Phil Risher explains why home-service companies stall at $2 million. You need a documented sales process with close rates tracked per salesperson, dashboards monitoring leads and estimates, and a fractional CMO handling marketing and CRM data so the owner can focus on operations instead of wearing every hat.
Getting from $2 million to $5 million at a home service business, fundamentally, you have to stop running a $2 million business. Usually at $2 million, you're the number one salesperson, or you have some salesperson that you're trying to train, but there's no actual sales system. You also may still be relying on word of mouth and maybe some ads here and there and cookie cutter marketing. The $5 million companies, they do 3 things. Number one, they have a sales process that's documented and also tracked. They know their close rate, they know their average ticket, they know it by the salesperson. Number 2, they have dashboards and scorecards for everything. They know their numbers to a T. They know leads year over year, job count year over year, estimate created year over year, all the numbers that actually architect growth. And then the 3rd thing is they work with a marketing company that's a fractional CMO type of service that can do good marketing, but more importantly, pull data from their CRM to provide them with reporting for return on ad spend. and help them run automations and a custom tech stack for their business. So they don't have to be the CTO trying to make sure that the forms get into the CRM and the lead nurture sequence gets run and all of these things. So they can focus on running their business. So if you're stuck at $2 million and you want to go to $5 million and you actually want someone who's done it, I worked at a $3 million business and helped them go to $5 million and sell to private equity. This is exactly why I built my business. Comment growth below and I'll get you the link.
