I have decided to take real contractor examples from our files and change the numbers to protect the innocent — very similar contractors with different approaches to strategies toward business.
Let’s start with Contractor A, who copied his boss’ overhead and business structure with no idea of costs. Texas has a saying for ranchers who are all show and no go. They refer to them as a “big hat, no cattle” operation. Play cowboys who are more image than ranch-savvy. Some contractors can also be described this way. Their approach is to grow and to make money. It is an easy trap to fall into and it usually goes something like this.