by Hal Mattern
NASHVILLE—Small motorcoach operators all have one thing in common: They do most of the work—and most of the worrying—themselves.
They handle sales and marketing, respond to quote requests, reply to endless emails, work dispatch, deal with employee issues and monitor paperwork and accounting.
And sometimes they even sleep at night—or they try.
“My biggest fear day to day is getting that phone call at three in the morning and hearing a bus has crashed,” said Harold Lewis of Lewis Coaches in New Orleans. “That keeps me awake.”
Lewis was a panelist on a Motorcoach EXPO education session called “How to Manage the Business When YOU ARE the Business.” Participants shared their biggest challenges and answered questions from audience members.
Jodi Merritt, president of H&L Charter Co. in Rancho Cucamonga, California, said one of her biggest challenges is “trying to keep track of everything, including sales and marketing, and trying to figure out what to do. It’s like chaos control.”
Another challenge, Merritt said, is keeping up with all of California’s regulations on the motorcoach industry. “You have to be out front all the time.”
Lewis, who operates eight motorcoaches, said one of his biggest concerns is the rising cost of insurance. “What I’m hearing is that it is going up 10 to 15 percent. I don’t know how much more I can take.”
Callen Hotard of Hotard Coaches in New Orleans, who moderated the session, said one problem small operators have is that they are reluctant to bring in outsiders to help with such functions as accounting.
“It’s difficult to let go,” Hotard said. “But you need to let people into your operations, not only to grow but for your stress level and quality of life. There are a lot of hours and a lot of worrying, and it is all on your shoulders. You need people you can trust and count on to help you on your journey.”
Lewis agreed, saying, “It’s hard to let go—it’s your baby.”
Merritt said she tries to find one good person at a time and develop them. She hired a dispatcher who has been with the company for 10 years and a marketing person who has been there five years.
“You have to get them where you want them, one at a time, one area at a time,” she said. “Next is accounting, but do I want somebody looking at my books?”
During the Q&A session, an audience member asked how the panelists knew when it was time to purchase a new coach. Merritt, whose company operates 14 motorcoaches and two vans, said she monitors sales numbers monthly and looks at utilization.
“When we can’t handle business or when a contract comes along, it’s time to grow your business,” she said.
Hotard said he tends to go with his gut when it comes to adding buses. “But it is extremely important to know your numbers, to know your finances inside-out and to really understand the true cost of operating.”
The panelists also suggested two more areas that can help small operators: partnering with local competitors and showing your employees appreciation.
“Partnering with other companies with similar-sized fleets and being friends with your competitors will help you in the long term,” Merritt said. “If you farm out to smaller companies, they pay more attention to details that get lost with bigger companies.”
Hotard concurred, saying, “You’ll go a lot further working together, helping each other and being a resource for each other. And you will get a lot more business out of it.”
Relying on employees to do their jobs without excessive supervision also can help free up your time, Lewis said, adding that he gives them the freedom to “do what they have to do, which allows me time to do what I have to do. They appreciate you trusting them.”
He said if he treats his drivers well, they are willing to help out with dispatch and even cleaning buses. “But they won’t talk to me because they know I’ll figure out more they can do.”
Hotard agreed that treating employees well is key to running a smooth operation. “You have to be appreciative of them. They’re doing the hard work, and if you build the right culture they will be proud to be a part of your company.”
He said that even though small operators have to work hard and take responsibility for the company’s day-to-day operations, “everybody should be able to work only half a day. Just pick any 12 hours you want.”
