Slippery Rock Gazette

Bob Murrell 

M3 Technologies

Photos by Bob Murrell

Section179.org is a good place to start if you had major equipment purchases in 2017, to deduct from your taxes.

The deadline for filing your income taxes with the IRS is drawing near. If you are a small business, you will likely have your hands full. Most will have an accountant doing their taxes, others who happen to be a brilliant mathematician and a lucky gambler all in one, will prepare the company’s taxes themselves. In either case, you will have to assemble most all of the pertinent data, that of course, we all know you have been diligently collecting and properly filing over the last year, right?

Perhaps you want to declare the mileage from your “company” vehicles? If so, you need to read all of the qualifications that the IRS requires for this. For example, if in fact you can declare the mileage on your vehicles, you must write down each start and stop point in a log (either physical or digital), such that it is a daily documentation of the metrics of this value.    

There is a company deduction that is still in place for major equipment purchases called the Section 179 (used to be referred to as the “Hummer” Tax Loophole) capital equipment deduction. What this deduction does is to allow you to deduct the cost of any major piece of equipment, up to 100 percent ($500,000), that the company purchased in the year 2017. There is also Bonus Depreciation available.  Companies that have been in business for more than two years can generally qualify.

Equipment (such as floor machines, hand tools, gloss meters, and other pieces of equipment) and vehicles used in your business will general qualify for the section 179 deduction. There are fairly strict requirements on the vehicles. Vehicles that may be multi-purposed such as large SUVs can only be deducted up to 50 percent of the cost and must be used 50 percent of the time for business only.  Many larger pickups with a full-size cargo bed (6,000 lbs. – 14,000 lbs.) may qualify for the full section 179 deduction. Also the Bonus depreciation may be available for up to $11,160 for these larger vehicles. I suggest you look into the specifics of the section 179 capital equipment deduction to see if it is applicable to your business.  This really comes in handy for you fabricators who want to purchase large edge machines, CNC machines, or saws.

Before and after photos of a vanity restoration. Proper documentation and client testimonials can be key factors in the success of your restoration business.

Quotes and Bidding

Let’s face it, who among us hasn’t given the perfect quotation with everything itemized and laid out just right, only to have the customer show it to every competitor you have? And then, it is used to bid against you? Of course you have and it really hacks you off, right?

You may think that doing this is a waste of time, but I can assure you that it isn’t. You need to be as accurate and professional as possible to describe the work you are proposing to do. If it is used against you, so be it. Of course many of you charge for doing estimates, which is probably not a bad idea either.

We all know that you may not have to do everything specified on the quotation or you may even have to do more (accuracy comes with experience), so you have to insert clauses that allow for unexpected situations that arise.

One of the biggest and most common unexpected situations I get calls for is lippage. Excessive lippage is easy to detect but minor lippage can be tricky. “The floor looked pretty flat to me,” says the guy on the other end of the line. I hear this one all the time and have suffered through it many, many times myself. The only flat floor is the one that has been ground (by you) totally flat, period.  

Another potential bite in the rear is edge work. This is especially true when working on darker materials. I know that you’ve heard me say it many times, but once again, always lead every step with the edge and overlap with the floor machine.

Unforeseen issues are why submitting a test area can be of extreme importance. You think it is Crema Marfil and it turns out to be a Botticino Fiorito, which can sometimes be more difficult to get a good polish on. Submitting a test area helps confirm these issues and with customer expectations too. Disclaimers (such as furniture that must be removed, fresh paint, poor set tiles, etc.) are another area you must take a close look at and possibly include on the quote.

You may also want to get deposits, draws, or money for any special tooling or products the project may require. This needs to be in writing, in your quotation.

Before and after photos of gloss meter levels are a good way to demonstrate the effectiveness of your restoration polish. Be be sure to show the client the before and after numbers. This is a quantifiable way to show your work, and is not as subjective as just the visual appearance.

Documentation

We must all start taking before and after photos of every project, using a gloss meter where necessary, and pushing for (or requesting) testimonials from our clients, upon completion of the project. If you want hits on your website, and you really must have a website in the year 2018, you must populate your website with these images and feedback.

When taking before and after photos, first get the approval from the client, then make sure that you get the same shot as accurately as possibly so that it reflects the previous condition against the final product.

Take gloss meter readings and be sure to show the client the before and after numbers. This is a quantifiable way to show your work, and is not as subjective as just the visual appearance. You don’t need a $1,500 gloss meter like mine either. A simple Mini Gloss Meter for under $500 will do the job, more than adequately.   

Testimonials are the best way to get hits on your website. Key words are still important but today’s logarithms promote testimonials and instructional videos more than anything. Your website is your signage to the area and the world, so make it count. I always encourage my clients to give a review. Make it easy for them, by giving them your business card and telling them how. Also, you may want to give them some incentive for doing this on their next required service. 

As always, I recommend submitting a test area to confirm the results and the procedure prior to starting a stone or hard surface restoration or maintenance project. Also, the best way to help ensure success is by partnering with a good distributor that knows the business. They can help with technical support, product purchase decisions, logistics, and other pertinent project information.

Bob Murrell has worked in the natural stone industry for over 40 years and is well known for his expertise in natural stone, tile and decorative concrete restoration and maintenance. He helped develop some of the main products and processes which revolutionized the industry, and is currently the Director of Operations for M3 Technologies.