Business hinges on freelancers, but staffing model slows growth for Wow1Day Painters

For 1-888-WOW-1DAY! Painting, the name says it all.

The Vancouver-based business, founded two years ago by Brian Scudamore (the brains behind junk collection franchise 1-800-GOT-JUNK?) and veteran painter/entrepreneur Jim Bodden, follows a unique model — using freelancers and subcontractors to complete normally week-long paint projects, in a single working day.

But ensuring enough staff are on hand without the lure of traditional employment benefits – steady pay, consistent hours, etcetera – is a constant struggle, and finding talented freelancers that show up on time (often on short notice) and don’t mind varying salaries presents a significant challenge. This is slowing the business’ potential expansion, and with little brand recognition to speak of — and a business model that’s very easy to copy — expansion will be key to getting a jump on imitators.

Still, the company’s growth defies its staffing issues. In two years, Wow1Day has expanded from a single Vancouver operation to include 15 franchises across Canada, and now has 60 regular staff, not counting freelancers. The company employs a plethora of painters, from industry veterans to cash-strapped students, and even subcontracts work to established paint crews when demand requires.

Jobs vary in size, from small living rooms and bedrooms to entire houses and condos, and anywhere from one to 16 painters are used to complete projects. Contracts range in value from $800 to $4,000, and completing them on time depends entirely on a franchise’s ability to coordinate painters and allocate manpower effectively.

Bodden says cynics claim the Wow1Day model is unrealistic, but adds that its reputation is built on surpassing what clients think is possible.

“Any painter who’s been out there working for a while does jobs in one day,” says Bodden. “Why can’t you paint 10 rooms with 10 painters in one day — it’s the same thing.”

It also keeps the job site cleaner, as crews are in and out without leaving paintbrushes, tarps and other supplies that can clutter a client’s space for days at a time.

As a result, demand is high — including at its newest franchise in Toronto, run by owner Simon Hermant and general manager Pat Findlay.

“The business model lends itself to having to hire the highest quality painters because (it) doesn’t work if we have to go back and touch things up,” says Hermant.

Almost every job uses freelancers, and some require a significant amount of outside help.

“Last week we had a $4,000 contract and had nine guys come in,” he says.

The franchise averages five projects a week, and Findlay and Hermant hope to eventually run two to three jobs a day. But they face the same staffing problem as the rest of the company, and t simply takes a long time to build up a reliable group of freelancers.

In many cases the team only gets two to three days notice before a job, regardless of its size and complexity. Large chunks of the roster are frequently unavailable because, without a guarantee of employment, painters have no reason to turn down other contracts when offered.

“A lot of these guys do have their own work,” says Findlay. “They’re not willing to drop the hat to come the next day.”

When it’s the 11th hour and regular freelancers aren’t available, the company has to hire referrals from clients and other painters. So far this hasn’t caused a problem, but with a brand still in its infancy, one sub-par job or delay caused by an absent painter could put the company’s image on shaky ground.

And with a job market full of people just looking to make a buck, says Ronald Burke, professor emeritus of organizational studies at York University’s Schulich School of Business, it’s only a matter of time before a bad seed makes its way onto Wow1Day’s roster.

Still, he says the company’s business model does have advantages.

“Staffing (is) inexpensive and quick, and it obviously provides stability in a sense that if you’re busy, hire people, and if you’re not, don’t,” he says.

Each Wow1Day requires two permanent employees to form its backbone – a foreman and a skilled painter. Foremen are typically paid $28/hour and skilled painters between $20 and $24/hour, a rate typical in the industry. Freelancers and contractors are added as needed. Their pay is contingent on skill level, so workers aren’t being lured in by salary.

But, Bodden says, being an established brand following a well-known workflow — and payment structure — does give the company an edge.

And finding potential staff isn’t a problem — today’s shaky job market means there are lots of applicants. The problem is ensuring workers are of a high calibre and that they’ll stick around long enough to help grow the little-known company’s reputation.

Burke, for his part, says Wow1Day needs to work on growing that brand fast, because a staffing model can’t be patented, and franchise businesses are very easy to copy.

Hermant knows this is important, but says he still prefers a sure-footed approach.

“We don’t want to be running before we walk,” he says, “and we can’t do three jobs a day until we have a bigger roster of really high quality painters.”