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DETROIT — While most contractors can plow snow well, the most savvy and profitable professionals also master the business aspects of snow management, including thorough documentation, said John Allin, owner, Snow Management Group, Erie, Pa. While some contractors view snow removal as a hassle, those who approach it as a serious profit center can generate profit margins in excess of 60 percent, he said.
Allin, who has built his company into one of the largest and most respected snow management firms in the nation, shared his secrets to success with more than 75 contractors Sept. 19, in Detroit. The presentation is part of the Lawn & Landscape Snow Management Seminar series. (As part of the series, Allin will be hosting day-long snow management seminars in Philadelphia, Pa., Sept. 26, and Boston, Mass., Sept. 28. For more information call 800/456-0707.)
“One of the things that differentiates the small, struggling business from the successful, thriving business is record keeping,” Allin said. In snow management, with its high liability potential from slip-and-fall accidents, snow contractors need to keep faithful records. In his company, Allin employs a dispatcher and a back-up dispatcher, who in addition to calling out plow drivers, document all calls and activities related to snow. Area leaders, supervisors and plow drivers also use forms to document snow removal activities. Conditions documented include:
· Where people are working and when;
· When salt trucks arrive on site and how much deicing material is used;
· Phone calls requesting service;
· Outgoing calls to customers and what was discussed;
· Weather conditions at customer locations, including snow depths, ground and air temperature’
· Non-weather conditions at a customer location, including number of cars in the lot;
· Photographs can also be used to document unique circumstances.
In addition to use in the case of a liability claim, thorough documentation is also a necessity for accurate customer billing and the payment of subcontractors, which Allin said is essential. Because subcontractors often talk to one another on CB radio, they know which contractors in an area pay accurately and on schedule. Those contractors who pay on time, every time, will have the most success in finding the labor and equipment necessary to grow the business.
“You will realize that the more records you keep and the accuracy of those records can mean the difference between success and failure in any given snow season,” Allin said.
