How To Outwork, Outbrand & Out-Culture the Competition
Mar 18, 2025
auto_awesome
Steve Holland, an industry veteran who built and sold a successful home services business, shares his incredible journey from humble beginnings to a multi-million-dollar venture. He discusses the importance of branding, detailing how strategic radio advertising propelled his company's growth. Steve dives into the nuances of scaling a business, emphasizing internal efficiency and genuine employee engagement. He also highlights the critical role of company culture and effective communication in outpacing competitors, providing actionable insights for business owners.
Engaging personally with employees enhances morale and loyalty, fostering a positive culture essential for long-term business success.
Addressing operational inefficiencies is critical before scaling a business, as unresolved issues can worsen with increased customer demands.
Strong branding through effective marketing strategies builds customer trust and loyalty, serving as a foundation for sustainable business growth.
Deep dives
The Value of Employee Engagement
Engaging with employees on a personal level is essential for a successful business. Understanding their families, hobbies, and personal lives can foster a genuine connection and improve overall morale. Business owners should show authentic interest in their employees to demonstrate appreciation for the time they dedicate to the company. When employees feel valued, they are more likely to speak positively about the company and contribute to its long-term success.
Operational Soundness Before Scaling
It's crucial for businesses to ensure operational efficiency before attempting to scale. Companies that have persistent issues must address them before increasing their customer base, as this could exacerbate problems. Evaluating gross margins and ensuring healthy net profits are important factors to consider before pursuing growth. A successful business requires a solid foundation, and only then should owners focus on scaling their operations.
Prioritizing Employee Well-Being
Taking care of employees extends beyond basic compensation; it includes ensuring their mental and emotional well-being. Business leaders should take time to understand any external factors affecting their employees' performance. Providing support during difficult personal times fosters loyalty and dedication among staff. When employees feel respected and supported, they are more likely to stay with the company and contribute positively.
The Impact of Branding and Marketing
Strong branding is vital for business growth and trust in the marketplace. Establishing a recognizable brand can create loyal customers who choose a company over competitors. Successful marketing strategies, including radio ads and digital presence, lead to increased customer engagement and sales. Investing time in branding from the beginning can yield significant long-term benefits, as it builds a solid foundation for future growth.
Navigating Private Equity and Company Culture
Businesses under private equity ownership often face challenges related to maintaining a strong company culture. Employees may feel disconnected from ownership, affecting their engagement and overall job satisfaction. It's important for private equity firms to actively involve themselves in the company culture and foster relationships with employees. Ultimately, a strong culture can differentiate private companies from larger corporate entities, leading to better employee retention and performance.
In this episode, we sit down with Steve Holland, an industry veteran who built and sold a successful home services business. Steve shares his journey from starting with nothing to scaling a multi-million-dollar company, offering actionable advice on branding, employee culture, and competing with private equity-backed companies. Whether you're a small business owner looking to scale or an industry veteran navigating growth, this episode is packed with game-changing insights.
🔹 Episode Timestamps & Key Takeaways:
[00:00] – Introduction
Welcome to the episode!
Introducing Steve Holland and his background in HVAC, electrical, and home services.
Steve’s journey: From a challenging upbringing to launching a successful business.
[06:30] – Getting Into the Trades & Launching a Business
How Steve got started in HVAC by taking a $3/hr pay cut to work in the trades.
Lessons learned from early struggles, including quitting a stable job to take a risk.
The story behind launching Mr. Holland’s Heating, Air & Electric in 1997.
[12:00] – The Power of Branding & Radio Advertising
The impact of branding on business growth.
Steve’s experience working with Roy Williams (Wizard of Ads) on radio ads.
How radio marketing helped build a recognizable home services brand.
The long-term ROI of branding and why it takes patience.
[20:00] – Lessons on Scaling a Business the Right Way
Scaling is a buzzword, but why it’s not for everyone.
Fix operational inefficiencies before scaling.
Why focusing on gross margins and net profit is crucial.
Steve’s biggest scaling mistake: Holding back due to fear of risk.
The power of acquisitions and how he used small mom-and-pop shops to grow.
[30:00] – Why Employees Are Your Most Valuable Asset
The most expensive customer isn’t the homeowner—it’s your employees.
The shift from “customer-first” to “employee-first” culture.
The importance of genuinely knowing your employees and their families.
Why retaining employees is more cost-effective than constant hiring.
[38:00] – Culture & Leadership: How to Retain Top Talent
Employees want more than money—they want to feel valued.
How private equity often misses the mark on culture.
The Culture Club initiative at Steve’s company (empowering employees to shape culture).
Steve’s approach to helping struggling employees (personal engagement vs. spreadsheets).
[45:00] – Competing with Private Equity & the Big Players
How private home service businesses can win against PE-backed competitors.
Why outworking the competition is key.
The advantage of nimble, locally owned companies in customer service.
The risks of PE firms prioritizing profit over people and how to stand out.
[50:00] – Final Thoughts & Advice for Home Service Business Owners
If you’re scaling, ask yourself why before jumping in.
The importance of long-term vision over short-term gains.
Steve’s openness to helping other business owners through consulting.