Another thread for newbies
Hold on tight, here comes a big rant!!
I was going to respond to a few different threads but decided to post a new one.
I wish everyone would stop calling it a preservation business! Of course if you only work for safeguard then maybe you can say preservation business(more like worker/employee)
You are in the REO business (Real Estate Owned).
That consist of preservation, maintenance, and repairs.
Saying you are in preservation and ONLY working for middleman is like saying you are a plumber but you ONLY snake out shi*ty toilets. You see there is a plumber in the area that does all of the rough-in on new houses, installs high end fixtures on rehabs, installs water heaters, fixes plumbing leaks but calls you when the crapper if full! You get to tell all your friends you are a plumber! Guess what? You ain't jack SH*T!
I don't consider anyone who ONLY works for a national or regional to be in the REO business.
Sorry, I don't! You are just someone elses laborer.
I know some guys have a middleman they tolerate but still are able to find work on their own and will eventually be successful and drop all middleman at some point. My rant is for anyone new or has been in this business for a year or more and can't find one single direct client.
You see, it's because of the middlemen that 90% of you guys who find this site even exist. If it wasn't for them all of the work would be performed by actual contractors who know the business!
It is too easy for someone who just lost a job, or looking for work to be suckered into working for a middleman. They answer an ad and say "Hell, I can cut lawns and winterize a house, how hard can it be I cut my own grass" Then they come on here crying about how their business failed and how this "Preservation Industry" is such a waste of time and EVERYONE who does it will lose money! WRONG!
Lets make another comparison. Lets say you have worked sales for your entire life and lost your job, you tell your wife "I want to open a restaurant" Your wife ask "What the HELL do you know about a restaurant?" You say "Honey how hard can it be?? I make dinner on the weekends right?" How do you think that is going to work out for you??? I don't know the number but most business fail within the first year! Why? Most of the time it's because the person was unfamiliar with the business or not prepared. Sound familiar???
Lets take it a step further. Say you open a Jack in the Box or Subway, or Taco Bell, etc.... Any of the franchise businesses. That's what it's like signing up for a middleman. You don't have to make a name for yourself, you don't have to find customers, you don't have to know what an OVEN is! You just have to sign up and WHAM! You have all the volume you need. Of course you still have all of the overhead, you have to buy ALL MATERIALS from the franchise and pay them a % of all sales! Whats the problem? Go find any franchise owner and ask them what kind of money they are bringing home at the end of the year, I bet it's on track with most of you guys working for a national or regional! 99% of franchise owners will tell you they OWN their job! They do NOT make allot of money.
Now lets look at it a different way. Guys like me are the ones who grew up in the restaurant business. Maybe I worked at McD's at age 13, at age 17 I got a job at a local independent hot spot restaurant in town as a server, after high school I went to college for management and worked my way up to assistant manager, eventually I was running the joint and knew EVERY SINGLE POSSIBLE aspect of running a restaurant. Now at age 30 I decide to open my OWN top shelf 5 star restaurant on Main St.
I struggle the first year as all business do but I survive, I would have failed if I didn't have 15 years experience in the industry! By age 35 I own THE HOTTEST SPOT IN TOWN! Everyone knows my place and comes here for dates, birthdays, anniversary, weddings, etc...
Sure they still go to Mcd's everyday for lunch and spend $7 but when they want to drop $400 they come to me!!!
I responded in a thread the other day about a lady who's husband quit after 4 years of dealing with middleman. He never really took off in the "Preservation business" and got tired of being pushed around and not making money. He got a job making good money with vacation and benefits. I'm glad he got out and made a decision to go back into the work force and hope it turns out great for their family!
He is probably a great worker, hard worker, loyal worker, someone any employer would love to call an employee!
But that is the PROBLEM! Some people make great employees and some make great bosses(business owners). You have to be one or the other!
There is absolutely nothing wrong with being a great worker, the problem is if you try to become the boss, most times you will not succeed!
Now, I'm not taking about being the boss of your department, I'm talking about running an entire business.
Sometimes it happens but I truly believe it is inside you all along and not something that can be learned or taught.
I never worked at Mc'd's, the above was just a restaurant reference. However, I was dirt poor when I was a kid. I grew up in North Philly and raised by a single woman with 2 kids who worked at a grocery store making minimum wage. When I was 10 I got a paper route and bought all my own clothes, bike, scooter, toys, and an Atari 8 bit computer in 1985. I had 3 jobs in high school, got my wife (then girlfriend) pregnant at 17 (yeah, FUN) always had at least full time job and 2 others. However! I always had that drive in me, I knew I was the boss from day 1. By the time I was 25 I worked my last JOB and now I am a successful BUSINESS OWNER!
What I am getting at is this business is like any other business on the planet! If you want to own one then you better do you homework, not just answer a Craigslist ad and think you will be the next BIGDADDY!