Episode 87: The Importance of Workers’ Compensation with Mark Shaver

Today we talk to Mark Shaver, the owner of Buckhead Paws outside of Atlanta, GA about the importance of workers' compensation. Biggest Takeaways You Don’t Want To Miss: What is Workers' Compensation? Basically, it is a way to help protect yourself and your employees in case of an accident. There is no coverage for independent contractors. However, when you have employees they qualify for WC which will help cover lost wages and help pay for medical bills. One accident could easily total over $60,000. This can multiply quickly if lawsuits come into play. It’s better to play it safe and have coverage for accidents. Pet sitters that work with a business that is covered under Workers' Compensation have a special peace of mind. In case of an accident, they can take time to heal without having to worry about missing work and bills piling up. When you are an independent contractor, you may not be covered in ways that you should be in a similar situation. You have to understand the magnitude of what can happen if you get sued. And there is so much more comfort in knowing that your business and everything that you have worked for will not be taken away by an accident. Show Highlights: Why Workers' Compensation is important and how accidents happen [2:00] The story that made Bella stunned and speechless. Accidents happen and this is why you need coverage for your business. Some accidents are horrifying, like this terrible tale of a sitter impaled on a fence. [5:45] How close to home it hit for Mark and his staff [14:00] Why you should take a good risk assessment in your business and the peace you get from being covered. [21:00] Links: If you want to learn more about making the big switch from independent contractors to employees, the Employee Quick Start Program, will tell you all that you need. Or, if you want a free download of the 6 steps you need to take to switch from independent contractors to employees you can download your free infographic here Share The Show: Did you enjoy the show? We would love it if you subscribed today and left us a 5-star review! Click this link – Bella In Your Business Click on the ‘Subscribe’ button below the artwork Go to the ‘Ratings and Reviews’ section Click on ‘Write a Review’ More About Mark: Mark is the very proud parent of three adult children. Also, Mark is a member of Pet Sitters, International; the Georgia Network of Professional Pet Sitters; and The Buckhead Business Association. Not to mention, Mark is also certified in Pet First Aid. Pets have been a part of Mark’s life since he was born. Over the years, Mark has shared his life with quite a collection of critters, including dogs, cats, tropical fish, rats (the pet kind!), lizards, and even a couple chinchillas. His business, Buckhead Paws, was started by a young woman who had a small sole proprietor pet sitting business. To begin with, she started sitting for a friend which extended to a small circle of others.  However, soon her life headed in a different direction. Her family was growing and they were moving out of the area. Eventually, friends of friends introduced Mark with this young woman and they struck up a “handshake” agreement for him to take over her small business After some time Mark grew the business and ended up buying it from her and growing it into the Buckhead Paws we know today. Transcript: Bella: This is episode 87 of Bella in Your Business. Welcome to Bella in Your Business, where Bella will discuss anything and everything about your pet sitting business to help you land on target. So get ready, Bella's got your chute. Let's jump. Welcome to Bella in Your Business. My name is Bella Vasto with Jump Consulting, and today I have a very interesting story for you. I first heard about this story when I was doing some one-on-one coaching with Mark, who is the owner of Buckhead Paws out in Atlanta, Georgia. Mark and I were working together for weeks trying to get him all set up to make the big switch. If you're a pet sitting and dog walking company, you know exactly what I mean. That big switch is from independent contractors to employees. You see, Mark realized that he was not going to sit there and have a huge amount of risk and wonder if his whole life savings or retirement was one day going to be under attack because of one simple little incident that might happen in his company where he was sued. When you have independent contractors, there's no coverage for workman's compensation. There's no telling what's going to happen if, God forbid, there's an accident. But with employees, you're protected in so many ways, and one of those ways that we're going to talk about today is called workman's compensation. Specifically put, if someone were to injure themselves on the job and they're covered by workman's compensation, that coverage, also known as WC, will kick in and take over for lost wages—future and existing. They'll cover all medical expenses incurred because of the injury, assign a caseworker, and follow you along. Now you might say that your business is very safe, with incredible training methods and ongoing education, and that nobody would ever do something they're not supposed to. And I bet you're right. But there's also this little thing called an accident that most of us don't plan for. For example, an incident that happened to me when I used to have my pet sitting company: a pet sitter was leaving in the morning and simply missed the last step on the stairs, fell, and fractured a foot. That was a workman's compensation claim—didn't even involve the pets. Another time, a dog that we had been visiting for years just turned around and bit my pet sitter’s hand, resulting in weeks off work and a $25,000 claim. You're about to hear a story of a $40,000 claim still being disputed right now, and the horrors that could happen if you don't have employees and workman's compensation. So without further ado, I’m going to get right to it, and I’ll come back to chat with you afterward. Mark: Top of the day to you, Bella. Bella: Top of the day to you, Mark! I’m so excited. This has been amazing. I hope I haven’t stressed you out. Mark: Thank you. I’m excited to be here. I will tell you, I am duly stressed. I’ll be ready for my scotch at the end of the day. Bella: You know what though, I—and I’m sure all of you guys—am so impressed that you got on here. So many people would have given up or thrown the phone out the window. You have such a valuable story to share. Why don’t we start with who you are and where you’re from? Mark: Thanks, Bella. My name is Mark Shaver. I live in the Atlanta suburb of Decatur, and I own a dog walking and pet sitting service called Buckhead Paws. Bella: Wonderful. And how long have you had it? Mark: It’s a great story. I didn’t start the business. It was started ten and a half years ago by a young woman, about 25 at the time. She rented an apartment from some guy who discounted her rent in exchange for taking care of his dog. Then his friend needed help with his dog, and another friend did too, and pretty soon she had a small sole proprietor business. That was in 2007. Two years later, in 2009, she was married and pregnant and moving about 30 miles out of the city to be closer to her husband’s job. Just before they moved, they had dinner with friends. She said she was sad to give up her little business because it was just her. Those friends were also my friends. They told her, “We know this guy—he’s kind of retired, likes kids and critters—maybe he can help.” She and I met for coffee, struck up a handshake agreement. I was an independent contractor, she paid me a percentage, and she only had eight or nine clients. I thought, hey, I’ll make a little money, get some exercise, and have fun. Six months later, I had enough new clients that I needed help. Six months after that, a second helper. At the end of 2011, she said, “I’m pregnant with number two, I’ve lost the relationship with the clients. Do you want to buy the business?” And I said yes. So I bought it in January of 2012. Six years later, we have 18 employees covering about half the Atlanta metro area. Bella: That’s an awesome story. So, Mark, we were on a coaching call a few weeks ago and you told me a story that left me stunned. I said you need to tell pet sitters this story. Can you take us back to the beginning? Mark: Sure. The beginning goes back before the start of the year because, Bella, you and I were working together in a coaching scenario. Based on that coaching, I decided in November to transition all of my independent contractors over to employees. I spent November and December laying the foundation and pushed the button January 1st. I was scared to death, but it worked. Four weeks ago, on January 17th, one of my favorite dog walkers, Melanie, was staying overnight in someone’s home. That morning, we had two inches of snow, but it had started the night before with a mist that froze as the temperature dropped. Under the snow was bad ice. Around 10 p.m., Melanie decided to get a glass of water and wanted ice in it. She stepped into the garage where the freezer was, filled her glass, turned back, and—classic pet sitter move—the kitchen door locked behind her. She was stuck in the garage with her ice water. Her phone was inside, but she remembered the house had a doggy door into the backyard and thought she could crawl through. She went out to the backyard and found a wrought iron fence with spikes every six inches and four feet high. It was 10 p.m., dark, 14°F, two inches of snow, and she was wearing pajamas. She tried to climb the fence, slipped, and impaled herself through the buttock. She was in shock but managed to push herself up off the spike, crawl through the doggy door, and lay on the floor before driving herself to Northside Hospital at 12:30 a.m. The wound was five inches deep and three inches wide. She needed surgery.