Inside the Numbers: October

October was a decent month. Not a lot of it showed up in the numbers yet, but a lot happened underneath them.

The numbers

Revenue: $25,000
Jobs completed: 3
Average job size: about $8,300
Gross margin: about 47%

Here’s how that compares with the last two months:

Revenue is still well below August. But the margin is back in my 45–50% target range after September’s rough month. Fewer mistakes, cleaner estimates, better jobs.

What happened

In September, I told you I’d eased off marketing, and that the real cost of a lighter month usually shows up later. Lead flow did slow down.

So in October, I turned on some Facebook ads for my painting company. They started bringing in leads, and I booked several jobs including some bigger ones that started at the end of the month, like the 6,000-square-foot custom home I wrote about last week.

That’s why October looks light. The work I sold mostly hadn’t been completed yet. November should look very different.

Why a light month doesn’t scare me

Three jobs in a month isn’t much. In a lot of businesses, a month like this would hurt.

But my painting company runs on a subcontractor model. I don’t carry a large payroll or a fleet of equipment. When work slows, my costs slow with it. When it picks up, my crews scale up with it.

That’s the advantage of a lean trade business. A light month is just a light month, not a crisis.

This month’s challenge

We had an interior job where the homeowners decided to keep living in the house during the project. On a lot of the surfaces, we were spraying oil-based primer which has a strong smell that lingers.

It was also a busy job, with a lot moving at once. Managing the work and the customer at the same time was a challenge.

The lesson I’d pass along: set expectations before the job starts, not during it. If a homeowner plans to stay in the house, tell them up front what certain products will mean for their days: the smell, how long it lasts, and which rooms will be off-limits. Sometimes the best advice is to suggest they stay elsewhere for a couple of days. The conversation is much easier before the first coat goes on than after.

What’s next

November is set up to be a strong month, with bigger jobs already underway.

I’m also getting close to my first full year in business. I officially started in March, and the business is trending toward six figures in profit for its first year.

That’s what a lean trade business can do: no franchise, no debt, low overhead, and a model that bends with the seasons instead of breaking.

I’ll see you next month with November’s numbers.

Zac

P.S. If you’re thinking about starting a trade business and want the honest version, forward this to someone who’d find it useful.