Aussie Painting Contractor Magazine February 2021

100

th

is sue ! www.aussiepaintersnetwork.com.au

The

APN Team NIGEL The tea and coffee maker of the team

LORINDA The go to in the office for all things

ANNE Everything magazine and graphic design

CHRIS The other tea and coffee maker when Nigel isn’t there

CLIVE The voice on the other end of the phone

JIREH All things website

MICK The trainer that looks after the apprentices

JO All things apprenticeships

From the

Editor

Hey Everyone, Welcome to the 100th Edition o f t he Aussie Painting Contractor Magazine.

They said we’d never make it!!

Well, that was the doubters when I first proposed the idea of starting the network. Here we are almost 10 years and 100 magazines later!!

It has been a real journey and team effort from many, and you know how much it has been appreciated. Caroline, Anne, Steph, Jim, Clive, Colin, Michael, Jenny, Sandra, Mandy, Justin, Lorinda, Micheal, Chris, Jo, and all the content writers for this magazine. Without all these people and more, it would not have been possible to reach this milestone.

I have been reminiscing and reading back through past editions and its incredible to see how far APN has come. It has been a rollercoaster ride at times, and I look forward to the next 100.

I would like to introduce Jo Kirley as our Recruitment and Marketing Manager, if you are looking for staff or looking at marketing through APN she is the go to person.

APN have been working on some big surprises coming in the next month or so. Check your emails and get on the Facebook Group for the announcements!!

CONTRIBUTORS • Andrew Spark • Angela Smith • Anthony Igra • Helen Kay • Jim Baker • Leo Babauta • Monroe Porter • Nigel Gorman • Peter O’Connor • Robert Bauman • Sandra Price • Vanessa Petch

EDITOR Nigel Gorman

Till the 101th, Happy Painting!!

GRAPHIC DESIGNER J. Anne Delgado

Nigel Gorman

nigel@aussiepaintersnetwork.com.au

07 3555 8010

Advertise with us...

1800 355 344 07 3555 8010 info@aussiepaintersnetwork.com.au

www.aussiepaintingcontractor.com

Contents 06

Do you really know your numbers?

09

HOW TO MAKE SURE You get Paid

12

AWESOME WOMEN IN CONSTRUCTION (AWIC)

16

7 Practical Tips to Trim the FAT IN YOUR BUSINESS

20

32 35 38

Who Pays?

Common surprise costs that we regularly come across.

Using a drone in your trade business Practicing Good Leadership Goals also should be accomplished by building a series of objectives and tasks

41

Is your business giving you what you want?

44

The Challenge of Doing HARD CHALLENGES

47

The 7 Habits of Highly INDEBTED PEOPLE

WHY GET A PAINTING APPRENTICESHIP? The opportunity that everything gets built will need to be painted.

23

Don’t mention the ‘War’

27

To get ahead as an introvert, ACT LIKE AN EXTRAVERT. It’s not as hard as you think

50 51

Industry Idiots Important Contacts

Opinions and viewpoints expressed in the Aussie Painting Contractor Magazine do not necessarily represent those of the editor, staff or publisher or any Aussie Painters Network’s staff or related parties. The publisher, Aussie Painters Network and Aussie Painting Contractor Magazine personnel are not liable for any mistake, misprint or omission.

Information contained in the Aussie Painting Contractor Magazine is intended to inform and illustrate and should not be taken as financial, legal or accounting advice. You should seek professional advice before making business related decisions. We are not liable for any losses you may incur directly or indirectly as a result of reading Aussie Painting Contractor Magazine. Reproduction of any material or contents of the magazine without written permission from the publisher is strictly prohibited.

Do you really know your numbers?

Why ignoring cash flow shortages could spell the end of your painting business...

Has the health and economic crisis of 2020 exposed cash shortages in your painting trade business? Now that it’s dragging into 2021, it might be time to get your head out of the sand and know your numbers!

Like most painting business owners, in 2020 you’ve probably been under the pump just trying to keep your business afloat during the pandemic. Tracking your cash flow was pushed down the list or maybe was never even on there to begin with…

However, we’ve now learnt that even the most profitable businesses can be undone by cash flow — especially in such uncertain times that seems to be dragging on endlessly.

H2: Where to start?

Creating a cash flow forecast will provide you with a cash flow ‘crystal ball’ which will help you identify any future potential cash flow bottlenecks. It takes just a few simple sets to set up! CLICK HERE to download our free template!

The first thing you need to do is to make sure you understand your costs and profit margins. Also, know

6 | Aussie Painters Network

how many jobs you’ll need at your target profit levels to earn the money you need to succeed.

For instance, you may feel like you’re making money on every job. But after you pay for paint, staff wages/salaries, vehicle costs, and other business expenses how much hard cash is there leftover? Is it enough to sustainably keep your business afloat long term?

H2: Key cash flow forecast considerations

Your cash flow forecast will take sales projections into consideration. We recommend you prepare sales forecasts for one year in advance, if possible.

A cash flow forecast will help prevent a temporary cash shortage.

When setting your own sales, there are a number of factors to consider — weather, seasonal demand for your services, public and school holidays, rostered days off and long weekends, can all impact your sales.

The next thing you should do is sit down and map out what 2020 looked like in terms of cash flow for you.

Use invoices, bank statements, and any other sources to populate this. If you have a good accountant, ask them for assistance to ensure you get the right numbers.

H2: What if my cash flow is tight NOW? While cash flow forecasting is all good and well, if you’re struggling to get money in the door as we speak, here are four steps you can implement today to improve your cash flow moving forward.

Step 1. Invoice quickly. Ideally, you want to invoice on-the-spot.

Step 2. Collect payment on-site. Get money in the bank faster.

Step 3. Implement deposits and/or part payments. You won’t be out-of-pocket at the end.

Step 4. Chase your debt. Always chase your debt, it’s your money.

Experiencing bumpy and unpredictable cash flow is probably causing you pain, limiting your ability to survive when tough times suddenly hit — and they always do. Knowing what you’re in for ahead of time,

helps you prepare to ride out the waves and protect your hard-earned cash.

Knowing your numbers and understanding potential gaps in your business is the only way to create a sustainable, and profitable painting business.

H2 : What’s next?

1.Download our cash flow forecast template and learn your numbers! CLICK HERE or go to https:// www.lifestyletradie.com.au/running-out-of-moneyprotect-your-cash-flow/ 2.Join our free Kick-Ass Tradies Facebook group to learn how to set team targets using your business’s break-even point.

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Written by Lifestyle Tradie

Lifestyle Tradie is an award-winning education service and community for tradies in business who want to make more profit and fast-track financial freedom. Visit our ‘Survive the Sh*t Storm’ hub, where you can download free strategies and resources:

www.lifestyletradie.com.au/survive-the-sht-storm

2020 February Issue | 7

1 - 8 8 8 - 4 9 - S T I N G | s t i n g e r b ru s h .c om S T I N G E R @ S T I N G E R B RU S H .C OM

"First innovation in a brush that works in a long time."

- Todd H Professional Painter for 35 Years

Patent 8 | Aussie Painters U.S. Network

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HOW TO MAKE SURE

You get Paid Cashflow is more important than ever right now and you really need to accelerate your cash collections. You have to make sure you get paid for every single job you do. You simply cannot afford to be complacent.

The most important thing right now is to be clear with your customers about how and when you will get paid. This is more important than the price of the job right now!

There are a number of different ways to ensure that you have a better chance of getting paid.

Here are some suggestions...

1. Consider different payment structures Get some money upfront Getting a large deposit or an initial payment upfront obviously mitigates your loss to a certain extent. But just be aware that there are rules in Australian Consumer Law about taking non-refundable deposits.

Change your payment practices This may be harder with existing customers with existing payment terms, but you need to think about this with regards to new customers.

If you currently work on 60 day payment terms for example you may need to consider changing this to 30 days or less.

Charge in stage payments Consider whether you can charge for your work in stage payments.

If you can reach an agreement on charging in stage payments make sure you get the agreement in writing.

I cannot stress how important it is to keep a paper trail.

2. Have a well drafted set of Terms and Conditions Your Terms should include as a minimum the following clauses: • Price The price you have agreed for the services needs to be clearly set out in your Quote/Terms.

• Payment terms How payment can be made (e.g. by credit card, PayPal) and when it is to be paid.

Without this, how could you claim payment is late if there was no written agreement about the due date for payment.

• Ability to charge interest on late payment In order to be able to charge interest you need to include this right in your Terms, stating the rate of interest and how it is to be calculated (for example that it is calculated daily, on any amounts unpaid after the payment date).

• Debt recovery costs It costs money to pursue a debt and you want your non- paying customer to pay any debt recovery charges you incur. But there is no right ‘at law’ to collect these fees and so you must have a clause which states that you have the right to engage debt collection services for the collection of unpaid and undisputed debts.

• Ability to suspend work Consider adding a clause which provides that- if your customers do not pay you by the payment date, you may cease to provide the Services until you receive payment.

2020 February Issue | 9

• Termination provisions Consider adding various different termination provisions setting out the circumstance in which you can terminate the agreement without being in breach. For example, where an invoice is overdue and your customer fails to pay an invoice by the due date.

• No liability for delay Especially in light of the recent COVID-19 pandemic it is more important than ever to include a Force Majeure clause in your terms – this should provide that you will not be liable for any delay or failure to do your obligations if the delay is due to any circumstance beyond your reasonable control.

3. Have a strategy for when people don’t pay You have to be commercial about this and also think about the long-term relationship with your key clients.

For clients who simply cannot pay you everything they owe you when it falls due, you could agree some payment terms. For example, allow them a concession to spread payment out over 3 months or 6 months. This is not ideal but if it means you get something it is better than nothing.

Make sure you document this agreement in writing and have systems and processes in place to make sure payments are made on time.

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4. Be disciplined about your invoices You need to have a system for invoicing and follow it...

• Map out all stages and billing timeframes for each job.

• Make sure invoicing is done regularly (at least weekly).

• Diarise all payment due dates.

• Have a system to contact clients with friendly reminders when they are due for payment.

• Set overdue reminders.

• If the customer is not responding to you contact a lawyer to assist you with a letter of demand.

WHAT YOU NEED TO DO Every situation is unique, and it can be tricky to wrap your head around some areas of the law.

If you require any legal assistance with your business or any other commercial legal issue, please do not hesitate to contact me.

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Helen Kay

P: 0402 318 033 E: helen.kay@riselegal.com.au

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AWESOME WOMEN IN CONSTRUCTION (AWIC) March 2017, fourteen ladies across the construction industry attended a breakfast with the sole purpose to get to know each other away from work. Everyone had a great time and asked if they can do it again next month – so they did, each of them bringing a friend. Three months later, forty-eight ladies from the construction industry enjoyed lunch together.

‘I remember the noise the conversations were creating – I knew we had tapped into something special’. Amanda Bulow, Awesome Women in Construction (AWIC) Founder.

Who is Awesome Women in Construction (AWIC)?

They provide a trusting and nurturing community for women in the construction industry. Incorporated in 2017, AWIC achieves this through hosting networking evens and other opportunities, which are informative, inclusive and accessible.

AWIC supports the increased participation of women in the construction industry through advocacy, education, mentoring and support. They represent women with a board diversity of skills and experience across a vast range of organisations from within the construction industry.

How do we connect Women in Construction?

Having evolved from initial informal events for less than 15 attendees, AWIC now boasts an extensive database of women working in the construction industry. They have held over 70 events and have had in excess of 2800 guests in attendance since its inception in 2017.

Events include bi-monthly face to face and virtual events in Brisbane, Ipswich and the Gold Coast.

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A recent focus on providing more events and expanding resources has taken the association to the Sunshine Coast where they have been well received and congratulated on bringing support to the area.

Upcoming events can be viewed at www.awic.org. au/events The team behind AWIC. The skills, knowledge and experience of AWIC Founder and Chairperson, Amanda Bulow, stretches’ over 20 years in the construction industry. She has been a residential estimator with small and large building companies with a strong focus on procurement, sales & production estimating and the writing and implementation of multimillion-dollar government tenders.

The AWIC advisory board and committee have collectively been working for the construction industry for over 80 years and have a broad skill set including breaking down barriers, stereotypes and breaking ‘the glass ceiling’. They have all led their own teams providing encouragement to women to step away or outside of what is expected and create their own path. They have provided mentoring, leadership and development to internal and external teams.

‘What began as simply an idea has grown beyond what I originally envisioned and AWIC now has an advisory board in place to ensure we become increasingly visible advocates for Women in Construction. I am incredibly proud and excited for the future of AWIC.’ Amanda Bulow, Awesome Women in Construction (AWIC) Founder.

2020 February Issue | 13

Collaborations are one way they support their members and the wider construction community.

‘Why re-invent the wheel if you can work with some of the best industry leaders (women and men) businesses have to offer’. Over the past few years, AWIC have collaborated with TAFE Queensland (2019); Bond University (2020) and more recently Department of Employment, Small Business and Training.

They look forward to expanding their collaboration portfolio in 2021.

As Awesome Women in Construction (AWIC) heads into 2021, they have many new and ambitious goals which will continue to ensure they are the leading force for women in construction. There are many wonderful events planned, including the upcoming International Women’s Day Lunch on Friday 5th March 2021. This is the main event for the year and provides an opportunity to celebrate the social, economic, cultural and political achievements of women.

For more information on Awesome Women in Construction, please visit our website www.awic.org.au or contact us via hello@awic.org.au

Amanda Bulow

Awesome Women in Construction (AWIC)

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Founder.

7 Practical Tips to Trim the

FAT IN YOUR BUSINESS Every small business owner knows how challenging it is to cut down the expenses without somehow compromising internal or external quality. Regardless of the nature of your business, the first step to reducing your overhead costs is to take the time to go through every single expense you have. Next, assess which ones are necessary for your business to operate smoothly, what can be trimmed down, and what can be eliminated completely.

In this article, we will give you some smart and practical tips that you might not have considered to lessen your costs while maintaining employee and customer satisfaction.

certain roles to reduce costs. If you still need to maintain a physical office, you might move to a smaller office space to account for the smaller number of in-office staff.

Negotiate With Suppliers Don’t hesitate to contact your suppliers and vendors to request for flexible monthly payment plans, if you can set up an account or discounts especially with the current tough economic climate. They are often willing to help out small- and medium-sized business clients and cut them a break.

Review Your Software Subscriptions Shift to Remote Work Setup The COVID-19 crisis led to the widespread adoption of remote work setup-- and it actually works. Depending on your type of business, you might want to consider making a permanent shift to telecommuting for

16 | Aussie Painters Network

It is no secret that cloud-based apps and tools can help you manage your business with ease. Although a few dollars a month might seem affordable at first, the costs can quickly add up once you set up your subscription for multiple apps.

If you want to reduce your overhead costs, audit your recurring software subscriptions and cancel those which you rarely use. You might also want to downgrade your plan or opt for the free version of these tools. Furthermore, you can search the internet for cheaper or free alternatives that offer the same functionality. Don’t however, remove software that helps you earn money!

Revisit Your Marketing Strategy

Take Advantage of The Gig Economy

Get a clear idea of how much you are spending and gaining from each marketing channel. Test and measure different channels and re-allocate your budget accordingly if you find one that isn’t working.

Hiring qualified independent contractors can be less expensive than hiring full-time employees. You won’t have to pay for benefits and they most likely have their own equipment. When choosing contractors, make sure that they have the right experience and qualifications. Always get a copy of their licences.

You cannot risk taking their word for it.

In order to grow your business, you must be willing to set some budget for marketing, even if you are trying to cut down on expenses. However, before you continue with your marketing strategy, it is important to evaluate each channel and its return on investment.

Get a advisor Regardless of how confident you are with your new budgeting; it pays to have a fresh set of eyes to look into it. An experienced advisro can provide you with an objective analysis of your budget allocations and help you save even more on your expenses.

Get in touch with us today and let us help you spend your funds wisely.

Automate Administrative Tasks Some administrative duties such as invoicing, appointment scheduling, and customer follow-up can be automated instead of hiring an administrative assistant.

You can also invest in an automated live chat system to assist multiple customers at the same time.

Maintain a Paperless Office If you are still relying on physical printing, going all digital and paperless will remove printing-related costs and keep your documents better organised.

Aside from being cost-effective, a digital workplace is also environmentally friendly and means data is easily accessible.

Sandra Price www.tradiebookkeepingsolutions.com.au Facebook : Tradie Bookkeeping Solutions

2019 January Issue | 17

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2019 January Issue | 19

WHY GET A PAINTING APPRENTICESHIP? A painting apprenticeship not just gives you a job, it gives you a career. You can go anywhere once you complete your apprenticeship.

You can work for others or you can go into business for yourself.

Its an extremely rewarding job. Where else do you get to create something new for people to enjoy for as long as they choose?

Why become a painter?

I continually get asked why you would want to become a painter.

Well, here’s a few of what my thoughts of the answers are. The job satisfaction that you get from looking at a completed job after all the other trades have been in and you’re the one that finishes everyone’s work

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that the look that the client has in the smile on their face when they see your finished product.

Painting is an industry is completely different to most other construction trades.

I’ll use a couple of examples:A Concreter comes in and does the formwork and pours the slab, once they’ve completed that there’s nothing further for them to do on that job.

A bricklayer comes in puts up the walls and lays the bricks to the building or structure that’s being built, once they’ve completed that there’s nothing more for them to do. This continues through all of the trades as you go from the carpenter to the electrician to the plumber to the plasterer and all the other trades on a project, once they’ve completed their job, the work is over and they need to find a new project to work on.

However, the painter comes in at the end of the project and paints it. The project then requires repainting in another 8 to 10 years, this is the cycle.

You will find unless there is more work to be done, (example would be an extension) there is not any work for any other of the previous trades except for the painter.

on lost income when things were quiet. The painter though just moves to the repaint market until the new work market has started again. The flow of work does not tend to runout for painters in the same way as other trades.

The construction painting industry can be broken into a couple of areas. New and repaint.

The new work market, the opportunity that everything gets built will need to be painted. Let’s use a new house as an example:- The house will take anything between 3 to 6 months to get built, now the painters at the end of that that building cycle so what happens from that point is the painter comes in at the end of the job being months after the concreter has poured the slab. If there is a construction industry downturn the concreters are the first to be affected, the painter is the last.

Most construction industry trades are affected by the elements. If worked correctly by the painter, they should have a consistent flow of work. If it’s raining, they should have inside or undercover work.

How much money does a painter earn?

Well, the sky is the limit. If you are working for wages, you could be earning between $28-$45 per hour depending on your experience and entitlements etc. If you are working for yourself you could be earning $100 plus per hour depending on the sort of work you do.

There are just too many variables when it comes to running your own business and I recommend you talk to professionals and get business training to ensure your profitability.

But as a quick example using rough figures.

You can run your own business and have 10 staff, each of which you could be making $20 per hour out of when you take out all your running costs, you could be making $200 per hour.

It all comes down to how you run your business and understanding your companies figures.

-------------------------------------------------------------------For more information, contact me

All the other trades start looking for work and as soon as there is work available again all the other trades start working longer days and weekends to catch up

Nigel Gorman

nigel@aussiepaintersnetwork.com.au

2020 February Issue | 21

50 YEARS A HOUSE PAINTER

This book contains 36 topics of industry related knowledge and information which will help you in the way you operate your business.Topics under headings of; Business Checklist, Staff, Marketing and Sourcing Customers, Professional Behavior, Successful Operation and Looking Ahead.Highly recommended by Jason Osborn, Dulux Business Development Executive as; ‘A very easy interesting read, that combines industry facts and great topics.’

www.mytools4business.com

Don’t mention the ‘War’ WOW! One hundred published magazines. What a milestone for you Nigel: Congratulations. This happens to be my 90th article so only ten to go and I reach the ton also.

Reflecting on 2020, it has not been a good year for anyone, but I feel Australia faired quite well compared to many other countries around the world. Being isolated as we are, helped immensely in that regard. The only effect it had on me was it put a pause on my retirement for a short while and that my wife and I couldn’t go on our overseas trip. In a way I feel guilty that this was all that disrupted our lives because so many others had suffered so much.

Before I get into the main story, I want to mention a painter I caught up with in December that I had not spoken to for quite a while (I will call him Bob). He was one of a group of people that came to a ‘business workshop’ that Nigel had organized around four to five years ago. I clearly remember him turning up in his dirty work clothes straight from work. Although a bit scruffy, Bob had a keen thirst to learn the ‘ins-and-outs’ on how to make improvements in his own business. Nigel invited me along to show the group how to work out the actual cost per hour of running a business. As I expected, it was an eye opener

to everyone as they could not believe the dollar figure shown to them. Nigel and I found a few things about Bob that day, and that was; builders were his main clients; he was working long days and on weekends; and he was not making a great deal of money for the effort put in. This was the case of a few others in the group also.

In the following years (after taking a lot of advice from Nigel), Bob’s business completely turned around and trebled his turnover and surpassed $1.2 million in revenue. He managed this by completely re-structuring the business from the ground up by; getting rid of all the builders; only using sub-contractors and the proficient running of the business.

I wasn’t sure if Bob wanted to pick my brain, but I truly had nothing more for him besides to say, ‘not to let business run your life’. It is vital to any person to allow plenty of quality time for family, and for yourself. As we were about to wrap up our get-together, he mentioned his goal in life was to pay off his house by 2022. This was now possible because the business was bringing in a very decent income for him. I told him one last bit of advice; ‘Don’t pay it all off’.

2020 February Issue | 23

Although owning your home outright is a great feeling and is in everyone’s dream, I suggested to utilize some of the money to his advantage. As we all know, home loan rates have come down considerably (it was 17% when my wife and I took out our mortgage) so the wise thing I feel is put any spare cash somewhere that earns a higher rate, like Superannuation for instance or Blue Chip stock. Use other peoples’ money to make money. Also, if you need cash for some reason, you can re-draw on the mortgage without having to apply for a personal loan where the interest rates are much higher. Bob loved this idea, so I felt quite pleased with myself that I had one last tip to give him. (This is not financial advice and is only my opinion. Please talk to your accountant first).

Now that you have read half of my article, I guess you are wondering why I chose the title, ‘Don’t mention the War’. The origin of this phrase was made famous by the well-known comedian, ‘John Cleese’ from the 1970’s sitcom, ‘Fawlty Towers’. His character, Basil Fawlty, told his staff to not ‘mention the war’ to his four German guests as he didn’t want them to get upset. The trouble was, Basil couldn’t help himself of bringing the subject up which made the situation worse, and of course, comical. (If you have never seen the episode, just Google it).

So why this heading in a paint magazine? It was purely to grab your attention.

Attracting a person’s attention is no different to attracting a mate or a partner. Humans have been doing it since the dawn of time. This type of practice can be used in business too. You find something appealing to entice a person to respond. Thirty-six

24 | Aussie Painters Network

years ago when I started my own business, I wanted a catchphrase to stand out and make customers want to call me. The line I came up with was, ‘Not Just A Painter’. Some people didn’t quite understand the meaning at first as they asked, ‘What else do you do besides paint?’ Most caught on though, realizing that I was offering over and above the other painters, which was; quality, professionalism, service, and trust. It truly exceeded my expectations as just that simple line won me millions of dollars of work. People wanted more than the average painter that just, ‘does the job’ and nothing else.

Now when I hear, ‘Don’t mention the war’ spoken, it immediately brings a flashback of Basil’s c impersonation of Adolf Hitler, so if you want customers to remember you, then you must give them something they will not forget. That is your aim as a ‘supplier of a service’, to have customers immediately think of you. When the time comes and the customer requires more work, or they are asked in conversation, ‘Can you recommend someone?’ you want to make sure that the customer mentions your name.

So as you can see, it is necessary to do some sort of ‘attention grabbing’ in your business. You know yourself when either looking at an advertisement, a website or a newspaper heading, if it does not ‘pull you in’ to read on, then you will lose interest and go somewhere else. If you do not get the attention of a reader within the first 20-30 seconds, they will move on.

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Jim Baker

www.mytools4business.com

Get our full price list showing members discounted prices!

26 | Aussie Painters Network

CLICK HERE

To get ahead as an introvert,

ACT LIKE AN EXTRAVERT. It’s not as hard as you think Leadership is a human universal. It can even be seen in other species, which suggests it may be an evolutionarily ancient process.

What we know about extraversion and leadership

A common personality trait of “natural” leaders is a higher than average level of extraversion. Research consistently shows extraverts, compared with introverts, are more likely to be regarded as leaders by others, and more likely to obtain leadership roles.

Before we get to the specifics of our research, let’s briefly recap the basic science of extraversion and leadership.

Extraversion is a continuum that measures the degree to which someone is enthusiastic, assertive and seeks out social interaction. It is typically included as part of the five-factor model of personality.

We decided to run an experiment to see if we could turn the leadership tables around by getting introverts to act like extraverts. We also wanted to find out how acting like an extravert makes introverts feel about themselves.

Our results show that introverts who act like extraverts are indeed viewed by others as having more leadership potential. We also found no evidence of psychological costs for introverts.

The other dimensions – or traits – in the five-factor model include openness (being intellectually curious and creative), conscientiousness (being orderly and industrious), agreeableness (being compassionate and polite), and neuroticism (being sensitive to experiencing negative emotions like anxiety, depression, and anger).

2019 January Issue | 27

The big five personality traits. Shutterstock

Extraversion has biological roots and is heritable. In others words, part of the reason we find differences in levels of extraversion between people is because there are genetic differences between people that partially determine our personality. Our genes even predict the likelihood we will occupy a leadership position.

We also know that extraverts have a more sensitive dopamine system in their brain. They are wired to find rewards more enticing. They crave social interaction and the attention that comes with it. This fact may partially explain why extraverts are more motivated to obtain leadership roles, given leadership is an inherently social process.

Read more: It’s hard to find a humble CEO. Here’s why

How we did our experiment Our experiment consisted of 601 participants randomly divided into 166 leaderless groups of typically four people.

We asked these groups to complete a 20-minute joint problem-solving activity (prioritising items needed to survive on the Moon). Participants were not told the purpose of the experiment.

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We then split the groups into three “experimental conditions”.

In the first (consisting of 53 groups) we randomly selected one person per group to act energetic, talkative, enthusiastic, bold, active, assertive and sociable – in other words, extraverted. These instructions were not known to other group members.

In the second (55 groups), the randomly chosen group member was secretly instructed to act quiet, reserved, lethargic, passive, compliant and unadventurous – in other words, introverted.

The third was our control condition with 58 groups, where no individual instructions were given.

At the of end the activity, participants rated theleadership quality of other group members (and themselves).

They also rated how they felt.

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Acting like an extravert works The first part of our results were unsurprising. Compared with participants in the control condition, those instructed to act extraverted were rated by others as having more leadership potential. Those instructed to act introverted were rated lower.

What was notable is that these ratings did not depend on “trait extraversion”. In other words, when instructed to act extraverted, both introverts and extraverts were rated higher on their leadership potential compared with an equivalently extraverted person in the control condition.

Equally, we found the participants instructed to act introverted were rated lower on their leadership potential compared with control participants.

But what was particularly interesting was these participants also rated themselves especially poorly on leadership ratings – worse than did their group members. Acting introverted had a particularly negative impact on how those individuals viewed their own leadership potential.

Read more: Why too many fearless people on a team make collaboration less likely

Compared with the control participants, there was no difference for those who acted extraverted. Even introverts felt perfectly OK after acting like extraverts.

The extraverts who acted introverted were a different matter. They had fewer positive and more negative feelings compared with those in the control condition.

In short, acting introverted made them feel bad.

Should introverts act out of character to get ahead?

Our research shows introverts can effectively act out of character to obtain and succeed in leadership roles.

If you’re an introvert, you might feel you should not have to. But we suggest that being prepared to adapt your behaviour to the demands of a situation gives you an advantage over those who aren’t.

Nor is it as hard as you may think. Research shows introverts overestimate the unpleasantness and underestimate the “hedonic benefits” of acting extraverted. One study even suggests introverts feel more authentic when acting extraverted.

Knowing extraverted behaviour is usually – though not always – enjoyable can help you feel more confident about “faking” extraverted behaviour in your own best interest.

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How acting out of character felt

Andrew Spark

How our “actors” felt after the activity is shown in the next figure.

Peter O’Connor

Postdoctoral research fellow, Queensland University of Technology

Professor, Business and Management, QUT

Who Pays The employment contract is the ultimate hidden extra contracts. It is rarely just the cost of wages that an employer pays. There are of course the obvious oncosts such as allowances, leave loading, superannuation, workers compensation, payroll tax. But what about the costs incurred by the employer or employee during the course of the employment?

Below are some of the more common surprise costs that we regularly come across.

TOOLS

Under the Building and Construction award, employees are entitled to a weekly allowance for the provision and maintenance of standard tools of the trade. For painters, this is $7.85 per week. If a specialised tool is required by the employer, then the employer will either reimburse the employee for the provision of the tool or the employer will purchase and provide the tool. If the employer purchases the tool, then it remains the property of the employer.

CLOTHING

The determination of who pays for the clothing is determined by the requirements of the items and if the clothing is company specific. The requirement to wear white clothing would not consider to be company specific and as such this would be at the employee’s expense. The requirement to wear a specific set of white overalls however may be classed as company specific, even without a logo and as such could be determined to be at the employer’s cost. Certainly any clothing that has a logo would be determined to be at the employer’s expense.

32 | Aussie Painters Network

?

The other factor involved is whether the item is required as a safety measure. If a company requires it workers to wear steel capped boots, or the site the employee is working on requires steel capped boots, then this would be classed as a safety measure and as such the employer is liable for either the provision or reimbursement of the boots. Interestingly though, the reimbursement does not need to be the exact cost of the boots. If a reasonable pair of boots can be purchased for $160 but an employee spends $200 then the employer is only liable to reimburse the employee $160. It is always best to have a set reimbursement allowance before purchases are made.

Other items you may not expect are to be the responsibility of the employer are dust masks, respirators, safety glasses, high vis vests and in some cases even sunglasses. Again, the employer does not have to provide the full amount only a reasonable allowance to cover the purchase of a suitable item ie a suitable pair of sunglasses can be purchased for $50 and as such an employer is not expected to cover the reimbursement of the employee’s latest Maui Jim purchase.

TRAINING

If the training is part of an apprenticeship then all training costs including course costs, books and in some instances travel and accommodation are at the expense of the employer. The Building and Construction award allows for the employer to pay for these costs directly to the RTO or reimburse the employee after they have made payment.

Under the award, the employer can delay reimburse- Generally the answer to this is no. If during the course ment if satisfactory progress hasn’t been made however of employment, an employee damages property then this is best done in conjunction with action by the RTO. the cost of this damage is worn by the employer and the employee is not held responsible. There may be some inFor all other training then the costs are by agreement stances where the employer could take action to recovbetween the employer and employee. If it is a requirement er the costs from the employee, but they would either of the position, then the employer may pay full or partial need to seek their employee’s agreement or pursue this costs but if it is not a requirement of the position then through civil court action. the employee may pay the costs and include them as a tax deduction. If the employer pays the full or partial This is not an exhaustive list of all associated costs but costs of the training, then they can by prior agreement represents some of the more common ones we come with the employment seek back payment of the training across. For the majority of these costs, there is an option costs if the employee leaves the employment within a to pay the employee a higher wage to offset these costs. certain timeframe. The timeframe and the amount are For instance, our client’s employment contracts often normally subject to the overall expense of the train- contain a clause that the costs of their safety boots ing. It would be reasonable for a $2,000 course to be has been included in the calculation of the hourly rate. back in full within 6 months and pro rata payment However, you need to ensure that the rate calculated after 12 months but this would not be reasonable passes the Better Off Overall Test before including for a $300 course. Recovering of these costs is done this clause. If you have any questions about these through civil court action or by agreement with the extra costs or whether your rates pass the Better Off employee could be withheld from the employee’s final Overall Test, please don’t hesitate to reach out to us at pay but note you must have the employee’s written vanessa@hrmaximised.com.au or 0418 190 106. agreement before withholding any money.

DAMAGE TO COMPANY PROPERTY

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34 | Aussie Painters Network

Using a drone

in your trade business Over the last couple of years we’ve noticed more tradies and builders using drones as part of their business.

Some use them for inspecting hard-to-reach locations, but a lot use them for putting together footage of their work to be shared on social media.

Whatever you’re using drones for in your trade business, it’s important to understand the insurance implications.

We’re not just talking about insuring the drone itself, but more importantly, insuring yourself in the event that the drone causes damage or personal injury to a third party.

Please note that we don’t insure drones on their own. This article is more about how drones fit within a tradie or builder’s overall business insurance.

Damage or injury caused by your drone In any trade business there is always the risk of causing property damage or personal injury to a third party.

To protect yourself from this risk you have public liability insurance. This is the most common of all forms of trade insurance.

Whilst this will cover most “normal” activities of a trade business, operating a drone doesn’t always fall into this category.

Some insurers will cover a tradie for operating a drone as part of their business, whilst others will not. The difference could be worth thousands (or potentially millions) in the event of a claim.

Lets say you were flying a drone to get some footage of a newly finished project…

2020 February Issue | 35

Say you lost control and it smashed into a vehicle parked next door. In this case you might be looking at a claim worth a couple of grand for repairs to the vehicle.

But what about the worst-case scenario… What if you lost control and the drone hit a motorcyclist, who then veered onto the footpath and killed a pedestrian.

In that case you could be looking at a million dollar claim if it was found you were responsible.

That’s pretty extreme, but insurance is all about protecting yourself against those unlikely extreme events.

If you had a public liability policy which excluded coverage for drones, you’d be left exposed for a potentially huge payout.

If you have tool insurance you may be able to include cover for the drone, but don’t just assume that your drone will be automatically covered.

Some insurers will cover the drone along with the rest of your tools as “unspecified” items, which essentially means they’re all pooled into the one overall amount.

Other insurers will require that the drone is specified on the policy. This just means listing it on the policy along with a specific dollar value.

Another consideration is the replacement value of the drone. Some policies require that individual items with a replacement value over a certain limit ($3,000 for example) are specified on the policy.

So a given insurer might be happy to include drones in the standard cover, but if the drone has a replacement value exceeding $3,000 (for example) it will still need to be specified.

It can get a little confusing since different insurers have different rules, so the easiest option is to speak with us and we can tell you straight away what the deal is with your policy.

But if you had a policy which did cover the use of a drone in your business, you’d be all good.

If you are using a drone in your trade business, we can’t stress enough the importance of checking your policy wording or letting us know so we can check for you.

Coverage for drones doesn’t always mean paying more for the extra cover. It’s simply that some policies exclude them and some don’t.

Keep in mind that we’re a broker and use a range of different insurance companies. So it’s not about whether Trade Risk covers drones – it’s about each different insurer we use.

Damage or loss of your drone The other risk is that your drone is either damaged or stolen.

Some drones only cost a few hundred dollars and are hardly worth protecting, but increasingly we’re seeing the use of high-end drones worth thousands of dollars.

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Remember that as insurance brokers we deal with lots of different insurance companies, so the answer will depend on which insurance company your policy is with.

More information Using a drone in your trade or building business can be a great idea, but it’s vital to ensure you are properly protected in case anything goes wrong.

If you’re an existing client we can check your policy to see if you’re covered or not, or if you’re a new client we can put together some quotes and options for you.

Contact us on 1800 808 800.

2020 February Issue | 37

Practicing Good Leadership Leadership can be defined as influencing others to accomplish organizational goals. Management without leadership is like aligning the deck chairs on the Titanic.

It seemed important at the time but didn’t really matter in the big picture. Running a business, being a project manager or superintendent are all jampacked with day-to-day demands and pressures.

Sometimes it can be very hard to stay focused on the big picture and long-term goal. Customers and employees are constantly demanding answers, but no one is asking, what’s your long plan? Business is very strong in the US and many businesses are making the mistake of merely focusing on short term needs. One reason our PROSULT™ Networking contractors do so well is that we force goal setting and review them at each annual meeting. All good things come to end or at least a slowdown, now would be a good time to develop business goals and invest in your future.

What is planning? Planning is the visualization of your goals and objectives. Who is retiring in your business?

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Are there people who are under performing and need to be replaced? Is your work force aging? Do you have a system for recruiting and developing employees? Who are your target customers? What systems and software needs to be updated? These are all examples of the questions a progressive organization should be asking and preparing for.

Good goals are specific, realistic and have a time frame for their accomplishment. Goals also should be accomplished by building a series of objectives and tasks that build on one another. Goals should also have a measurement component. For example, if you are trying to reduce employee turnover you can measure W-2’s from year to year.

Communication is also a key component of good leadership. Do people around you clearly understand where the company is headed and their role in that process? Do you practice basic communication among your managers? When working in the field as a crafts person, you succeed based on your craft ability.

When working as a manager or supervisor, you succeed based on your ability to communicate. Some of the basic truthsregarding good communication are: • People attach meanings to words. Broad, non-specific words allow varied interpretations. For example, your 12-year old daughter’s definition of doing a “good” job when cleaning her room probably varies greatly from your definition of doing a “good” job. Try to give clear specific instructions. Words like good, quality, bad, unfair, etc. create an opportunity for miscommunication.

• Communication is more than just words. It is driven by body language, tone and many of factors. People tend to verbally tell you what they believe you want to hear and hide their real thoughts. Frequently, the real message lies within their body language and tone.

• You cannot, not communicate. Someone is late for a meeting or gives you no response, he or she is still communicating. People constantly send and receive messages many of which are action or non-verbal in nature.

• Open and honest communication is best. When donkeys fly. Try going around and telling everyone what you think of them and see how your day goes.

Tactful communication is key. Open communication is an excuse for some people to just be mean.

• Our personality can dictate how we communicate.

Introverts tend be quiet. They think first, speak second. Extroverts tend to talk. They speak first and try to figure it out as they go along. To be a good leader there are times when introverts need to speak up and extroverts need to shut up. At first this may feel uncomfortable but that does not mean it is wrong.

• Deal with feelings first. People who are upset are not logical. Trying to argue logic with someone whose emotions are out of whack can be very frustrating.

Your first strategy is to merely listen and take notes.

Most people will begin to calm down. People have a right to have their own feelings. Agreeing with someone’s feelings does not mean you agree with them.

Phrases such as, “I can appreciate how you might feel that way” can help people calm down. Agree with their feelings and then move on to the facts.

• Establish good eye contact. People tend to distrust folks who won’t look at them when in reality the person may just be shy. Eye contact exhibits self-confidence.

• When in conflict, try to communicate neutrally.

When presented with danger, some folks take flight and others fight. Whether your tendency is to avoid aconflict, or you thrive on conflict, try to communicate neutrally. Stand up straight.

If possible, have a pad and pencil in your hands as this keeps your body language neutral. Folding your arms, pointing at people, stepping forwards or backwards all send a negative message Being a leader is not a God-given talent. Like all skills, it is a learned behavior. Of course, some people’s natural aptitude makes it easier for them to learn but you can do it.

You just have to work at it.

Monroe Porter

is president of PROOF Management a firm that teaches seminars and runs networking groups for painting contractors.

www.proofman.com

2020 February Issue | 39

Business Management Courses FOR PAINTERS!

Is your business giving you what you want?

Whether you’re self-employed or running a business that employs a few staff, the basic requirements to keep your books in order and comply with the ATO are the same. However, if your ambition is to create wealth or have more freedom in your life you would have to take a different path than working self-employed from day to day, week in and week out.

At the beginning of the new year and following the turmoil of 2020, it is a really good time to reflect whether the path you’ve been charting with your business is still satisfying and meeting your needs.

You could start by asking yourself the question “What motivated me to start my business in the first place?”

If you started it to be your own boss and have more freedom than when you were employed (if you were), ask yourself if your business has made your wishes come true?

There is nothing wrong with being self-employed and just plotting along. This kind of business approach however could never give you the freedom and income

that you might have been looking for. If you wanted to have more time to go fishing while still making money with your business, you would need to step up a level.

You would need to organise your business in a way that it can run itself while you’re away.

Other questions to ponder: • Where do you want to be in 5 years?

• Do you want a business that you can step away from to go on holidays for a couple of weeks or longer without losing income?

• Do you want a business that can run itself?

• Do you want a business that can make you money even when you want to get out of it, ie do you have an exit strategy?

• Do you want a business that will create wealth for you and your family to enjoy a great retirement lifestyle?

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They are some big questions, but if the answer to these questions from you is YES, then you will need to learn how to get there. The choice is yours. I’ve seen many business owners who were successful because they were in the right place at the right time.

On the other hand, I have also seen many good businesses fail due to the lack of attention to their critical business numbers, really basic business management failures.

Creating a business that meets not only your financial lifestyle needs and wants but also gives you more freedom of choice to do what you like is not something that happens overnight. In our accounting practice we have helped both types of business owners and know what it takes to get to this point.

I know I can’t scare you when I say it takes hard work.

You wouldn’t have stepped out into the business world if you didn’t know that. However, there are some other ingredients that are required to achievesuch business success. They are about strategies that you need to manage and develop your business.

Sometimes we don’t know what we don’t know. That’s why it is good to get some help and build your knowledge. What it comes down to in the first place is business planning and creating a budget. This is a process that needs to start with your own goals, then create

42 | Aussie Painters Network

your business goals to support your personal goals and cover all business development aspects such as: • Strategic objective • Organisational Strategy • Management Strategy • People Strategy • Marketing Strategy • Systems strategy When you’ve created a business model that will help you to grow your business at your own pace with all necessary financial management tools in place, any compliance requirements by the ATO or QBCC will not be an issue. In fact, having your business management organised to meet these requirements easily will make you a better business operator. Another benefit of a well organised and structured business is that it has the potential to earn you money when you finally decide to move on, because it will attract serious buyers.

If you need any support with your business planning, call my office on 3399 8844 and we’d be happy to help you with a FREE Business Health Check. You can also visit our website at www.straighttalkat.com.au

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2020 February Issue | 43

The Challenge of Doing

HARD CHALLENGES This year, I’m doing a series of 40-day discomfort challenges, as a way to continue my training in falling in love with discomfort and uncertainty.

It’s a training I’ve been doing for 1 1/2 decades now, but I’ve been deepening into it even more in the last 5 years. And now I train others in it, in my Fearless Training Program — the uncertainty & discomfort of doing your meaningful work.

This year is going to be a further deepening into that training. I’m going to swim in the deep waters, out of love for life and those who I serve.

I’ll tell you more about my challenges, but first, let’s talk about what hard challenges can do for us.

The Benefits of Hard Challenges Why do this at all? Someone asked me that on Twitter yesterday: “What are you trying to prove, and who are you trying to prove it to?” I love that question!

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With these hard challenges, I’m trying to prove that difficulty, discomfort, uncertainty, resistance and fear are nothing to fear. That we don’t have to run from things because they are hard or scary, or because we feel resistance.

Even further, I’m trying to prove that we can fall in love with discomfort and challenge, bring play and curiosity in the middle of uncertainty and fear, find joy in the middle of chaos and groundlessness.

Who am I trying to prove it to? Myself. And all of you.

In service of doing something meaningful in the world.

Imagine that you have some meaningful work you’d like to do — write a book, grow a community, give a voice to others, support those in need, inspire, teach, serve. But with meaningful work comes uncertainty and discomfort, and these can hold us back, because we run from them. Why not just enjoy life and forget about my meaningful work? You can do that, and it would be great, but you can also do your meaningful work, and it can be awesome as well.

In addition to that … hard challenges are incredible!

They can: • Teach us that we can adapt to discomfort • Show us the beauty of uncertainty and not knowing • Help us find growth in failure and loss • Prove that we have the courage to do what we fear • Give ourselves evidence of our resilience, grit, determination, commitment • Help us to grow in new and unexpected ways • Show us what our patterns are when we feel discomfort & uncertainty — if we don’t challenge ourselves to do hard things, it’s almost impossible to see what our patterns are, except of course the avoidance of doing hard things Each of you has done something hard, maybe many hard things: run a marathon, given birth, raised kids, completed hard projects, dealt with relationship or health difficulties, and much more. These are some of the most meaningful things we can do, and they teach us so much!

Our growth and learning is greatest when the comfort zone ends, and it can also be the most meaningful and joyful parts of our lives as well.

My Year of Hard Challenges The first challenge, which I started January 1, is jumping into a cold pool everyday with two of my sons.

We do some Wim Hof-style breathing before we dive in, then count 3-2-1 and jump into the air! It has shown us that we can do hard things every day, and has been a meaningful bonding experience for us.

I’m still forming the other challenges (vote for what I should do in this quick survey) … but here are some others I have in mind, 40 days each: • • • • • • • • • •

Zen sewing (sew a rakusu) Write a book in 40 days (in public) Record a podcast a day for 40 days Meditation retreat in silence Learn a language (probably Chamoru) Launch something every day for 40 days Sleep outside Martial arts Fasting Ego eradicator (hold a difficult pose)

• • • •

Eat only lentils & kale No Internet except creation & calls Public speaking Navy SEAL-style physical training

I’m going to pick 8 of these to do after my cold swimming challenge — again, you can help me pick with this quick survey.

I’ll keep a log of how these go, and post about it periodically here on Zen Habits!

The Challenges of Hard Challenges Of course, we have to acknowledge that these don’t come without a cost. All of the following challenges can be overcome — and I’ll be sharing how to do that — but there are difficulties that we should be aware of: • We’ll come up with reasons not to do it • Resistance is real, and can be hard to work with!

• The ego will get in the way — not wanting to look bad in public, for example, or not wanting to not know how to do something • We can get tired and want to give up after awhile • We can white knuckle it and force our way through it, but not enjoy it • Completing it can be about the ego as well, wanting to look good is a real danger • On the other hand, the feeling of not being good enough can also be triggered • When we get hit in the face by discomfort, we’ll get a strong urge to collapse • We’ll find a lot of other activity to do instead • Perfectionism can often come up and get in the way • Our minds will complain a lot about it!

• We can also get to overwork, exhaustion, overdoing it These are some of the main challenges. And they are real. And they are wonderful teachers.

Leo Babauta

a successful ‘simplicity’ blogger and author from California, the creator of top 25 Blog

ZEN HABITS

2020 February Issue | 45

46 | Aussie Painters Network

The 7 Habits of Highly

INDEBTED PEOPLE I spend all my time trying to get clients their money.

Inevitably sometimes you exhaust all avenues and cannot recover their money. This is very frustrating and can leave you feeling deflated. You ask yourself, “Where is the justice”? The most common thing I hear is business owners saying that “I did the work and I am entitled to every cent”.

That’s not quite true in my view.

One of the duties of a business owner is to mitigate and manage risk. Yet all too often business owners commit their companies to too much work, for too great a value, for very poor quality clients, under non-existent terms. If you do that you can hardly complain about entitlements and justice. The fact is that there are scumbags in the business world who will take your work and run. If you make it easy then you carry some of the responsibility.

When you find yourself with no way of getting your money, I advise you to learn from the episode by asking yourself 7 important questions:

I had a bad feeling about it. Why did I do the work anyway?

So often one’s 6th sense knows a scumbag when they see one. Pay attention to that inner voice and if it telling you that something is not right with your client/prospect then do further investigations before contracting with them or doing work. An early indicator is if your client is shy about giving you contact details, addresses, ABN’s and so on. Believe it or not, I have had clients do $20 000+ worth of work on the strength of a first name and a mobile phone number!

So listen to the little voice inside.

I hardly had any details about my client. Why didn’t I background the client properly?

Once I had a client that was owed a five figure sum only to find that his client was run out of a rented townhouse. Before doing work you should be doing several searches and checks on your prospect. Check ABN’s, addresses, and contact details; especially the usual place of business. If it’s a residential apartment then tread carefully. Also Google the company name you are dealing with. Get an ASIC extract and see who the directors are and where they are. Find out who you are dealing with.

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I did the work on a verbal agreement.

Why didn’t I get the contract in writing?

Too often businesses are undertake high value work under either scant contract terms, or none whatsoever! This is inexcusable. It is part of your duty as a business owner to manage risk. It does not matter how comfortable you fell with your client, get the contract right! Make sure the terms are place solid payment terms around the work, and entitle you to stop work if payments are not made, or repossess your goods if you are not paid. Get your solicitor to sort this out. And more importantly, actually get the contract signed off by the client; don’t just send it over and then start work. It’s nothing to be shy about.

I was asked to do all this extra stuff. Why didn’t I get the request documented?

This is so common. It stems from a lack of clarity about what your ‘deal’ with the client is: you have promised to do a specified scope of work for a specified price. Anything above that is extra, and warrants extra payment. There is nothing wrong with doing extra work. Just get the client request or direction in writing. Never underestimate a person’s ability to lie about it later.

Often the additional work is worth more than the original contract. So get over how friendly you think you are with your client and get the additional request on paper. If they’re genuine this should not be a problem.

My client did not pay me on time.

Why did I keep working?

If you are not enforcing your own payment terms on your client then you are asking for it. If you do not have enough respect for your own due date for payment, then your client won’t. Do not keep working because your client has been friendly or related some anecdote as to why you haven’t been paid.

They are using you for credit. Things get worse when you keep working for the client until there are a pile of invoices unpaid. If there is one regret I hear all the time it is “Why did I keep working?” It comes down to misplaced trust. You are not a friend of your client, you are a supplier in a business relationship. That relationship is governed by fee for service. You need to remember that.

48 | Aussie Painters Network

But she said she’d pay me for the extra work and the changes. Why didn’t I get any of that in writing?

I’m not going to labour the point, but if you are not getting every single change on paper, you are increasing the risk on your business’s cashflow. Remember that 6 months after the work was requested, when you’re chasing your money, you need to be in a position to show that agreement in writing.

I showed how patient I was for 6 months.

Why did I wait so long to chase my money?

There is little reward for patience when it comes to getting paid. If you wait too long your client will go from having little money to no money at all. They may even go under! There is simply no excuse for not getting paid on time or within a reasonable time.

If you do little to ratchet up the pressure, then you bear a lot of the blame. You should have a debt recovery plan in place which increases pressure as time goes on. However don’t let it drag in the first place.

At 45 days overdue you should be well and truly in top gear: not just sending out another email about how much you’re owed.

The ultimate lesson you should be learning here is that the seeds of debt are sown from the beginning of the deal with your client. If you don’t tend to it carefully, you simply increase the risk of not getting paid for your work. Always remember that you are in a business relationship with your client. You are not mates. Keep that at the forefront of your mind, and that will make it easier for you to enforce your terms in good time.

Now run your debtors and get after everyone in 45 days or over.

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Anthony Igra

Contractors Debt Recovery

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2020 February Issue | 49

The Industry Idiots

50 | Aussie Painters Network

IMPORTANT

Contacts

Aussie Painters Network www.aussiepaintersnetwork.com.au

Ph. 0430 399 800

National Institute for Painting and Decorating www.painters.edu.au

Ph. 1300 319 790

Australian Tax Office www.ato.gov.au

Ph. 13 72 26 / Ph. 13 28 65

Award Rates www.fairwork.gov.au

Ph. 13 13 94

Fair Work Building & Construction www.fwbc.gov.au

Ph. 1800 003 338

Mates In Construction www.matesinconstruction.com.au

Ph. 1300 642 111

Workplace Health and Safety Contacts Comcare WorkSafe ACT Workplace Health and Safety QLD Victorian WorkCover Authority WorkCover NSW SafeWork SA WorkSafe WA NT WorkSafe WorkSafe Tasmania

www.comcare.gov.au www.worksafe.act.gov.au www.worksafe.qld.gov.au www.vwa.vic.gov.au www.workcover.nsw.gov.au www.safework.sa.gov.au www.commerce.wa.gov.au/WorkSafe/ www.worksafe.nt.gov.au www.worksafe.tas.gov.au

1300 366 979 02 6207 3000 1300 362 128 1800 136 089 13 10 50 1300 365 255 1300 307 877 1800 019 115 1300 366 322

www.actcancer.org www.cancercouncil.com.au www.cancercouncilnt.com.au www.cancerqld.org.au www.cancersa.org.au www.cancervic.org.au www.cancerwa.asn.au

(02) 6257 9999 (02) 9334 1900 (08) 8927 4888 (07) 3634 5100 (08) 8291 4111 (03) 9635 5000 (08) 9212 4333

Cancer Council Australia ACT NSW NT QLD SA VIC WA

2020 February Issue | 51