Maxim Enterprises

How does a pig know when to stop eating?

Last week was another great week.  I am excited to see the amount of work that we have received from our client in different areas.  However, with the increase in the amount of work there brings the issue of contractor capacity.  I know most of you contractors want to try and take every job possible like it was your last one.  As a result of this, we have developed some tools internally at Maxim to gauge office capacity and contractor capacity.  We are currently back testing the data to confirm our results.   What we have found out so far is that there is a diminishing return when we all take on too much work.  Work becomes sloppy and inefficient thus causing frustration for all people involved.  A great example of this was a situation in PA.  We had one contractor for a large area.  We divided that area as evenly as possible based on the past volumes.  So instead of one contractor in an area, we now have two.  You are probably thinking there goes ½ of my work to another person.  The answer is yes.  However, what we found out was that work all of a suddenly got done in half the time it normally took.  The two contractors worked together and if there was an issue with capacity, they even offered to cover one another if something went wrong.   By turning their work in on time it created the following for them.  Number 1 – fewer mistakes.  Number 2 – better cash flow. And Number 3 – more work from the client.  When work gets out of control it makes everyone’s life difficult.  Knowing your capacity of work is critical for your business to be profitable.  We will be releasing this tool as soon as we have tested to confirm accurate results

Maxim Enterprises had 1st Quarter Summit for 2009

This past weekend, Maxim Enterprises held its quarterly summit for contractors.  Approximately, 75 people turned out for the event.  The meeting proved to be very dynamic as contractors and employees were engaged in conversation all day.  New and existing contractor were able to hear about Maxim's vision for the upcoming year. 

Some of the topics at this summit were, effective and efficient bidding, review of Maxim's QA program and a contractor round table.  These topics also related to the 3 key factors that Maxim is emphasizing this quarter - Transparency, Focus and Systematize.

Contractor were able to get a small taste of the systematizing process with the new contractor extra-net.  This proved to be an exciting topic as contractor were learning how they could route jobs with having to type the addresses and reduce duplication of efforts.  Many more features were discussed and will be added to the contractor extra-net.

Overall, this summit proved to be very stimulatingfor the contractors and employees who attended it.  Thank you all for your participation in making Maxim successful. 

Maxim interviews Todd Achter from Barrier PPS

On March 3rd, Steve will be interviewing Todd Achter from Barrier PPS on his weekly audio conference.  Steve will be discussing topics with Todd about what makes a successful contractor to how does he treat him employees.  This should be a great audio conference as you get to hear straight from the contractor what works in property preservation and what does not work.  Here is the information for you to log in to the conference

Dial-In Number: 7124290690
After you dial in, then you need to enter the following PIN:
Participant PIN: 146373

Great Subcontractors at Maxim Enterprises

According to Realtytrac.com, 2.3 million foreclosure filings occurred in the year of 2008.  The number of properties to be serviced increased 81% from 2007.   Having great contractors will be a key in establishing a solid business relationship with the client in the mortgage field industry. My responsibility at Maxim Enterprises is to recruit these great subcontractors.  

So what makes up a great Subcontractor? More specifically, what attributes, qualities and characteristics do Maxim Contractors seem to have and have in common with each other? 

What I first found out was that it takes a unique individual to be in this line of work.  Many of the contractors are looking for some type of financial opportunity that can be capitalized on.  Contractors patiently take the good with the bad in every area.  For example, sometimes it is a work order that is a lock change or simply a grass cut that they drove 60 miles to reach.  Other times it is a work order that  the contractor drove to find someone residing at the property. But, it is when the contractor receives a work order to perform a huge work per bid that came back to us because we have bid properly to put the property into conveyance condition is most satisfying.  Overall, the contractor is constantly looking for an opportunity to make money.

Now let’s take a closer look of the qualities of our subcontractors:

Must pass background checks

Must have a strong work ethic

Must have a mind set to be "smart" workers

Must be organized

Must have common knowledge on repairs

Must be alert and have attention to detail at a property

Must have a desire for constant education

These qualities are common place with contractors at Maxim Enterprises.  

Our subcontractors are willing to work as needed to have the work completed on time every time and really strive to exceed in our 100% compliance program.   They typically take one (1) or two (2) days off a week.  I find that the best subcontractors will award themselves with time for them.  They have hobbies such as boating, four wheeling, maintaining their homes, fishing, golfing, enjoying their toys (cars and motorcycles), bowling, and wood working.  Also, lets not forget that family is the another important factor to them.

But, Why this business of property preservation?  I have found that they love the fact they are not stuck in one spot, and that every work order and everyday is different.  Work is never boring.  They enjoy being outside and enjoy the daily challenge. They are experts in lawn maintenance, lock changes, winterizations, damage estimates, debris and hazardous material removal, roof repair, boarding broken windows, and performing evictions properly.  They are not just good at these nine things; they are great because they do them over and over again with a passion. 

My job at Maxim has been very rewarding as I have come in contact with the contractors that I have mentioned above.  This business is not for the weak at heart and I am proud to be associated with a group of people that are so passionate, honest, and  have a can do attitude about their work. Thank you to all the contractors that I have been able to work with and I look forward in dealing with our new contractors as Maxim continues to expand it boundaries.

Be old fashion

Recently, many of you have been calling and telling me that other contractors are getting work in your areas.  Contractors are receiving phone calls from Realtors saying did you get this property or what is going on.  I have called  all of our clients and have specifically addressed this issue with them.  I have received the same responses from all the clients. 

First response was we are low on our volume compared to the last two to three months.  An example was a client had 300 work orders and now they are down to 150 or so. The reason for this has been the moratorium that many of the lenders, such as Fannie and Freddie, imposed on the banks.  I believe this is a short term move because of the current economy.  However, I believe that this is a bad move on their part as it will only stop the bleeding for a short period.  This lack of work has also been depending on the areas that you may work.  Some areas have been steady and other have been roller coaster rides.

The second response from the clients' was they have hired other contractors in our areas.  To me this is no surprise.  There is no guarantee of work in this business or any other business for that matter.  This is the reason why we have created our 100% compliance program.  If the client has other contractors at 100% compliance it is a very simple decision for the client.  Go with the person who delivers the results consistently 100%.  I have mentioned this several times in my emails prior. 

So what should one do as a contractor in this business?

1. Deliver 100% compliance to the client

2. Budget wisely for the next two-three months

3. Be patient

I have been in this business for the past 10 years and have seen many of the ups and downs that we all go thru as contractors.  If one was to practice the three items above, I believe that your business will be setup well for the next wave of work that is coming in the pipeline.  I am reminded of a commercial that I saw many years ago, it was a financial person saying " We do business the old fashion way, WE EARN IT".  This is so true in the mortgage field industry.  We must all earn it.