoted from within the ranks, ask them if they would be more comfortable going back to their old position or would they want to leave with a cash payout and a letter of recommendation.  You'll be surprised how many of their fellow employees will be on your side for doing it.

HIRING A GEN "Y" FACTORY SALES REP

If you're over 50 and own a modular factory or are a Sales Manager for one, you've had at least one opportunity to have a Gen Y person approach you about becoming your sales rep.

Oh, they look eager with their bright smile and wide open eyes and really want to work for you.  However, speaking their language and seeing things as they see them is a unique experience.

Here is what a Gen Y person is:

They were born between 1976 and 1995.  They have never known a world without computers, Starbucks, reality shows and specialty clothing stores.  They were enrolled in dance classes, music classes and watched Nickelodeon.   Their parents made sure they went to soccer practice and if their parents didn't think little Brad or Britney got enough playing time, they would get in the coaches face. 

They don't know who Frankie Valli or Meadowlark Lemon are.  When asked questions like...Who was the President of the Confederacy or who invented the steamboat?; they look like deer caught in headlights.

They don’t believe in paying their dues at work. They want respect at the office now and if they don’t get it, they’ll move on.

They invented MySpace and FaceBook and play Halo and have online virtual lives.  Cell phones are their main method of communicating and they really do understand how they work.  And they really do know how to use MP3 devices!

They are also very intelligent!  But because they've grown up with different values and skill sets than most of the people they would be calling on, you have to give them a set of skills that fit your needs and the needs of the home builder you're trying to convert to modular homes.

If you decide that a Gen Y guy or gal is going to sell your product, here are three mistakes they often make:

They offer too much information.  They try to impress the people they are talking to and get into too many details during the first meeting.  Imagine a 55 year old home builder who's been in the business all his life listening to a Gen Y rep telling them in great detail how they are going to change the builder's life forever!

What to do: Have them concentrate on a couple things that your company does very well and stick to that during the first meeting.  Go over those goals with them and let them know how they can benefit the older builder.

They are too well informed.  How is that a bad thing?  They come to the table with an "I can help you!" attitude.  How presumptuous is that?  Imagine a recent college grad telling an experienced builder that they are going to help them build more houses! 

What to do: Have them do research about the builder they are going to visit.  Have them ask the builder about his or her business and then offer to show the builder how the company has helped other builders in similar situations.

They lose sight of the goal.  They might have a goal of having the builder sign up with their factory but are just as interested in telling you about their new Blackberry or how they get pirated movies downloaded.  They are satisfied with "Thanks for your time, and I'll be in touch".

What to do:  This is really an easy one.  Your Gen Y rep has to ask for something that the builder must agree to.  A next meeting, a visit to your factory, a house to quote or a visit to a house set.  Teach your Gen Y rep to get something besides "I'll keep in touch".

SUCCESS CAN KILL YOUR BUSINESS

I know, if you're successful, how can that be a bad thing.  Well, it can be if you aren't prepared for that success.  I'm not talking about not having enough working capital because you out ran it.

No I'm talking about attitudes.  Think of a big luxury liner in the ocean.  It's loaded with passengers and every day is party day.  There are three things that can creep on board that ship that can spell disaster if not corrected.

There is the lack of urgency.  This happens to a lot of companies that think they are above the everyday fray of the marketplace.  They go about the business of being in business oblivious to what the market is doing.

Then there is the feeling of being too proud of your accomplishments and the feeling that you have protect your business from people within it that want to change things.  And finally there is a sense of entitlement that comes by being very good at what you do.  You're the biggest homebuilder in the state and people MUST listen to you!

Some of the biggest problems facing successful business owners are neglect, boredom and mediocrity.  If you neglect to keep up with changes in the marketplace and don't face these changes head on, you'll slowly start going backwards.  Add boredom to the mix and you start forgetting the details of the business and then you become mediocre!

Then you fall into the trap of not wanting to change anything because what worked in the past will always work and you become timid and scared to update your business plan because you might have to admit to yourself that things are not working as well as they once did.

The last stages of watching your once successful business slowing winding down are bloat and confusion.  This is where you start seeing things slow down because you've allowed the business to get bloated from the inside and you're confused as how to fix it.

How do you stop this from happening?  It's so simple! 

Treat every day like it's your first day in business.  Check your attitude at the door and dig into the details.  Look at what's changing in the marketplace and how you'll get ready to adapt to it.  Create fun in the workplace and look at your business through the eyes of both your employees and customers.

Simply realizing that your business is vulnerable to going backwards should keep you from not having any passengers on the next ship leaving the docks.

MAINE MODULAR HOME BUILDER TO BUILD 55+ FACILITY

King Bishop, owner of Belfast, Maine's Castle Homes LLC, is looking to replace the slowdown in the single family housing market with a 30 unit 55+ apartment facility on a lot owned by the company next to its offices.

Bishop hopes to break ground in early May and he says it will be the largest modular structure of its type in Maine.  He is confident that 26 weeks after he submits the plans for review, residents could be moving into the new building.  He buys his modular homes from several companies in PA.

TOWN READY TO BAN MODULAR HOMES

Madisonville, a small town in Louisiana is ready to ban modular homes.  This will be the second town in St. Tammany Parish to do so.

It all started when a modular home (not a double wide) was placed on a lot with the front of the house facing the side of the lot and the gable end of the house facing the street having no windows!

Community activists are up in arms that it ruins the neighborhood and are poised to ban all modular homes from coming into their town.

This has to be the stupidest thing I have read in many years.  First, they admit that the house is well built and followed all building and zoning codes.  But the big offense that brought on this action is that the house does not have windows on the street side, only a big dumb looking wall.

If this had been a stick built house, do you think they would ban all stick built homes in the town?  NO! 

What the hell is wrong with these people?  If windows are the problem, then all it would take is for someone, maybe even the factory to come in and install a couple of windows, shutters and maybe a little Fypon molding.

I swear that as you get closer to New Orleans, brains must be more expensive because fewer and fewer people are going for the upgrade!

FIRST BAD DOG FOOD FROM CHINA, NOW DRYWALL

During the height of the building boom a few years ago, Lennar Homes, primarily in Florida, needed more drywall than could be purchased through normal stateside channels.

They started to buy Chinese drywall.  Now with over 50 complaints from homeowners ranging from health problems to corroding A/C units and electrical wiring, the drywall is coming under investigation.

Chinese-made drywall imported during the height of the housing boom is suspected of being responsible for the corrosion and failure of metal components, as well as foul odors, in homes in the Sarasota area and down both coasts of Florida. State and federal health officials are trying to determine whether gases emitted by the drywall are hazardous to humans..."There does seem to be a strong association between the presence of the Chinese drywall and the coil corrosion issues," said David Krause, state toxicologist with the Bureau of Environmental Public Health Medicine.

Builders that used this drywall are living in fear of what the results of testing will reveal.  If it turns out that the drywall is bad, lawsuits will not be far behind.

VIEW THE VIDEO!

125 TO LOSE JOBS WHEN PATRIOT HOMES CLOSES PLANT

Associated Press

10:26 AM CST, January 13, 2009

MIDDLEBURY, Ind. - A northern Indiana company that builds manufactured and modular housing plans to close next week, leaving 125 people without jobs.

Patriot Homes president Sam Weidner said that unless the Middlebury company receives a last-minute large order, he has no choice but to close the business he founded in 1972. He said workers are being laid off now as their spot on the line is no longer needed.

Weidner said there will be no severance packages and he's hoping he can pay workers what they are owed.

MERCHANDISING YOUR SHOWROOM

I've written before about how to maintain a clean showroom and office area and included some ideas that I've seen throughout my travels to different builder's offices.

But what exactly does the term "Well Appointed Showroom" mean to most builders?  The "average" modular home builder (not dealer) either works from a small office/showroom or from their home office.

Either way is OK but when a prospect comes to visit you, what do you have to show them as far as samples and building ideas?  I'll tell you - not much!

Here is what I see more often than I would like.  For example, upon entering an office/showroom setting, I see a desk with papers and a computer and other assorted items.  Some are neat but for the most part they are cluttered.  The "showroom" part of the office usually features a table with samples strewn around the floor and the walls in no particular order.

Choosing colors and products can be a real chore for customers, especially when the samples are still packed in the same boxes they were in when they left the factory.  It is important to remember that you build people's dreams and you're showroom has to look like you can really do this for them. 

If your showroom sucks, maybe that's another reason you don't close as many homes as you want.

I'll have more helpful ways to start putting together a good looking showroom in later articles.  For now, here are a couple of examples of good looking builder showrooms. 

BE GLAD YOU DON'T OWN A RESTAURANT

If you build homes, you've probably had your fair share of anecdotes about your workers and subcontractors.  I know I've had my fair share.  One of the more fortunate things however is that not many of these people get to interact with our buyers.

That can't be said for restaurants.  Be glad we're not in the restaurant business!

Restaurant Anecdotes:

I am English and drink hot tea as opposed to coffee. My husband and I visited a fast food restaurant in America, and I asked a waitress if they had any hot tea.

• Me: "Do you have hot tea?"
• Her: "Well, it is not very warm...but...."
• Me: "No I mean do you have hot water and a tea bag?"
• Her: "Yes."
• Me: "So you can make me hot tea."
• Her: "Well I can put a cup of iced tea in the microwave for you."
• Me: "No, just give me a cup of hot water and a tea bag, and I will make my own."
• Her: "Do you want ice in the cup?"

---

Once when I went to McDonald's, I saw on the menu that you could have an order of 6, 9 or 12 Chicken McNuggets. I asked for a half dozen nuggets.

"We don't have half dozen nuggets," said the teenager at the counter.

"You don't?" I replied.

"We only have six, nine, or twelve," was the reply.

"So I can't order a half dozen nuggets, but I can order six?"

"That's right."

So I shook my head and ordered six McNuggets.

---

While ordering Chinese food to be delivered, I asked, as a joke, if the deep fried gizzards were beef or pork. The lady on the other end had me wait while she looked it up, but couldn't find it. She then asked several other employees, none of whom knew.

---

I overheard the following conversation at a Friendly's restaurant:

• Girl: "Boy, I'm really parched."
• Boy: "Yeah, I'm full too!"

---

A pizza-and-sub takeout recently opened near me. When I got the menu, I decided that I would try the hamburger sub that was listed, so I called.

• Me: "I'd like to place an order for pickup."
• Him: "Certainly, sir. What would you like to have?"
• Me: "I'd like the hamburger sub, please."
• Him: "Excuse me, the HAMburger sub?"
• Me: "Yes."
• Him: "I'm sorry, but we don't have HAMburger."
• Me: "It's right here on the menu."
• Him: "We don't have HAMburger."

This went on a few times, until finally I asked for a cheeseburger sub without the cheese. He was happy to sell me that.

---

One day, this lady brought in an Arby-Q sandwich because she didn't like it and she wanted her money back. That would be fine if it weren't for the fact that my Arby's stopped selling those a month ago, and that the sandwich was black and moldy. It was one of the grossest things I have ever seen in my life.

---

• Me: "I'd like a small coffee shake and nothing else."
• Clerk: "Anything else?"
• Me: "Uh...a cup?"

---

I had a craving for french fries one day, so I pulled up to the drive-thru of McDonald's.

• Me: "I'd like a large french fries please."
• Clerk: "Would you like fries with that?"

I got sort of confused at this one and told him no. He told me to pull ahead, so I did, and then he asked me why I was sitting there.

• Clerk: "I thought you didn't want fries."
• Me: "No, I ordered a large french fries."
• Clerk: "Ok. Do you want fries with that?"

Since saying no the last time had gotten me nothing, I figured I'd better say yes this time.

He gave me two large fries.

---

I went to a McDonald's in New York. My girlfriend and I didn't know what we wanted ahead of time, but when we got there we saw a sign for a special: "2 Big Macs, 2 large fries, and 2 drinks for $7.99."

• Me: "Can I have the 2 Big Macs, 2 large fries special?"
• Clerk: "Excuse me?"
• Me: "Can I have the special on the sign up there?" (pointing to the sign)
• Clerk: "What special?"
• Me: "The 2 Big Macs special."
• Clerk: "That's not a special. You just order 2 Big Macs and 2 fries and 2 drinks."
• Me: "Will it cost $7.99?"
• Clerk: "I don't know. Let me see."

She rung up the order, and it came to around $12.

• Clerk: "That is how much it costs."
• Me: "Then why does the sign say $7.99?"
• Clerk: "I don't know what you are talking about."
• Me: "The sign up there." (pointing to the sign again)
• Clerk: "Let me get the manager."

The manager came over, and I was convinced I would be eating shortly.

• Manager: "Can I help you?"
• Me: "I just want to order the special that it see on the sign up there."
• Manager: "There is no special at this time."
• Me: "Then why does the sign say there is?"
• Manager: "I don't know about that, but you can order two value meals and get the same thing."
• Me: "But that will cost more than $7.99."
• Manager: "That's right."
• Me: "But what I want is what is on the sign up there." (pointing to the sign again)

The manager read the sign out loud, very slowly.

• Manager: "The sign is wrong."
• Me: "Well, if you are the manager, why don't you take it down?"
• Manager: (angrily) "Excuse me?"
• Me: "You are the manager, and you have signs in here that are wrong. You should take them down."
• Manager: "Sir, why don't you leave my store."
• Me: "What?"
• Manager: "Leave my store before something happens."
• Me: "What is going to happen?"
• Manager: "Just get out of here."

We left, walked about five blocks to the next McDonald's. I ordered the same special without a problem.

---

When I was in college, a couple of my friends and I went to a small town restaurant for a bite to eat one evening. I was in the mood for a ham and cheese omelette. Looking at the menu, there was a ham omelette listed and a cheese omelette listed, but no combination. So when the waitress came for the order, I asked about the combination.

• Me: "I'd like a ham AND cheese omelette, please."
• Her: "I...don't know. I'll have to ask the chef."
• Me: "Uh...ok."

She left and returned a minute later.

• Her: "The chef says he'll have to put eggs in it to hold it together!"
• Me: (blank stare) "...Well, if he HAS to put eggs in it, that'll be ok!"

---

The scene is a mostly takeout sandwich shop kind of like Subway. Your order is taken at the counter, and the sandwich is made while you watch. It is difficult for an order to get messed up unless neither party is paying attention. While I admit that from time to time I mumble, and, having been raised in the South, my drawl is not understandable by some, I generally have no trouble communicating with the vast majority of people that I speak with.

So you can imagine my surprise and consternation when, one afternoon:

• Me: "I'd like a plain number three, white, end piece preferred, no cheese. And BBQ chips. To go."
• Clerk: (grabs a wheat roll) "Number three?"
• Me: "Yeah. Plain."
• Clerk: (holding a wheat roll) "What size?"
• Me: "That's on white, please. Large."
• Clerk: (cutting off a small piece of the wheat roll) "Ok."
• Me: "Uhhh...I want that on white. End piece if you got it. And a large."
• Clerk: "Oh...yeah...sorry. What size?"
• Me: "Large."
• Clerk: (grabbing a white roll -- with an uncut end still attached) "Ok."
• Me: "End piece is preferred."
• Clerk: (cutting off a small piece from the roll which is just barely long enough to qualify for a large sandwich, resulting in two pieces of the roll: a small-sized piece and a piece that is only about half as long as the small size although it is the end piece of the original whole roll) "Hmm."
• Me: "That's large, please. Large."
• Clerk: "Huh?"
• Me: "I want a large number three."
• Clerk: "Oh...yeah...sorry." (looks at the two pieces of bread on the counter in front of him, confused) "You said you wanted an end piece?"
• Me: "Yeah. End piece is OK. Not required. Picky teenage daughter."
• Clerk: (horizontally slices the smaller-than-small-sized piece of white roll -- the piece that has the end on it) "Ok."
• Me: "Uh. Excuse me. I want a large number three."
• Clerk: "I thought you wanted the end piece."
• Me: "I want a large number three. Plain. The end piece is OK, but it is not required."
• Clerk: (continues to make the sandwich on the less-than-small-sized end piece) "Ok."
• Me: "Uh. Excuse me again. That's a large number three, please."
• Clerk: "I thought you wanted the end piece."
• Me: "I want a large number three, plain. Forget about the end piece, OK?"
• Clerk: "What do I do with this?"
• Me: "What do you do with what?"
• Clerk: "What do I do with this end piece?"
• Me: "Push it aside. Get a fresh roll of white bread, OK? I want a LARGE number three."
• Clerk: "Oh...yeah."
• Me: "Picky teenage daughter. She has to have a large, plain sandwich."
• Clerk: (cuts off a large sized piece from a fresh, whole white roll) "That's a large, right?"
• Me: "Yes. Large. You got it."
• Clerk: "Number three?"
• Me: "Yeah. Plain."
• Clerk: "What kind of cheese?"
• Me: "That's plain."
• Clerk: "What kind of cheese do you want on it?"
• Me: "I want it plain, please."
• Clerk: "What is that?"
• Me: "What is what?"
• Clerk: "What is plain?"
• Me: "I want a large number three, plain."
• Clerk: "What do you mean, plain?"
• Me: "Yes, plain."
• Clerk: "What do you mean, plain?"
• Me: "Just a number three. Plain. Absolutely plain."
• Clerk: "I dunno know what you mean."
• Me: "I want a large number three, absolutely plain."
• Clerk: "I don't think we have that."
• Me: "You can't make a plain sandwich? I order them here all the time!"
• Clerk: "What do you mean, plain? We don't have plains."

Note that, at this point, the other customers at the counter are visibly amused, one even chuckling out loud. I look at them, and get "What a moron!" looks from them, so I know it's not just me. The other clerks appear curious about why a customer is raising his voice, but they still appear unaware that anything odd is going on.

• Me: "I want a LARGE number THREE, absolutely PLAIN. Can you make one of those for me?"
• Clerk: (visibly irritated) "I dunno. What do you mean, plain?"
• Me: "PLAIN! Nothing on it!"
• Clerk: "Nothing? Just the bread?"
• Me: "No. Just a plain number three. Nothing on it at all. No--"
• Clerk: (interrupting) "What kind of cheese?"
• Me: "No cheese at all! Plain!"
• Clerk: (walks away from his station and talks to the manager) "I can't do this."
• Manager: "What's wrong?"
• Clerk: "He won't tell me what kind of cheese he wants."
• Me: "Can I speak to a manager?"
• Manager: "Is there a problem?"
• Me: "I'm just trying to get a sandwich made."
• Clerk: "He keeps talking about some kind of airplane or something."
• Manager: "Airplane? What's his order?"
• Clerk: "A large number three airplane...or plane...I dunno what he wants me to do."
• Manager: "What did you order?"
• Me: "I'd like a number three, plain, on white, preferably an end piece...no cheese. BBQ potato chips. To go."
• Manager: "What was the problem?"
• Me: "I have no idea, but it appears from what he said to you that he doesn't know what the word 'plain' means."
• Manager: "Well, we'll get you taken care of."

When I get out to the car, my wife and daughter are curious why it took so long. They are the first to hear the story but not the last.

USEFUL PHRASES TO USE AROUND WORK

I'm always on the lookout for funny things I'd love to say (but don't) when I am in a conversation with a builder, sales manager, factory rep or customer and they say or do something that makes me wonder if they have any brain activity.

Here my latest list:

 

1. Thank you. We're all refreshed and challenged by your unique point of view. (usually said by a sales manager)
2. The fact that no one understands you doesn't mean you're an artist.
3. I don't know what your problem is, but I'll bet it's hard to pronounce. (something I've always wanted to say to an irate customer)
4. Any connection between your reality and mine is purely coincidental.
5. I have plenty of talent and vision. I just don't care. (used by modular factory engineers)
6. I like you. You remind me of when I was young and stupid. (a favorite of sales managers)
7. What am I? Flypaper for freaks!? (my favorite one)
8. I'm not being rude. You're just insignificant.
9. I'm already visualizing the duct tape over your mouth. (after the first 10 minutes of most meetings)
10. I will always cherish the initial misconceptions I had about you.
11. It's a thankless job, but I've got a lot of Karma to burn off.
12. Yes, I am an agent of Satan, but my duties are largely ceremonial. (used by builders)
13. No, my powers can only be used for good.
14. How about never? Is never good for you? (another favorite of factory engineers)
15. I'm really easy to get along with once you people learn to worship me. (used by factory presidents and gatekeepers)
16. You sound reasonable...Time to up my medication.
17. I'll try being nicer if you'll try being smarter. (another sales manager favorite)
18. I'm out of my mind, but feel free to leave a message...
19. I don't work here. I'm a consultant.
20. Who me? I just wander from room to room.
21. My toys! My toys! I can't do this job without my toys! (a sales rep's thoughts when they can't find their Blackberry)
22. It might look like I'm doing nothing, but at the cellular level I'm really quite busy.
23. At least I have a positive attitude about my destructive habits.
24. You are validating my inherent mistrust of strangers.
25. I see you've set aside this special time to humiliate yourself in public.  (my wife's favorite when we go shopping)

7 REASONS YOU FAIL TO MEET YOUR GOALS

Avoiding these 7 mistakes will not guarantee that you will always meet your business goals but at least you'll know why the majority of us never achieve what we plan.

Here are my 7 reasons we tend to miss our goals:

1.  Choosing an unrealistic goal.  If you set a goal of building 50 houses this year and the most you've ever built is 5 in one year, you'll fail unless the house fairy visits you.

2.  Letting your goal die of inactivity.  This happens when you haven't given your goal the proper amount of time each day.  Make it part of your daily "To Do" list.

3.  Setting goals just because you think you should set one.  This is a lack of commitment.  How many weight loss goals have you set and they quickly fail.  Your commitment to it was weak from the beginning.

4.  Setting uninspired goals.  If your goal is to increase your sales by 5%, heck inflation alone will probably do that.  You really haven't given yourself a "WOW" goal.

5.  Losing focus.  You've given your business a great goal to achieve for this year but soon you find that you're so easily called away by everyday mundane things.  Here's a suggestion, write down your goal and post it where you can see it every day.  Create a photo album of things that represent your goal.  Make it your screen saver or the background on your computer screen.  What you see clearly gets accomplished.

6.  Your goal has no positive focus.  If your goal is building 3 more homes this year than last, what is the positive thing you want to accomplish if you reach it?  And what if you only build 2 more homes?  Does that mean you failed?  Absolutely not!  Make sure your goals don't have a negative feel.  Be positive!

7.  Not having laser guided goals.  Just like a baseball game, you've got to keep score every inning, know you're hitter's batting average, have reserve players ready to take over if things go badly.  Your goals have to be measurable, achievable, relevant and timely.

DANVILLE, ILLINOIS IS CONFUSED ABOUT MODULAR HOMES

Here we go again.  The County Assessor for Danville, IL is looking into the way taxes are paid by manufactured, modular and panelized home owners.

A lawsuit has been filed about a "Privilege Tax" that is enjoyed by about 160 manufactured home owners.  The Assessor wants to change this and the whole county is up in arms as it may raise property taxes for everyone.

The real problem is that the TV reporter covering this news has indicated that ALL system built homes in the county are being equated with the double wide homes.

If he is accurate, then the law is screwed up and if he is ignorant about the differences, as most reporters are, then he is spreading some false statements about our industry.  Either way, the people of Illinois are opening a hornets nest with this lawsuit.

Click here to read the article and view the video.

DANVILLE TAX LAWSUIT

THE TALE OF THE MILLION MONKEYS

Once upon a time a man appeared in a village and announced to the villagers that he would buy monkeys for $10 each.

The villagers, seeing that there were many monkeys around, went out to the forest and started catching them.

The man bought thousands at $10 and, as supply started to diminish, the villagers stopped their effort.

He next announced that he would now buy monkeys at $20 each. This renewed the efforts of the villagers and they started catching monkeys again.

Soon the supply diminished even further and people started going back to their farms. The offer increased to $25 each and the supply of monkeys became so scarce it was an effort to even find a monkey, let alone catch it!

The man now announced that he would buy monkeys at $50 each! However, since he had to go to the city on some business, his assistant would buy on his behalf.

In the absence of the man, the assistant told the villagers:

‘Look at all these monkeys in the big cage that the man has already collected. I will sell them to you at $35 and when the man returns from the city, you can sell them to him for $50 each.’

The villagers rounded up all their savings and bought all the monkeys for 700 billion dollars.

They never saw the man or his assistant again, only lots and lots of monkeys!

Now you have a better understanding of how the WALL STREET BAILOUT PLAN WILL WORK !!!!

JIM WALTER HOMES CLOSES FOREVER

After building 350,000 homes since 1946, Tampa Florida based Walter Industries is closing the doors on their home building division.  They currently have 150 homes under construction and will complete all of these homes.

They employed over 230 people in the housing division and was recently named a best builder by the NAHB.  The downturn in the housing industry brought about the decision to close.

"The story of Jim Walter Homes began as World War II ended and soldiers came home to pursue the American Dream," chairman Michael T. Tokarz said. "Regrettably, it ends at a time when the fundamentals of the home building industry have deteriorated in ways never seen before."

Click to visit their website:  Jim Walter Homes

MY 2009 NEW YEARS RESOLUTIONS

I'm going to start singing in Church because it's always better to sing off key than not to sing at all.

Since I can't avoid offending people from time to time, I'll apologize when I didn't mean it and take the consequences when I did.

I'm going to strive to improve my good reputation and it's not hard to do.  Just be fair, honest, trustworthy, generous and respectful.

I'm going to be more empathic with other's situations.

Striving to be open minded will be a big improvement in my life.

I'll fail from time to time but I'm going to learn from my shortcomings.

Square Dancing is going to happen for me this year.

I'm going to keep my sense of humor from fading.

A clean desk by February.  Or maybe April.....or...

I'm going to hand out more compliments than ever.  Life is too short!

I'm going to take a couple of courses at my community college.  A 5 session bread making class and a class about public speaking.

I'm going to accept my age!

MOD BUILDERS SAYS "Buy a New Home and Get a FREE Lot!"

Maine Modular in Waldoboro, Maine has been in the same slump as the rest of the nation but they decided to do something a little different to jumpstart 2009.

They're giving away a building lot if people buy a new modular home from them and put it on the lot!  Now how cool is that?

Owners Scot Gov and Karl Pitcher say the 6 two-acre lots are in two small subdivisions in Waldoboro. The men say those lots haven't been selling and few people have come in to talk about building a home, so they decided to do something no one would expect.

The lots were priced at $23,000 and nobody was buying them.  Let's hope this really takes off for them.  Maybe other modular builders will follow their lead.

WICK BUILDING SYSTEMS LAYS OFF 70

Wick Building Systems in Marshfield, WI has been hit hard by the housing downturn.  Wick, which employees about 70 people at this location has decided to lay off their work force for January and February.

It is the first time in the company's history that they have closed their plant for this long and will use the time to retool the line for better efficiency.  The company was started in 1954 and builds both modular and manufactured homes for the Midwest market.

THE FORBES LIST OF THE 10 MOST DANGEROUS JOBS

You'll be surprised what occupations made this year's list.

10.  Police and Patrol Officers.   21.4 deaths per 100,000

9.    Refuse and Recyclable handlers.  22.8 deaths per 100,000

8.    Truck Drivers and SALESPEOPLE.  26.2 deaths per 100,000

7.    Electrical Power Line Installers and Repairers.  29.1 deaths per 100,000

6.    ROOFERS.  29.4 deaths per 100,000

5.    Farmers and Ranchers.  38.4 deaths per 100,000

4.    Iron and Steel Workers.  45.5 deaths per 100,000

3.    Pilots and Flight Engineers.  66.7 deaths per 100,000

2.    Loggers.  86.4 deaths per 100,000

1.    Fishers and related workers.  111.8 per 100,000

Can you believe Sales Reps are # 8!

And the deadliest job performed by women last year?

Office and administrative support occupations

Here's an interesting fact!  Only 38 Fishermen died last year but 59 women died in their office doing their jobs.  And you think they have it easy........No Way!

COLD WEATHER CONSTRUCTION

Where would you like to see your house built?  Out in the open in -10 degree weather or in a clean, bright, dry and warm modular home factory?

I don't know about you, but I've worked in the cold and having somebody else build my house in a factory is definitely the best way to go.

7 BUSINESS BLUNDERS TO AVOID IN 2009

Avoiding mistakes can save you both money and a headache. If 2008 hit your business hard, not doing anything to avoid a major blunder in 2009 could prove disastrous. Here are 7 things to be aware of this year.

NOT KNOWING YOUR LOCAL PERMIT AND BUILDING CODES

Just a sure as the sun will rise; local agencies will be changing some of the rules for 2009. Consultants and code enforcement people love writing new codes for people’s protection. Damned be the costs. Fire retardant regulations may require you to add sprinklers to more of your projects. Keep an eye on green building and don’t get caught using a high VOC paint if the local codes have been changed with green in mind. It will be tougher to get a building permit this year.

NOT KNOWING YOUR COSTS

If 2007 and 2008 taught us anything but watching our costs, then it wasn’t all bad. One of the greatest strengths of going modular for 2009 is that you know your costs on almost 80% of your project before you start. How great is that! And when you figure in that the factory can get your house Energy Star ready and Green certified and engineered, you’ve just got to be giddy about the tight money control you’ll have.

HIRING THE WRONG BOOKKEEPER

Keeping a tight rein on your finances and hiring the right bookkeeper to guard them is paramount.

My father and I owned a grocery store when I was growing up. His bookkeeping system was unique. I called it the “Two Lard Can Accounting Method.” All week long he would put the daily invoices into the first lard can (these were big drums that lard came in for our deep fryers) and then on Sunday evening he would start pulling out the invoices, put each supplier’s bills together and write them a check. He then moved the invoices into the “Paid” lard can.

Then he would take all the employees time cards out and pay them. If there was any money left over, he paid things like the rent, taxes and utilities. And if there was anything left after that, he left 50% of it in the checking account and paid himself the balance. He knew EVERY Sunday night where he stood.

Today you use things like QuickBooks to do your bookkeeping. But here is the rub, if you don’t use it yourself, are you sure your bookkeeper is entering things in the right way? If you’re hiring a bookkeeper this year, take the time to find out if they know what they are doing. Have your accountant sit in on the interview. A bad choice can cost you hundreds of thousands of dollars. OOPS!

FORGET BULK MAILING

Being a small builder has many advantages. You know your market area and the types of people that live there. You can make decisions without consulting a committee and change supplier and subcontractors without needing a purchasing director. But the one thing that you can’t do is use a company to supply you with 5 -15,000 names for you to send mailers about your wonderful business. When you add in printing, postage, ad copy and the other related items including your time, you’ll quickly realize that you’ve spent about a $1 apiece to mail them. And if you get even one sale from it, I’ll buy you dinner!  Be creative and find ways to reach your target market without costing you an arm and hammer.

NOT GETTING MONEY UP FRONT

You say that your time is valuable but yet you work with people designing and drawing their homes over and over and never get anything for it.

If I wanted a new house and found out that you would work with me as many hours as needed and draw and redraw my dream house and price and reprice it until it no longer looked what I originally wanted and you never wanted any money up front, guess what? You’re my new best friend! And if you said after 20 weeks of not liking anything you did for me and asked for a retainer, all I’d say is “Good Bye”.

Tell your prospect at the FIRST meeting when you'll need a deposit to have the house drawn for costing. $500 to a $1,000 is usually enough to weed out the tire kickers and if they give you the deposit, they’re yours to lose.

NOT HAVING AN IRON CLAD CONTRACT

What can I say? It only takes one customer to sour you on the building business. Going to arbitration is not fun and sending responses to your state’s Attorney General is a real downer. So how do you avoid it? Have a tight, tough contract with your customer. Lord knows that they will find something wrong with the house, even if they were your best customer during the process. I had a contract written that some builders thought was so tough they said they wouldn’t use it in their business but soon I was being asked if they could! Somebody must have rained on their parade. I even have a clause about children visiting the job site and another about taking pictures after closing.

DOING BUSINESS WITH FAMILY

I made the mistake of building a house for a member of my family. Not always a good idea! And being a newbie at business, I didn’t understand the value of outlining my role and responsibilities to the tee, to make sure if something goes wrong, there’s something to refer to IN WRITING. I have since learned the error of my ways and treat everyone alike and I used the tough contract mentioned above. Happy Days again!

LIFE IS TOO SHORT TO DEAL WITH DICKS!

What makes a person such a pain in the ass?  Why can't they take the high road, even if they know – or think – they are the best in the business.

When someone refers you to a prospect, send them a thank you note or if it became a sale, send a nice small gift. More importantly, try to use those two magical expressions that have become foreign to so many people.  “Please” and “Thank you” are the most powerful words in the English language yet they are facing extinction.  We don’t think we “need” to say them anymore because some people think they are too important or powerful or stressed or too busy. You know what; we’re all busy and stressed these days.  That’s not an excuse anymore.

Of course, there have been many times where we have had to grit our teeth while being pounded into the ground by someone who just doesn’t care about anyone except themselves and their own importance.  It’s aggravating, but you have to tolerate and eventually weed through the dicks in order to find the people worth doing business with. 

Here are some things that will set you apart from the competition:

• Have manners.
• Treat others how you want to be treated – “The Golden Rule.”
• Be friendly. This will definitely set you apart.
• Show people you (actually) care.
• Listen.

When in doubt, put yourself in the other person’s shoes. And if that someone is a dick, deal with it and then move on quickly.  You might want to wash off your feet, though.

15 TIME WASTERS FOR SALES REPS

Being a sales rep for a system built manufacturer is not only tough work in today's housing market, but wasting time is actually counterproductive.  Here are 15 ways sales reps tend to waste their time.

1. Are you filling your pipeline?

You must fill your pipeline with Prospects and not Suspects! Fill your pipeline and qualify each of them into good leads or dead ends. Work with the good prospects until you close the sale and move on to the next one, but you must continue to fill the pipeline!

2. Do you have “Never Ending” meetings?

Too often you schedule meetings for a specific time and pencil in about 15 minutes or 30 minutes or whatever and you end up spending (wasting) time going over and over things until 15 minutes becomes 60. Stop that. When you make an appointment, tell your prospect that you need 10 minutes of their time and stick to it. IF THEY want to keep you there longer…Hurray! Success!

3. Too Much Unfocused Work?

Many of us spend too much time working on things that aren’t really important. As a sales rep, you have to know your basic goals. To help you stay focused, post up your goals for the quarter or the year in your office and make sure that all the work that you do is in line with reaching and completing those specific goals.

4. Are small distractions delaying Important Projects?

Just like the little bee that flits from flower to flower, do you keep putting off important projects because a “little project” caught your eye? Force yourself to only work on big important projects in the morning. Mornings are the most productive time you have, why waste it pollinating the little flowers and letting the big flower die?

5. Are you too busy to be Productive?

You’ve got to decide what the most important part of your business is each day. Is it getting new builders signed up, making sales, pleasing you sales manager or cold calling?  Try to narrow your specific  “goal driven activity” for the day down to ONE and make sure you are doing what it takes during the specified hours to reach the intended goal. Put all other non-productive activities aside and do them during the “non-productive” hours of the day.

6. Are you constantly checking your email?

Limit the number of times that you check e-mail during the day. Act on as many of the messages as you can right away and try not to leave any to be dealt with “later,” because later is always later and the message may never get dealt with. From experience, set aside the times you will check your email and how long you want to devote to answering them. Here’s a neat trick. If you read an email that you really want to get back to later, select “Mark as New” so you will give it the attention it needs later.

8. Do you have a Daily Plan?

Create a user friendly TO DO list. Take 5 minutes at the END of the day and create the NEXT DAY'S TO DO list. List all of the things you are already committed to for the day with times, places etc, at the top of the page. Underneath, cluster things into categories: e-mails, phone calls, writing projects, appointments, etc. Only put on the list those things you truly expect to accomplish that day, and have phone numbers, addresses, next to the items. Print that out and have in front of you when you sit down at your desk in the morning. Do things in clusters. In the morning before doing ANY task, read what your top 4-6 tasks are. It’s got to be a “NO KIDDING” list.  Even having to return 1 phone call counts as 1 task. 

9. Are Some Builders Wasting Your Time?

Get rid of them!  Some builders simply cannot be satisfied. Identify which builders are your most problematic and look at the effort/profit ratio. Often times the loudest complainers are your smallest customers. Consider not working with them not as a sacrifice of a small amount of revenue, but rather freeing up big chunks of time. Let competing sales reps have them, it will drive them crazy!

10. Do You Let People waste your time?

As I’ve mentioned before, some people love to talk on the phone and don’t seem to care that your time is money. Use this line when the conversation is getting too long and you have to get things done. “I actually have to be back to work in 2-3 minutes, can I call you later?” This sets a definite “time limit” in the mind of the other person that you have to make an exit soon.

11. Are you constantly playing phone tag?

Let your builders know that they can best reach you at certain hours and let all other calls go to voicemail outside of those hours. It will only take a short time before your builders know that this really works for you and them.

12. Are you wasting time on the Internet?

Ditch the Internet altogether on your primary business PC or if that is impractical, limit your “Internet browsing” to a certain time each day on your business computer. If you have ever visited www.Stumbleupon.com, then you already know that you can lose hours before you realize it.

13. Are you constantly Bitching?

Negativity is the number one productivity killer. If you constantly bitch about what didn’t get done, what should have happened and what someone did wrong, you’re heading for problems. Get over it! You’ll live longer.

14. Do you take too much time to make a decision?

If you do, it means you haven’t set clear criteria or are missing critical information.  Just ask yourself one question – “If I do this, will it move me closer to my business goals, vision or mission?”  Then make your decision and move on.

15. Do you have an friend that really understands you?

You really should! You need to check with each other 3 times a week to be sure you stay on track and don’t waste time. Sometimes just a short email is all it takes. Remember, no sales rep is an island!