Tina Brown, owner of Bastrop Tank Wash in Bastrop, La., relies on word-of-mouth referrals. Her company does good work, so satisfied customers translate to a big sales team.
Building and growing a business based on word-of-mouth speaks highly of Bastrop Tank Wash. Of course, word-of-mouth goes both ways – negative impressions can bury a business.
That’s why it’s important to treat every job as if it’s your most important one and to not let potential profits from a single job cloud your long-term perspective. Here’s a great example.
My sister was selling her house in Bloomfield Hills, Mich. After accepting an offer, the buyer requested the usual inspections to make sure everything was in good order. Unfortunately, after video inspection of the sewer lateral, the inspector told the buyer the clay pipe was cracked and choked with roots and had to be replaced at a cost of $10,000.
After much wrangling between buyer, seller and their real estate agents, my sister sought a second opinion. The second contractor reviewed the video and determined the line to be in decent condition and replacement unnecessary.
More wrangling ensued. The buyer was not satisfied and wanted the lateral replaced. Finally, to facilitate the sale and be done with the headaches, my sister agreed to replace the line, but she went with the second contractor who quoted only about $5,000.
While the work crew was setting up, the owner of the company televised the line again to make sure they knew its path from the house to the main out in the street. He discovered there were several bends in the pipe that routed it around the side of the house and under the driveway – there had been no previous mention of having to tear up the driveway – on its way to the main. The video showed some very minor cracks and almost no root intrusion.
Armed with even more evidence of the lateral’s true condition, the contractor told his crew to stop working. He contacted my sister, assured her there was no need to replace the lateral, and told her he would gladly put it in writing. That ultimately satisfied the buyer.
My sister ended up with a modest bill for the contractor’s work that morning but saved thousands over the replacement cost. The contractor lost out on thousands, but he gained respect and the promise of good referrals, which will likely be worth far more than a single lateral replacement job. He understood the big picture: It was wrong to do unnecessary work, and his reputation held far more value than a single job.
That’s an ethic and an understanding that all contractors should have, and it’s a business practice that can multiply success. Here’s hoping all of you can meet that same standard and propel your businesses to greater heights.
Enjoy this month’s issue.
