How has business been in the last three months?

[bjp_ne_elec]

I don't know how to set up surveys, but I'm curious to get feedback on how you're doing lately, considering the recession we're in. I know talking to Carpenters and GC's, they feel like more home owners might be doing some of the smaller projects themselves. Now as far as Electrical, legally homeowners in NH can do their own work - but I find that generally most HOs don't trust themselves to do the work. But the residential business has been slow, and if I do get a call, it's always for an estimate. Before the slow down, I'd generally show up and give a price and immediately get the go ahead to do the work. That's not happening now. I give an estimate and then if I get the job, I'll get a call about a week later. So I think people are really taking the time to look for the best bargain.

On commercial, I'm seeing my customers selectively doing the most critical work - but holding off if it's not absolutely critical.

So overall everyone is "tightening their belts".

Be curious if anyone sees a trend were things might be picking up - as I don't see it here in NE.

 

[brian john]

Calls wise, some days I am slammed others the phone does not ring at all.

All the men are working, so far.

 

[ceb58]

I have seen the same here in NC also. The resid. had almost stopped the first part of the year but has picked up some in the last 2 months. The commercial has not really slowed down but the jobs where you may have had 4 or 5 EC's bidding a job has gone to 15 or 20.
I will say this "dont put all of your eggs in on basket". I have 2 GC that I do all of their work for. 1 GC was strictly resid. he had a crew of about 20 guys, he would do framing for other contractors plus any remodeling or new construction he landed on his own. He is now down to himself and 2 guys and there were weeks they had nothing to do. The other GC had been slowly working into the smaller commercial market along with resid. He has not missed any work. The commercial work has kept him busy since the first of the year and although when he bids the work he has to sharpen his pencil some he hasn't slowed down. The same holds true for EC's the ones that were strictly resid. have laid off guys and parked trucks. They had counted on the resid. and had not went into the commercial market and now they are paying the price.

 

[goldstar]

According to my accounting program I'm about even with last year but the first 3 months of this year were horrible. I got lucky and picked up a few services and a couple of large remodel jobs. Other than that, nothing real big.

As far as bidding I agree, there are a lot of bargain hunters out there. I recently bid on a small commercial job (fitness center - rehab - couple of day's work - not much material) here in my town and as luck would have it I ended up bidding against a friend of mine. The GC told me my price was too high. I was within $200 of the lowest price.:-? It's getting to the point where I won't even take a ladder off my truck for the prices that jobs are going for.

 

[Dennis Alwon]

I don't understand it but this seems to be my best year ever. We will see how it all holds out. I even did a commercial retail shop with 77 troffers, etc. For me that is unusual--

On the other hand, I have many EC friends that are having trouble putting in 25 hours a week. So I guess I am just lucky that the jobs are here for me.

 

[bjp_ne_elec]

Dennis - are most of you clients repeat customers? I think that's a big factor in keeping steady work. If and EC just focuses on new construction, then that EC is going to cycle like the new housing market.

 

[Dennis Alwon]

Dennis - are most of you clients repeat customers? I think that's a big factor in keeping steady work. If and EC just focuses on new construction, then that EC is going to cycle like the new housing market.

Yes, my work consists of subcontract work from a few builders I have worked with for many years and also repeat customers.

 

[Red Wiggler]

Record year

Record year

I am in Austin TX. Austin seems to have entered the recession slower than the rest of the country. We currently have a bigger back log of work than we did at this time last year, and last year was our best year in business. I am waiting for the drop in work, but have not really seen it. The bid work is tighting up (85% of work is competatively bid). Instead of seeing 3 GCs, and 3, or 4 ECs bidding on work, we are seeing 6 to 7 GCs, and a dozen or so EC bidding the same work.

We are truely fortunate to have wide diversity of work available, and I hope that we can slide through the recession somewhat painlessly. I know this seems selfish, but it is what it is in this type of business.

 

[brantmacga]

what recession?

Its coming out my ears.

 

[ptonsparky]

We were busy until about a month ago. We have some stuff coming up but mostly just day to day. Some days are spent cleaning trucks and whatever else needs done.

 

[electricmanscott]

Previous two months dead.
Last one month better.

 

[Rewire]

I know one guy who is covered up but he is bidding work for 25.00/hr.

70% of our work has been service and remodels and 30% new construction now that 70% is 100% of our work.

I could be covered up with work all I would have to do is lower my price to 24.00/hr.

 

[hillbilly]

I could be covered up with work all I would have to do is lower my price to 24.00/hr.

Sure beats a poke in the eye with a sharp stick.

Seriously though, I'll do whatever it takes to weather this storm.
You may make little or no profit, may even lose money, but at least it may keep you afloat until things get better.

Kinda like having a life raft with a hole in it verses no life raft at all.

steve

 

[electricmanscott]

.

I could be covered up with work all I would have to do is lower my price to 24.00/hr.

I know I'll be skewered for this but....If that's what it takes to at least cover your expenses for the month than so be it.

 

[zog]

Swamped, hiring 2 more pople this month, can't keep up.

 

[Rewire]

Sure beats a poke in the eye with a sharp stick.

Seriously though, I'll do whatever it takes to weather this storm.
You may make little or no profit, may even lose money, but at least it may keep you afloat until things get better.

Kinda like having a life raft with a hole in it verses no life raft at all.

steve

We just opened another shop in a nearby city and have started to generate some calls from that area I see things starting to turn but I must say this is the slowest July I have seen in many years.

 

[GUNNING]

This summer started out good and petered out. Going day to day waiting for the phone to ring. Looking over my bills. Saved $45 going over my phone bill. Got slammed by AT&T again and they creditied me again. Pinching where I can.

 

[Rewire]

This summer started out good and petered out. Going day to day waiting for the phone to ring. Looking over my bills. Saved $45 going over my phone bill. Got slammed by AT&T again and they creditied me again. Pinching where I can.

We shopped for new vehicle insurance and saved almost 2 grand

 

[Besoeker]

It hasn't been altogether bad for us.
After close to forty years in the business, we have a lot of old reliable kit in service. Many of our customers see keeping it operational as a better and lower cost option than replacement.
Our compititors can only offer replacement but, in the current economic climate with capital expenditure being scrutinsed in every area, they are already on the back foot.
For sure, new business is harder to win at decent margins. That said, we have had a reasonable run of new projects. We just need to be leaner and meaner to ensure that margins are preserved.

 

[220/221]

may even lose money, but at least it may keep you afloat until things get better

LOL. How is losing money going to keep you afloat?

I think we'ere still down 50%. I am afraid to ask.

I am dead set against lowering pricing. We have done it a few times recently and it always turns out bad.

I say, keep doing what you do, cut the fluff, get rid of the riff raff and hang in there.