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Sign Shop on CNBC's "The Profit"

Rick

Certified Enneadecagon Designer
Investing 200k+ doesn't make the father rich... he was sweeping the floor
and is probably there to watch his investment.

I'm sure the move from New York to South Carolina was a strategic one,
you need a Sign erectors license in New York, and you have to deal with
a long permit process, South Carolina you don't have all that. I don't think
he's an idiot, he got this far without blowing his fathers investment. I don't
think you need to be an artist to be in the business, I've seen a lot of crap
from "artiste's" and have little to show for their efforts. I think as a manager,
he has an opportunity to learn from this and let his employees do their job.

Unless it's was stated somewhere else, the designer does not have a lot of
time in the business. But he seems to be able to communicate things better
than most designers I know. I'm surprised he said 3 weeks for a lit sign, and
even more shocked the boss said 1 week. Typically, - even on a refurb - it's 6
weeks for most shops. I believe that sign was originally non-illuminated, so I
would think the permit process would take a few days. Giving ballparks is not a
bad thing, but I know quite a few sign shops who do not. Butting in on a sale
would have had me walk.

One thing he has going for him (besides the 200k) is he's smart enough to get
the right people, but he (or they) do not know enough to get a process going.

I counted 8 employees, 700k is not a lot for 8 people. But it is a lot for 3 years...
To be the biggest in the state, he would need some beefier equipment and
knowledgable employees to run it. Without a process, I can't see him being
able to make that transition, micromanaging it would make it that much harder.
He needs to streamline his process now, or he'll only be a storefront shop.

This guy is typical of most business people... especially sign people with no
training. I deal with this all the time. I was talking to a guy who owns a franchise,
I was asked to let him bid on a job we are working on, he was a total dick... pulled
out his contractors license and said, "you have one of these?" I said "nope, I don't
need one, I only design" he looked at me as if I was from another planet, how could
I get paid to design signs, I showed him my portfolio and that took care of that, so
I asked how long was he in the sign business, he said 5 years... I asked, how long
have you been licensed? He said 5... you need to be a journeyman sign person to
get one, so I'm sure he had to lie about his experience... and he knew where I was
getting at. That guy had the potential to bid on hundreds of thousands of dollars of
work. But his limited knowledge of the business is keeping me from doing business
with him, but he had one thing going for him. his designer is one smart kid and very
likable. I'm sure that guy does okay because he has a smart and friendly designer.

My last "real" job was a project manager for a company with 16 employees.
They did 2.5 million. When I had my first meeting with them, I asked how
many worked at a sign shop, only one guy raised his hand. I ended up quitting
because the expectation of training everyone from the designers, to the
fabricators and installers was an impossible task, especially when very few
spoke english. They are still pulling in those numbers without me, but they make
a lot of mistakes. I don't see that ever changing because they only hire people with
no experience. It's my belief that most business owners are their own worst enemy...
(myself included)
 

OldPaint

New Member
WELL...... i never grossed $700k, never had 8 employee........NEVER SET OUT TO GO THERE!!!!!!! i got in this because of my abilities to design/layout/built/install/paint signs anywhere......and in my 30 years......i alway told the prospective client one thing.............before i got 1 penny from them:
"IF YOUR NOT SATISFIED WITH WHAT I HAVE DONE FOR YOU...................DONT PAY ME!"
and in 30 YEARS.............AND.................only have 2 jobs............that i got stiffed on......and it had nothing to do with my work...................these fell under "schit heads" cant be trusted......and both jobs i didnt get a DEPOSIT)))))))
 

HulkSmash

New Member
Investing 200k+ doesn't make the father rich... he was sweeping the floor
and is probably there to watch his investment.

I'm sure the move from New York to South Carolina was a strategic one,
you need a Sign erectors license in New York, and you have to deal with
a long permit process, South Carolina you don't have all that. I don't think
he's an idiot, he got this far without blowing his fathers investment. I don't
think you need to be an artist to be in the business, I've seen a lot of crap
from "artiste's" and have little to show for their efforts. I think as a manager,
he has an opportunity to learn from this and let his employees do their job.

Unless it's was stated somewhere else, the designer does not have a lot of
time in the business. But he seems to be able to communicate things better
than most designers I know. I'm surprised he said 3 weeks for a lit sign, and
even more shocked the boss said 1 week. Typically, - even on a refurb - it's 6
weeks for most shops. I believe that sign was originally non-illuminated, so I
would think the permit process would take a few days. Giving ballparks is not a
bad thing, but I know quite a few sign shops who do not. Butting in on a sale
would have had me walk.

One thing he has going for him (besides the 200k) is he's smart enough to get
the right people, but he (or they) do not know enough to get a process going.

I counted 8 employees, 700k is not a lot for 8 people. But it is a lot for 3 years...
To be the biggest in the state, he would need some beefier equipment and
knowledgable employees to run it. Without a process, I can't see him being
able to make that transition, micromanaging it would make it that much harder.
He needs to streamline his process now, or he'll only be a storefront shop.

This guy is typical of most business people... especially sign people with no
training. I deal with this all the time. I was talking to a guy who owns a franchise,
I was asked to let him bid on a job we are working on, he was a total dick... pulled
out his contractors license and said, "you have one of these?" I said "nope, I don't
need one, I only design" he looked at me as if I was from another planet, how could
I get paid to design signs, I showed him my portfolio and that took care of that, so
I asked how long was he in the sign business, he said 5 years... I asked, how long
have you been licensed? He said 5... you need to be a journeyman sign person to
get one, so I'm sure he had to lie about his experience... and he knew where I was
getting at. That guy had the potential to bid on hundreds of thousands of dollars of
work. But his limited knowledge of the business is keeping me from doing business
with him, but he had one thing going for him. his designer is one smart kid and very
likable. I'm sure that guy does okay because he has a smart and friendly designer.

My last "real" job was a project manager for a company with 16 employees.
They did 2.5 million. When I had my first meeting with them, I asked how
many worked at a sign shop, only one guy raised his hand. I ended up quitting
because the expectation of training everyone from the designers, to the
fabricators and installers was an impossible task, especially when very few
spoke english. They are still pulling in those numbers without me, but they make
a lot of mistakes. I don't see that ever changing because they only hire people with
no experience. It's my belief that most business owners are their own worst enemy...
(myself included)

You're absolutely correct. 8 people at 700k isn't the best.. but it's still VERY good..for 3 years
We estimate $140k per employee, and you're in a good spot. The reason he has so many people
is because he's manufacturing, and installing. With that type of sign work you need... NEED that many people.

Once he gets in the 1.1-1.2 mil range, which they can...... they should be in a solid spot.
 

CanuckSigns

Active Member
I think the thing that got me the most was when he said "I don't want to do work for mom & pops anymore, i'm only interested in national companies" you've got to be an idiot to say that on TV! he's in a relatively small town, a majority of his local work will be for "mom & pops".

yes national contracts are great, however, they certainly don't pay you your normal rate for work, they expect you to give them a HUGE discount on their work! you need the "little jobs" to make some real profit.

overall I think the guy has some great employees working for him, i'm not sure he knows what he is doing, but he seems like a horrible manager!

Also, national companies don't give work to companies who brand themselves with a cartoon of the owner giving the thumbs up :ROFLMAO:
 

HulkSmash

New Member
I think the thing that got me the most was when he said "I don't want to do work for mom & pops anymore, i'm only interested in national companies" you've got to be an idiot to say that on TV! he's in a relatively small town, a majority of his local work will be for "mom & pops".

yes national contracts are great, however, they certainly don't pay you your normal rate for work, they expect you to give them a HUGE discount on their work! you need the "little jobs" to make some real profit.

overall I think the guy has some great employees working for him, i'm not sure he knows what he is doing, but he seems like a horrible manager!

Also, national companies don't give work to companies who brand themselves with a cartoon of the owner giving the thumbs up :ROFLMAO:

I think he misspoke when he said that.. and that wasn't what he meant. From my understanding, he doesn't want graduation and birthday banners. He wants the bigger work. 2 years ago we stopped taking that stuff in, and really concentrated on the larger scale jobs, bigger companies, and move more to a QTY based system. Since they we pretty much exploded. We lost 20-30k a year in small walk ins, but gained hundreds of thousands in larger jobs
 

CES020

New Member
If you've never been to where that guy is operating, it's hard to imagine. It's literally 10's of thousands of signs down there within 5 miles of him.
 

OldPaint

New Member
like any resort area.....we got em here DESTIN, FL, GULF BREEZE, FL. ORANGE BEACH, AL. the cooperate signs are everywhere....and i been to VIRGINIA BEACH.......and even OAHU HAWAII............all look alike...
 

mgieske

New Member
Who cares about the volume this guy does. His profit was very low considering that the equipment was paid for and the dad was paying half the rent as a gift. He must be the low price leader in town. Like the popcorn lady- that Profit episode will likely harm his business.
 

HulkSmash

New Member
All depends on the overhead too and the type of work you specialize in. Certain aspects of the business can yield higher margins than other. We're on track to do half a million this year with only 2 production people which I'm really happy about.

I'll have to look up this video and see what all the hype is about.

2 production people.. but how many people are being paid in the business overall?
 

HulkSmash

New Member
Just and FYI to some of those out there.

Taking a typography class, and painting is much different than running a full fledged sign and graphics business with manufacturing equipment.
 

HulkSmash

New Member
Guess we're just a standard old shop then. Maybe one day we can all be as big and cool as you.

Carry on with the pissing match, I've got work to do. :thumb:


woah easy there. I'm saying you're on track and doing very well.
I'm standard too my man. You're taking this the wrong way. 140, is a little high from what I've been told. 120k per guy is more like it. 3 guys at 500k is huge.

I compliment you and you get offended.. lol.
 

TimToad

Active Member
I just don't see this guy possessing the inner calm, real confidence and knowledge required to deal with larger, more corporate entities. Bravado and pomposity aren't to be confused with real confidence and knowledge. Yeah, he's got balls of steel when its dad's dough funding everything. Let's see what they are made of when its his own money or equity in the company financing things.

Flashing his guns, tats all over and his NY attitude will only last so long before the natives get restless and reject his whole pushy schtick.

Plus, he's in a tourist destination where the higher price signs he covets require high quality execution and design.

He doesn't seem to have those talents and if none of the owners are making anything now, I'm sure he's paying his help the typical red state, right to work for less kind of wages with little in the way of benefits. As the work load grows and the quality demands grow also, he'll likely lose the most talented and hard working to other opportunities unless he suddenly can afford to pay them enough to stay.
 

Gino

Premium Subscriber
I can't see it. :Oops: Any idea why ?? I don't have cable, just satellite at home, but I still can't see it. However, I only have Comcast at the shop, but for internet usage only. No television capabilities.
 

HulkSmash

New Member
Here Gino

[video=youtube;zPuAJ4xbRSI]https://www.youtube.com/watch?v=zPuAJ4xbRSI[/video]
 
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SignManiac

New Member
His typical New York attitude with a large dose of Jersey shore antics are the one thing I'm glad to be rid of after leaving Long Island. I watched the entire episode and knew before the end of the show that he would shoot himself in the foot running his know it all mouth. Without change, and in such a small community, he will limit his growth locally. And especially now that he's aired his attitude nationwide and dissed all of his local mom and pop business'. I doubt he will be able to grow very much larger.
 

TimToad

Active Member
woah easy there. I'm saying you're on track and doing very well.
I'm standard too my man. You're taking this the wrong way. 140, is a little high from what I've been told. 120k per guy is more like it. 3 guys at 500k is huge.

I compliment you and you get offended.. lol.

I think it depends on what types of work make up the bulk of your workload. 3 people pumping out banners, RTA vinyl, coro, and DiBond signs doing 500k would mean lots and lots of LONG days the way my math works. 3 people making channel letters, electric signs, nicer monument signs and more permanent types of signs as the bulk of the work, seems pretty doable.

The general percentage I've typically seen used and worked under is to expect to pay 20-25% of your shop rate for experienced help. So, if your shop rate is $80, your average experienced worker should be earning roughly $20 per hour total compensation and should produce roughly in the $150k range annually.
 

TimToad

Active Member
Why does everything have to go political with you?

Because most things in life have a political influence or underlying political reality to them. The near south, deep south and most of the red states just happen to be governed by people who are more beholden to the "race to wage the bottom" philosophy, profits and tax breaks for the owner class at the expense of the working classes, etc. You want to ignore that reality, be my guest. I think its related to the kind of mindset the subject of the show projected.

I don't make the rules, I just calls 'em likes I sees 'em.

Do you think half of the average German or Scandinavian workers scratch their heads and wonder why an electrician or other skilled tradesperson just a state away from them works for substantially less than they do with little or no benefits?

Nope, they don't because those countries believe that wage equity and universal social benefits produce the most stable, happiest kind of society. All statistical evidence seems to back that belief system up.
[h=1][/h]
 

CES020

New Member
Because most things in life have a political influence or underlying political reality to them. The near south, deep south and most of the red states just happen to be governed by people who are more beholden to the "race to wage the bottom" philosophy, profits and tax breaks for the owner class at the expense of the working classes, etc. You want to ignore that reality, be my guest. I think its related to the kind of mindset the subject of the show projected.

I don't make the rules, I just calls 'em likes I sees 'em.

Do you think half of the average German or Scandinavian workers scratch their heads and wonder why an electrician or other skilled tradesperson just a state away from them works for substantially less than they do with little or no benefits?

Nope, they don't because those countries believe that wage equity and universal social benefits produce the most stable, happiest kind of society. All statistical evidence seems to back that belief system up.

What I do think is this is a sign forum with people in all states with various levels of skills and talents, not the Huffington Post comment section.
 

Gino

Premium Subscriber
:thankyou:


I think that guy is a member here. I swear I've talked to him at least 18,473 times................ :ROFLMAO:

Ya know, that guy is nothing but a liar. Most of what came out of his mouth was rehearsed in his head, because he knew the cameras were on him, but when he was sitting in that Sushi Restaurant, you could see his body language and his facial expressions were 100% true. He was beat and he knew it. He gulped real hard, his eyes were tearing up and he didn't say much of anything in return.

His start is so much like so many people these days. Doesn't matter if you're from New York, South Carolina or Oklahoma.... it's the same ol.... same ol. You cannot force your way around without it coming back to bite ya in the butt. He's lucky..... his bite came on national television and it happened before he sunk anymore of Daddy's money into it. Perhaps he might've learned a little lesson, but I doubt it. I feel sorry for the rest of the people involved and mostly that little girl, who has an idiot for a Daddy.
 
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