• Mechanical sweeping to handle heavy applications like millings
• Independent broom control for in-the-cut precision
• Single engine for fuel economy and less maintenance
• Simple start-up procedure with easy-to-operate controls
COMMERCIAL POWER SWEEPING, SMITHFIELD, VA
In many ways, the story of this east coast powersweeping company is the classic account of a startup in this expensive heavy equipment industry.
A young man becomes aware of career potential in powersweeping. He happens across an existing operator with a small book of business. He buys the business, and he’s on his way.
Fast-forward to 2024. He’s grown the company exponentially, all organically, through word-ofmouth from satisfied customers. He’s got over 30 employees, about 30 trucks, a mix of every major brand, and has become reputed as an exceptional provider to the Virginia and North Carolina property management and construction industries.
Stauty worked for an outdoor power equipment company. He was recognized as a very talented professional in his field and one company after another was trying to hire him.
Karl Stauty, Owner, Commercial Power Sweeping, is among today’s most trusted service providers along the east coast. His basic operating philosophy has served as a fully-organic primary branding tool. It essentially amounts to being fair and treating people well — just trying to build good relationships with employees, customers, vendors — everybody. But, that’s telling the story too fast. What’s really happened to make CPS so successful and so sustainable in the Virginia / North Carolina interstate market?
THE KARL STAUTY AND CPS BUSINESS GROWTH STORY
Well, in the beginning, Stauty worked for an outdoor power equipment company. He was recognized
as a very talented professional in his field and one company after another was trying to hire him. A pavement sweeping business owner tried to recruit him. Karl tells his story: I pointed out that the guy only had one truck, and I also told him I don’t want to work for anybody. He said, “Buy me out. So, we made a plan and I bought him out. Then, for a long time, I worked both jobs — my regular job and running the new business. It was challenging, and we were having a baby and renovating an old house all at the same time.
Starting out, I was beating the pavement, trying to increase route density as fast as possible. Within 18 months, I added a second truck, and about 9 months later I added a third. Then I ended up connecting with a property manager, an IREM member. She was
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so proud of what we were doing, we were able to develop a long business relationship with her. Today, we service 26 properties for that management company. Our business is currently about 60% retail, 40% commercial work and industrial cleanup after milling for paving contractors. We’ve had 4 to 5 trucks per day behind those. Every year we’ve grown by word-of-mouth and through the website. Over the past 4 years or so (since COVID), business has dropped, but we’ve still never had to go out and do sales to keep growing.
EQUIPMENT AT CPS, SMITHFIELD VA
The last five trucks we’ve purchased have been Victorys...They’re made of stainless steel, which is a huge benefit on the coast.
We’ve bought all kinds of sweeper trucks over the years — Elgin, Tymco, Sweeprite, Schwarze, Nitehawk, and Victory. The last five trucks we’ve purchased have been Victorys. I like them because they’re so durable. They’re made of stainless steel, which is a huge benefit on the coast. Their simplicity of design is also important to us. Some have involved too much overthinking. We just need it to work. We don’t need all the bells and whistles and gadgets. Victory sweepers’ quality of craftsmanship, their
price point, product support, and their innovations are all excellent. Our mechanic calls their support team, and whatever we need, it’s done. We also like the common use of parts through their model. That’s a very important convenience and time-saver for us.
We currently have 9 street sweepers and 14 for parking lots, all NiteHawk, Victory, and Schwarze. We have pickup trucks that our porters drive, and those that our 4 guys in building maintenance drive. We have a service truck with an air compressor, a welder, a crane, and equipment for hydraulics work. We had a water truck, but have eliminated it, partly because of
the very strict storm water regulations here.
COMMERCIAL POWER SWEEPING TEAM
We have multiple porters, people in building maintenance, pavement sweeping, and other service types. We also use subcontractors for some building upgrades and other large jobs. There is a superintendent for each division, and two other long-time employees who handle training. We have an operations manager and an administrative assistant in the field. We also have two full-time mechanics who are very, very efficient.
For sweeper truck maintenance and any work on other vehicles, there’s nothing we don’t do in-house.
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We have a very low turnover rate, and the key is to treat people right and recognize the value of the performance they provide... Two-thirds of our employees have been with us 15 years or more. One has been with me 27 years and another for 20 yrs.
We rebuild engines, weld, etc. We have two tire changing machines. The chassis wear out before the sweepers. So, we’ve probably remounted about a dozen sweepers on chassis.
When we get a new driver, after 2 to 3 weeks of training, he spends time with the mechanics. Every truck goes through the shop every day. The operators are trained to do pre- and post-route paperwork. But regular maintenance is going on 7 days per week. We do 30 trucks every week.
CPS CULTURE
We have a very low turnover rate, and the key is to treat people right and recognize the value of the performance they provide. We have a couple of dozen drivers and building maintenance employees,
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and four managers, so a total of about 30 people, including myself. Two-thirds of our employees have been with us 15 years or more. One has been with me 27 years and another for 20 yrs.
Yet, like all businesses in every industry these days, our biggest challenge remains finding and keeping good talent. Fortunately, we get a good number of referrals to new workers from our current employees and other acquaintances. We do offer a complete benefits package, including medical, dental, vision, and 401K.
We have monthly meetings about quality, new accounts, performance, forecasting for replacement equipment, etc. We have a big Christmas party every year. We give performance bonuses, and bonuses
based on a lack of damage to equipment. We also reward drivers if they see potholes or other issues by paying them a bonus if we get the job because of them bringing the report to us.
Safety is top priority for us. We provide safety vests and all other safety gear. We also provide uniforms, boots, etc. (Marketing is minimal at CPS. But, the safety vests do have the logo.)
I’m looking to scale back on unnecessary costs more and more every day. So, it’s a lean workplace culture. I like to make sure it’s as efficient as possible. So, saving costs and maximizing efficiency are priorities in our company culture. But, our culture is centered on our customers’ needs. Anything that needs a response within 24 hours, we make that happen.
In terms of a growth plan, we want to keep our forward movement as-is and progress naturally. I believe — don’t bite off more than you can chew. Some business owners like to explode their metrics all at once. We’ll never do that. Just steady, controlled growth is what I want, and to cut overhead so we can share the wealth.
ADVICE FOR NEW MARKET ENTRANTS FROM KARL STAUTY, OWNER, COMMERCIAL POWER SWEEPING, SUFFOLK VA
I think most people realize this, but business is relationships. It’s not about the money, it’s about the relationships. If you can build relationships with your customers, you’ll grow as they grow. They’ll take you with them over the years to come, because you have built your relationship with them on trust.
To do that, don’t say you’ll do something you cannot perform. Be straight-up honest. Call and let them know if there’s a problem. We want to communicate with them before they call us about any issue. We never want to be a nameless invoice. We can never go to a customer’s site and not find some issues that need attention. Once a month or more, we check every location. That keeps the lines of communication open, generates trust, and generates income.
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LEGAL REQUIREMENTS FOR COMMERCIAL PAVEMENT SWEEPING BUSINESSES
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Agreed, all the pavement out there is not going to sweep itself if you become too distracted from your mission by obscure and tedious busywork trying to stay ahead of legal risks. At least, that sounds reasonable. But, unfortunately, it’s an oversimplification of the very extensive range of serious business legal responsibilities for pavement sweeping company owners. Those can include, for example, safety compliance, environmental, employee, and consumer protections, and cybersecurity, among others. Below is a list of some laws that govern the activities of commercial sweeping contractors:
unless it is a willful violation which can lead to a fine of $161k, up to 6 months in prison for the employer, and additional fines of double the gross gain or loss due to the violation.
SPOTLIGHT INDEX
HOW TO PROTECT YOUR BUSINESS AND YOURSELF LEGALLY
There’s a rather shocking range of legal concerns affecting the rights and standing of business owners in the US. Consider these legal circumstances of high consequence for all pavement sweeping contractors and general contractors with sweeping services working as subcontractors.
OSHA Law
The US federal Occupational Safety and Health Administration code is to protect workers’ health and safety on the job. Penalties for a failure to comply with one of the laws can result in a fine of over $16k,
EPA Law
The Environmental Protection Agency For sweeping businesses, State emissions laws are likely to be a significant cost factor, and noncompliance can be costly, depending on your state, the number and kinds of sweeper trucks and other fleet vehicles you operate, truck ages, maintenance habits, and driving behaviors of the team. Waste disposal laws applicable to dumping hoppers on commercial sweeper trucks can cost operators significant amounts of time, inconvenience, and fees to maintain compliance.
Driver License Law
Depending on the size, type, and functionality of your sweeper truck(s) and the state and county you operate in, your driver(s) may be required to obtain a CDL license, vs. a regular driver’s license before operating your trucks. Depending on the state, penalties for driving without a required CDL license is a Class A Misdemeanor and may range up or downward from a $1000 fine, 6 months in jail, and 3 months of ineligibility from applying for a
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The full array of tax laws that may apply to your business and your personal finances can include federal, state, and city income tax, as well as the employer portion of each worker’s income tax.
protect employees from medical costs and loss of income in cases of work-related illnesses, disease, or injury. Workers’ Comp can cover medical expenses, a portion of the impacted worker’s lost wages, and even permanent disability benefits. Employers who carry Workers’ Comp insurance are protected against civil lawsuits that might otherwise arise from workrelated impacts to employees’ health and/or safety. Tax Law
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CDL license. If an accident results, the crime status is higher and the penalties can become extreme.
Workers’ Comp Law
Workers’ compensation is a state-required or voluntary workplace injury insurance system to
The full array of tax laws that may apply to your business and your personal finances can include federal, state, and city income tax, as well as the employer portion of each worker’s income tax. Tax laws may or may not include personal property tax in your area or personal state income tax on your own income from your business. State and/or local
The Federal Insurance Contributions Act requires employers to deduct their own and their employees’ portions of the required FICA premiums from every paycheck. Those payments are recorded in the Social Security system.
sales tax may apply to goods you purchase that will be resold as part of a finished product or service and/or that will be consumed directly by your business’s owner(s) and/or workers.
FICA Law
The Federal Insurance Contributions Act requires employers to deduct their own and their employees’ portions of the required FICA premiums from every paycheck. Those payments are recorded in the Social Security system. Noncompliance with this federal requirement can bring some of the most severe penalties of any to which an employer may be subjected in cases of failure to meet federal withholding obligations. An employer found guilty can receive both civil and criminal penalties, with the latter even including up to 5 years in prison.
HIPAA Law
The Health Insurance Portability and Accountability Act protects people whose health and medical
a Demonstration
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Failure to maintain adequate security of customers’ financial information in your network system can lead to civil court judgments and extreme brand damage that can threaten your business.
Fraud Prevention and Privacy Law
Federal law protects consumers’ right to privacy and protection from theft and misuse of their financial information. Financial details stored in your online payment system must be protected from undue exposure to hacking, theft, and sale or fraudulent use of such information. Failure to maintain adequate security of customers’ financial information in your network system can lead to civil court judgments and extreme brand damage that can threaten your business.
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Contract Law
SPOTLIGHT INDEX
information and associated details are maintained by another party. A deliberate violation of HIPAA law can result in staggering penalties, including up to a $50k fine and one year in prison.
Small sweeping contractors should be especially interested in efficient ways of collecting overdue balances, since there is often not enough money at stake in a delinquent account to file a lawsuit
Keystone Plastics has been manufacturing the industry’s leading replacement brooms for street sweeping and road construction since 1954. At Keystone we believe in reliable quality and strive to make the heaviest, longest lasting brooms in the industry. We also believe the only good broom is the one that arrives to you as promised. Contact us to find a distributor near you.
to collect it. As a contractor doing a job for a commercial property owner, a small developer, etc., you are often in a position to actually prepare the contract. There are advantages to writing the contract provisions with your own lawyer, such as a clause for attorney’s fees if you have to pursue collections through a court and win the case.
Generally speaking, as a sweeping contractor, when you write a contract, you should avoid any risks that you’re able to defer to the property owner or a subcontractor you may have working through you on the job.
Debt Collections Law
You can improve your success rate at collecting money from slow-paying customers by, first, knowing who you’re dealing with in each prospective
customer. Before signing a contract to provide your sweeping services, consider whether the hiring party has the necessary resources to pay you on time. If that is uncertain, then think about what remedies you have at your disposal and how effective they are really likely to be. Do your due diligence, and make your business decision about whether entering the contract makes sense for you. Signing a service contract is essentially a decision to grant credit, i.e., the same thing a bank does when providing a loan.
Lien Law
For small sweeping contractors doing work for private entities, the best recourse in cases of nonpayment is the ‘mechanic’s lien” against the customer’s business, property, final estate, or whatever is subject to such a lien. Another way to
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help a subcontractor ensure eventual payment of overdue amounts is obtaining a payment bond from the customer before the work begins. Another is to have the customer put the funds to be paid in an escrow account. Yet another method is to have your customer write a joint check. You need to determine upfront whether you will need to use one of these methods of ensuring proper payment. After you’ve legally agreed in the contract to do the work, the window has closed on these options. Credit Law
To help confirm the creditworthiness of prospective customers, listen to word-of-mouth. Ask other contractors, and/or materials suppliers, and others, about their experience in being paid by the party. If the job is large and depends on borrowed funds, examine a commitment letter from the customer’s
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BUSINESS CORNER
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Damage Liability Insurance is an essential for working as a contractor for most construction project owners, property managers, and others.
rights under your contract. Modify your contract before signing, as needed, to remove a requirement for you to keep working for 30 or 60 days longer after the account goes 30 days, before you can actively pursue collections. When you sign the partial waiver each month during a long contract, be sure you’re not waiving your lien rights. Track your receivables to ensure that you discover a collections problem asap.
Insurance Law
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lender. If you’re a sub on a large/long contract, ask if the project owner has obtained a payment bond for it. Avoid letting any customer build up a high account balance before you pursue your collection
Damage Liability Insurance is an essential for working as a contractor for most construction project owners, property managers, and others. The amount of liability coverage you are required to have can vary between routine sweeping customers, construction project sizes, etc. In any case, you pay your premiums to shift the risk to your insurance carrier. General
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contractors often try to transfer as much of their liability risk as possible to subcontractors. When providing service as a sub, it is recommended that you try to minimize the amount of liability transferred to your business.
Indemnification Law
or the other party are found at fault for a delay or other issue.
Indemnity is an issue on all construction projects. The project owner wants protection if an injury or death occurs in the course of the project. So, the owner seeks to obtain formal indemnification from contractors on the job. It is naturally in a contractor’s interest to limit the extent of the indemnity as much as possible to minimize his own risk. It is recommended that you consult with your attorney if you are concerned about the scope of indemnity proposed. Generally, you may opt to accept the standard indemnity clause with additional words of your own, or some tweaks to reduce the level of risk to you that the clause represents.
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A good rule of thumb for business managers in any service work environment is — in everything you do and have your employees engaged in, consider the flipside of your own interest.
SPOTLIGHT INDEX
For example, if a construction site sweeping or a milling cleanup contract becomes delayed for months, the sweeping contractor may want to recover overhead, etc. The sweeping contractor may want to dissolve the contract by negotiation, or take advantage of a recognized legally allowable exception to one or more terms of the contract. It’s important to understand, going in, what those are.
COMMON SERIOUS LEGAL ISSUES FOR SWEEPING BUSINESSES
RESOLVING BUSINESS LEGAL DISPUTES
Legal remedies for or against sweeping contractors in civil disputes may allow or require cases to be resolved in arbitration. That’s usually a faster and less expensive approach to dispute resolution. You may be permitted to collect or be forced to pay interest on disputed amounts, depending on the outcome of the case, of course. You may be allowed to recover or forced to pay damages, depending on whether you
Undoubtedly, you’ve already sought and acted on good upfront legal advice for structuring your business as an LLC, or other taxable entity that provides you with strong personal asset protection. The legal encumbrances discussed above are everyday concerns for sweeping contractors. There are many more. Whatever their individual nature, they all fall under one of the two legal categories — civil law or criminal law. Some cross both.
Civil law governing contract performance covers a vast range of particulars that we can’t cover here, for example, procurement problems, bid protests, performance issues, change orders, contract job delays, work suspensions, extras, productivity loss claims, no damages for delay clauses, and so many other types of contract law matters. The overall message on such civil law questions is that you can
much better protect yourself by carefully examining or writing the terms of the service contract yourself. Criminal law noncompliance typically has associated civil suit implications following prosecution. So, all sweeping contractors should take all applicable laws very seriously to avoid the risk of negligence, perceived wilful noncompliance (OSHA, etc.), or other escalated charges stemming from lesser offenses.
A good rule of thumb for business managers in any service work environment is — in everything you do and have your employees engaged in, consider the flipside of your own interest. Think about the perspective of and costs to the other participants in the job. Those are your workers, your customer, and the general contractor, if you’re a sub. Consider all
the potential issues that can arise for them.
That won’t eliminate all your legal risks, of course, but it can help you build goodwill, significantly improve working relationships, and build your B2B brand and employer brand. All those can be major benefits in mitigating legal issues and reaching solutions outside court.
THE 1-800-SWEEPER FOUNDATION SUPPORTS K9S FOR WARRIORS
The 1-800-SWEEPER Foundation is thrilled to announce its partnership with K9s for Warriors to raise funds for the training of service dogs that assist veterans suffering from service-related trauma. K9s for Warriors is a nationwide 501(c) organization and the largest veterans service group aimed at providing highly trained service dogs to veterans, helping to alleviate the debilitating symptoms of PTSD.
Sadly, approximately 20 veterans die by suicide every day due to Post Traumatic Stress Disorder, which is a distressing statistic. We are reaching out to support this crucial cause and donate to this campaign. Starting from August 26th and continuing until September 27th, we are seeking donations to finance a 6-month training program and care for a service dog for a deserving veteran.
Sadly, approximately 20 veterans die by suicide every day due to Post Traumatic Stress Disorder, which is a distressing statistic.
We are reaching out to support this crucial cause and donate to this campaign
veterinary care, and training materials such as vests and leashes. Furthermore, many of these service dogs come from shelters. By rescuing these dogs from abandonment or euthanasia, they too are given a fresh start. As a result, two lives are forever changed.
Our goal is to raise $30,000 for this cause, with 98% of the donations going directly to K9s for Warriors. The funds raised will be used for the training program, as well as for food, shelter,
Charles Joseph of All Care Services and a 1-800-SWEEPER Board member says “I have always had great respect for those who volunteer to defend our country and a deep love for animals. During my visit to the K9s for Warriors facility, I was truly amazed. Understanding the profound impact of PTSD on our soldiers and how this program supports them was truly eye-opening. These remarkable dogs not only save lives but also provide crucial assistance to our returning soldiers,
while also giving shelter dogs a second chance at life. I take great pride in supporting an organization that makes such a significant difference.”
The Partners of 1-800-SWEEPER will kick off the campaign on August 26th. Our partners will encourage their employees, customers, family, and friends to take part. A check presentation to K9s for Warriors will be made at the Sweeper Summit in Las Vegas on October 22nd. If you’d like to help veterans live a life of independence and dignity, please visit www.1800sweeperfoundation.com and to make your donation.
About The 1-800-SWEEPER Foundation
At 1-800-SWEEPER, we understand the importance of cleanliness, safety, and community support. That’s why we have come
Whether you need power sweeping services or want to support a worthy cause, 1-800-SWEEPER is here for you. We believe that by working together, we can make a positive impact on the world and create a better tomorrow for everyone.
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TOP PAYROLL SOFTWARE
OPTIONS FOR SMALL PAVING AND STREET SWEEPING BUSINESSES
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Running a small paving or street sweeping business comes with its own set of challenges, and managing payroll shouldn’t be one of them. With the right payroll software, you can streamline your payroll processes, making sure your employees are paid accurately and on time. Here are some top payroll software options that are perfect for small paving and street sweeping businesses.
GUSTO: COMPREHENSIVE AND USER-FRIENDLY
Gusto is popular among small businesses for its comprehensive features and user-friendly interface.
It offers automated payroll processing, tax filing and employee benefits management. Gusto also provides direct deposit options and allows employees to access their pay stubs online. Its intuitive dashboard makes it easy to navigate, even for those who are not tech-savvy. With Gusto, you can focus more on your business and less on payroll hassles.
QUICKBOOKS PAYROLL: SEAMLESS INTEGRATION WITH ACCOUNTING
QuickBooks Payroll is an excellent option for businesses that are already using QuickBooks for accounting. This software integrates seamlessly with
QuickBooks, allowing you to manage payroll and accounting in one place. QuickBooks Payroll offers features like automatic payroll tax calculations, direct deposit and employee self-service portals. It also provides robust reporting tools, helping you keep track of your payroll expenses and stay compliant with tax regulations.
ONPAY: AFFORDABLE AND FEATURE-RICH
OnPay is known for its affordability and rich feature set. It offers payroll processing, tax filing and benefits administration at a competitive price — and you get your first month free!
OnPay also supports multiple pay rates and schedules, making it ideal for businesses with diverse payroll needs. The software includes an employee
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For small businesses on a tight budget, Patriot Payroll is a great choice. It offers essential payroll features at a low cost, including payroll processing, tax filing and direct deposit.
business owners. With its robust features and trusted reputation, RUN Powered by ADP is a solid choice for small businesses.
CHOOSING THE RIGHT PAYROLL SOFTWARE
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When selecting payroll software for your small paving or street sweeping business, consider factors like ease of use, cost and customer support. Look for software that offers the features you need, such as automated payroll processing, tax filing and direct deposit. It’s also important to choose software that can scale with your business as it grows.
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self-service portal where employees can view their pay stubs and update their information. OnPay’s customer support is highly rated, so you’ll get the help you need when you need it.
PATRIOT PAYROLL: BUDGET-FRIENDLY OPTION
For small businesses on a tight budget, Patriot Payroll is a great choice. It offers essential payroll features at a low cost, including payroll processing, tax filing and direct deposit. Patriot Payroll is easy to set up and use, making it a good option for businesses with limited payroll experience. The software also provides free customer support, ensuring you have access to assistance without additional costs. Patriot Payroll’s affordability and simplicity make it a great choice for small paving and street sweeping businesses.
RUN POWERED BY ADP: TRUSTED AND RELIABLE
RUN Powered by ADP is a trusted name in payroll services, and it is known for its reliability and comprehensive features. This software offers payroll processing, tax filing and compliance support. RUN Powered by ADP also provides HR tools, such as employee onboarding and performance tracking. The software’s mobile app allows you to manage payroll on the go, making it convenient for busy
Managing payroll doesn’t have to be a headache. With the right payroll software, you can streamline your payroll processes, save time and guarantee your employees are paid accurately and on time. Whether you choose Gusto, QuickBooks Payroll, OnPay, Patriot Payroll or RUN Powered by ADP, you’ll be making a smart investment in your business’s future.
For more tips and insights on managing your paving or street sweeping business, subscribe to North American Street Sweeper Magazine today. Stay informed and keep your business running smoothly.