Pro Installer April 2018 - Issue 61 | Page 28

28 | APRIL 2018 News Read online at www.proinstaller.co.uk PREPARING FOR THE RUSH Any business that has big seasonal variations has a challenge. This means the cashflow doesn’t flow smoothly through the year and nor does the work. Benjamin Dyer, CEO of Powered Now, looks at various ideas for reducing the strain. When I was growing up my family ran a hotel on the Isle of Wight. The hotel was always busy, but there was a problem – during the summer visitors rolled in faster than we could deal with, the hotel was a hive of continuous activity. The winter however was the converse, aside from the odd ‘Tinsel and Turkey’ coach party things were relatively dead. The solu- tion? During the summer months my family worked seven days a week, starting early and finishing late, serving in the bar. Dur- ing the winter the family would decamp for Spain where they lived for several months, doing nothing. My family’s problem with the hotel perfectly illus- trates the problem faced by Installers – demand isn’t flat-out throughout the year. Spring can be a very busy time for installers, the longer days and warmer weather mean not only lighter moods but turn peo- ple’s thoughts to improving their houses. In this article, I will look at some ideas for coping with this issue. Manage when the work gets done Tour operators have a way of handling the sum- mer rush. They move as much demand as possible away from the peak period by using surge pricing. Anyone that has children knows the painful (and expensive) experience of booking during the sum- mer holidays. People without kids near- ly always go on holiday in the spring, early summer or autumn because it’s much cheaper. Tour operators have expensive overheads and fixed assets that need utilising the whole time. So, it makes sense to price much lower outside the summer period to shift demand, even if holidays run at a slight loss during that time. You can use the same technique by offering ‘early bird’ deals for people who make a commitment just before your busy period. You could also offer ‘late bird’ offers – delay for four months and get 10% off. When people commit to you, the competition has lost, so you may well end up with more business overall as well as a more manageable workload. It’s also a way of capturing price-sensitive customers without disadvantaging you. You should also try to move other work to a dif- ferent time of the year. For instance, if you do landlord certificates maybe you could offer them early and at a much lower price to move them from your busy period. That way you can benefit from the full price in the years to come while at the same time they are much more convenient, and you can provide a better service. Do everything you can out of season During the busy period, be very careful to avoid an- ything that could possibly distract you from getting the job done. So, explain to staff that holidays are not encouraged during this period. While this may make you a little unpopular this needn’t be a problem provided the message gets through in good time. Tell- ing someone that they can’t have time off once they have made arrangements is much more problematical, so make communication a priority. Gas engineer John McLouglin says: “Every five years I have to do an assessment and re-sit the core gas qualifications”. You should look at what time of year this is going to happen and if it falls in the busy period, do it earlier to avoid losing available time. In the same way, deal- ing with problem staff as well as recruiting new staff should all be sorted would need to charge for the quote ‘ if You you need to do a survey so you can guarantee the price with no unforseens ’ out before the peak load. In the case of new staff, recruit them well before so you never have to provide additional supervision and training when everyone’s hands are on the pump. On another point, did you know that if you are a limited liability company you can mov