There is a real cost that doesn't show up anywhere on your profit and loss. And that real cost is your inexperience. Contractors try to save money by doing everything themselves. They do their own bookkeeping, their own marketing, their own website, their own sales, their own hiring, their own payroll, their own estimating, sometimes even their own legal work. And they justify it by saying, why would I pay somebody to do something I can do myself? But that's the wrong question that you should be asking. The question is, what is it costing you to have an inexperienced person doing this job? Because just because you're the owner doesn't mean you're the best person to do everything in your business. And sometimes the most expensive employee in your company is you. Hey, welcome to the show. I'm your host, Brad Hebner. I'm a licensed general contractor, author of The Contractor Profit Blueprint. And I help overwhelmed contractors boost their profits and regain their freedom by showing them how to charge what they're worth. In this episode, we're talking about what's the real cost of inexperience in your business. And it's actually much, much more expensive than what you probably think it is. So what are we talking about? Like in the intro, we're saying, hey, I'm the owner. You know, I built this business from scratch. I know how to do everything. I know how to do on the tools. I can build a house from the ground up. I can do this and this and this. I am awesome, right? I mean, ego wise, I can do everything. And so therefore, why would I pay someone else to do this job? Now, let's talk about the real, another real cost. And that is it does cost things. You know, it does cost money to do things. If you need a new website, it's going to cost. you know, eight, $10,000 for a new website, there is a hard cost there that we have to consider. However, the cost we're talking about is you trying to build your own website in nights and weekends, or even obviously during the working hours, because here's the reality of it. And as someone who's built multiple websites, you're going to spend, you know, anywhere from 20 to 100 hours to build a website. Now, does AI help you do things much faster? Absolutely. Is that still the best way to use your time? Absolutely not. Because the truth is, you don't know what works well. Right? Do you know like, how do you do your H1 tags and your H2 tags? Do you know how to do, set up your metadata for the, you know, for AI and for SEO? Do you know how to do all that stuff? Most of you probably never even heard those terms. Right? Oh, well, Brad, AI tells me what I did. Guys, that AI. is awesome. I've been using AI for like over three years since it first came out. AI is tricking everyone to think that they're now the expert and they're not, right? Now, does it help you? Absolutely. Use AI as much as you can. It's a force multiplier. I love AI. I use it every day. You should absolutely use AI. But does the AI make you all of a sudden a website builder? No. Does it make you a marketing genius? No. There's still inexperience, even with AI, that causes things in your business when you're doing it yourself to not get the best results. Okay? Again, yes, if you have zero money available, you're just starting out, you can leverage some of these things because my philosophy is bad, good, great. Like if you have a bad website, a really bad website, that's still better than not having a website. If you have a good website, that's better than a bad one. If you have a great website, obviously that's the best version of that. And apply it to anything. Marketing, branding, whatever. Sales, all that stuff. All that stuff, yes, there is a bad, good, great philosophy or funnel, if you will, to get to the best. But we're not just talking about those things. Because not everything can be done with AI. We're not just talking about that stuff. So let's break down some of these things. because it's important to talk about this. I went to a two-day business conference for a group that I'm in, a coaching group that I'm in as a student, and they had this two-day business conference, and it was absolutely awesome. I mean, it really was. You get the network. There's about 36 or so other business owners of all genres. I mean, I think that was the only contractor in the room or business coach who works in the construction industry. There were speakers and authors and, I mean, just the whole gamut of people that you can come across. And as a sidebar here, if you can get into rooms like that, it's one of the best things that you can possibly do for yourself and for your business. Being around other people who are doing amazing things in their business. And being able to rub shoulders with them and talk to them and, you know, just have those conversations, get feedback on what they're doing in their business and what's working and helping you. I mean, it's just amazing. You'll notice if you go to the YouTube channel now, it says I've actually rebranded the YouTube channel. It now says the Contractor Profit Blueprint with Brad Hebner. It doesn't say the Hammer and Grind podcast anymore. As we start to change some of the branding and have a more focused direction on where I want to go. That's where we're at. So if you ever get the chance to do that, and we will be actually putting on some of those events here in the near future. So make sure you pay attention and look out for some of that, those announcements, because they are, it is a great opportunity to get into a room like that, especially at a very small scale where you get to actually have real conversations with people. All right. So, so when it comes to inexperience, we natively understand this. on the job site, right? Like nobody wants to hire the guy who says, oh, I got 10 years experience. And then you hire him and he acts like he's never done it before, right? So we understand this on the job site. We already understand that, you know, we wouldn't put somebody in charge who's never installed tile before in a $30,000 master bathroom and say, just figure it out, right? A tile job. You've never installed tile. Great. Here's $30,000 worth of tile. Go figure it out. That's like no one would ever do that ever. That's I mean, you're like, Brad, that's common sense. Like, are you think I'm stupid or what? But yet we do that to ourselves in our business all the time, every day. I'll figure it out. I'll figure it out. I'll just figure it out. This is why I always say that dumb, you know, dumb business owners usually are more successful than smart business owners, because smart business owners think they can figure it all out themselves. And they can because they're smart, but they don't look at the cost of the inexperience of trying to figure it out. themselves, right? So you know that if you put somebody in that $30,000 bathroom situation, you know, it's going to take longer, you know, they're going to make mistakes, you know, they're going to waste material, you know, the quality is not going to be very good. And you know, somebody experienced may eventually have to fix it anyways. Like you know, these things I'm not, I don't have to tell you, you already know these things, right? That's the cost of the inexperience. But then We get into our own business as the owner and somehow think that those rules never apply to us anymore. They don't apply to us as a business owner. We know it on the job site, but in our business, it doesn't apply. We're special. We're the exception. We can figure it out. I mean, I was having a conversation with someone just yesterday, and this was the conversation. I'm like, You know, there's parts of my business that are not where I want them to be because I'm stuck because I do a lot of the stuff myself. And I, you know, I am a smart person in the sense of I can figure things out. And, you know, having ADD and liking to be the problem solver, like it's fun to try and figure stuff out. Is that the best use of my time? Absolutely not. It's not. It's absolutely not the best use of my time. And so it's always a constant battle for me to be able to say, can you do this? Yes. Should you be doing it? No. Right. Can you do it? Yes. Should you be doing it? No. So capability doesn't equal responsibility, right? You can learn QuickBooks. Absolutely. You can learn Facebook ads. You can learn how to build a website. You can learn SEO, how to write contracts, how to run payroll, how to design a logo. You can figure out HR. The question isn't, can you do it? The question is, should I be the person doing that? And by the way, some of these things I knew from the very beginning, I had a little bit of foresight to know not to do it. I've never done payroll, ever. If you put a gun to my head and said, do payroll, I would die. I literally have no idea how to do payroll because from day one, I always had someone else doing payroll for me. I never needed to learn how to do it. And people are like, well, Brad, it only takes 10 minutes to do it. It's super easy. That's not the point. The point is not whether it's super easy. The point is, why should I learn how to do that? So you shouldn't be the one learning how to do everything in your business. Here's the thing. I had a conversation yesterday on a coaching call. Your time is not free. I've said this 100 times. Your time as a business owner is not free. There is a real cost. And then when you add in the inexperienced side, the cost is even greater. Everything you do in your business should have a dollar amount assigned to it, and it should be providing value to your business. In the book, Dan Martell's Buy Back Your Time. Great book. You should read it because this is a lot of the philosophies that I'm talking about is that you need to, you shouldn't be doing a task that a $15 an hour employee or a $5 an hour VA can be doing. You shouldn't be doing that task, period. You should be hiring people. There's no reason for you to do it. Okay. So the time isn't free. This is where owners screw up. They'll say, I saved a thousand dollars because I did it myself. Brad, one of my clients was one time on a call, and I've mentioned this before. He was doing all the plumbing in his bathroom because it was going to save him some crazy number, $3,000 or $5,000, something like that. He was doing it himself to save that money. Sounds like a good idea. Man, if I could save $3,000, I'm putting an extra $3,000 in my pocket, Brad. Yes, but... What if that same time, that same day, you were out there and you sold one or two or three jobs, or you sold $50,000 worth of work? You lost that opportunity on that day because you chose to save $3,000 or you chose to save $1,000. There's real hard costs there. So when you say, I've saved $1,000 because I did it myself, did you? Did you actually save $1,000? So let's say an expert would charge you $1,000. You hire an expert to do something, they charge you $1,000, and you save that $1,000 by doing it yourself. So you spend three hours researching it, two hours watching YouTube, five hours trying to figure it out, three more hours fixing it, and another two hours screwing with it later. That's 15 hours that you spend of your time to save $1,000. Was it worth it, right? What could you have done in that 15 hours? Like I said, you could have sold another job. You could have followed up with leads. You could have built relationships. You could have trained your team. You could have improved your production. You could have job-costed projects. You could have worked on something that only the owner can do. You could have worked on processes, some SOPs. You could have done training. There's all these things you could have done during that 15 hours. But Brad, I did it on the nights and weekends. It doesn't come out of my work time. It comes out of my free time. Well, do you have a family? Like maybe you're single? Great. You have a family. You're stealing from your family. There's a cost there. Your family has to pay the price. You're not paying it. Your family's paying it by not having you around. That's a real cost. Okay. It's a real emotional cost. So your time has opportunity costs. Free labor from the owner isn't free. That's what I just said. Your time is not free. Stop thinking about your time as free. I tell people all the time, especially new members coming in, the worst possible thing you can do with your time as an owner is going and getting materials. The worst thing you can waste time on. You should not be going and getting materials as an owner of a business, right? I'm not talking about the exceptions. I'm talking about the norm, right? Is there going to be one exception where you go get it? Sure. Great. The problem is you want to use the exceptions as the everyday norm. They're called exceptions because they happen very, very infrequently. You treat exceptions as the norm. That's your normal day, right? So there's more time than a cost. There's more than a time cost that goes with this. Okay, so time. You take five hours to do what an expert does in one, right? Mistakes. You don't know what you don't know. So you don't even know if you made mistakes. You have to do a rework. Now you have to fix what you did incorrectly. Because you don't know what you don't know. I think it was earlier this year. I set up, I built my own claw bot. If you guys remember back then, there's a new claw bot. It was an open source AI. You can build your own claw bot and it does everything for you, right? There's all kinds of security concerns. So me, you know, figuring out how to do stuff because I like tech. I said, I can build my own claw bot. You know, I did have access to a YouTube video that shows you how to do it and blah, blah, blah. And I used AI. And, you know, I went and got a private VPS server, virtual private server. So it wasn't tied to my stuff. And I had all the security and I did all this stuff. And I'm telling you, I spent probably close to 40 hours trying to get this thing to work over the course of a week. Maybe, maybe not quite 40, but I mean, at least 20 hours because I spent two full days and probably more than that. So, I mean, at least 20 up to 40 hours of my time trying to build this claw bot that was going to be great. The last time I used the claw bot was probably two months ago. Now I still have it. I could still use it. And there's still some, you know, I still can get some value out of it. But I spent all that time setting up something because it was a new trendy thing to do. And I thought it was going to be great only to not even use it anymore. That's what we're talking about here. Again, this stuff isn't lost on me. I'm just as susceptible to it. Right. So we do the reworks because we did it incorrectly. We have missed opportunities. So while we were figuring out why I was spending two days trying to, you know, get this stupid thing to work, I could have been following up on leads. I could have made some sales, whatever. Right. So you're not doing, you're not out there doing the higher value task. Then you get poor results, right? Sometimes you complete the task, but very badly. It doesn't come out with the exact result that you wanted, or you get delayed results. Right.