What Remodeling My House Taught Me About Business

And Visa-Versa

“This is perfect…a…uh…blank canvass.” I said stupidly, surrounded by the avocado green wallpaper and mustard yellow linoleum of the house I was about to buy. I had done my homework: I created a .xls file. It tracked price per square foot relative to comparables, median home price in the zip code and other overly complicated metrics on a number of distressed properties I was considering.

This one, with its hoarder owners, had the biggest upside potential. Plus, my dog loved the yard and the layout was great for entertaining. The economics of buying a house in a good neighborhood in California were that I had to buy something undesirable, rip out the undesirable element, and replace with things of my (and hopefully other people’s) liking.

“I’m not afraid of hard work, I’m handy, I have run a business, I can do this.” That is what I told myself. The process ended up being more of a strain on me mentally, physically and emotionally than I would have imagined. Learning something new always is.

There are different levels of engagement in the world of home remodel. I like to work with my hands, have a truck, tools and trailer, so I chose to play an active role in the construction. I realize this is not the case for everyone. If you are not DIY inclined, or don’t have time to give to the project, I recommend finding a good general contractor and designer/architect. But, even this does not relieve the homeowner of all the work. Especially if they are picky with the final product, like myself. Appliances and fixtures need to be purchased. Colors, materials and designs need to be chosen. I found myself lugging around a canvass grocery bag with paint chips, cabinet stain colors, flooring samples and countertop blocks.

To design something well means to put a lot of thought into it. Don’t expect people that are not connected to the final product to put the necessary thought to achieve a great design. Contractors, designers and architects will get paid upon completion of the project and move on. You will have to live with any design flaws long after.

Even after all the blood, sweat and money have been shed I look back on the project fondly. My house is unrecognizable from the monster it once was. Gone are the horder smells and Brady Bunch appliances. Here is an added bonus I didn’t expect: my new neighbors love me. Renovating the ugliest house on the block is better than handing out banana bread when it comes to getting to know the neighborhood.

Throughout the process I learned a few lessons that I will use in my business practices for the rest of my career. Hopefully they will be able to help someone else embarking on the same adventure shed less blood, sweat and money than I had to.

Only You Can Organize

At first I was under the misconception that I could trust people. Trust people to make the decisions I would make. Trust people to care as much as I do about my house. Trust people to put my damn tools back where they found them.

Every time I left the job site (a term I still use when referring to my house) I would come back to find the wrong paint color being used or find construction stalled because the contractor couldn’t find the right length screws.

Now I have a cork-board and file folder on sight. I have a place for every tool organized by use (cutting, screwing, scrapping, ect.) and have totes for different jobs (painting, electrical, plumbing). I label important hardware with masking tape with phrases like “find a good stud for me in the living room” and “nail me to the bedroom floor”. I am not sure how effective my provocative labels are, but they always get noticed.

“Hands full in and out of a room.” I still remember being constantly told that by the manager of the El Torito restaurant I worked at, bussing table through college. I also still remember his weird baby-powder-mixed-with-enchilada-sauce smell. Now, instead of rolling my eyes like the indignant twenty something that I was then, I find myself muttering the same mantra.

Now I have learned to not expect contractors to keep records, answer your call or remember details. Many contractors got into their vocation because they like working with there hands, not because they are organized.

I always call more contractors than you think you need. Between the ones you call, to the ones that call back, to the ones that actually show up, there is a high burn rate. I also ask for a breakdown of costs. I am still amazed how some contractors will give a bid after only quickly looking at a project. Obviously, they are padding the price a little for any details that they didn’t see in the 15 seconds they spend analyzing the job. Like any contract, the more precise the bid, the less chance of a disagreement when the unexpected inevitably happens.

Listen to Experts

A house is yours. Your opinion is the final say. That doesn’t mean you know best. Ask for outside opinions before forming your own. Contractors have a bias because they might want to do the work in the easiest way (or the most complicated if they are looking for more work). Sometimes it is better to get an opinion from someone outside the process. I like to call the hardware store or the material’s manufacturer and ask their take on a problem.

It is easy to have your heart set on a custom feature, but sometimes varying from the norm can be prohibitively expensive. Materials are cheaper in standard sizes and custom work can be extremely time consuming. Plus, there is always an off chance that someone else might not like the crazy backlit stairs or sewing nook with yarn organizer that you might think is so cool. I usually tell my contractors to give me two bids, one the normal way and one for my more personalized version. I often find my pragmatism outplays my individualism in the battle for my brain and I choose the more standard versions.

Now, when faced with a business decision, I reach out to people outside my core group to get an outsider’s opinion. Having a vision for your company, much like your home, is great. The key is to not get too attached to the details that you are not able to recognize when aspects become impractical.

Stay Focused on the Big Picture, but be Willing to do the Small Tasks

This is something every small business owner already knows.

The task I found myself doing most was vacuuming. Workers often forget that the construction site is also where you have to sleep at night. Plus, something about paying someone $35/hour+ to clean the floor never seemed that efficient to me. Keeping things clean as you go reduces the chance of a spreading dirt or turning an ankle.

Every successful small business owner I know prioritizes their time well, but never feels too valuable to do the small things. Netflix’s C.E.O. Reed Hastings wrote about this in an article for Fortune. The way he tells it, at the time he was a lowly designer for a business software. He would leave his coffee cups strew haphazardly around his workspace, only to find them cleaned and put away every morning. One day, getting to work early, he caught his C.E.O. cleaning the cups himself. The lesson he learned was that leading means doing whatever necessary, even if it is below your executive title.

Designers are to Marketers as Contractors are to Engineers

Designers talk about a house’s “look” or “theme”. They are often at odds with contractors because they don’t care about what is easier to install or cheaper on materials.

You will sit in the middle of this struggle. Rather than writing the “look” off as unimportant, find places where it can be achieved as efficiently as possible. In the end, the “theme” of the house will be the thing that makes people say, “Whoa!”. Never underestimate the power of “Whoa!”.

Likewise, marketers often talk about a brand’s “image” or “narrative”. As costly and difficult as it can be to design a business or product around these ideas, it matters in the end. Marketers and home designers both understand that the extra cost of producing something great is less than the cost of being stuck with something mediocre.

Some Things (and People) are More Expensive Because they are Better

Frugality is important, but decisions should not be made on price alone. This goes for both material and labor. A bid way below the average is just as much of a red flag as one way above. The best contractors are busy, therefore they have no need to bring their price down. One strategy is to pick not the lowest or most expensive bid, but the one that is priced right in the middle.

Expensive hardware or appliances are usually made from better components. If you are looking to save money, stick with the product you want, just research more to find it at the best price possible.

I found myself compulsively searching Amazon to find a better price than I could find it in the store. Also, websites like Raise.com, an online gift card marketplace, are a great resource to try to get the most out of a purchase.

Buying the upgraded faucets that you like might seem like a waste, because there are faucets that costs much less. Instead, a homeowners should look at the impact vs price to upgrade.

Likewise, investing in a business might not maximize profit margin, but it is often the key to longevity. Some ethnic, hole-in-the-wall restaurants are able to give a perception of value even if the paint is chipping and the bathroom is also the mop closet. This is not true for most businesses. Customers, like house guests, have eyes and are constantly judging. Do everything you can to make them feel like you are committed to improvement. Lack of attention to detail anywhere can make them think it will be lacking in your product as well.

Buy Extra, Have It on Site and Return what you Don’t Need

The beauty of modern American consumerism is that stores will take back any unused product, no questions asked. One day, after I had driven in traffic to go to The Home Depot for the fourth time, I snapped. It was a plumbing project, which are notorious for needing extremely specific parts. I bought the 2" A.B.S. angle pipe on my list, then, in a rage, proceeded to go down the row of bins, grabbing one of every other size and shape they had in stock.

To my amusement, we ended up not using the piece I had originally gone to the store for. Luckily, we found a suitable substitute in one of the pieces I had hastily purchased.

Now, this is my standard procedure. The way I look at it, I would rather guarantee two trips to the store (one to buy and one to return) than take a chance that I will have to make a seemingly endless number of trips in the middle of the job.

Don’t Get Frustrated

This is the hardest advice to follow. After weeks of setbacks it seems too easy to throw your hands up and say “Screw it, I don’t care anymore.” Trust me, when the job is done, the little corners that were cut will bug you. Take your time, stay sane, remodeling, like business is a marathon, not a sprint.

Hopefully, these tips are helpful. I know every remodel is different, so these are merely anecdotal. More than anything I hope I am able to give a sense of empowerment to anyone thinking about remodeling, or starting a business for that matter. It will not be easy, you will struggle and doubt yourself, but you can do it. Fear can paralyze people into inaction. From my experience, everyone that has put their all into starting a business or completing a remodel have built something valuable and learned something important about themselves along the way.