Rockall Now In Its Seventh Year
Halloween was a scary date for me as it spelt one thing -- company year end. It was Halloween 2003 when I setup Rockall Design ltd and so is also the day my company accounts for the year gone are due.
As with any birthday it's always a good time to take stock and look both forward and backward. With that in mind, here's a chart of company turnover for the last 6 years.
Somehow it has kept on heading in the right direction and during the last year I seem to have been unaffected by the "credit crunch". Although I'm not confident that the same will be true this year, but, like every year gone I have little idea what the one ahead holds. Therein lies the joy of "going it alone".
Things I've Learnt
Every now and then (although not for a long time) I get asked for advice on setting up and running your own company. To which my answer is normally that I can't advise as my case isn't exactly normal and so I'm not the best person to ask. By this I mean that my business model is based on people wanting me to work them having gotten to know me through this site first of all.
Unless you also have a blog with lots of readers then I can't advise on the initial start-up of a business. I have no idea how you'd go about getting new customers. All I did was make it public what I was doing and slowly but surely work came my way.
But what have I learnt in the last six years? Hmmm. Still don't know if I can offer any meaningful advice or business tuition, but I am definitely still learning as I go. I just think it has to be a personal thing. How you run your business is down to you and depends on your ideals and philosophy.
What I would say is that you often need to swallow your pride, but you should always keep your dignity. Oftentimes I've had to bite my tongue and I have a Drafts folder full of emails I never sent. Never ever write a reply to a customer that's made you angry without first walking away from it, calming down and re-appraising. That's normally when I decide not to send it and there are some emails in my drafts that I'm sooo glad I never did.
Above all just keep the customer happy! Without customers your business is nothing. Although they're not always right it's good to let them think they are. Do whatever it takes to keep them.
Knowing What Not To Do
My new company year resolution is to start turning work away when I know it's more hassle than it's worth. Often it's the little jobs that take the longest! The less people seem to want to pay the more they seem to want in return. Probably the same of all trades I'd guess?
In the first year or so of Rockall I'd do literally anything to earn money. As they say: "No job too small". From now on I will still do the small jobs but will have to charge a premium to cover the admin aspect. While a customer (who may well be a developer) may suspect the work to take "a few hours" I have to factor in the initial emails about the work, the work itself, raising the invoice, chasing the invoice etc etc.
The smallest job I will do from now on is a day's work at my daily rate. No matter how small the job is. If it takes 10 minutes to code it will still cost a day. Otherwise it's just not worth it.
Not that I don't want small jobs. To a degree I like the little jobs - thinking of them as "pocket money", sometimes I'll do a job and think "Right, that's paid for the broadband for a year...".
While doing the little jobs I try to think of them as a potential foot in the proverbial door. Provide good service and they might come back for more (and hopefully bigger) jobs doing.
Looking Back
While I have no regrets I do wonder if the money and time spent on "marketing" have been worth it. By this I mean the company logo and website. While they might give the right impression I'm never sure if they've helped secure any work.
Although I know for sure that the money I spent on a set of 500 letter-headed A4, business cards and compliment slips definitely was a waste. Especially as the company I bought the 0845 phone number listed on them all has since cancelled my service. I still have about 490 of each left.
Looking Forward
As with the last six years I have no idea what the one ahead holds in store for me. This fills me with as much a sense of fear as it does excitement. Especially when Karen is going on another maternity leave in five weeks' time.
Luckily, over the years I've managed to keep a handful of key customers without whom I'd be back on the job market. By keeping these customers happy I've kept myself at home, able to help Karen out, spend quality time with the kids and free of a daily commute. My dream is to never have to return to office-based employment.
Over the last year or so my most significant customer has been making more and more noise about dropping Domino. To counter the potential loss of business I've been trying to make it clear to them that I'm not just about Domino and that, whatever they choose, I can learn/do that too. Even if it meant learning as I went and taking a hit financially to do so, such is my desire to hold on to the customers I've had over the years.
Some proportion of what I did over the last year was non-Domino based and I'd imagine this trend will continue. I'm expecting SQL Server, ASP and .Net to play a part in the years to come.
One thing is for sure - I can't just rest on my morals and think that being a well-known Domino expert will keep a roof over our heads indefinitely...
I was once a contractor.
Unfortunately I had the problem of actually trying to find the work in the first place. My blog had so few readers that I closed it down. That was probably my biggest mistake. Having a high profile blog is not only a boost to the ego, but a massive boon to your customers. It shows that you are committed - to them, to Domino, to learning new things (Flex, etc.).
I know it's tough times, but keep going. The Domino community needs independents like you.
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Jake,
As allways an excellent article. I am in a similar situation - although I have always secured business through more traditional means. Your model is untdoubtably better and I hope to try and at least develop a good blog over the coming years.
Again like many the big decision is how where to invest your time and money moving forward. Suppose it is down to where your customers are taking you (I have been on too many empty technology crusades in the past and don't want to repeat that again).
A lot of our skills are portable so things like flex / javascript libraries etc are good things for the toolkit. Also any rdbms work leaves your options open.
I have let a few customers go because of the .net "march". Hopefully ibm can help us turn things around - however I cannot afford to to make the wrong decision...... I will be watching the market very closely in the coming months.
Will be interested to see what everyone else has to say.
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"empty technology crusades"
I like that ;o)
I used to do that too but have realised there's no point learning something until you really need to and (more importantly) you're being *paid* to.
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Congrats on seven years, Jake! Never had the gumption to go it alone, though corporate politics make it tempting.
BTW
'I can't just rest on my morals ' - do you mean 'laurels' or is using Domino an ethical choice, and Microsoft alternatives are somehow immoral? Surely not!
;-)
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Woops...
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Excellent post Jake
I am a contractor for many years who has recently gone into permanent work. Unfortunately, our new IT Director has come in and is a "Notes hater" so I shall be keeping my eyes on this thread with great interest.
I would be interested to hear what people think about the effort of spending time learning xPages etc with the hope of moving to a different company/returning to contracting versus looking at other technologies to gain skills in. I fully appreciate the "portableness" of JS and Flex and stuff, I suppose it is your last sentence that has interested me. How do we ensure we keep our heads fully roofed
Mike
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Personally I don't see the incentive in learning xPages from a business perspective.
Although most of my customers use me for Domino work and some have mentioned xPages, none have asked me to use them or queried why I don't. I can deliver all their requirements without xPages and don't see that changing any time soon.
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Jake,
if you want to get higher rates then I have some good advice for you:
Steer your jobs into the SAP direction. There are many companies around that use Notes AND SAP. Normally you don't get jobs as a one man show in SAP projects. BUT...
There are new techniques like NetWeaver Java Development or IBM Alloy to become popular these days and still there are not many SAP developers around that know anything of Java, Web Development or Lotus Notes. So chances are good that largre companies will hire you for special tasks in their projects.
There is enough free learning material around on SAP Developer Network (SDN) and you could learn the new technology step by step (starting with IBM Alloy to get a foot into the door).
Also if you post some good blog entries on SDN then you instantly have much more readers and potential customers than you have now.
Of course this road is not an easy one but you can be sure to earn much more than you do now. And you can still make use of all your Lotus and Web knowledge.
Good luck for the future of Rockall,
Mark
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Hmmm, but isn't SAP just boring report generation for middle management?
I love what I do (creating web-based systems for users) and would really miss the graphical side of that creativity were I to move toward "spreadsheets" and charts. Or maybe I have the wrong idea of SAP.
What I do know about SAP is that you can make lots of dosh. Which I guess raises the question of what's more important -- job satisfaction or remuneration...
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Congrats on the 7th year. It takes a lot to actually do that.
I can also concur, from experience, "The less people seem to want to pay the more they seem to want in return".
That was probbaly one of the biggest business lessons I learned together with how you tackle it by having a minimal charge, no matter how small, and also adding in, transparently, the true cost of everything, not just the dev time.
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Jake, congratulations on 7 successful years and many thanks for all you've given to the Notes/Domino community. I agree with your assessment of xPages. No matter how cool it may be, until I see a demand for it my time is better invested in learning marketable skills. Your work with Flex and Javascript are perfect examples of continuing to work with the product we all love while keeping the door open to other opportunities.
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Just the 6 successful years Ed. The 7th could go either way ;o)
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Another lesson I've learnt that I should have mentioned in the main article is "Learning To Relax". It's took almost the whole 6 years to master the art of relaxing when there's no work coming in. It's so hard to do! Even if you've got a healthy bank balance, it's the knowledge that it will decrease each month you don't earn anything and continue to pay a wage. What you have to remember is that "Something always comes up" and (touch wood) it always does. What you have to do is learn to make the most of the quite times. I used to literally lose sleep over it, waking in the night and laying there crunching numbers in my head for hours on end. Now I just bide my time and get some DIY done or go out with the kids or do stuff to this site (as you might have seen recently). If only I could apply the relaxation rule retrospectively...
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I completely agree Jake.
In the process of getting laid off due to plant closure and starting a new business (while having a two year old and a new one on the way) I'm at that point of needing to learn to relax, which is easier said then done ;)
Its articles like this, of others in a similar situation that make it, that motivate us making the transition.
I wish the best for you and Rockall in whatever direction you choose to take it, and congratulations on another successful year.
Remember that for us dedicated readers, we enjoy the articles no matter what the topic. If you go for ASP we'll at least get our feet wet :)
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Ever considered hosting the apps for your customers?
That way the choice of technology is yours, and if it all works well they tend to keep coming back. Also monthly fees/subscriptions are a wonderful thing.
The host you and I both use make it a pretty painless process.
On the xpages thing, my view is that Domino is as dead as unless it takes off.
Well done on 6 years. It ain't easy. - here's to many more of them.
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Nick - hosting is really a heavy investment. I work with a small company and we looked into this quite seriously and decided outfits like Prominic provide far better service and far better cost than we could realize due to our focus on producing code and solutions. It's a different pay scale and skill set, often, to run a data center and unless you have the desire and ability to build a really top notch data center with power redundancy and off-site backup, you're putting yourself in competition with companies that will eat you for breakfast unless you're ready to operate at a loss.
That's not to say it can't be done. I know a few people who have. But if it were me picking the best solution for my customer, I'd want them to have an ace in their hand and would direct them to the best data center I could. They'll appreciate a sound recommendation much more than inexpensive and perhaps unreliable hosting. Doing hosting really right is not trivial, IMHO.
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Funnily enough, yes, I have started hosting apps. With Domino I tend to find the customer has their own servers and never asks about hosting. But for another customer who is not Domino I am hosting a LAMP solution and possibly a .Net solution soon. As ever, if the customer asks I'll do it. Within reason.
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Congratulations to you. One small remark to the SAP comment. While this may be true it does not work well if you don't want to travel. SAP is much on-site work. Of course I hope that your seventh year (and many more) will run well for you too. 2009 financially was quite a successful year for me but I have been doing a lot of graveyard stuff. Sometimes it seems that the less fun you have the better the pay.
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Jake,
Interesting point about "what not to do". You focused on the trappings of "small" jobs. Apart from filtering the dangerous work for those odd jobs that are under-estimated (and under-value) you can try something a little different which also filters them too but mitigates the risk you will bear on it.
If someone comes asking for a small job, regularly or not, consider pre-purchasing your time. That gets rid of the whole cost thing and the pressure to stay within budget immediately because they have committed some cash to the effort from the outset.
As long as you also set the right expectations, pre-purchas of time automatically gets them to value the "Small" job too. And If they don't like pre-purchasing 8 hours, then the job is probably not worth doing anyway and so better to walk away than deal with cheap, nasty, time-wasting, anxiety creating, stressful clients....
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I think this is a great idea, Giulio. Where I come from we call it a retainer fee or "being on retainer". It works well for people who don't like to define scope but want to get something, anything, rolling and want the best guy they know on the job.
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I have sold my time in chunks like that in the past Giulio and it worked quite well although personally I prefer to just quote a price and have done with it. I only did it as that's what the customer suggested/wanted rather than me using it to shield myself from any financial harm.
It's a good idea though. In effect calling their bluff to weed out the time-wasters. Might use that at some point. Although I have always assumed trust in all working relationships and (apart from one incident with the World Bank) I have never not been paid.
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Hi Jake,
Congratulations for those 6 years and how much you teach.
Surely you might gain from learning in new technologies in the coming years.
I stand with those who are always learning from you.
Thanks for everything!
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Likewise, congratulations, Jake. I know I've learned tremendously due to your generosity and have prospered for it immeasurably.
The lessons learned shared above are priceless and hard won knowledge. You are, as ever, most magnanimous to share your wisdom.
Best wishes for the years to come!
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I have been a follower all along and thanks to you have learnt a lot ... thanks for your efforts ... all the best for the future and years to come ...
Personally, I don't like turning work away and saying "No" is a strictly forbidden.
Jake, ever considered moving work offshore - obvious choice would be India? You still make a cut ...
We have successfully done that for few of my projects and the results have been great - however we do need to spend some "extra effort" and then its a smooth sail ....
I would strongly recommend it and happy to help ...
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Sounds too much like moving to a management role to me. I would rather enjoy my work than try and make more money by off-shoring.
I've never even really out-sourced any dev work (just graphics work). I've always suspected that customers want *me* to do the work, as they know it's me they're contracting to when they contact Rockall. If I then farmed that out elsewhere they might be a bit annoyed. Unless I told them my plans and assured them it would have my stamp of approval.
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Well done on 7 years.
I am now in my second year as a consultant and I must reiterate my thanks for your very helpful tips.
I have had the same kind of experience with 'small' jobs. I used to concentrate on just the technical aspect of things, which usually meant the time it would take to code a first prototype on my (wonderfully tuned) development machine.
And then I would get bitten by the inevitable second or third go, the administration, the deployment, the tests...
Nowadays I have a little excel sheet where I list out all these things in advance, so I do not forget them whilst making an offer.
One thing I also have learned is that it is worth a zillion dollars to state on your offers the assumptions under which you are making a particular piece of work, so that if things go awry you can say "This is not what I assumed". Things like versions of Notes, browsers for which it should work, resolutions. That has saved my bacon a number of times.
By the way, I am trying to find a good timekeeping software - you know, where you can say starting on this project, finishing on this project, and it gives you a list of times per project. I have seen a number of solutions but none of them really fit my needs (too american, for instance...). Do you have a suggestion, other than build my own on domino and flex ;-)
All the best for the next seven years,
Andrew
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Expanding into .NET/SQL Server should keep your company busy for years to come by the looks of things. Of course if opportunities come your way it makes it easier. I was a Notes/Domino contractor and now in a .NET permanent role, if anything I do feel a little more relaxed about feeding the family.
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