The day you opened your doors to customers was the day you took on an obligation--the obligation to make a profit. There are a lot of business owners in our industry who wouldn't agree with that. In fact, there are a lot of contractors who might think profit is a dirty word.

But let's think about this for a minute. What does it really mean to make a profit? What does profit do? Profit allows you to offer your clients the highest level of service. It allows you to provide for your employees and their families, market your company for growth, provide employee benefits, and invest in new technology and training that will improve your customer service and your team's skill.

You're obligated to make a profit because when you own a business, there many different groups of people depending on your ability to create that profit. Your first day in business was the day you took on an obligation to your employees, to their families, to your community, and everyone your company comes in contact with.

You have an obligation to pay taxes. You have an obligation to understand marketing to drive your business. You have an obligation to provide outstanding customer service. You have an obligation to provide safe trucks for your employees. You have an obligation to make payroll every week.

How do you meet these obligations in your company? How do you build a positive reputation for your company? How do you recruit the best employees, meet payroll every week, and walk away with enough money to support your family?

Are you struggling to meet those obligations? Are you struggling to make a profit? Are you struggling to find good employees? Are you struggling to pay your taxes or meet your payroll? Do you lie awake at night wondering how your employees are making more money than you are as the business owner when it's your house and livelihood on the line at the end of the day?

How do you meet these obligations in the face of the sophisticated competition that continues to grow in the plumbing industry? If you aren't running a profitable plumbing company, then you are ignoring your obligations. And if you aren't turning a profit, it's most likely because you still haven't mastered all that it takes to run a successful business.

If you want things to change, then you must become a master businessperson and accept the responsibility that you took on when you opened your doors. That means taking the time to create a plan for your business. That means taking the time to figure out what prices you should be offering to create the revenue you need to stay in business and create a profit. Overall, it means making the sacrifices and putting in the effort to make sure your company stays on track to create a profit.

Why do I bring up profit? I bring up profit because when you have profits in your business, you have freedom. You gain freedom from those sleepless nights wondering how you're going to pay the bills. You gain the freedom to pay your team what you think they are worth rather than what you can get them to agree to. Plus, when you make a profit in your business, you have the freedom to give some of those profits back to the community in any way you see fit. You could pledge some of those profits to help all of those in need as a result of Hurricane Katrina. That ability is just one of the benefits of making a profit.

And making a profit is a simple recipe. In the end, you just have to make sure that you're bringing in more than you're sending out. So when your costs rise, you have to find some way to cover them. That's a lesson that I see many contractors battling with now as the costs of gasoline continue to rise. How can you cover the rising costs of gasoline? If you're going to continue meeting your profit obligation, you have to pass that cost on to your clients. You can do that in the form of an increased service fee or a special surcharge on your invoice. You may not want to do that out of fear that your clients will be upset, but remember your obligation. If you explain the reasons for it, your clients will understand. After all, they have to pay for gas, too!

Don't be afraid to make an honest profit. It's your obligation to all those that depend on you, so if you need help figuring out what's holding you back, seek it out. Find a profit mentor or ask another contractor, but don't spend another night wondering how you're going to make ends meet. Profit doesn't just happen; you have to seek it out.

So start seeking because, remember, profit is your obligation.