A little rambling about the self-employed life...

admin

I was reading Boostin's thread on those hog gate fasteners and what equipment might help out on those, and it got me to thinking about the balancing act that keeps me up thinking some nights in this business.  I wonder if anybody else does the same thing?I've been in business for myself since '06 - had the "good" fortune to take the plunge the same year the economy started into the toilet in our area.  My wife has a good job as an associate mgr at a financial institution, but our goal is to be able to bring her home in another few years so we can start a family.  To this end, we've been re-investing as many business profits as possible into equipment and tooling, so that more can come home and stay once she's at home.A local machine shop occasionally shares my profit by making repetitive parts for me.  I had originally pictured my business being completely mobile (this was in '06), but with the downturn there are plenty of laid-off weldors out there who bought a truck and a welder and are driving the price down to around $30/hr.  Until all of them starve out working for nothing, I'm finding there is some demand for small-scale shop work.  I'm still learning how to balance the 'feast and famine' aspect of business in this economy, and when to invest in new machinery and when to keep on paying to have it done by an outsider.  This year I've gone from having the shop be a materials-storage area to being equipped with an XMT 304, 10' workbench, heavy and light drill presses, oxy-propane torches and a nice new Baldor bench grinder (my yearly little investment in new USA equipment).  About the only things I pull off the truck these days are grinders and my welding shield.  I've also diversified into mechanical and even automotive repair - I have prior experience with both, all but the most specialized tools, and an auto lift in the shop so it was only natural.  I'm even trying my hand out on a couple of SA200 rebuilds, trying to wring some profits out of the time when the phone isn't ringing.I know, a lot of rambling with no clear point.  I guess I'm wondering out loud - how many of you are paying the bills and feeding a family with just your business?  How many of you are still needing that second income to keep the family afloat?  Those of you that are making it all yourselves, what do you see as the most important choices that got you where you are today?  What were the bad habits you had to get out of, or the good habits that you had to get into?
Reply:I have little experience with being self employed aside from a stint as a cable installer but if your willing to do the drive Huntington Ingalls ship building does hire contractors to do work in the shipyard here in Newport News and it would be good to see some good contract welders come in as opposed to what we have seen come in and get kicked out.On the automotive side I'd be willing to help get your name out into the European auto enthusiast community in the region specially if you good with thin stainless and aluminum tig or mig and can do exhaust work.Welding Supervisor Department of Corrections.
Reply:I've been on my own since 1994 with dump trucks doing road construction. Had alot of good years, bought more trucks and kept a bunch of owner operators busy. In 2002 we got governor blago (now awaiting sentencing, second governor in a row) and he destroyed the road construction industry in hellinois. In 2004, I wanted to jump on the band wagon and dig holes for the housing boom. Was busy as heck for two years. Then started slowing down and BAM, STOPPED!!! I went thru all of my savings to keep all of my equipment and keep the doors open. Barrowed from all family members (thank GOD for my family), and hoping to pay them back.This year came into some GREAT trucking work. Ridiculous hours. But between the union and fuel, I am working my *** off for hardly anything. It's REALLY tough right now. But I have three kids to be strong for, so I have to hope we finally get some politicians that give a crap about America, and it will get better. If 2012 doesn't bring good change, I will probably do like the guys I know, sell all the big equipment, go on welfare and work for cash and tell every POS democrat in hellinois to kiss my mother ****ing a$$, GO TO WORK TO SUPPORT ME! Pretty sad, isn't it? I've worked plenty of 30 to 50 hour straight rodeos. If I can't keep a buck, I'm giving up till the revolution!ALWAYS REMEMBER! If the business cannot pay the bills, SHUT IT DOWN! It is very hard to catch up. It will take a few more years just to pay off the debt. The wife just started back to college to get her teaching degree. (She has a bachelors, but not for teaching) Then maybe I will play the house wife!Oh and NEVER sign a contract with the DEVIL (union). You can be a union worker, but trust me, you DO NOT want to be a union employer!Last edited by Stick-man; 09-03-2011 at 10:56 PM."Where's Stick man????????" - 7A749"SHHHHHH!! I sent him over to snag that MIC-4 while tbone wasn't looking!" - duaneb55"I have bought a few of Tbone's things unlike Stick-Man who helps himself" - TozziWelding"Stick-man"
Reply:I feel it too, I am finally upgrading to a real service truck, and pushing the hell out of it. I will do anything, mechanical repairs, paint the body when I am done, even run the excavator. I have the good fortune to have found a "real" job that pays well, but is 3 nights on 3 days off. I have been on my own for about 8 years now and now I know what my Dad and Grandfather were up against.  I am pushing more towards a full service onsite equipment/truck repair service. Everything from oil and fluid changes to full r&r of engines, trannys, and drivetrains.Disclaimer; "I am just an a$$hole welder, don't take it personally ."
Reply:Been self employed for 32 years now. What a rollercoaster.If I had to do it over again, and know what I know, I would have not done it. There is no manual to teach you how it really is in the bussiness world. And try that in close proximity to Hollywood and their pimp/whore mentality.How many times when I was broke people tried to pay me in drugs. I remember mid 80's standing in the lobby of my bank with and bounced 10K check. Thought I would go nuts.Anyway you can go to your grave knowing you did the best you could, furthered our ecomony, and stamped "Made in USA" on your life.I have been blessed to have a wide gamut of clients. Each struggling in turn. I have the utmost respect for those that bleed thier lives in self employment. Only we will know these struggles of sacrafice.We are no longer "Captains of Industry". The union pimps and entitlement liberals call us criminals.I too wake up in the middle of the night sweating the details, or wondering where payroll will come from. But sometimes the best ideas come to me then too. Don't forget we work twice as hard for half as much, because the liberal entitlement union pimp commies screwed us. Too old to do something else now, so on it goes. Maybe when I am 90 I can retire into that senior center for shmucks.Weld like a "WELDOR", not a wel-"DERR" MillerDynasty700DX,Dynasty350DX4ea,Dynasty200DX,Li  ncolnSW200-2ea.,MillerMatic350P,MillerMatic200w/spoolgun,MKCobraMig260,Lincoln SP-170T,PlasmaCam/Hypertherm1250,HFProTig2ea,MigMax1ea.
Reply:I've been doing the self employed thing for most of my adult life. I started at around 21years old right out of the Air Force. I worked plain old fix anything back then. I didn't do to bad though working night shift at the truck stop on top of business all day did take a lot out of me. When my wife got pregnant with my daughter I was running so far behind on work and worrying so much about how we would make it I jumped at a chance to work at the local machine shop (where I'd wanted to work since I was a kid) when the chance came up. We nearly starved the 8 years I worked there (since my daughter was born I've been the only source of income) but it did give me more experience and industry contacts so that when they went under I was able to break back into the self employment thing fairly easily. Been doing it this time around for 11 1/2 years now. I've managed to gather up a fair collection of tools in that time. I also managed to get a pretty good debt piled up when my wife got sick about 5 years ago. Been fighting to take it down ever since. I have made some progress on it the last few years but there always seems to be something that happens to slow the progress on that.  This year has been harder than some I've had. Been a lot more low and negative income months than normal. What's been strange is except for the very first of the year sales and business has been normal or even higher than normal. It's just that when you run the numbers there's been less left after all the expenses. I don't know I think it's probably because of the combination of the house burning, slow winter, and other factors that left me with less reserves than normal but I've had to scramble for payroll and bill pay harder this year than I've had to since the first couple years after I came back to the self employment arena. Then again who am I kidding it's always been a fight to keep everything afloat. It probably always will be so I just keep on plowing through no matter what they throw at me.   Didn't mean to make this sound like a sob story. It isn't it's just some ramblings to add to the list here. Well it's about time to get back to work. One of the joys of being self employed is that you get the work all the time even holiday weekends.Millermatic 252XMT 304'sDynasty 280DXHypertherm PowerMax 1250Miller Trailblazer 302 EFIOptima PulserXR feeder and XR Edge gun and more athttp://members.dslextreme.com/users/waynecook/index.htm
Reply:Maybe you guys will have some input on my post.  I've worked for a guy who began his business when he was 21, and I've been helping him since he was 24 so I've seen some of the bad times.  But now it's my turn.....Here is a post of mine I copied and pasted from the other business thread.  Hey guys, figured I'd introduce myself in this thread. I'm Craig, and am from the Lansing, MI area. I'm 22 years old, have a bachelors degree from Ferris State University in Automotive Management and I'm also a graduate of the Lincoln Electric welding school down in Cleveland, OH. Currently I hold four welding certifications, and am waiting on a fifth (pipe). Recently, (within the past year) I have registered a business with the state of Michigan (Motorsports and Leisure, LLC). Now that I am out of school, and am able to commit all my time to the business I'm starting to get the ball rolling. The goal for the next couple years is to provide mobile welding for the surrounding area, and eventually break into the automotive high performance market and build tube chassis/high performance parts. Large peices of equipment I currently have include:Lincoln Precision Tig 275Lincoln Weldpack 175Lincoln Ranger 8Tombstone AC 225As well as necessary hand tools and a steel cutting miter saw. Next piece of equipment will probably be a nice Oxy/Acy torch.From some of you guys who have BTDT, words of advice? What was your most successful way of advertising, as that is going to be my first big hurdle? Any suggestions welcome, thanks! Craig MontgomeryMotorsportsandLeisure.com
Reply:Originally Posted by TozziWeldingI feel it too, I am finally upgrading to a real service truck, and pushing the hell out of it. I will do anything, mechanical repairs, paint the body when I am done, even run the excavator. I have the good fortune to have found a "real" job that pays well, but is 3 nights on 3 days off. I have been on my own for about 8 years now and now I know what my Dad and Grandfather were up against.  I am pushing more towards a full service onsite equipment/truck repair service. Everything from oil and fluid changes to full r&r of engines, trannys, and drivetrains.
Reply:I havent yet made as successful go at self employed entirely. I do a lot of side work, and last summer when there was no structural work, I helped make ends meet by chasing a lot of side work, while being stay at home dad with the newborn. That's as close as Ive gotten.I realized something last summer that I'd like to offer: When Im working in the garage on a project, it doesn't feel like work. I got my SiriusXM radio, I can step out whenever I want. I can work as early or as late as I like (or until the neighbors bang on my garage door). So in my case, I think if the choice is to spend 12 hours making repetitive parts or paying a shop to do so, I would make them myself - as long as I can't be working on other money making stuff at the same time. My partner on a project last summer said he felt like I deserved more than our 50/50 split, because I was "in the garage" 12 hours a day. My reply was "it doesnt even feel like I worked this week". As far as I know, your business model of investing back into your company is spot on, and I applaud your dedication in buying American made tools. By all counts except those of the speculators on wall street, this economy will persist for 3-4 more years. Diversifying into auto repair and stuff is a good idea! On my end Im diversifying by re-joining the army and going into the national guard. Good luck on everything. I would really like to see pics of your shop.Weldanpower 225 G7Ironworkers Local #24
Reply:Originally Posted by shovelonWe are no longer "Captains of Industry". The union pimps and entitlement liberals call us criminals.:
Reply:Originally Posted by tenpinsI realized something last summer that I'd like to offer: When Im working in the garage on a project, it doesn't feel like work. I got my SiriusXM radio, I can step out whenever I want. I can work as early or as late as I like (or until the neighbors bang on my garage door). So in my case, I think if the choice is to spend 12 hours making repetitive parts or paying a shop to do so, I would make them myself - as long as I can't be working on other money making stuff at the same time. My partner on a project last summer said he felt like I deserved more than our 50/50 split, because I was "in the garage" 12 hours a day. My reply was "it doesnt even feel like I worked this week"..
Reply:Originally Posted by tenpinsDrivel. at the height of their golden age, unions controlled a mere 35% of the work, across all trades and industries, across the nation. That was in the 50's.Today the national average, across all trades and industry, is a measly 15%. Here in colorado, ironworkers have about 6% of the work. Yeah I know, it's a real stranglehold. I also would bet you've never looked inside a union local. Especially in our welding/ironworking trades. Those people are about as conservative, republican voting as they get. In my trade, Im considered a screaming liberal, which is funny, cause Im the only war veteran I know in the local.
Reply:Originally Posted by tenpinsDrivel. at the height of their golden age, unions controlled a mere 35% of the work, across all trades and industries, across the nation. That was in the 50's.Today the national average, across all trades and industry, is a measly 15%. Here in colorado, ironworkers have about 6% of the work. Yeah I know, it's a real stranglehold. You know the christian religious line of "the greatest trick Satan ever pulled off is convincing people that he doesnt exist"? Well its the same thing, the greatest trick mega corporations and the mega rich ever pulled off, if convincing the some americans that they bear the greatest burden in this country, and the working man has to pull more weight.I know the AFL-CIO is a pretty large conglomeration of unions across the country. It represent millions of workers who pay dues into the machine. As large as it is, it cannot even come close to matching the money folks like the Koch brothers have at their disposal. I also would bet you've never looked inside a union local. Especially in our welding/ironworking trades. Those people are about as conservative, republican voting as they get. In my trade, Im considered a screaming liberal, which is funny, cause Im the only war veteran I know in the local.
Reply:Originally Posted by tenpinsDrivel. at the height of their golden age, unions controlled a mere 35% of the work, across all trades and industries, across the nation. That was in the 50's.Today the national average, across all trades and industry, is a measly 15%. Here in colorado, ironworkers have about 6% of the work. Yeah I know, it's a real stranglehold.
Reply:And this belongs in " General Welding Questions" section??More likely should be "Off Topic"....JMHO
Reply:Originally Posted by skelley521And this belongs in " General Welding Questions" section??More likely should be "Off Topic"....JMHO
Reply:Yea people have taken this off topic into personal rants so I will try to move it back to topic.  Have you looked into the small business owners association or anything along those lines in your area?Welding Supervisor Department of Corrections.
Reply:Add more tools to your tool box. Learn how to use them. You need the tools to get the work. Fix anything. Add more certifications. Smile and be positive. Don't care what happens it is part of the work. Save 10% no matter what. Repair your own truck, welder and all tools. Raise your prices until the work stops. Than you are too high. Drop down. Learn how to read the public to price the job. F$$k all organizations they take too much time. The job comes first. Redo until it looks and is right. Work of mouth is the best way to get work. Pay the IRS they are your business partner wheather you like it or not. Be happy and have fun while doing the work. If someone hurts you by cheating or not paying the bill, wait and punish. Do not turn the other cheek. Learn from Jim Brown,Clevland Browns, not matter how hard he was hit or how bad he hurt he allways got back on his feet the same way. There is no crying in business.
Reply:You are correct. I can see your point discussing your welding business in this section, my bad.However you are incorrect in stating  ""I can see how it might seem that way to someone who isn't in the business..""As a Superintendent for a General Contractor at several Plants, I was involved in all phases of Industrial Maintenance from bidding work; planning; ordering materials/tools; hiring manpower and following the jobs from start to completion, etc. These jobs included all trades (alphabetical order): Boilermakers; Carpenters; Electricians; Ironworkers; Laborers; Millwrights; Operators; Pipefitters and Sheetmetal workers just to name a few. I was required to know several aspects of each trade in order to help them be successful.You are correct in saying that I am interested in the actual process. Because before taking a superintendent job, welding was only 'one' of my skill sets. I take pride not only in my skills, but the skills of all trade members. I like to keep them finely tuned, hence the reason I want to take several welding test.As for work, it has been great in our area. In 8 months I made 70k and have had 5 weeks vacation also.So to answer your Question "what do you see as the most important choices that got you where you are today?" I would have to say Diversify.I hope you don't take anything the wrong way and wish you the best of luck.
Reply:Originally Posted by DSW It's "work" when it's Sunday on a 3 day weekend and you have to go in to the shop again, for who knows how long after working late the night before, and looking like you'll do it again tomorrow, but are dead tired, and need to get the job done by the end of Tuesday or it's all worth nothing.
Reply:Ok ranting over.At least you know that you are in good company. For me I like to set solid work hours. I might work seven days straight, but always home to have dinner with the family. I get permission to work thru dinner and more often than not the family trots up to bring me dinner. They seem to know when payroll needs to be made.Since I can't really do weekly vacations, I do long weekends with the family. I also close the shop between Xmas and New Years. My customers are closed to so no problem. I feel it is very important not to sacrifice the family because it is so easy when you are self employed.I also will never run a business out of my home. On the way to work I become a real dick, then transform out of it on the way home to supper. When I am at work it is all business. And at home screw it. I don't even want to pick up the phone when at home, but I am a slave to it at work.As far as money, customers that do not have an account with me, I get 50% deposit, and balance COD. And for walk-in jobs that will be paid for on pickup, tag the job with customer's name and phone #, and price you quoted. So many people never come back, at least I can dog them with calls.Hope this helps.Weld like a "WELDOR", not a wel-"DERR" MillerDynasty700DX,Dynasty350DX4ea,Dynasty200DX,Li  ncolnSW200-2ea.,MillerMatic350P,MillerMatic200w/spoolgun,MKCobraMig260,Lincoln SP-170T,PlasmaCam/Hypertherm1250,HFProTig2ea,MigMax1ea.
Reply:Ran out of gas.....with 2 feeders left....3 pcs of filler....on a holiday.  ****.My name's not Jim....
Reply:what can you do "not Jim", some times that is just the way the ball rolls.Dynasty 200DXPassport plus w/ spoolmate 100victor 315c oxy/(act and prop)Miller digital elitemilwaukee power tools
Reply:Originally Posted by turkwhat can you do "not Jim", some times that is just the way the ball rolls.
Reply:Best of luck in your search there Boost. If you were near by I'd spot you my cyl, ( not sure if I'd have the filler, stainless or alum for those feeders). My LWS guy used to live right around the corner and he gave me his cell number for emergencies like this. I never needed it, but it was good customer service. In the past, I have needed to make some "emergency" calls to try and borrow parts from friends in the business, for Sunday jobs that had to be done "NOW" for customers.Can't wait to see what you did when you post up picts. I help out with the 4H pig club since my buddies kids are in it. I rebuilt their hog feeder last year. I could use an easy design to copy and make up some extras to have available for the kids to use..No government ever voluntarily reduces itself in size. Government programs, once launched, never disappear. Actually, a government bureau is the nearest thing to eternal life we'll ever see on this earth! Ronald ReaganGot a hold of a friend.  He needed help programming his new garage door opener, I needed a bottle and filler.  Tit for tat and the job got done.  Didn't take any pics, I thought about it....  Now just have to decide how much to charge him.  Normally for first time customers and big jobs I try to cut some slack on the billing for trips back and forth and other things.  This one landed on a holiday weekend though.  I'm thinking I'll make up a "Good Guy" bill and a full rate bill.  Then see how long it takes him to call me wanting to settle up.  Either way I saved him a bundle of money and got the job done on time.My name's not Jim....
Reply:I have been in business for myself since 2000 (part time) and went full time in 2005. Although it is not a welding business, I am an electrical contractor. I knew that constuction has boom/bust cycles and I concentrated on building a solid customer base of homeowners and business owners rather than looking for work with general contractors. (I do work for generals but they get second priority with me and they know it) I also built a reputation for quality work and first rate customer service. The generals I work for know this also and they know my price is my price, if they don't like it they can use someone else. But they like my work and they use me.I guess what I am trying to say is, if you can make yourself be in demand, you won't go hungry and you won't have to pick up work you don't really want. It works in just about any business where you deal with the public, if they love you they call you again and again, and they tell their friends. And go after the customer base you want, not the cheapskate chiselers, they too will tell their friends and you will end up with more cheapskates. You might not get a lot of homeowners on a regular basis in the welding business, but you can go after the business customers that are willing to pay a fair price, then give them quality and service they won't forget and you will gradually build a good customer base.I have a friend who does gates and doors/window bars, he has built a good reputation and survives just off homeowners and word of mouth. We always show up when we say we will, and we are always prepared. A neat and organized truck helps too. That's my job, at night, loading the trucks (2), scheduling, bidding and paperwork. Then I am on the job 8 hours the next day. Always remember word of mouth can be your biggest asset or your biggest liability, it's up to you.Last edited by bigb; 09-06-2011 at 12:01 AM.Miller Challenger 172Miller Thunderbolt AC/DC 225/150Miller Maxstar 150 STLVictor 100CVictor JourneymanOxweld OAHarris O/ASmith O/A little torchNo, that's not my car.