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In this 5 minute read you will learn how I bullied the local authority, nearly lost it all and got drunk in the process.
If only I knew then what I know now!
I hear the above a lot from frustrated Home Care Providers. The sad truth is most directors of care agencies are unhappy and stressed. They are worried that they will have to shut shop due to cash problems. The cost of living crisis has hit profit and staff morale. It's no fun being a care worker and not being able to pay the bills and it's no different for the agency owner.
I've been there and survived so I know what I am talking about. I remember one day when the local authority owed me circa 100K. I was 40K short to pay staff and under pressure. I needed the money to keep going, worse of all (although it ended up being my saviour) this all happened at Christmas time.
This is what I did
I came up with a sneaky plan that almost went wrong but ended up working a treat. Just for the record I don't advise anyone to do this but it worked for me.
I Went to the Pub and ordered a bottle of wine. 😊
I took a member of staff and we hatched a plan over a glass of Sauvignon Blanc. I don't know where the idea came from but this is how it went down.
My staff member called social services and told them they needed to pay £100k into our account today. Social services reply was ‘That’s impossible' Christmas break was tomorrow and they didn't have time.
My assistant then said this - ‘Lee Taylor is about to board a plane to go on holiday, he has informed me that within the hour he won’t be reachable and if payment hasn't been made I am to give back every package we have today'.
The phone went quiet and we were informed we would get a call back.
Round and glass of wine 2
As we sat nervously drinking our second glass of wine, the phone rang. Someone from the council called stating it was impossible to pay us. My assistant reminded them we had been promised payment many times and time was now limited. No payment - no work. If I didn't get payment by the time I took off ALL work would be returned today.
Round and glass of wine 3
Over the next glass of wine many emails were exchanged. Back and fourth went the same story and threat. Until they crumbled. It was agreed we would get our 100k. Happy days 👍
Round and glass of wine 4
I don't know if it was the wine or euphoria of knowing I could pay the staff but an idea came to me. I sensed the council were vulnerable and I acted upon it. They had promised me an uplift on my rate 6 months ago but backtracked on their obligations. So we pushed for the uplift to be agreed and backdated.
‘Also my assistant said, If our uplift and backpay isn’t agreed we hand back the work'!!!!
Round and glass of wine Bottle number 2
This was really squeaky bum time as we were told the deal was off and we could hand all the work back. When we heard these words the colour drained from our faces. I'd pushed too far and lost the money, no-one was getting paid and I was in trouble. I felt sick again. I could see my assistant looking at me in disbelief. She informed the council she would talk to me and call them back.
I'm not going to lie, I could easily have thrown up. my head spun for a few seconds, I felt dizzy and guilty for being greedy. I knew I was owed the money but with the 100K I would have got, I could have waited for the uplift.
Round and glass of wine 6
My assistant placed a call and played a blinder. She spoke so confidently as she explained I had boarded the plane and instructed her to hand all work back with immediate effect. Then she waited and waited and was informed to hold on. The phone went silent and she could hear muffled voices. We sat nervously wondering what was going on but kept quiet.
Finally the person returned to ask - ‘If we pay you the 100K today and put in writing we will pay the backpay/uplift will you continue’?
The relief was immense, we looked at each other and burst into laughter, we had them and they knew it. The council that had ripped us off so many times, made our life a misery was panicking and we were in control. The feeling was brilliant.
Round and glass of wine 7
By this time I'm feeling invincible and wanted to push for more. I started to think of all the nasty things the council had pulled over the years and I wanted them to pay. Fortunately, my assistant was a little more gracious. She advised me to take the deal but I wanted one last thing.
I told her to call and tell them she couldn't get hold of me so she had made the decision herself to continue as long as payment was made and we had a letter about the uplift. I wanted her to do this so they owed her one, she came out the hero and the council were forever grateful.
Little did they know we were both sat in a pub, drinking wine and making it up as we went along.
Round and glass of wine 8
Not long after we received a letter the 100K hit my account. My staff could be paid and we could all have a happy Christmas. We staggered back to the office laughing and joking, the office came alive when we told them what happened. Celebrations started and we all ended back at the pub for afters.
Conclusion
When I help care companies Scale & Grow I sometimes tell this story. Not because I recommend they do the same, more to recommend they don't let themselves get in the position I was placed. I allowed the local authority to hold to much power over me. Because I didn't have enough Private paying work I had to panic, lie and cheat to get what was owed to me. If I knew then what I know now, I should have marketed better to win work from outside the local authority. I failed to do so and made myself vulnerable.
It was however great to win and celebrate with staff and wine but not recommended. If you take one thing from this, learn how to market effectively to win Private Paying clients. When you do this your cash flow is improved, your profits are higher and you have way less stress in you home care business.
If you want to find out how I help you build an inhouse marketing system that gives a great return on investment and time, please let me know. I would be happy to give you a demonstration.