Grow Smarter, Not Faster
Yes, there are the “quick and dirty” ways to make more in the HVAC business. You can try to service more customers in a shorter amount of time or work longer hours. Subcontracting work out is common practice in our industry. One for sure way of making a quick buck – one that we don’t ever recommend - is by cutting corners on the job.
The problem with trying to “get rich quick” in this industry is that HVAC is a service-oriented business. Any decision you make that impacts the quality of service the customer receives will have a direct impact on your bottom line. So while you might make more money in the short-term, you’ll see a decline in business longer-term.
What You Need to Grow Your Business
Real, sustainable growth requires one thing: a plan. You know how the saying goes: “A goal without a plan is just a wish.” Truer words have never been spoken, particularly when it comes to owning a business.
Now, just saying that your goal is “to grow” is not specific enough. Three months from now, how would you know if you met your goal to grow or not? You can always make arguments both ways. So instead of just saying you want to grow your HVAC business, consider using the SMART goal method to build your growth goals.
Use SMART Goals to Grow your HVAC Business
SMART goals are Specific, Measurable, Attainable, Relevant, and Time-Bound.
Specific – What exactly are you looking to achieve? For example, do you want to increase your close rate?
Measurable – You need concrete evidence of whether you’re on track to meet your goal. In the example of improving close rates, what is your current close rate? What would you like your close rate to be?
Attainable – Do you have the skills or talent to reach the goal? A great goal will define the “how” of accomplishing the task. Perhaps you’ll need to attend some sales training or follow the steps in a helpful book.
Relevant – This portion of goal setting is about checking yourself – is the goal realistic? Is it worthwhile? Is it the right time to try this? For example, you might consider that close rates can be dependent on competition, which isn’t within your power to change.
Time-Bound – Goals should always have an end-date in mind. This ensures a deadline for you to focus on and work towards. You might look to improve your close rate over the course of three months, for example, rather than three weeks.
As a business owner, you should already be tracking standard HVAC business metrics. If that’s the case, then you should be able to make correlations between positive business results and what things you did that led to those results. You might start by looking to improve or increase those high-value activities.
One exercise we’ve found helpful is to talk with our team about what went well in the past week, and what steps we can take to make sure that continues to happen. For example, following up with customers before and after our visits to their home resulted in a much higher close rate. With this information, you can build a growth goal.