During today’s episode of The Roadmap with host Ted Jenkin, Mike Gill, Owner of Andy Lewis/Hobson Heating and Air, shares insights into the challenges and strategies that have fueled his company’s growth. From navigating economic downturns to addressing labor shortages and discussing the importance of attitude over skill in hiring, Gill provides valuable lessons for small business owners and entrepreneurs alike.
Firstly, Gill’s journey in the HVAC industry was marked by both ups and downs. His company weathered the storm of a significant downturn, scaling back from $20 million in new construction to just $7 million. With fewer crews and trucks, Gill learned the importance of managing a leaner operation during tough times. He explains that, while extreme weather conditions can spike demand, consistency in business operations is more beneficial for efficiency.
In addition, the interview delves into the differences between residential and commercial HVAC services. Gill discusses the complexity of commercial work, particularly refrigeration, which requires faster response times, as businesses like restaurants can’t afford to lose food during equipment malfunctions. He highlights the challenges of balancing service speed with quality, especially when working with large-scale commercial equipment.
However, a major challenge Gill sees in the HVAC industry today is the labor shortage, which affects many blue-collar industries. He shares his recruitment strategy, which focuses on hiring people with the right attitude and training them for the necessary skills. Gill emphasizes that while many employees may come with technical know-how, long-term retention is often linked to their commitment to the company culture, not just their job skills.
Gill also addresses a common misconception about blue-collar careers, discussing the stigma many parents have when their children choose a career in trades rather than going to college. He stresses that the HVAC and other skilled trades can offer lucrative, high-growth careers if approached with the right work ethic. He believes parents should encourage their children to consider these paths and focus on building strong work habits.
Looking to the future, Gill reveals his plans for scaling his business. He notes that the key to success lies in having a clear strategy, understanding business value, and positioning the company with long-term sustainability in mind. He advises other entrepreneurs to understand their finances, including cash flow and balance sheets, as these will play a crucial role when seeking to sell or expand. His number one piece of advice for entrepreneurs is to document their goals and have a plan in place to execute them.
“I think I'm at the point now after 35 years in this industry that, you know, A, you've got to always be networking…. B, you got to hire for attitude, and you train for skill." – Mike Gill
