1. It doesn’t matter your ethnicity or background
The color of your skin does not determine your market value. In business, it’s all about what you can offer. It doesn’t matter if you are green, yellow, white, or black; people like to make money! If you can make money or provide a service for someone, they will hire you.
In the case of Thor Construction, they became greedy and negligent, and when their apathy spiraled out of control, they blamed others for the failure of the business. This is the mentality of a victim, a belief that will not translate to success in the business world.
2. Don’t be entitled
No matter how big your company is, it is not above common sense and quality business ethics. The business world owes you nothing, and as soon as the value of your service declines, so too will the opportunities to make money.
Thor became lazy and reliant upon their brand and reputation for continued success. That’s not enough. Humility and a good work ethic are key, no matter how big or small your business is.
3. Always pay your bills
It’s common sense, but pay your bills! This includes subs, employees, and anyone who works for you. A business is not above shortchanging their workers.
Thor inexplicably fell behind on their bills, specifically on one job working with Target. In that instance, Target stepped in and paid the subs once Thor failed to pay. This ensured the subs could finish the job, but Target had to spend extra money to make this happen. This situation was a horrible look for Thor.
4. Big numbers doesn’t mean big profit
Thor did $360 million in business in 2019, yet still closed their doors.
Let’s start with some simple math: if your contract with a client is worth $1,000, but you only profit $50, that’s clearly not a good deal.
Now, blow that up into an even bigger deal; say, $4 million. If you only net $5,000 on a $4 million job, is it really worth it?
This goes back to what Dmitry has preached in the past. Don’t look at the numbers on a job and think all is well. Sometimes, the smaller jobs yield the higher profits!
5. Cash is king, so be conservative with your money
Since businesses transact money constantly, cash becomes king. If a business has no cash equity, they’re in trouble.
Value your profits and save for those rainy days that are sure to pop up.
Thor did not, and as a consequence, they’ll go down as a massive failure for their financial mismanagement.
6. Not all business is good business
Just like big numbers don’t always equate to big profit, the same can be said for potential deals. Not every job, regardless of price, is worth your time. Do your homework on a potential client and then make the appropriate bid. If a client tries to convince you to take less money, run! Your price is your price.
7. No matter the size, business always has risks
Sadly, tomorrow someone at Storm Group could fall off a roof and become severely injured. This would be tragic and also have major ramifications for the business.
This is why it’s important to remember that business is inherently a risky proposition. You have to be diligent and prepared for the worst, especially financially.
But like anything in life, business can be great. It’s up to you as the business owner to make calculated decisions to keep the framework of your business healthy and stable.
Why Top Roofer fails! 7 lessons how you’re never too big to fail.
Thor Companies worked on projects such as: Target stores, U.S. Bank Stadium (Minnesota Viking’s stadium) and Xcel Energy Center (Minnesota Wild’s stadium). Then they FAILED?!
According to the Star Tribune, Thor Companies was Minnesota’s “largest minority-owned company and one of the biggest black-owned businesses in the country”. How could a company so large FAIL? What can we learn from them? Dmitry gives you 7 lessons from this story that you should immediately apply to your business!
Topics in this video:
0:00 -Opening montage
0:16 -Introduction to Thor Companies
1:17 -#1: It doesn’t matter your ethnicity or background
4:24 -#2: Don’t be entitled
6:32 -#3: Always pay your bills
8:30 -#4: Big numbers doesn’t mean big profit
10:00 -#5: Cash is king, so be conservative with your money
11:14 -#6: Not all business is good business
12:28 -#7: No matter the size, business always has risks
13:56 – My advice to you
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How to Fix a Leaky Roof
When you live in a climate with a lot of rain, it can be useful to know how to fix a leaky roof in an emergency. While it is not advisable to replace your roof or undertake major repairs on your own, some quick tips on how to temporarily stop a leak can be very helpful until you can bring in a qualified professional. Water can cause major damage to the structural integrity of your home, not to mention wreak havoc with electrical wiring while creating unpleasant and even dangerous odours. With that in mind, it is important to tackle problems with a leaky roof as soon as you are aware of the leak; sometimes, it can take years for the effects of a leak to be noticed and damage to your home may already have occurred. The following steps should guide you through the process of how to fix a leaky roof until you can hire a professional to make more permanent repairs.
When updating your roof, an option to consider is installing solar power shingles or panels. They can be built into any existing roof, but if you’re already replacing your existing roof, actual shingles can also be installed directly into your roof. They save you money and save the environment so what might be stopping you? Here are some decisions to take into consideration when you’re thinking of going solar.
Sometimes a roof repair just won’t fix the problem. There are times when a new roof is needed. When a leak is noticed or an area that is damaged leading to foreign items, such as animals sneaking into the home then it might be time for a new roof.
Asphalt shingles are so twentieth century. So it’s time to renew. Eco-friendly has a place in any market these days, including your roof. “Greening” your roof will both add value to your property and give your house a more modern appeal.
Regular roof maintenance includes roof cleaning. Looking over the roof from time-to-time will help homeowners know if there is a leak or other issue. Roof cleaning will get debris off the area to help prevent damage. It is best to call on professional roof cleaners for this job because it can be difficult and dangerous.