| DAY 1 |
I. Cash flow
budgeting
a) General presentation on month-by-month cash flow
budgeting
b) Why departmental budgeting is important
c) Discussion of the need for family budgeting
II. Workshop - Family budget (This will be the basis for
determining
required owner's salary, which you will later build into the business
budget.)
III. Discussion on how to spread overhead costs by department
a) Square footage (rent, utilities, etc.)
b) Number of employees (medical insurances,
uniforms, etc.)
c) Number of vehicles (insurance, maintenance,
etc.)
d) Gross sales (overhead that cannot be spread
any other way)
IV. Workshop - Each company will develop criteria for spreading
its
overhead costs as outlined above.
V. Labor pricing presentation/workshop (As each area is
presented, each
contractor will complete the worksheets in preparation for data
entry into
the
software program on Day 2.)
a) Equipment replacement costs
b) Field labor and non-billable time
VI. Lunch break
VII .Presentation/Discussion on “Why customers do or do not
continue to do business with you.”
VIII. Labor pricing presentation/workshop (continued)
a) Material costs and markups
b) Company matching taxes
c) Subcontractors
d) Misc. incomes (trip charges, etc.)
IX. Discussion and creation of “Customer Response Cards” (to
be
designed during class, and when possible, printed for contractors to take home
with them).
X. Homework - Review and refine data entry worksheets for
tomorrow. |
| DAY 2 |
I. Software demo
of “Labor Pricing for a Profit with Cash Flow Projections”
a) Presentation of how the software works (data input
and reports)
b) Perform “What if” on sample company as a class by adding a tech and
related costs (workshop)
c) Contractors look up and record specific information
on the “sample company” in the software (workshop)
II. Data Entry (workshop)
a) Each company enters their data from worksheets filled out the day/evening before
b) Lots of one-on-one help (consulting)
III. Lunch
IV. Complete company software model and review results
(workshop)
V. Copy company model and begin “what if” process of maximizing
each companies profitability (workshop)
VI. Homework - Complete the data entry and review the results.
Return to class the next morning ready to discuss findings (making
money, losing money, one department subsidizing another, etc.)
VII. Optional -
After-class discussion of pro/cons of Flat Rate Pricing
a) Presentation of how it works
b) Pro and cons of systems and companies who create the
systems
c) Forms available for those that want to order one of
the four systems discussed |
| DAY 3 |
I. Discuss
results of previous day's computer models.
II. Copy individual company model and go through the “what if”
process to increase profitability by 5% in each department.
III. Service Agreements
a) Presentation on how to design, price and
market S/A
b) Design three-fold brochure in class (to be
printed, if possible, prior to leaving for home)
c) Price the S/A using the computer model
IV. Tax Tips (Pick up enough tax tips to pay for your entire
trip!)
V. Lunch
VI. Cash Flow Discussion
a) Create collection's policy
b) Cash flow tips while a job is being sold,
while it is being done, and when it’s completed
c) How to set up credit card use for your
customers (and why)
d) How to set up a line of credit with your bank
(and why)
VII. Find out what to track and how to track it (actually create
in class)
a) Cash flow summary statement
b) Tracking billable hours on a graph
c) Tracking overhead costs on a graph
d) Tracking receivables
e) Tracking gross margins
VIII. Wrap-up - What did you learn?
a) Comments and questions
b) After seminar “Follow-Up Accountability
Program”
c) Feedback sheets |
