Carports, at that point, was the main product they were selling and installing. With Nisly’ s guidance and analysis, Diller decided that his profit margins fared better with constructing and erecting metal buildings than installing carports.
“I needed to focus on what is making money, and that was bigger projects,” said Diller. Carports, especially small residential ones, had too much competition and were seen as a commodity. With his business expansion, Diller changed his business’ name to Cumberland Metal Buildings.
Gehman Business Advisors focus on the “margins shown through man-hours versus percentages,” explained Nisly. “If you put it in terms of profit per man-hours, that brings it home to them. When Clement got into bigger projects, profit margins went up dramatically. Carports were too much of a volume-based business.”
Cumberland Metal Buildings include garages, workshops, storage for RVs and boats, steel pre-engineered buildings and mini-warehouse storage. Today, metal storage buildings account for 51% of Diller's business.
For Diller, hiring Gehman Accounting to help him with his business was a smart investment.“I mostly understand my numbers now, but I just like a second set of eyes,” said Diller.
Nisly not only provides another set of eyes, but also accountability. “I look forward to our meetings, and he is always happy when he sees progress and good numbers,” Diller added.
“Teaching the importance of gross profit margin and its relationship to cost of goods and selling price is key,” Nisly said. “Clement took what I said seriously and acted on it.”
Nisly has also helped the company with scheduling and employee issues. Since metal building construction have longer build times, scheduling is important in controlling workflow. With carports, it took three to four weeks to install. With metal buildings, it is 7 to 8 months, which creates an 80% scheduling buffer.
Today, Cumberland has no business debt and, in 2023, has scheduled 80% of its work. Plus, annual revenues have grown from $600,000 to $3.1 million.
Clement Diller wholeheartedly recommends Gehman Accounting. Looking back to four years ago, Diller said growing his business would have been “impossible.” Now, he has a better understanding of running a business, and he gives God all the glory. “God has answered my prayers.”
