What started as a garage-based operation 21 years ago grew into a multi-million-dollar company. But rapid growth brought chaos, and the Smiths found themselves hemorrhaging money despite massive turnover. Their journey from overwhelmed business owners to successful sellers offers a blueprint for any plumber looking to build a sellable business.
The Breaking Point That Changed Everything
Dr. Drip’s growth trajectory seemed enviable from the outside. The company had scaled to 17 employees and was turning over a couple of million dollars annually. However, beneath the surface, the business was crumbling under its own weight.
“We’d grown the business way too quick and we’d gone from making really good money to all of a sudden making massive turnover but hemorrhaging money,” Andy recalls. The business had become entirely dependent on the owners, with no systems to ensure consistency or quality without their constant involvement.
The wake-up call came when their office manager was suddenly hospitalized for 10 weeks. Angela had to step into the role with a newborn child, relying on dusty manuals that had been sitting on shelves. This crisis revealed both the value of documentation and the urgent need for comprehensive systems throughout the entire operation.
The Strategic Decision to Systemize Everything
The medical emergency became the catalyst for transformation. The Smiths realized that their business needed more than just basic documentation, it required complete systematization to function without them.
“Systems were something that we realized that to make sure we had consistency within the business, we needed to make sure there was some structure in the business,” Andy explains. They committed to documenting every process, from customer interactions to job completion procedures.
The couple made the strategic decision to have their office manager lead the systemization effort, working with their leading hand to capture every detail of operations. This wasn’t just about creating procedures, it was about building a business that could run independently of its founders.
Implementation: Building Systems That Actually Work
The Smiths’ systematization approach focused on practical, usable processes:
- Documented every role completely – Each team member spent two weeks writing exactly what they did day-to-day, creating comprehensive job descriptions and procedures
- Created visual systems for field workers – Used flowcharts and videos because “everyone was so visual,” making systems accessible on tablets for easy reference
- Implemented job management controls – Workers only received their next job after completing all tasks from the current one, ensuring quality and consistency
- Established accountability measures – Regular toolbox meetings reinforced the importance of following systems and gathered feedback for improvements
- Trained team members on the “why” – Explained how shortcuts in the field created 3-5 times more work in the office, helping staff understand the broader impact
- Maintained living documents – Systems were constantly updated based on team feedback and changing customer needs
Results: From Chaos to a Sellable Asset
The transformation was remarkable. Dr. Drip evolved from a chaotic, owner-dependent operation into a streamlined, profitable machine. The business maintained strong turnover while dramatically improving profitability, ultimately operating with just one office staff member managing five trucks on the road.
“Systems have had a massive impact to the point that Dr. Drip was a smaller team, still doing a great turnover but making more profit than ever,” Andy notes. The systematization enabled the business to achieve 77% repeat customer work, a testament to consistent service quality.
When a buyer eventually approached, the sale process took just three months. The purchaser was impressed by the business’s independence from its owners. “As soon as we sold, I didn’t do another day after that,” Andy explains. “The business was so structured and systemized that even on their end they were like, ‘Wow, we’ve never seen a business run as well as this.’”
Five Critical Lessons for Building a Sellable Plumbing Business
The Dr. Drip story reveals essential insights for any plumber planning an exit strategy:
- Start systemizing early – “Don’t build a broken, un-systemized business too fast. If you get the right structure, the right technology, and you have the right systems, you can be as big as you want to be.”
- Focus on repetitive processes first – Begin with your most frequent activities like job flow, customer communication, and invoicing procedures to create immediate impact
- Make your team accountable – Systems only work when people follow them consistently; regular training and feedback loops are essential
- Document the customer experience – Standardize how you greet customers, provide quotes, and collect payments to build a reputation for reliability
- Prepare for sale from day one – “Every single person should have their business ready to sell at any time. You may never want to sell it, but you’ve got to have it ready to sell at any time.”
The Smiths’ journey proves that with proper systems, plumbers can build businesses that don’t just survive without them, they thrive. Their success with their newest venture, Lifestyle Tradie, now helps other tradespeople achieve similar results.
“Having the right technology and every guy out in the field doing it the same way every single time saves you so much work in the office,” Andy concludes. This consistency became the foundation of a business worth buying and the key to their successful exit.
Ready to Build Your Sellable Plumbing Business?
Transform your plumbing business into a valuable asset with the same systematic approach that made Dr. Drip’s exit possible. Start your journey with a 30-day free trial of systemHUB and begin documenting the processes that will set your business and your future free.
