Kenny Chapman and Chris Crew discuss profitability and why it should be the driving force behind every decision you make in business. They break down the hidden costs that sneak into your operation, why most contractors misunderstand their income statements, and how fixing—not cutting—expenses is the smarter play.

By the end, you’ll walk away with a clearer understanding of what it really takes to run a profitable home service business.

• Kenny starts the conversation with a reminder most business owners need to hear: the goal of every business is to make a profit, unless you’re a non-profit.
• For Chris, the simplest path to profitability is selling more than you spend.
• In most service businesses, Chris says nearly 50% of your revenue goes into two things: labor and materials. If you can’t control these two things, the rest will take care of itself.
• According to Kenny, business, at its core, is a system of relationships. Your success is a reflection of how well you manage your relationships with clients, employees, and vendors.
• Chris shares his thoughts on expenses and explains why you have to know the difference between fixed and variable expenses.
• If you’re struggling with revenue, Chris believes you shouldn't just raise prices. That’s a lazy fix. Raising prices without a strategic reason is making life harder for your sales team and driving revenue further away.
• Chris explains why compensation plans should incentivize behaviors that drive long-term success.
• Chris and Kenny see this all the time: contractors who never look at their income statements. If you’re not regularly reading the financials, you’re guessing. And guessing is the most expensive habit in business.
• According to Chris, you can’t cut your way to business success. Smart cost-cutting is about eliminating the baggage that isn’t driving your ROI.
• For Kenny, there's no such thing as a small business and there's no such thing as a large business. There's only a business and where you are on that journey.
• Chris explains the difference between an investment and a cost in a business. Investments move the business forward, costs drain it.
• One of Chris’ most practical tips: categorize your expenses into buckets. When you know what’s being spent where, you can start leading by numbers instead of emotions.
• He further breaks down the five key buckets every business should track: marketing, facilities, vehicles, employees, and admin. You don’t need to overcomplicate it; just bucket it, track it, and review it often.
• Kenny pushes back against the mindset that profit is a dirty word. Profit is what allows you to take better care of your team, reward excellence, and take some money home.
• Kenny and Chris agree that alignment matters. Success comes when everyone knows the goal is to run a profitable business and everyone is working towards the same objectives.
• Chris warns against cutting costs just because you can’t measure their ROI. For example, that billboard you want to take down might be the invisible force keeping your phones ringing.
• Instead of asking what to cut, Chris says, ask what to fix. Look at every expense through one lens: is this helping us make money today or tomorrow? If the answer’s no, then you look at cutting.
• Kenny believes the best investment a business can make is in its people. When you pour into them, they pour back into the business—and that’s how you become profitable.
• According to Kenny, your business goal shouldn’t be about getting bigger, it should be about getting better. And the fastest way to level up your company is by leveling up the people inside it.
• Training isn’t a box to check, it’s a key part of company growth. The businesses that win in the next five years will be the ones that take training seriously and commit to making their people better.

Mentioned in This Episode:

HomeServiceBusinessSuccessShow.com/s2e11

The Blue Collar Success Group

You Can't Send a Duck to Eagle School: And Other Simple Truths of Leadership by Mac Anderson

Kenny Chapman and Chris Crew answer some audience questions in the second mailbag episode of this season. They break down why the HVAC industry is one of the most reliable spaces to build in, what to watch out for when buying a business, and why doing the basics still solves 90% of your problems. By the end, you’ll walk away with sharper instincts, fewer excuses, and a deeper understanding of what it really takes to grow and exit a profitable business.

• Chris and Kenny start by explaining why HVACs are the heartbeat of the blue collar economy.
• For Chris, whenever something breaks in business, 9 times out of 10, it’s because someone skipped the basics. What feels “too simple” is usually the thing holding everything together.
• There’s this myth that growing a business means making it more complex. But Kenny believes whether you’re going big or staying small, just focus on getting the fundamentals right. Everything else is noise.
• Chris’ advice for all business owners: stop overthinking. So many business owners tie themselves in knots trying to be clever when they just need to double down on the basics, and the rest will take care of itself.
• Thinking about opening a new location? Kenny and Chris break down the real difference between starting from scratch and buying an existing business—and why neither is as easy as people make it sound.
• According to Chris, acquisitions can be enticing until you realize what you bought isn’t what was advertised.
• Do your homework. There’s always a reason someone wants out, and if you don’t dig into that reason before buying, you’re the one who’s going to pay for it later.
• When you’re launching a new location, the #1 rule is: leadership needs to be on the ground. Chris has seen too many businesses die because of poor leadership.
• Chris and Kenny agree that the fastest way to fail in a new business is underestimating how much it will cost. Starting a new location without enough capital is like showing up to a marathon in flip-flops. You might survive—but it’s gonna hurt.
• Chris explains how buying customers can fast-track your growth faster than any marketing strategy—but it only works if your systems are tight.
• For Kenny, if everyone is still on the payroll 90 days after buying a new company, either you struck gold or you’ve got leadership issues that are about to blow up in your face.
• Chris and Kenny discuss the do’s and don’ts of selling your business.
• Your business exit plans will not materialize if you haven’t planned for what comes next. Chris warns that an exit without a vision for life after is just a pivot into confusion.
• Want your business to sell for more? Make it less about you. Chris says the most valuable businesses are the ones that run just fine without the owner.
• For Chris, a business that’s simple, profitable, and stable will always attract the right buyer. You don’t need fancy branding, you just need clean books, clear processes, and a solid team. That’s what closes deals.
• Kenny explains how delegation isn’t about handing off your headaches, it’s about empowering your people. When you delegate well, you’re not just freeing up your time—you’re building leaders who carry the vision with you.
• Chris reminds us: tomorrow isn’t promised—but that doesn’t mean you don’t plan for it. Living in the present is powerful. But you have to think ahead if you want long-term peace. You’ve got to think ahead.
• Kenny on “work/life balance.” There's no such thing as a business and a life. There's life, and business is part of it.

Mentioned in This Episode:

HomeServiceBusinessSuccessShow.com/s2e10

The Blue Collar Success Group

Direct mail isn’t dead—and it won’t die until mailboxes die.

Kenny Chapman and Chris Crew break down why direct mail still works and how to get the most out of it in the digital age. They discuss how to craft high-impact direct mail, ways to write an opening line that keeps readers hooked, how to keep your mail out of the trash, and the creative strategies that grab attention—like mailing preloaded iPads.

By the end of this episode, you’ll understand why direct mail is still effective, how to get your message opened and read, and how to incorporate it into a winning marketing strategy.

• Is direct mail marketing dead? Kenny starts by explaining why direct mail marketing is alive and well.
• While many people think direct mail is outdated, it’s far from dead. As long as people have mailboxes, direct mail will continue to be an effective strategy.
• Chris points out that people still check their mail, making direct mail a direct-to-consumer channel.
• Kenny shares how most people sort their mail. They stand over the trash can and toss out ads immediately. Understanding this behavior is key to designing mail that avoids the trash bin.
• According to Chris, direct mail is more than just letters--it also includes postcards, shared mailings, and even high-end packages that grab attention.
• Chris emphasizes that direct mail guarantees your message reaches the mailbox—something digital ads can't always promise.
• Chris shares creative direct mail strategies that get your mail opened. Some marketers used to send iPads with preloaded videos about their product—because if someone receives an iPad, they’re more likely to open it and watch the video.
• If your mail doesn't grab attention right away, it goes straight to the trash. Kenny stresses the importance of standing out instantly.
• According to Chris, a great way to stand out instantly is to add creativity to envelopes in three simple ways:
• Make it hand addressed: Open rates of hand addressed envelopes are exponentially higher than those of typed ones.
• Fold your letter for maximum impact. Not all folds are equal. Chris explains why a C-fold (instead of a Z-fold) makes a letter easier to read and more likely to be engaged with.
• The power of a compelling opening line. Your first line should be catchy enough to grab attention and expertly written such that it gets the reader to read the next line.
• Consistency is key in direct mail marketing. Chris reminds us that, just like in digital marketing, people need to see a brand 7 to 10 times before they take action.
• How to integrate direct mail into a bigger strategy. Kenny and Chris discuss how direct mail shouldn’t exist in isolation. It should be part of a multi-layered marketing campaign, including digital ads and social media.
• Follow the money to target the right audience. Chris explains how to use data like median household income, home value, and age of home to ensure you always send mail to the right prospects.
• Successful campaigns use direct mail alongside other channels such as social media, paid ads, and content marketing for the best results.

Mentioned in This Episode:

HomeServiceBusinessSuccessShow.com/s2e8

The Blue Collar Success Group

City-data.com

Kenny Chapman and Chris Crew talk about all things business reviews. They share compelling statistics about the role reviews play in the purchasing process, how to handle negative reviews, and how your online presence can either multiply or diminish the effectiveness of your marketing dollars.

You’ll hear the 4-step process Chris uses to approach online reviews, how you can get more quality reviews, and how Chris used a 3-star review as a marketing asset.

• Kenny Chapman kicks things off by discussing that everything is sales.
• Kenny introduces the main topic of this episode, reviews, by emphasizing their importance.
• Chris Crew talks about how the customer experience and referral customer dynamic worked before the World Wide Web became the go-to resource for everybody.
• When it comes to online reviews, it’s important to remember that different searchers have different criteria around reviews.
• Chris shares his four-step approach to looking at the online reviews a business has received.
• According to Chris your reputation as a business hinges upon how you handle things when they don’t go great – and not upon what you do when things go great…
• Kenny talks about how reviews are approached at the Blue Collar Success Group, and the role Amazon has played when it comes to reviews and their role within the buying process.
• 93% of consumers say online reviews impact their purchasing decision.
• Kenny finds it mind-blowing to have almost 80% of people trust an online review as much as they do recommendations from friends and family.
• The fact that approximately 54% of consumers would only consider using a business with a minimum four-star rating means that half the population expects you to not be perfect.
• 87% of consumers prefer businesses with three-to-five-star ratings before considering them.
• Chris touches upon a couple of scenarios in which you may have received negative online reviews – and how to deal with them.
• 70% of customers say they’re more likely to leave a review when an account is responsive to reviews.
• Chris sees an online review as a confirmation that says, “you did a good job!”
• At Blue Collar, it’s important for different team members to know how to effectively get online reviews – Chris role plays how to get a review as a technician.
• Kenny points out that, for him, whenever a customer makes a purchase, they buy the company and the technician, then they buy the product or service.
• Kenny explains how home service businesses can get more quality online reviews and how they can get their team members to buy in.
• Spoiler alert: privacy and secrets are long gone!
• For Chris, your online presence is either a multiplier or a divider of your marketing dollars.
• Kenny and Chris talk about how to leverage positive online reviews as marketing materials.
• Chris shares how he leveraged a three start review as a marketing asset.
• The key takeaway: It’s not just about collecting five-star reviews—there’s hidden magic in all reviews if you leverage them properly in your business.

Mentioned in This Episode:

HomeServiceBusinessSuccessShow.com/s2e6

The Blue Collar Success Group

Professional Tech Academy

Yelp

Amazon

Tony Robbins

Oprah Winfrey

Peter Diamandis

This episode is a mailbag episode in which Kenny Chapman and Chris Crew tackle a couple of crucial questions from audience members.

From the biggest concern that keeps them up at night to the #1 cause of business failures and increasing credit card transaction fees.

You’ll hear Kenny and Chris shed some light on these important issues, some of which will help you grow your business.

• Kenny Chapman and Chris Crew kick off the episode by addressing a question from audience member Haley, who asks about the challenges that are keeping them up at night in a time where consumers are financially struggling.
• Chris acknowledges that building a business is fun and rewarding and that different people have different concerns.
• The goal of pretty much every home service business owner is to grow top line – but it’s important to do it profitably, stresses Chris.
• Chris explains why growing unprofitably is the most painful thing in the world, and why you should get profitability dialed in first.
• Chris and Kenny share a real-life example of a company that did not focus on profitability in its first three years–and how its business transformed once it did!
• Kenny brings Wall Street and unicorn startups into the conversation.
• Process optimization is the challenge that keeps Kenny up at night.
• Activity, commitment, courage, focus, confidence, implementation, and non-stop training all contribute to making a company take notice and want to hire you
• Chris discusses an approach that can generate very strong margins on low-end equipment.
• Scheduling is the focus of the next audience question…
• Chris touches upon the importance of having a call priority matrix in the context of sales.
• Kenny reiterates that it’s about being profitable, as well as the fact that less is more.
• “Every day, we’re doing the best we can in the human experience, in the service business world,” says Kenny.
• Remember: your best is all you’ve got!
• Audience member Taylor asked Kenny and Chris for help in creating scripts and verbiage regarding a 3% credit card fee – something that Taylor’s customers don’t like.
• Chris’ advice to Taylor is to increase all prices across the board by 3% and assume that everyone will use a credit card.
• Not being priced correctly is the #1 reason why businesses fail.
• Kenny and Chris bring up how a customer may feel if they’re presented with increased credit card fees, as well as other types of fees.

Mentioned in This Episode:

HomeServiceBusinessSuccessShow.com/s2e5

The Blue Collar Success Group

Professional Tech Academy

Les Brown

Office Champion Academy

Venmo

Bud Light