Robert is a second-generation owner of the construction company R Oglivy & Son Construction. He and his wife are now reviewing the business budget.
It sure is, we’ve grown a lot since you inherited it from your father. Nice job!
Business has been growing a lot ever since we got our website made professionally.
Unfortunately, your plan to develop and maintain a website has negatively affected cash flow. Which is a worry if we do nothing.
We could consider applying for government tenders to win more work. My brother's business has been winning a lot of work from tenders after getting ISO Certification.
If this continues, we might need to cut costs. This might mean we will need to let Barry our foreman go, he is our most expensive employee. I know this would be hard as he’s helped your dad set the business up.
Otherwise, we might have to think about cancelling Rodney's apprenticeship. He is our son, but being an apprentice means he can't run jobs unsupervised.
Later that night, Rob was so anxious he couldn't sleep.
I gotta do something.But what?
Barry trained me during my apprenticeship and helped set up the business with dad...
Rodney’s also been doing so well. I don't know what I would've done if I was sacked before I was qualified...
Friday night at the pub, Robert meets up with his friend Andrew, owner of a competing construction company - "A+ Building."
Hey Drew, how's it going mate?
Going great! Did you see my new company Hylux outside? I bought 2 with cash last week.
So that’s how he wins all the work! He can afford to undercut me due to his low overheads!I need to do better with my business!
We've been winning a lot of work lately. Our latest client told us we were two-thirds the price of our closest competitor.