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Hammer & Grind : Built For Contractors

Hammer & Grind : Built For Contractors

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    Hammer & Grind : Built For Contractors
    Episode•August 14, 2023•1h 7m

    EP127: I Go Deep Into The Feels With Doug Wright

    There’s a difference between learning the best practices for running a successful business, and actually applying them. Today I am sharing a coaching call I had with Doug Wright, who is worried the pressure from his family business could have detrimental impacts to his health. In this episode, we discuss: Doing accounting using old fashioned ledgers An easy and affordable way to get your accounting switched over to a digital platform Why you have to get everything out of your head and onto paper Starting with what is bugging you the most Hiring someone to help you set up accounting software Complacency versus discomfort Why you don’t have to be the one to create the SOP in your business Easy and fun ways to start documenting and putting systems in place An anxiety removal exercise to help you feel less fearful Trusting employees and letting them fail Why you need to take care of your physical and mental health Getting over the mindset that everything needs to be perfect Mentioned: Gembadocs - Promo Code: HG10 to get 10% off Ep 113 - Interview with Tom Hughes From GembaDocs Quickbooks -https://quickbooks.grsm.io/hammerandgrind Wave - https://www.waveapps.com/ Links to Resources: Get the skills and confidence to: Max out profits Get off the tools Have more freedom Get the business you deserve - Join the Profit Club Join the Free Facebook Group - The Contractor Profit Blueprint If you don't have it yet - Sales Accelerator Break through the Hurdles - Profit Accelerator Get Paid for Estimates - Free Guide Plan Your Profits - Profit Journal Help us get the word out to other contractors by leaving us a review or sharing our podcast! Hosted on Acast. See acast.com/privacy for more information.

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    Transcript

    0:08

    A contractor's journey to self-mastery requires discipline, integrity, and respect. Welcome to Hammer and Grind. And welcome to the Hammer and Grind podcast, the podcast built for contractors to help maximize profits and get you off the tools before burnout or bankruptcy happens. I'm your host, Brad Hebner, and I'm here to help you on your journey to self-mastery. Make sure you check us out on our social media platforms, TikTok, Instagram, Facebook. Just search for Hammer and Grind Podcast and you'll be able to find me there. Consider joining my free Facebook group called the Contract Your Profit Blueprint. I created this free group to give you as much information as possible to help you in your business. I go live in there once a week, tons of content to help you in your business. Now, if you want to accelerate the success, consider joining my paid coaching group called The Profit Club. In there is a great community of contractors all willing to share information and help each other succeed, as well as hundreds of hours of training, coaching calls, everything you need to accelerate your business. If you want to learn more about that, you can find out more information on hammerandgrind. com forward slash The Profit Club, or just send me a message and I'll be happy to share that with you. Now, let's get on to the show. Hey, welcome back to the Hammergrind Podcast. I have a very special guest today. Doug Wright is a contractor. We're going to get into a little bit more about him in just a second. But we're doing something slightly different today. Doug has come on. He's a contractor, as I mentioned. And we're going to be doing kind of a live coaching slash just audit of his business and see if I can help him with some information that may be able to... Points in the business where you may be stuck. Do me a favor. If you like this type of interview, go to the comments or go to your platform you're listening on and let me know. Sue me a message. Smoke signal. I don't care. Just let me know if you like this. If you don't like this type of interview, don't bother messaging me. I'm just kidding. Let me know either way if you like it or don't. If you really like it, I'll do more of these types of interviews. And if you want to be on the podcast and what I guess we can call this the hot seat. Maybe that's the segment that we're going to call it the hot seat. So if you want to be on the hot seat like Doug is, reach out to me and maybe we can get that going for you as well. So without further ado, Doug Wright, thank you so much for being on the podcast. I really appreciate it.

    2:50

    Thanks for having me.

    2:51

    Give us a little bit about the information about your business. Like what kind of trade do you do? You know, all that stuff.

    2:58

    We do a foundation masonry repair. We've been in business a long time. I'm a third generation contractor. But we're just having trouble with modernizing. We've just done things the old way forever. It's time to get the business caught up.

    3:16

    Okay. Well, I appreciate you being on. So you said you do foundation and basement stuff. Masonry. Masonry. You do tuck point and all that stuff too, or no?

    3:26

    Yeah. Yeah. I mean, we do. We've done schools. I mean, we do houses. The masonry is... Been big. And the foundation repair, we've been doing that about 20 years. Do a lot of basement work, a lot of crawl space.

    3:45

    Where are you located? What state?

    3:48

    Oklahoma. We serve northern Oklahoma and southern Kansas.

    3:53

    Do you guys have underground mines there where you're at? No. They have underground mines here where I'm at in southern Indiana. And the city I live in, there's an old, it's like 20,30-year-old mine. And so there's a lot of foundation repair work in this area because of the mines. I just didn't know if you got any of that or not.

    4:17

    No, we just got the nasty clay is what we get to deal with. That, just things weren't built properly.

    4:25

    Yeah, that clay is no joke.

    4:29

    Yeah.

    4:31

    Let's get into your business a little bit. So you mentioned trying to, would you say automate or what do you...

    4:38

    Kind of modernize. Modernize. We don't, yeah.

    4:41

    What does that mean exactly to you?

    4:44

    Well, we need to just get our everything in order. Like we don't even have, we don't even have accounting software. You know, we just have always ran it just kind of the old way, the way dad ran it. And it's just time to get it because it's just become too much of a burden on me to try to be on the jobs all the time and come in and try to take care of the stuff at night. But it's a nightmare. I'm just not doing good with it.

    5:18

    Okay. So give me a breakdown of your structure of your business. Is it you in the office? How many employees, that type of stuff?

    5:27

    I've got seven employees. I do the office work as far as all the business work. My dad's still involved. He mainly just answers the phone and kind of consults with me a little bit, but I do 90% of the office work. And then I've got a lead guy for the foundation stuff. And my brother is the lead guy on the masonry. So we're in like two small crews. a four-man crew and a three-man crew.

    5:59

    Okay. How has the ownership structure broke down?

    6:03

    The ownership right now is the sole proprietorship, but we're getting ready to switch it to an LLC.

    6:09

    I mean, like percentage-wise, do you own 100% of it? Is your brother or dad still a part of it? Like, how's that?

    6:15

    Right now, my dad owns 100%, but we're going to shift the LLC, and I'm going to take the bulk of it.

    6:23

    And is your brother going to have part of ownership or no?

    6:26

    A very, very small procedure.

    6:28

    Okay, just a little bit of equity. Okay. So you're going to be the main shareholder of the company once you switch to the analyst. Okay, so you're... I'm just trying to figure out other people that have to make decisions as far as change.

    6:41

    Not really. Okay.

    6:43

    You're it. The buck stops with you then.

    6:45

    Yeah, and that's kind of the problem. There's a lot of bucks floating around to stop with me.

    6:51

    Well, that's how it is. I mean, that's... That's what we're on here is to try and figure out how we can start alleviating some of that responsibility from you as well as, like you said, modernize it. So the accounting software, what are you... Are you just doing it all manually, like spreadsheets? Or how are you doing it now?

    7:12

    Ledger book. The old-fashioned way. Yeah, the old, old-fashioned way.

    7:18

    And how much time do you spend on the accounting stuff yourself?

    7:24

    Myself, not much. My mother does a lot of that. So I've seen that part of the problem is I'm good on the jobs. And the business end of it, I never learned. Because I'd just rather be on the job. And it's really kind of caused an... Sorry about that. It's kind of caused an issue. I don't want to say it's been neglected, but... Really, it's always been the lowest priority of everything, the business work. And it's really caused some problems.

    8:04

    Okay. What kind of problems?

    8:07

    Oh, just the cycle. Just that crazy cycle you get into where you're going for a while, everything's good. You hit one little hiccup, one person doesn't pay, and all of a sudden you're just out for months. You can't, you know. And then just the constant stress. I always say the only guarantee is that it's going to rain. If you're not prepared for the rainy days, it's a stressful thing.

    8:41

    Okay. I'm taking notes here, quite a few notes. I want to make sure I get a good picture of what's going on. So your mom is doing a lot of the... Is that all she does is just kind of the accounting and stuff?

    8:53

    Yeah. And she's pretty well out of it. I mean, she's wanting to get out of it. We're switching really soon. Okay. So, I mean, we've been in the talks of it for a while.

    9:05

    So mom and dad both are kind of... They're ready to retire and be done. Yeah.

    9:10

    Late 70s. Yeah. Okay.

    9:12

    So does that mean that you're going to take over the accounting stuff? Are you going to hire somebody? Or what's the plan there?

    9:19

    My wife is going to probably help me with the... the accounting until we get it figured out. And then I would like to have a bookkeeper, you know, because that's just, it's not our specialty.

    9:33

    Gotcha. So. Yeah. Okay. Well, the one thing you definitely want to do is get your accounting into some type of software. So, I mean, QuickBooks is the most prevalent one out there, although it's not the only one. Another one that's free is Wave. Wave Accounting, W-A-V-E. That's a free version of it. It's really a stripped down basic version of QuickBooks. So it's kind of a good place to get started in terms of going from paper to digital. And the good thing about it is that later on, if you ever wanted to upgrade to QuickBooks, you can just export all of the information straight into QuickBooks. You have to redo everything. I use QuickBooks in my construction business, but I use Wave in my coaching business because I don't have a lot of materials and stuff. I got a track and all that. It's a lot easier. And I really like Wave. So that's a good option. And because it's free, you can kind of dip your toe in there and just kind of get your feel of it before you fully commit to something like that.

    10:43

    Yeah. It probably doesn't have any sort of payroll.

    10:47

    I'm pretty sure it does payroll. There's a free version and there's some paid versions. Like if you start adding payroll or you start wanting to do additional services, you can pay for it. I'm pretty sure they offer... It may be a third party. I don't want to say 100%, but I do think they have a payroll. I mean, they do estimates, invoices. Actually, they don't... I'm not 100% sure they do estimates. That's one thing I'm not sure about. But for basic expenses, invoicing... That type of stuff, it works pretty good. It's worth checking out. Let's put it that way.

    11:21

    Yeah, absolutely. It

    11:22

    sounds good. QuickBooks is going to be kind of the premium accounting software. Most accountants, CPAs, bookkeepers, most of them are familiar with QuickBooks. They're going to be able to log in remotely into your QuickBooks account, do whatever they need to do versus... I'm not for sure on Wave if you can have users and all that. I have to check. But just QuickBooks is going to be set up. But it's kind of expensive. I'm not going to lie. I mean, it's gotten up there for years. Okay, so that's the software. That one's pretty easy. What else is... Like, if you could wave a magic wand, what would be the one thing you would want to fix right now?

    12:04

    Systemizing.

    12:05

    Okay, systemizing. What does that mean exactly?

    12:09

    Well, just consistent ways to do everything just where I don't have to... I don't have to make the decision in every instant. You know, we've kind of convinced ourselves that there's so many variables that we can't really systemize and have a consistent way of approaching everything. And I would like to find something that covers the 75,80 percent so I could be off of the jobs. Yeah.

    12:41

    Well, let me just tell you this, that you can always systematize. There's nothing that's, there's no situation where there's too many variables that you can't solve for. I mean, there's people out there that do things that are 10 times more complicated than what you're doing and can systemize it. So we got to kind of remove that limiting belief a little bit. Right. Because it's just not true. That being said, do we need systems with our sales process? Do we need systems with our estimating? Do we need systems with our production? Where are we?

    13:16

    Production. Sales, I could do a lot better, but I do okay. But production, we just have some inconsistencies.

    13:26

    Okay, let's dive into that a little bit. So explain to me your production process. Once the job's sold and it gets scheduled for whatever day, What goes next?

    13:39

    We just gather the material and we go, we start. We don't really... We kind of have a loose plan, but that's it. It's real loose and we look at it. Me and my lead guy, we kind of look at it, dive in.

    13:58

    Let's back up for a second. So when you sell the job, do you produce a cut list or a material list for what you need?

    14:06

    What I do is I have a software that I kind of draw a blueprint and make like a blueprint of where we're going to put all the different jacks, the piers, all that stuff. And that's kind of what we have. And then I pull a material list from that. Okay.

    14:26

    So you're talking like a foundation repair type of job, right? Okay. So using that example, so you do a kind of a blueprint. And then from the blueprint, you take off the material list, right? Right. And that's all done before you... Like during the estimating or after it's sold?

    14:46

    That's before I turn the proposal. Yeah.

    14:50

    Okay. So you create the blueprint that helps you estimate the materials, which helps you estimate the price to sell it at. You sell the job. The customer says yes. And then now you take this blueprint and material list. And then what? What happens next?

    15:05

    go do it. We just show up and start figuring out where to go.

    15:11

    So the guys just kind of through the teleportation or ESP, they just know where to go? Or how does that work?

    15:20

    Well, like I said, we have a pretty quick discussion of, you know, we might want to start back there because this is going to block off our access if we start here. You know, that's about as in-depth as we get. And then we just start working.

    15:34

    Okay, so how do the guys know where to go?

    15:37

    We tell them. And how does that happen?

    15:41

    I mean, I want you to walk me through every detail. I'm one of your employees. I come in on Thursday morning. What am I doing today?

    15:51

    Yeah, I'll just pull up the drawing and say, okay, we're going to sit here. I want you to start with the bases in the back and then just start doing the bases. Then we'll come back. start setting the jacks and the peers.

    16:08

    So back up for me for a second. I don't even know where to go to the job. I don't even know where the job site's at. How do I get that information?

    16:15

    I give them an address or they follow me. A lot of times if we're starting a job, I'll go with them to start the job and they just follow me.

    16:24

    Do your employees meet at the shop or at your house in the morning? Yeah. Yeah.

    16:30

    Yeah, we meet at the shop.

    16:31

    Okay. So everybody comes to the shop. What time does that start?

    16:34

    7.30.

    16:36

    I'm going to come to the shop at 7.30. You're going to say, hey, guys, we're going to go start a job over here at XYZ Main Street,123 Main Street, or just get in the truck and follow me.

    16:49

    Yeah. Yeah, we load up the... I got a list of the tools we need. We load them up and

    16:53

    off we go. Just in the back of a pickup truck or what?

    16:57

    I've got a regular pickup. Lead guy has a utility bed. He's got the bulk of the tools in the utility bed. We just load up the materials, things that we need.

    17:06

    And when do you get the materials for the job?

    17:09

    I try to get them in advance and just have them at the shop. I usually get them like a couple days before.

    17:15

    And do you do that yourself?

    17:17

    Most of the time, yeah.

    17:19

    Okay, so you sold the job. You know you're going to start in three or four days. During the day, whenever you get a chance, you run and get all the materials, throw them in your truck, come back to the job, unload, I mean the shop. unload the materials and they're kind of staged. Are they staged in a very specific area for that job?

    17:40

    Yeah. Yeah. Yeah. They're all, we have everything, everything in its set spot at the shop. Okay.

    17:48

    Well, just quick question. Why not have like a trailer or a van or something where the, the tools and everything are already able to be loaded up?

    17:59

    Oh, that's, we got all the tools in the utility bed, but we've discussed a trailer, you know. We've also discussed a ban. I just, I don't know, we just haven't done anything.

    18:11

    What's the downside to doing a trailer?

    18:13

    The upfront expense. I mean, you know. And where my shop is, it's on a main road, but I've had, over the years, I've had several trailers stolen, had a skid loader stolen. It's kind of gotten me a little, even with the locks. It's got me a little kind of gun shy.

    18:31

    Yeah. Okay. Okay. So, okay. So we load the materials up, we go to the job site, and then you got four guys on that crew and you just say, you know, Billy, go over there, do this. Tommy, go do that. John, go do that.

    18:47

    Pretty much.

    18:48

    And then if you, when you leave, then your brother or whoever the other lead guy is, a foreman, he kind of takes over.

    18:55

    Yeah.

    18:57

    Do they only have a set of the plans that they go off of?

    19:01

    Yeah. Yeah. Everybody has a copy of the drawing.

    19:06

    Okay. And then how do you, I mean, do you give your foreman or your brother, do you give them like, hey, this job is scheduled for five days to get done. This is the goal or how does that work?

    19:21

    I haven't been doing that, but I started doing that recently. letting him in. You know, my brother's always been in on the masonry, but as far as the foundation repair, we started, we're trying to gather more information and I'm getting into that with him quite a bit, how many hours we got and everything and all that. I'm just starting to kind of clean this up. I mean, I've taken care of so much of myself that I've just made a mess of it. You know, I didn't have to tell everybody what to do, you know, because I would be there. But now I kind of see the downside of that.

    20:02

    So here's the thing. For a owner-operator of a business, meaning you're working on the tools, if you want to transition off the tools, you have to get everything out of your head on the paper.

    20:17

    Yeah. That's tough. Yeah, it is. It is.

    20:23

    That's what you have to do. If you ever want to be able to be untied or handcuffed to the job site, you have to get everything out of your head onto paper. It's not as hard as you may think it is. And there's actually some other tools that you can use to make it way easier. But that is what has to happen. You have to get everything in your head onto paper.

    20:53

    You know, and here's where I run into my big problem every time I've tried to clean things up. Where do you start?

    21:00

    You start with what's bugging you the most or costing you the most money right now.

    21:06

    Yeah.

    21:07

    So sometimes like what's really bugging you the most, like sucking up all your energy or taking all your time or, you know, stealing all your focus away. It could be a little tiny thing that doesn't add or cost you anything other than your time. Or it could be like, I'm bleeding money over here with this thing and I need to stop the bleeding. Then we can start with the money. But it's not necessarily I have to start with things that cost me money first. So like, for example, the whole buying a trailer, staging the materials, all that, that's to me, based on what you said, it's not a high priority. So I'm definitely not going to start with that.

    21:54

    Right.

    21:55

    But what I may start with, so far based on what you said, I'm probably going to start with the accounting stuff and get the accounting stuff figured out. Because you know that's going away. Your mom's retiring soon. That's going to go away. That's what you mean in the background. So that needs to be dealt with. And that's a big deal.

    22:16

    Yeah. And plus, it's to the point where I don't... I get my numbers, but the information I'm getting is old. You just don't keep up with it as quick as I need it. I'm not in a known financial position at all when I make a decision. The information I have is old by the time it's processed through everything.

    22:41

    Why though? Why is it old?

    22:43

    Well, she's old and wants to... play with the grandkids and just kind of does it in her spare time.

    22:51

    Okay. So you're saying your mom doesn't do the entry, the data entry for maybe a week or two or three weeks or whatever.

    22:59

    Yeah. She gets to it as she can. We do a lot of bank balance accounting, which is terrible. Yeah. It's a terrible way to do the business.

    23:09

    I mean, you could hire... Who does the payroll?

    23:13

    I do the payroll.

    23:14

    Okay. You could hire out a payroll company today. for not a ton of money. You could hire out a bookkeeper in the next week to start doing all this data entry stuff. And by the way, if you hire a CPA or an accountant for the bookkeeping side or even as your accountant, they will help you set up your books in QuickBooks or in Wave. They will help you set all of that up for you. You don't have to be the one that sets it up.

    23:46

    That's been one of my concerns because I've got some softwares and I just struggle learning them because it's not something I really commit the time to that I need to.

    24:00

    Well, I mean, it's a pretty simple question, Doug. Do you want to improve your business or do you want it to stay how it is?

    24:09

    Yeah, I do. I'm getting to the point where what I'm doing is not sustainable. And I've been doing it a long time. And honestly, I don't know how I've done it this long. Probably because I watched my dad do it for 40 years. But it's absolutely time to make some changes.

    24:31

    Yeah. So, I mean, the payroll is easily... You don't need to spend... I mean, payroll is not that hard, but you don't need to spend time doing that. You could pay someone $50, $100, maybe $100, $200 a month to do your payroll. That's well worth it. You can hire a bookkeeper to do all your accounts payable and accounts receivable and also help you set up your chart of accounts in the online banking, like your QuickBooks or Wave. They can set that up for you. And they're going to charge you for it, but they can set it up for you so you don't have to figure all that out. And that may be, even if it's a couple thousand dollars to do all that initially, it's going to be worth it to get you set up going forward. Because now you're... Now you have the right backbone or infrastructure, if you will, in the accounting aspect that you don't have to worry about it. You can go online and watch YouTube videos on how to use QuickBooks. There's all kinds of ways to get the information, but you have to want to make the change bad enough.

    25:36

    Right. It's one of the things I know I needed to. It's kind of like losing weight. I know I need to. I know how to do it. Kind of. I know how to figure it out, but it's not always the top priority. It doesn't sound like much fun.

    25:53

    How do you make it a top priority?

    25:56

    Well, I think you just get close enough to burnout that you want to do. You know you got to make changes. That's kind of where I'm at.

    26:05

    So you're at burnout right now?

    26:07

    I'm pretty close. Okay.

    26:10

    I want to be straight with you. I'm not getting the vibe that you want it bad enough to make those changes. Maybe you are. I'm just not picking up on that. Yeah.

    26:24

    Well, I do. I want the changes. I want to make them.

    26:28

    But not if it costs you time and energy and money.

    26:32

    Well, that's just where I've been. I'm getting in a better spot here. My mindset's getting a little better. Nobody

    26:40

    likes change. Nobody likes to change stuff. So even if we're discomfort, we have discomfort with how things are, the thought of changing is actually more discomforting than actually staying in discomfort.

    26:52

    Right. Right. I always call it the acceptable level of discomfort is your comfort zone.

    26:59

    Basically. And if you want to be successful in business, you pretty much have to live in a constant state of uncomfortableness. Yeah. So you have to be... you have to learn to become comfortable with being uncomfortable. Because that's complacency.

    27:16

    Right.

    27:17

    When you're at comfort level, you've entered complacency.

    27:22

    I think something that's always held me back is that I've always figured out a way to make it work. And so it's kind of... For one, it kind of removed some of the urgency. And two, it kind of ate up so much of my time that I... my time and my energy just making it work that I didn't feel, you know, I didn't put the necessary work into fixing it. So.

    27:50

    I get it, but you're not 20 anymore. Like you don't have unlimited energy and what I, you know, unlimited energy and stupidity.

    28:00

    Right. I had plenty of both.

    28:04

    So, I mean, hypothetical, you get hurt in some way and you can't get out of bed for six months. What happens to the business?

    28:14

    That's a good question. I would... I don't know. As long as I get in the truck and go to the jobs and talk to them...

    28:22

    No, you can't get out of bed. You're bedridden for six months. What's going to happen to your business?

    28:26

    There won't be a business, more than likely.

    28:29

    And all your employees are going to lose their job.

    28:32

    Right.

    28:34

    And so, does that weigh on your head at all?

    28:38

    No, absolutely.

    28:39

    The fragile... What fragility? Is that a word? The fragility of your business? Yeah, absolutely. This is another reason why you got to get that stuff out of your head on the paper. Because if you had everything that you do lined out on paper and you get hurt, you could easily delegate that information to someone else.

    28:59

    Right. I think that seems like a daunting task. It really does. And it's hard to... You said there was things I could... there was things that could help me to start doing that. What, what is there softwares or?

    29:18

    There's software. What would you recommend there? So there's, there's lots of ways you can, you can approach this. There is for like office stuff, right? Like for example, and by the way, you don't have to be the person that does the actual putting it on paper. You could have someone else do it for you. You don't physically have to do that.

    29:41

    This is getting better all the time.

    29:43

    You could, in theory, you could hire a personal assistant, your wife, whoever, who just follows you around all day. And as you're driving down the road, you're just saying, okay, this is how I bid jobs. This is how I order materials. This is how... And they're just taking notes. You can also even record it on your phone. Literally, you can record it in your phone. that can be transcribed and then you could hire someone to put that into a step-by-step process. So I want you to start thinking like you don't have to be the one that physically does everything to organize your business.

    30:20

    Right.

    30:22

    So does that relieve a little bit of stress knowing that you don't have to do that?

    30:26

    That relieves a lot. Yeah.

    30:28

    So that's just one way. There's other ways like if there's a process now you're trying to go from paper to digital with accounting, but you could have your mom, if you were still doing the paper stuff, you could say, hey, mom, can you document your process for X on a piece of paper or on a computer, Word doc, or whatever? Can you just document how you do that? How do you collect the checks and then enter them in the books and then make the deposit or whatever this task is? And they can document that because they're the ones that do it already.

    31:06

    Yeah. That makes sense. Because I don't have to do all that stuff.

    31:14

    No. And you can have your dad do the same thing. Hey, dad, how do you take the sales calls? What's the process? How do you create the... Whatever. If you have a folder or whatever, you can start documenting that stuff. The next thing you can do is have your staff, your field guys, they can document some of the things that are going on out in the field. Your foreman, your brother, can document And they can do it through video. So you could have... All you got to do is take your cell phone, show up to the job site, tell your brother, hey, I'm going to record you. And I want you to talk through how you dig these footers for the peers. Right. And it's like, okay, first thing we do is we grab our shovel and we grab our bucket and we blah, blah, blah, blah, blah, blah, blah. And we do this and you break it into like a five minute video. And all it is is like, this is how we dig the footers for the piers. Take that video. Now you can put it somewhere on some, there's multiple ways of doing it, but you put that. And then the next video is like, okay, now explain how we pour the concrete footers.

    32:20

    You see, that makes a lot more sense than a written SOP.

    32:24

    Yes. The field stuff is videotaped or pictures. And then your office stuff can be a screen grab. Like right now, I can go on to Loom, L-O-O-M. It's just a screen capture software. And I can just hit record, go through the screen and what I'm doing. I can talk in the mic. I can have a video of me if I want. And I can say, okay, this is how we enter checks into QuickBooks. Step one, blah, blah, blah. Step two, blah, blah, blah, blah. And I can screen grab that. And now I have a video of a computer screen in that process. And so if I hire someone, like an assistant or a... Office Manager. All I got to do is say, go watch the videos on X. This is how we enter checks into QuickBooks. Go watch that video. This is how we order materials. Go watch that video. And you create a database on that. There's other things you can do too, Doug, with what they call QR codes. And this is probably the best way. Right. Because you can get stickers. Right? And you put stickers all over your field techs and all that equipment. And all they have to do, you can hire a greenhorn, an 18-year-old kid. And you're like, hey, go hook up the trailer materials. Well, I don't know how to do that. I've never hooked the trailer up. All you got to do is scan that barcode on the tongue of the trailer. He goes over, he scans that barcode with the cell phone. There's a three-minute video that shows him exactly how to hook up the trailer to the truck.

    33:58

    That's, yeah, that's actually just a brilliant idea.

    34:02

    And you only do it once.

    34:04

    Yeah.

    34:05

    And the beauty of like some of those QR code systems is that you can change them. So like if you print out the stick of the QR code and you stick it on your trailer, but then later on you're like, well, we're going to change our process. You can just go re-record the video, upload it, and that QR code will now show the new video, the new process. You could do that with a manual. So here's... Pretend this is my field manual. It's got notes and stuff on it. I could just have a piece of paper that has a bunch of QR codes printed out on it. Right. And this is like, this QR code goes to how we dig the footer. This QR code goes to how we pour the concrete. This QR code goes to how we set the pier. You know, whatever.

    34:47

    Yeah. See, this is, well, damn, this isn't near as complicated as I thought.

    34:51

    It's not. It's really not. Yeah. And here's the thing too, when you start doing this and you start documenting and getting this stuff out of your head, it will become addictive. You will want to keep doing it to the point to where now you're going around your house and recording how to use the microwave. It will get to that point where it becomes fun.

    35:15

    I'd have to get the kids to show me how to do that.

    35:18

    There's a couple different softwares. One of them that you can use is called GimbaDocs. M-D-O-C-S, GimbaDocs. And I'm pretty sure I actually have a discount code for them because he was on my podcast back on episode 113. If you guys are listening to this,113, I had Tom Hughes from GimbaDocs was on and he gave us a QR code that we could use to give a discount. So that's just one. There's some others out there that you could do, but that's just one that will do that type of system for you, QR code system.

    35:54

    See, that would help tremendously. You know, my guys that have been around a while, they do okay. And I usually just have the young guys kind of watch them. But it's pretty tough to, you know, a lot of times they, you know, we're in places, like if we're in a crawl space, you're not going to bring in two kids to watch you do something, you know. Right.

    36:17

    So you can record it.

    36:19

    Yeah, they wind up just doing the menial stuff. We don't want them in the way a lot of times.

    36:26

    And so here's how you delegate that task. You tell your foreman, hey, or your brother, hey, you're going to record this. Whoever the expert is, whoever knows the most should be talking about the task and then somebody else is recording it. But they're just explaining step by step, this is how we do it. And you keep them in short videos. If you have to break it up into multiple videos, you do that. Hey, step one is dig out the... Grab the tools. These are the tools that you're going to need for digging a footer. Video number two or 2A or however you want to word that. Grab the... This is how you shovel out in the crawl space. You can break it up into multiple. I do this in the Profit Club. So if someone joins the Profit Club and they go through my training videos, most of those videos in there are no longer than 5-10 minutes tops. And so instead of doing an hour long, okay, guys, this is how you do the entire sales process. It's a two-hour long video. Grab your popcorn. No, I don't do that. It's like, this is how you answer the phone. Video one. This is the first question you ask. Video two. It's broken up. so that it makes it easier to digest. And if in the future, you're like, hey, go get the piers and put them in. Well, I've never done that. Well, now you can say, well, just go watch the video on how to install piers. You're not saying go watch a 45-minute video on how to do the entire process.

    38:05

    Right.

    38:07

    Does that make sense?

    38:08

    Oh, absolutely. Absolutely. Just break it down into digestible bites. Because most of the time, they only need to do a part of it. And then somebody else can be preparing for the next part.

    38:22

    You can do a video for a helper. You can even do it based on responsibilities. So if you've got a guy who's the main operator, and then you've got a helper who's just holding the shovel or getting the materials, you can have a video that says, while we're digging the piers, these are the things that you should be getting ready and staged outside of the crawl space.

    38:47

    Yeah, that would make sense. And you can

    38:49

    pick it up by responsibilities.

    38:52

    There's so much time lost in...

    38:55

    Teaching. Basically,

    38:57

    people... Yeah. Or people just waiting to be told what to do. They just don't know the steps.

    39:05

    Right. So you document the steps and then they can watch it on their own.

    39:10

    That all makes sense.

    39:15

    I'll tell you, another

    39:17

    problem that you're going to find a way to get on me about is that my scheduling is terrible. I can't tell somebody a week in advance when I'm going to be able to look at something. I do charge for my estimates. We call them evaluations, but I just put a lot of work into them. But I can't tell them a week ahead of time when I can get there.

    39:42

    What's the reason? I'm always like,

    39:44

    what if something comes up on the job? It's more of a... I call them and say, hey, I can be there in three hours a week later. It's terrible. It's unprofessional.

    40:00

    What is going to come up on the job that you have to come in and save the day?

    40:05

    I don't know. I have no idea. Probably a fire that I've set myself at some point or another, you know, is how that... It's a mindset thing. It's almost like I just need to be around just in case.

    40:23

    It's a trust issue is what it is.

    40:27

    Yeah.

    40:28

    Because otherwise, why have staff if you don't trust them?

    40:33

    I trust them, but, you know, I'm always just preparing for something. It's a... It's a big mindset thing. And I have trouble letting things go.

    40:46

    So we have an exercise that we do. It's called how to remove fear and anxiety. It's a fear and anxiety removal tool. And I didn't come up with this. I had one of my business coaches. I stole it from him, basically. But it's an exercise you can do. So what if something happens on a job where they... potentially need your help. What's the worst case scenario if you're not able to help?

    41:16

    I don't know. They figure out something else. They figure out something on their own.

    41:21

    That sounds like a best case scenario.

    41:23

    Yeah, correct. If they did something wrong, I don't know, broke a joist under somebody's floor or broke a window or something because they got something tweaked up. just out of whack, you know, and it cost me a couple thousand bucks or a day or, you know, a big repair, a broken gas line, you know, something like that.

    41:48

    How often does that happen?

    41:50

    You know, I don't think we've ever broken a window or a door. The only one that's ever broken a gas line is me. So not a person.

    41:59

    Hold on a second here. Wait a second. You've never broken a door or gas or a window. You're the only one that you can remember that's broken a gas line. But those are three things that you're terrified of happening if you're not there.

    42:17

    Well, sure. Yeah, it sounds silly.

    42:21

    Seriously, does that make any logical sense whatsoever? It

    42:24

    does not. Now that you kind of lay it out and point it out, it doesn't make sense.

    42:32

    So the tool, I kind of actually did it a little backwards. The tool is whatever the issue is, let's say, breaking a window, right? The crew breaks a window. What good could come out of them breaking the window? What's something good that could come out of that?

    42:51

    God, they'd probably never over tweak something again.

    42:56

    So they would learn a valuable lesson, right? That's a good. What else could possibly come out of that? What good could come out of it? I

    43:05

    don't know. One of my buddies could get a job and sell in a window. Yeah.

    43:12

    Possibly. You're helping a friend out make some money. So the exercise is you take whatever bad thing happens and you look at what good could come out of it. And then you flip it and say, if perfect scenario happened, what's the bad thing that comes out of that? So let's say they never break a window. What's something bad that comes out of that? What would be a negative?

    43:40

    They can't really think of any, you know, if they never got anything tweaked or anything.

    43:44

    Well, they would never have that experience of... Right.

    43:49

    Yeah, they wouldn't know to look for it. Yeah. Yeah. They wouldn't have no experience.

    43:53

    You know, what else good could come out of that? Or, I mean, let's say good or bad. Bad. What else bad would come out of it?

    44:01

    I can't... I don't know. So the... If it never happened, yeah.

    44:06

    The exercise is designed to kind of neutralize both extremes. So if you go through this exercise and say, if the worst case scenario happens, what are some good things that come out of it? If the best case scenario happens or if it doesn't happen, what's some bad things that come out of it? And if you do that, you really got to try to write down about 10 different things. If you can do that and look at it objectively, you can realize that there's... Even if worst case scenario happens, I can still take some good out of it. And if worst case scenario happens, there may be some bad things that come out of it. And it neutralizes these extreme views that we have of what if, what if, what if, what if. What if they break a window? What if they break a door? What if they break a gas line? What if they do this? And it's like, well, if that does happen, then I can see the silver lining in it. So I'm not going to stress out about it. I don't care anymore.

    45:05

    Yeah. I never thought about it that way. But, you know, it's probably a lot of it's unfounded. I understand that. You know, it's just my mind racing. So, and a lot of it's, if I don't understand something, I hide from the business stuff on the job. I'll just be honest with you.

    45:26

    What do you mean? What do you mean? If you don't, you hide from the business. What do you mean?

    45:32

    Well, It's just, I could be writing an SOP or I could be out actually building something or fixing something. And that's always my excuse. Well, I'm just so busy on the jobs.

    45:48

    You don't need to be on the job. I know. Your team probably doesn't even want you on the job.

    45:54

    Oh, no, that's not true. I'm a lovely guy.

    45:59

    A couple other things I want to run by you. So if you're doing procedures, if you're going to make some changes and stuff, get your field people's, at least your foreman, get their input. Right. Because you may say, okay, I'm going to create this SOP that does X, Y, and Z. And you're not even going to be the one doing the work. They are. And so you walk up to them and say, okay, John, here's the new SOP. You got to follow. And they're like, wait a minute. Right. So get their opinion. And they can even actually create that for you. So they can do all of the SOP stuff, the standard operating procedures, how you're going to do stuff. They can actually create some of that stuff. And then you have the final ultimate authority of like, no, I don't want to do this. Or yeah, that's good. Yeah. But you don't, again, you don't have to be...

    46:47

    See, that's... And what's bad is I've got really good guys. I mean, great guys.

    46:52

    So start utilizing them.

    46:54

    Yeah. I just... just unbelievable guys. And I worry if I don't get this business stuff figured out, I'm going to leave them in a bond.

    47:01

    So let's figure it out. Let's get it figured out. Yeah.

    47:05

    Yeah, absolutely. I'm ready.

    47:08

    Give your foreman more responsibility, Doug. You should be... A foreman is supposed to be able to run the whole job. You should be able to go to your brother and say, here's the scope of work. Go get it done. And never show up on the job site. Never check in. Never do anything. The job gets done. They collect the check. They give it to you and it all is good. That's how it's supposed to happen.

    47:32

    Yeah.

    47:33

    That's what a foreman is supposed to do.

    47:35

    Right.

    47:37

    Give them that responsibility and you have to trust them. And more importantly, you have to let them fail.

    47:48

    That's a tough one. I'm good with... Anyway, that's a... And I don't know why I worry about it because I make more mistakes than both of them put together. But yet, I'm always terrified.

    48:07

    Here's what I want you to do. I want you to go to your brother and your other foreman. What's his name? Your foreman's name?

    48:13

    Dustin.

    48:14

    I want you to go to your brother. What's your brother's name?

    48:18

    Darren.

    48:19

    Okay. Go to the double D's. Okay. Yeah. And say, do you need me? on the job to help you and say, look, I want you to be dead straight with me. Don't blow smoke up my butt. Don't lie to me. Tell me the truth. Do you need me to be on the job for you to be able to do your job? Right. And I would probably guess that both of them would say no, unless there's a major thing that comes up and we just need clarification. And that could just be a phone call.

    48:52

    So then that frees me up to... learn all this other stuff.

    48:57

    Are you scared? A little bit. I'm not scared of...

    49:03

    I'm scared of having to learn all this stuff.

    49:06

    But why? I mean, honestly.

    49:09

    I don't know. I don't know. Just I know I got to do it. I know it's... And it's time. I mean, I'm 49 years old. I'm running out of time quickly. And, you know, my dad never had to learn because he had me. So I was going to take... take over, follow up, get everything done. He didn't have to worry about it. I don't have that. I got to get this business up and running to take care of myself as I get older.

    49:36

    Yeah.

    49:36

    Even though I'm not doing it.

    49:40

    How much is at stake if this doesn't get worked out?

    49:45

    Oh, gosh. If we don't get all this worked out, let's be honest with you, I'm probably not going to be here long. I work myself like crazy. And I don't take care of myself. And I, you know.

    50:00

    And then... Do you have kids?

    50:02

    I got four kids. My wife stays at home with kids. My parents still rely on income from the business. Yeah, there's a lot.

    50:13

    Any grandkids?

    50:14

    There's a lot going on. Not yet. Hopefully not for a while.

    50:21

    So there's a lot at stake here. Oh, there is. Is that pressure? Is that a lot of pressure on you?

    50:28

    No, it's absolutely crushing at times. Okay.

    50:32

    So how can we use that as motivation to start making these changes?

    50:36

    I don't know how it hasn't worked to this point. Well, it has worked. It's led me in pursuit of finding a way which has got me here.

    50:51

    Okay. Can we step on the gas, though, and make this stuff start happening quicker?

    50:58

    That's the thing. That's what has to happen. Because, I mean, honestly, I'm kind of running out of time. So just from a health standpoint, if I don't get straightened out a little bit.

    51:13

    Yeah. I mean, Doug, you could start walking every day. You could start walking two or three miles a day and start that health journey. Like this afternoon, you could just, when you get off this call, you could just go and take a two-mile walk or a one-mile walk or a 500-yard walk. You don't have to have everything in your business figured out and all the stuff lined up before you can take care of yourself.

    51:42

    Right. That's one of my things. I always want to have everything figured out and everything perfect before I make a move. And it just never happens.

    51:51

    And you get stuck in analysis paralysis.

    51:54

    Oh, absolutely. Yeah. Absolutely.

    51:56

    So here's a kind of a hack to get bypassed some of that. When you start creating some of these SOPs and you start taking stuff out of your head and put it on paper, you're not creating the final draft the first time you do it. You're creating a first rough draft. If you remember back in elementary school when you write a paper, you kind of outline everything and you, it's a rough draft, right? Maybe you turn it into the teacher and she marks it up and says, fix these things. That's what you're doing. It's what I call a live document. So when you're creating SOPs, it's not a once and done. And I have to make sure this video is absolutely perfect. So I'm going to record it 27 times. No, it doesn't matter. It's just a first rough draft. And even if you miss stuff, if you create a checklist for your crew, like maybe... Do you ever go to a job site and forget stuff?

    53:00

    No, all the time.

    53:01

    Okay, so you create a checklist. If you're doing peer installations for a foundation shore or whatever, you create a checklist. Of all of the tools and materials that you need, you print it out on a piece of paper, you stick it in your folder or whatever you use for the job, and before your team leaves the shop, your foreman whips out the checklist. Hey, do we got this? We got this? Yep, yep, yep, yep, yep. And they check it off. Now, the first time you create that checklist, you might forget four things on there. Right. And that's okay. Because they're going to go through the checklist. You're going to get to the job site, realize you forgot these four things. And then what are you going to do after that?

    53:48

    Add them to the list.

    53:50

    Add them to the list. That's why you have a first rough draft. And then you build off that. I had some folders that I made for my business. I made some folders, about some 17 by 14 heavy cardstock. And I would print on one side and I would fold them in half and use that as an actual folder. instead of buying manila folders. Well, the information that was on that, I probably went through 17 revisions of that document before I finally got to where I wanted it. And so you just create a rough draft, use it for a day, a week, a month, and then make adjustments. And eventually, over a period of time, you'll have the perfect document. And then you're done with it. until a year later when something changes. A new technology, a new tool, a new material. So what do you do? You go in, you just pull up that document, and you update it. That's why I call it a living document. So you got to get out of that mindset that it has to be perfect the first time you do it because it doesn't have to be.

    55:02

    Right. And even if it's not perfect, it's still better than the system we have.

    55:07

    Yeah, I mean,70% is better than 0%. Right,

    55:12

    right.

    55:13

    And then you build on it. And you get feedback.

    55:17

    I think that's the problem is a lot of times I'm just like, well, if it's not 90%,100%, it's useless. It's just something gets in the way.

    55:30

    Yes, that's a mindset. Yeah,

    55:33

    absolutely. Mindset's such a huge issue. I've been working on it. for a long time. And it's a tough one. Yeah.

    55:43

    Let me ask you, this is going to be a little left field. And if you don't want to answer, that's perfect. Okay. Have you ever thought about or have you ever done like actually seen like a therapist or some kind of psychiatrist around some of the fear stuff?

    55:58

    No. No, haven't.

    56:01

    Might be something to consider.

    56:03

    Just...

    56:04

    A lot of times, most of the mindset stuff that we deal with are because of childhood trauma or childhood beliefs. And it helped us when we were a kid. It doesn't help us as an adult. I don't want to get too deep into anything. I'm just saying... My wife and I go to marriage counseling. That's just to help us get better.

    56:28

    I got nothing against that, but I've never really thought about it.

    56:32

    Just something to consider with some of the fear stuff, some of the worst case scenario. There may be some lingering things that haven't been dealt with. It may not be. But anybody who's listening to this podcast, remove that stigma that there's something wrong with you if you go see a professional. Just throw that away. That's dumb. Does it make you weak or anything wrong with you? So has this been helpful at all?

    57:10

    Oh, absolutely. Absolutely. I've had several revelations during this. Well,

    57:18

    that's good. So I do want to give you some actionable takeaways and I'm going to follow up with you on. Great. Number one. The first one is to just check out. You can kind of hit this from different directions. It's really just start the process of getting your accounting set up. Right. Whether you log into Wave and download it for free, or you talk to a bookkeeper or an accountant and just have a conversation. I'm not even telling you to commit to actually do anything. Just start the process of researching what that's going to take to do that. You may have to talk to a few different accountants or CPAs or bookkeepers to figure out one that's going to work for you. And one little tip, if you're looking for an accountant, a CPA, bookkeeper, try to find one that specializes in construction or nervous-based industry businesses.

    58:14

    Would you recommend a... I want to switch to a profit first.

    58:20

    Yes,100%.

    58:22

    Same. That seems like... I mean, that makes sense to me. Yeah.

    58:26

    So... You probably have to go... What you can do is go to ProfitFirst. com and there is a link on there. You can fill out a form and they will put you in touch with a certified Profit First professional. And then you can just have that conversation. It doesn't cost anything. Okay. And I had a Profit First. Alicia was mine for many years in my construction business. And she lives in Minnesota. I live in Indiana. I've never met her in person. So it doesn't have to be in person. Right.

    58:58

    Yeah, with the beauty of the internet. I mean, everybody's... It's a connected world.

    59:03

    Yeah. And just to show you relieving some of that stuff, I set her up as a user of my bank account. Now, she couldn't take money out of my account. But she had privileges to pay bills and transfer money. And so I never... Once I hired her, I never paid another bill. I never had to worry about it. It was all taken care of. all I had to do was deposit money into the bank account. Now, if it got a little low, she would just say, hey, just so you know, there's only $6,000 in your account. You got $8,000 worth of bills coming up in the next week. And then I may have to make some changes or whatever.

    59:44

    Yeah, scramble.

    59:45

    I literally checked out of that and never had to think about paying bills again.

    59:51

    See, there's been months where I never paid a bill, but it wasn't a good thing.

    59:57

    I've been there too. I mean, we've all been there. But what I'm saying is, what you've effectively done when you can do that is you've now unloaded 15 things that you need to do in your business.

    1:00:11

    Right. And they're probably the 15 things that I would be the worst at, that I have the least interest in. And I could focus on other places.

    1:00:22

    Exactly. Exactly. And that, I mean, like literally you could have someone potentially onboarded by the end of next week doing that for you. And that, that task is now delegated. It doesn't take six months to get to that point.

    1:00:40

    Right. That, that's, that's one of the things is if you don't do the process, it seems pretty, it seems pretty daunting from the outside looking in and you kind of don't know.

    1:00:53

    Have you ever ate an elephant before?

    1:00:57

    No. I look like I have, but no.

    1:01:01

    Do you know how you eat an elephant?

    1:01:03

    Absolutely. They're one bite at a time.

    1:01:05

    Yeah. So you're looking at the entire elephant trying to figure out how you're going to swallow this thing. Yeah. Don't do that. Pick one little thing. Fix that one little thing that frees up an hour a week of your time or stress of that task. Pick another thing. Get that done. That one frees up three hours a week of your task or stress. And then you just keep going and you just start knocking them down.

    1:01:32

    It makes sense.

    1:01:34

    Just got to go do it. So find an accountant. Talk to an accountant. Get through the process. Try to get that understood. Like I said, you don't have to make a hiring decision or whatever. Just start the process. The other thing is... If you have health concerns, seriously, just get out and walk. I don't care if it's to your mailbox and back.

    1:01:59

    I'm not in that bad of shape. I could still go. I work on the jobs and everything, but it's just the stress is feeding me alive. The blood pressure is high.

    1:02:12

    Go for a walk. Put the podcast on. Put the Hammer and Grind podcast. Listen to an audio book. Listen to relaxing music, meditation music. I don't care. Use that time to decompress.

    1:02:25

    See, that's something that could be useful.

    1:02:29

    Well, it's not could be. At least 100% is useful. You will feel better when you do that. I promise you. Get out in the sun. I don't care if it's, like I said, to your mailbox and back. Start and just each day. Go a little bit further. Let each day go a little bit further. I don't care if you do it early in the morning, late at night, at lunchtime, whatever. Just do it. And then use that time to double down on learning. Listen to a podcast, listen to an audiobook, whatever.

    1:03:00

    Heck, I could even go scout for deer.

    1:03:02

    You could do that.

    1:03:03

    Walk in the woods.

    1:03:05

    Yeah. Actually, walking in the woods is better than walking down the street. You're in nature. Oh, absolutely. medicinal benefits to walking in the woods. That's the second thing. So we got to figure out an accountant that we're going to look into, kind of get that process. We're going to at least take one walk, try to do it each day, but I'm just saying commit to one walk, one time, one day. And the third thing is you got to ask the double Ds if they need your help on the job site. And then you're going to process the information. Whatever they tell you, you're going to actually meditate on it. You're going to process that. You're going to think about it. You're going to internalize that. Can you do those three things?

    1:03:52

    I can do those three things.

    EP127: I Go Deep Into The Feels With Doug Wright

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