Reputation Matters

I'm having some renovation work done on a building I bought a little over a year ago. It is a gorgeous little cottage in the downtown area of the town where I live, and my plan for the building is to convert it from residential use to commercial use - and relocate my office to that building.

I have spent the better part of the last year dealing with the city, and permits, and contractors.....and we are very close to being finished. However, something has frustrated me through this whole process.

It seems that my general contractor and at least two of the subcontractors we have worked with keep having, as my husband calls it, "misunderstandings to their favor." This is to say that their memory of things we discuss seems to fade when "forgetting" will benefit them financially. We have conversations about detail work being included in their bid, and then later they charge extra for it, or they don't do it and claim that we never had the discussion.

Funny, though - we have never had a single one of these "misunderstandings" that was in my favor. For example, none of them have gone the extra mile or added a little something extra and then said later, "Oh, didn't we agree that would be included?" No, it's always in their favor, which of course, makes it very, very suspect and sleazy.

I was discussing this with a friend today and he mentioned that this very thing has been the reason why the reputation of the home building and repair industry has replaced used car salesmen in terms of public distrust.

I know exactly what he means. In fact, we have bought our last few cars from the same guy at the same dealership, and you know what? He was a very trustworthy and honest man. He pointed out things we might not like about vehicles that he could have easily sold us. In fact, in several lengthy transactions, I cannot recall any "misunderstandings" that worked in his favor or the favor of the dealership. In fact, communication was terrific, and there were no misunderstandings at all.

I have actually referred quite a few people to my car salesman, and his dealership. Will I be referring anyone to my contractor and his subcontractors?

Absolutely not!

(O.K., I'll keep an open mind. If they do something to come clean and demonstrate some integrity between now and when we finish the job, I'll consider it, but it is extremely unlikely at this point.)

So, what is the point for small business people? These contractors and subcontractors are small business people themselves, but they seem to have forgotten that in the small business world, reputation is extremely important. Word of mouth travels like wildfire.

You have heard that "the customer is always right." I have bent over backwards to make something right when a customer was not satisfied because, in terms of your reputation, the customer is always right. They will relay their perception of you to their friends, families, and associates regardless of your opinion of the "misunderstanding" or issue.

It is definitely in your interest as a small business owner to make sure your clients trust you and have no doubts about your integrity. The extra dollar or two you may be able to make now by being a little sleazy is absolutely not worth it in the long run.

The loss of your good reputation will cost you a lot more.