Mistakes happen. But when they happen often — and go unmeasured — they destroy profit margins in silence.

Rework costs you time, materials, crew morale, and client trust. Even if you “eat the cost” to keep a client happy, the hidden damage adds up fast.

The problem? Most contractors don’t track rework costs. If you’re not measuring it, you can’t fix it. You need to treat rework like an overhead expense — one you can minimize with better planning, communication, checklists, and quality control.

Real World Mistake & Lesson:

A drywall company estimated that 6% of their labor time was lost to rework. But after tracking it for a quarter, we found it was closer to 13%. They implemented a final walkthrough checklist and assigned job leads to confirm specs before closeout. Their rework rate dropped in half, and margins jumped.

 Pick up your free copy of my new book, “The 7 Minute Conversation-How to Hear the Story Your Small Business Financial Statements Are Telling You-CONTRACTOR EDITION”.  Go to www.7MinuteConversationBook.com

Ready to find out where your cash and profits are really going? Book your free 15-minute Profit and Cash Flow Call with me. No pressure. Just real clarity. I’ll help you see where your money’s hiding — and what to do about it. Schedule at www.CashFlowCallWithLarry.com