Fire Solutions is a fire protection and life safety systems company. We service, inspect, consult, install, maintain and design systems for commercial, industrial and government markets. Our service and installation line includes fire sprinklers, mass notification systems, fire pumps, backflow prevention devices and fire alarms.
The best way for us to grow as a company has always been to stay involved with our customers — to have a good feel for how their business is moving and shifting. We always try to help our customers move forward, because as long as they are moving forward then we continue to have the opportunity to grow with them.
Another good indicator of future growth in the service and construction market sector is the AIA Architecture Billing Index (ABI). The ABI is a good gauge because the ABI reflects the approximate six to 12 month lag time between architecture billings and construction spending. Any ABI score over 50 indicates an increase in billings.
Judging by the ABI, which has gone down since the end of 2010, I do not expect to see expansion in the service and construction market sector in 2012. There has been a recent upswing in the ABI, but that upswing won’t be felt by the construction or service industry for several months.
There may be some modest growth toward the end of 2012. If the upswing continues, we may be looking for a very nice 2013.
Over the last year, I have met with and spoken with quite a few other small business owners in my industry and a couple have already closed the doors in 2011 and a few others are holding on by a thread. Unfortunately, the ones that have already gone down and the few that are still holding on did not move fast enough when the markets shifted and could not or would not change their strategy and are now paying for it with no end in sight.
Fire Solutions has always had a strategy of controlled growth since we incorporated in 1987. We only expand and grow the business if it makes sense strategically.
We may not have grown as much as we could have grown, but we have been able to maintain quality in our inspection, service and installation.
This has helped our company add large contracts over the last couple of years and allowed us to add eight new positions. We have found and excelled at our niche which has been to help the customer move forward safely, efficiently and effectively and never sell but always partner.
We take care of their fire and life safety systems so that our customers can concentrate and grow their core business. In 2012, we plan to grow with our clients and add people to help us with our plan for continued growth.
Edwin Caldas is vice president of Fire Solutions in Ashland, Va.
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