| Expanding your business requires you to take a | | | | didn't have time to service, because that is instant |
| good hard look at your business (checking under | | | | cash money and positive cash flow. Then you |
| the hood). You need to ask yourself. What am I | | | | would definitely need another mobile detailing rig or |
| making money at in my business and what isn't | | | | car wash truck. |
| making a lot of money? It requires coordination | | | | What about other factors, such as seasonal |
| with all aspects of your business. It requires a | | | | changes? You see, daylight savings time might |
| look at your schedule and where inefficiencies lay, | | | | end and if you think you had problems getting to |
| if any. Just expanding is easy. Anyone can go out | | | | the four to eight extra calls a day, just think |
| and buy a new truck. If you are expanding for | | | | about losing one hour a day of daylight on top of |
| ego sake, that's ok as long as you understand | | | | that. If you started to think about expansion on |
| that it is your primary objective. If your ego is | | | | September first then the fleet account's cash |
| that important to you go out and buy a sports | | | | flow would catch up by let's say November 10th |
| car for yourself, but realize why you are doing it. | | | | and the personal car's money would cover you |
| If you are trying to satisfy your ego, great. Just | | | | until then. November 10th is before rainy season |
| don't fool yourself. | | | | in most sunny states, but what if you live in |
| If you buy an additional auto detailing rig or car | | | | Washington, Oregon, Northern CA where the |
| wash truck, remember you will: | | | | rainy season begins on or around October |
| Have to pay to train a new manager | | | | fifteenth? |
| Have to hire a crewmember | | | | You need to ask for help with things you are |
| Have more incidental expenses such as: water, | | | | unsure of or step back and be honest with your |
| gas, supplies, insurance, etc. | | | | motivation for expansion and the reality of your |
| Double your labor costs | | | | small business. You must duplicate your second |
| Have additional insurance and truck payments | | | | mobile auto detailing rig or car wash truck to |
| Have to spend more time in sales the next two | | | | exactly match your first. This way your manager |
| months | | | | of your second unit understands where |
| If we look at this carefully, you see the trap. Let | | | | everything is. If not allow him or her to run your |
| us say you have signed up some fleet accounts | | | | first unit and you take the new unit to run. Our |
| which will pay a good chunk of change each | | | | advise on this subject may not be what you |
| month, but you know you will have to bill them | | | | expect to hear or even what you want to hear, |
| and it is quite likely that they will in fact take up | | | | but you need to audit the true position you are in |
| to 30 days to pay the invoice; meaning you will | | | | before you expand your business. |
| have to do the work for 30 days and then wait | | | | Our advice is based upon twenty years of |
| an additional 30 days to get paid. It would be a | | | | experience in our industry. An industry, which I |
| different scenario if you had thirty percent more | | | | myself helped create and is still redefining on a |
| personal cars to wash at office buildings and you | | | | daily basis. Think before you expand. |
| were getting four to eight calls a day which you | | | | |