Let’s start off with a review of a few of them including employee records. We all have to keep them but what is the best approach?

• As a standard rule you should have two files for every employee. One file should contain their day-to-day employee records and the second file should contain all confidential records for that employee.
• As a best practice you should keep the confidential files in a locked cabinet.

Now that you have your file system in tact you need to consider your state laws and regulations related to retention.

• Do you know what your retention guidelines are?
• If not, find out now and then create a spreadsheet for every employee and track the retention date accordingly.

Last week we talked about I-9 forms, make sure to keep them in a separate binder and not in their employee file.

OK – here’s the last tip. We all have those state and federal posters around somewhere right?

• Let’s say that when we coordinate our clocks for daylight savings time, change our fire alarm batteries, we add one more thing to that list. Get those state and federal posters and post them in a prominent area visible to all employees.

What is one thing you learned in this video? Let us know below!

- Bill and Ed

This week we are focusing on the I9 form.
Watch this video to find out what it is and answer the question… Do I need one?

What is the timeframe to complete your I9? Better watch now!
There are penalties and audits awaiting if you don’t have it right.

Great stuff, so watch now.

Do you have all your I-9 forms completed correctly?
Let us know if you’ve had any issues in the comments section below.

- Ed & Bill

1. Transition to a family member or key employee
2. Go with an outside third party
3. Liquidation

Which option makes the most sense and how can you avoid option number 3? The sooner you know what option you prefer, the sooner you can make money.

Don’t lose money by waiting and/or being forced into a position of liquidation.

Facebook, LinkedIn, Twitter, Google advertising, Yikes!

Oh yes, I’ve tried to get involved but truly don’t understand how it works and how businesses can best use it, do you feel the same way?

Well I’m so happy to tell you my friend Jeff Koran just wrote an awesome book called, “Built-In Social: Essential Social Marketing Practices for Every Small Business”.

Because he was in the landscaping business for some 20 years and after selling his business has focused on all forms of social media – he gets it and you can to after reading his book.

“Built-In Social” demystifies social media and really shows you how best to use it to grow your company and make more money.  

I know I know you’re to busy right now.  Well, I suggest getting a copy right away and make it the first book you read just as soon as you can, you will not be sorry.

You can get it on Amazon or at his web site, www.jeffkorhan.com.

Helping You Harvest Your Potential,
Ed Laflamme LIC

What do they steal?

Office workers steal everything from paper clips, pens, paper and stamps.  In the field tape measures, hand tools, wrenches disappear along with grass seed, fertilizer and more. A few years ago I heard reports of an employee stealing 5 gals of gas – every day.  Hey – it costs money to drive to and from work!

When I owned my company two workers deliberately left a whip and blower in high grass on their last job on a Friday evening.  After work he was going to go back and get the equipment.  What happened?  Individuals in the parking lot witnessed their activity so they stole the hidden equipment before they got back.  We found out about all this from storeowners in the shopping center.

As part of my consulting I ride with many account managers and job supers.  One day while riding checking jobs with a landscape construction manager, I noticed the topsoil the crews were using had quite a bit of stone in it.  When I got back to their office I asked the sales person what type of soil he specified for the job, he said screened, “hum”.  I then consulted with the owner and we found out our manager was collecting a “fee” from the supplier for the inferior topsoil.   Now the owner wondered, what else?  He began to closely monitor this manager to discover he was having material delivered to his own jobs that were being done on Saturdays, and to add insult to injury he was doing “his jobs” with the company equipment and personnel!  Hey I can’t make this stuff up.

Lastly be careful of your books.  I know I know you trust your book keeper but I have two friends, one from Texas the other from Georgia that had hundreds of thousands of dollars embezzled from them.  Oh yes both of these went to prison but did they recover any of the money?  Not a penny.

The point is whether it’s paper clips, tools or major theft, this stuff happens everyday and we need to do all we can to stop it.

The Biggest Item That’s Stolen

The largest culprit is TIME, yes the theft of TIME.  People come in late and cause crews to waste time, crews stop for coffee and donuts in the morning, crews get gas in the morning at busy stations, this is all costing you thousands.  Oh and the new problem, cell phones.  If 20 of your field people check their email and messages 4 times a day for just a few minutes each time and they do that every day it can cost you some $30,000.00!

Where is the chain saw?

Most of the times the answer to this question is, “I don’t know haven’t seen it.”  Sound familiar?  Sometimes your people borrow equipment and mean to bring it back but…..in other cases the equipment get’s deliberately stolen.

To help prevent this conduct there must be a clear policy in place along with progressive discipline when it happens.  In the case of outright theft most owners feel termination should be the consequence but with less serious infractions it’s best to have clear policy in place as to what will/should happen. 

What Can Be Done

I’m not suggesting that all of the items are implemented that I’ve listed below, but you may want to think about some of them if they may serve as a deterrent.

1. Limit the amount of employees with access to your inventory and tools and keep these areas locked.
2. Install 24-hour surveillance cameras to monitor inside and outside of your yard and shop.
3. Install GPS tracking devices on your vehicles.
4. Create rules and policies as to the use of cell phones and enforce them.
5. Create bonus programs that reward managers for not losing tools and equipment.  Give them the carrot instead of the stick.
6. Create a family culture because family members generally don’t steal from family members.
7. Talk to your CPA about what safe guards need to be put in place to avoid embezzlement.
8. Talk to your computer consultant about creating safeguards to make it as difficult as possible to copy confidential data from your computers.
9. Have pre-employment drug testing to prevent the type of people that might steal from coming into your company in the first place.
10. Talk about it, yes talk about the problem with your managers.  Make them aware that you know it could be or is a problem.  By making them aware that you are aware will go a long way in reducing the problem.

As owners we certainly want to trust our people, especially our long time and loyal people.  But we do have to face the reality of “the new normal,  and work to have less temptation in the workplace. Business is difficult enough without having our profits stolen from us. Let’s be proactive in these areas but at the same time, work to create a positive culture in our companies so that this will be less of a problem.

I’m interested to know, have you had bad experiences?  What have you done to prevent theft in your company?

Ed Laflamme LIC

Not interested in selling your business now?  That’s OK. However, you still should work each day to create maximum value in your business. Here are some sure-fire ways that will increase the value of your business:

1. Have most of your revenue be recurring
2. Consistent growth with your recurring revenue
3. Get your gross margins up to speed
4. Increase customer retention
5. Balance your market segments
6. Have solid and accurate financial statement
7. Have solid and consistant net Profits

Which areas need work at your organization? Pick one or two to focus on that would help you the most.
What are the next steps you will be taking and how will you be measuring your progress?
Let us know in the comments below! Or send us an email directly.

- Bill and Ed

This month we have been focusing on creating value within your landscape business so you can profit in the end. Our weekly videos are only a preview of our expanded video, “Getting to There with the Most Green!” which details how to plan for an exist from the landscape business.

Regardless of where you are in your business career this information will help you create a valuable landscape business!

You’re going to love this video which includes a step-by-step lesson of things to do when you are thinking of selling your business.

Join the Harvest Way Academy TODAY to get access to these valuable resources!

Until next time!

- Ed & Bill

This week we are learning 5 ways to improve the value of your company!

Potential Buyers look at key areas of your business. We’ve outlined the key areas that need to be strong in order to create value within your company.

• Earnings, Net Profit and Cash Flow
  • Build reoccuring revenue – that is what buyers want
• A Good balance of target market customers. You want a balanced portfolio
• Employees – Tenure and how long have people been with you? Are they loyal? Do they produce quality?
• Great systems – Estimating, project cost tracking, employee relations, quality account programs
• Owner – Make sure you take yourself out of the day-to-day operations so the company can function without you.

We hope you enjoyed this video. Leave your comments below!

- Ed and Bill

This week we are helping owners get the most green out of their company. How can you do that? Follow these 4 steps:

1. Determine the owner objectives
2. Understand the value
3. Build an action plan to preserve the value of the company
4. Plan the sale or transfer or your company