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In the fourth part of
our year-long pet store make-over, we follow Mark and
Caroline Janczak as they talk with contractors and other
suppliers, get estimates and nail down specific details
for their renovation.
By Karen Long MacLeod
When
Mark and Caroline Janczak opened the shipping tube and
unrolled the blueprints for their redesigned pet store,
they were excited. After all, the blueprints represented
their dream for a better future.
But their excitement soon gave way--if
only temporarily--to feelings of frustration and stress.
They've spent hours playing telephone tag with potential
contractors and suppliers, and considering the budget
ramifications of countless options. At the same time,
they're paying attention to the business and trying
not to worry too much.
The Janczaks are upgrading their
store, Critters Pet Shop in St. Charles, Ill., to make
it more competitive in a changing retail marketplace.
They are tackling the project with the help of two well-known
industry consultants, one prominent distributor, 20
leading pet supply manufacturers, and the staff of PET
AGE magazine. Their total budget, including their own
$10,000 contribution, is $60,500.
Recently, they approved blueprints
for an exciting, efficient floor plan with distinctive
departments, modern fixtures and a bright, contemporary
decorating scheme. The plans incorporate the couple's
ideas, as well as suggestions from our consultants--Mike
McCahill of Retail Store Planning (Roseville, Calif.)
and Simon Handelsman of Out of Hand Inc. (Newburyport,
Mass.).
The challenge for the Janczaks now
is to execute the plans.
In this segment of our year-long
series about Critters' redesign, we'll see what happens
when Mark and Caroline start talking with general contractors
and other suppliers, getting estimates, and nailing
down specific details for their store's renovation.
Finding a Contractor
For most remodeling projects, you
need to hire some kind of help--carpenters, electricians,
plumbers, tile installation experts and so on. That
means you first must interview potential contractors
or tradesmen and go through the bidding process.
Anticipating the arrival of the blueprints
for their remodeling project, Mark and Caroline already
had talked with several contractors and individual tradesmen.
They zeroed in on three contractors recommended by neighboring
business owners. Since one of the contractors actually
had done a construction job for a pet shop, the Janczaks
figured they had an edge.
As soon as the final blueprints arrived,
at the end of July, Mark put the plans out for bid.
"I'm going to choose based on price
and my confidence in the person," Mark said. "I've gotten
references on all of them. One is excited that this
project will be written up in a magazine, and the fact
that he might get some publicity."
While the plans were out for bids,
Mark and Caroline learned that they might have to spend
an extra $2,000 to hire an Illinois-licensed architect
to seal the blueprints [to assure that the plans comply
with Americans With Disabilities Act requirements and
so on] just to get permits from the city. They were
trying to figure out what to scratch from the plans
to compensate for the extra expense--until their landlord's
maintenance manager suggested they submit a basic layout
with their permit application rather than full blueprints.
Since their project is relatively simple, he thought
a basic layout might be all the city needed.
That's the approach the Janczaks
took--and it worked. The city issued their permits based
on a simple floor plan, requesting only that additional
construction details be provided as the project progressed.
Evaluating Bids
After a month of waiting and wondering,
Mark and Caroline received just two bids from general
contractors. (One of the individuals they contacted
wanted a break between big jobs. Another contractor
decided he had too many pending jobs.)
One bid, for construction only, was
$122,000. The other, slightly more comprehensive, was
$142,000.
"We were shocked," Mark and Caroline
agreed.
After their sticker shock began to
subside, the Janczaks resolved to save money by acting
as their own general contractor. "Most of the work is
pretty simple," said Mark. "I know what's involved.
[General contractors] tack on a fee, and we could use
that money for something else."
"I advised them against it," said
Mike McCahill. "Mark's not hard-nosed enough. And he's
got his hands full running the store. He wants to save
money, but I don't think he realizes how much work can
be involved in supervising this type of project."
Despite Mike's misgivings, Mark and
Caroline might have proceeded as their own general contractors
if they hadn't hit a snag over the plumber. Either the
tradesmen would not return their calls, or could not
start the job for months. Yet the city would not approve
any of Critters' permits without the plumber's license
number.
"That created a real problem we didn't
anticipate," Caroline said.
That's when they decided to go back
to David English, the contractor who had submitted the
$142,000 estimate. In addition to submitting a more
comprehensive bid, he had shown more enthusiasm for
the project.
Together, they picked apart the bid.
They agreed to use standard 6-foot-8-inch doors instead
of the more expensive 7-foot doors specified in the
plans. They decided to omit the sliding glass door in
the puppy room, to avoid buying the expensive safety
glass required by code. They also identified existing
items, such as interior doors and light fixtures, that
could be retained or refurbished.
Furthermore, Mark and Caroline decided
to do some of the easier jobs, like painting, themselves.
With those changes in mind, David
reduced his bid to $77,000.
When he promised to get a plumber
right away and said he probably could finish the job
before the holidays, Mark and Caroline hired him.
"Hiring a general contractor means
that we'll pay a little more, but we won't have to put
up with all the hassles," Caroline said.
"With
the general contractor handling the project, we can
concentrate on our business," added Mark.
Handling Complications
Two factors further complicated matters:
the Janczaks' lingering indecision about the fish room
and their landlord's indifference about tenant-friendly
concessions.
By Sept. 1--four full months into
the project--the Janczaks had determined the number
and configuration of tanks for the fish room, but still
hadn't committed to a supplier for building it. Until
they made that pivotal decision, they wouldn't be able
to give specific instructions to the contractor, or
know how much money was left in the budget for other
aspects of the remodeling project.
Fortunately, by the third week of
September, they had selected a supplier and received
detailed schematics for their contractor and plumber.
(PET AGE will provide more details on this aspect of
the make-over project in an upcoming issue.)
Since Mark and Caroline must plan--and
pay--for anything their landlord won't fix, they had
to know what concessions he was willing to make. It
took three months to pin him down.
The Janczaks asked their landlord
to move the front door, replace the ceiling tiles (which
were damaged by roof leaks), replace the floor tiles,
discount their rent during the project, and negotiate
new terms for a long-term lease.
They didn't expect a concession on
the floor tiles. According to Mark, the landlord's philosophy
is, "The floor was OK when you moved in. If it's not
OK now, it's because you ruined it."
The landlord agreed to repair the
roof, replace the ceiling tiles and insulate the drainpipe.
He also promised to tackle the heating/air conditioning
system. However, he offered only $500 toward replacing
the floors, and $500 toward improving the lighting.
Considering it will cost at least
$5,800 to rip up and replace the tile throughout the
store, Mark and Caroline were disappointed with these
concessions.
Their landlord figured he'd given
$20,000 toward the project. However, Caroline pointed
out, "most of that was to repair the roof--which should've
been done regardless."
Consequently, they decided
they would have to scale back more items in the construction
plans.
Making Compromises
Even with the money they intend to
borrow, the help of the project sponsors and consultants,
and the cooperation of their contractor, Mark and Caroline
cannot do everything they hoped to do as part of the
make-over. They will have to sacrifice some aspects
of the overall plan.
"We want to treat this money (from
sponsors) like we earned every penny, and like it was
hard to come by," Mark said.
"We're really getting down to the
nitty-gritty, so we can really pay for this," Caroline
said.
In the meantime, they've been running
a "pre-remodeling sale" to clear out merchandise they
won't re-order. This is freeing up shelf space, so they
can eliminate gondolas and shift merchandise to make
room for construction workers.
"We've been spending nights moving
stuff," Mark said. "I emptied one bank of tanks, and
will put three sections of tanks on the floor where
the gondolas will end up, so we can still sell some
fish during remodeling. We eliminated one gondola worth
of product and tightened up merchandising."
"The store looks torn-apart now,"
Caroline said. "The bird gondola is gone; we sold it
to another store."
The good news is that sales
still are holding up, even with the reduced inventory.
Coping With Stress
Remodeling projects can fray nerves,
even under the best circumstances. In late September,
as construction was set to begin, Mark and Caroline
were feeling the pressure.
"One of the hardest things is continuing
to pay attention to customers and the business and the
project," Caroline said. "That's been very challenging."
"I'm having sleepless nights," Mark
said. "My mind is rolling over options. Throughout the
day, I'm torn in a million directions, so I stay late
to catch up. I come home when Caroline's already in
bed. Then, I'm wired, so I watch TV to get my mind off
work. Before you know it, it's 3 a.m."
"I feel scared," Caroline said. "I'm
worried about debt. A year ago, when PetsMart and Petco
were new, we were having trouble. That is very fresh
in my mind. And I'm concerned about the economy taking
a turn for the worse."
Now that Mark and Caroline have hired
a contractor, how will the project take shape? What
features will they scale back or scratch? How will construction--and
its inevitable chaos--affect holiday sales? And how
will they maintain their spirits?
Next month, we'll review the
construction budget and timetable. In our January 2000
issue, we'll take a closer look at progress in the fish
room. PA
Karen Long MacLeod is editor
in chief of PET AGE
Getting Started
A successful remodeling project,
like a military operation, is based on well-laid plans.
For ideas about finding a contractor, staying organized
and sticking to a budget, consult these resources:
* The Blue Book of Building Construction,
published by Contractors Register Inc. (Jefferson Valley,
N.Y.), is the resource builders and contractors turn
to for information. Visit
www.thebluebook.com or call 800-431-2584.
* ImproveNet Inc. (Redwood City,
Calif.) provides how-to advice and helps clients find
qualified remodeling professionals. Visit
www.improvenet.com or call (650) 701-8000.
* The National Association of the
Remodeling Industry (Alexandria, Va.) provides listings
of professional remodelers, plus lots of useful tips
about finding and interviewing contractors, remodeling,
contracts and more. Although the information is geared
toward homeowners, most of the advice also applies to
business owners. Visit
www.nari.org or call (703) 575-1100.
* The Retail Contractors Association
(Arlington, Texas), a national organization of contractors
specializing in retail construction, lists members by
state. Visit http://retailcontractors.org
or call 800-847-5085.
As always, if you don't have access
to the Internet, you can get helpful information by
visiting the reference department in your local library.
--Karen Long MacLeod
Dealing With Contractors
A contractor should be someone you
can trust to give you good advice about products, explain
procedures and deliver solid results.
Here are some tips on dealing effectively
with contractors:
* Know what you want before you ask
for an estimate.
* Request the same thing from each
contractor, so you can compare apples to apples.
* Check each contractor's references.
* Make sure the contractor isn't
overcommitted. Find out how many jobs he or she is working
on, and whether he or she can adhere to your schedule.
* Once you approve the bid, negotiate
a written contract that spells out the proposed work,
prices, completion date and payment schedule. Beware
of verbal promises. Read the contract carefully: Misunderstandings
are the most important cause of contract disputes.
* Request a materials and products
list, so you know what's going into your project.
Bids can vary widely, depending on
the contractor. However, you should be skeptical about
contractors who submit very low bids. They may be financially
strapped or may not carry the necessary liability insurance,
workers' compensation insurance or bonding.
--Karen Long MacLeod
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