Case Studies

Covenant Painting

HR Experts Help Build a Solid Foundation

Kimo Goodness and familyAt the age of 19, Kimo Goodness wasn’t planning on a career in the painting business. He was an engineering major at the University of Hawaii when family responsibilities called. A baby on the way, Goodness put school on hold and began work as an assistant for a commercial painting company at six dollars an hour. At the time he couldn’t have known that in less than ten years he would own and operate a successful small business – Covenant Painting.

Goodness quickly learned the ropes of his new profession and worked his way up the union ladder from helper to apprentice to journeyman and foreman. But he wasn’t satisfied.

“I was always looking for the next challenge. I wanted to take on something bigger,” Goodness says. Working independently on side jobs, building a clientele and receiving encouragement from local contractors gave him the confidence to take the next step. With the help of the Honolulu Minority Business Development Center, one truck, and one part-time crew member, Covenant Painting got up and running in November 2005.

“I knew the painting business but everything else that was involved in running a company was a big question mark to me,” recalls Goodness. He worried about staying on top of state regulations, taxes, and insurance requirements.

“Hiring ALTRES…saved me time and money.”

“Paperwork, payroll issues, all that worry and hassle – those are not the things you want to focus on when starting out,” says Goodness. During his first six months, Goodness worked around the clock – at painting job sites during the day, in front of his computer at night managing a growing number of forms and files.

“Hiring ALTRES was the best thing I could have done,” says Goodness. “They saved me time and money so I could concentrate solely on growing my business.”

ALTRES designed a service package customized to the specific needs of Covenant Painting. In an industry where compliance codes and safety regulations change frequently, making sure his business follows every law was critical. “If you don’t do things by the book, you can’t compete with the big guys,” says Goodness.

Goodness wanted to avoid ‘under-the-table’ wages and jobs.

“If you’re going to start a business, you have to build a solid foundation,” he says.

Goodness discovered that employee retention was the linchpin to sustaining that foundation. As Oahu’s economy and the local housing market remained strong, there was fierce competition for workers. Goodness had to deal with the sector’s notoriously high turnover rate.

“With painters moving from one job to the next, company loyalty is hard to come by,” he says. “My guys get other offers all the time and I know loyalty is a two-way street.”

ALTRES helped Goodness with employee retention issues by offering his crew members a competitive benefits package and a comprehensive employee manual.

“My crew isn’t just my employees, they are my friends and my family,” says Goodness. “They are too important to me to take chances. I trust ALTRES."

When an employee was injured at a worksite, Goodness didn’t have to worry whether his crew member would receive adequate worker’s compensation or if his company’s insurance rates would increase.

ALTRES handles his payroll, healthcare coverage, workers' compensation and TDI. “Their package covers all my bases. Whenever I need anything, I call ALTRES and they are on top of it.”

Today Covenant Painting has three full-time employees and is busy enough to pick and choose projects. “We don’t have to ‘take a dive’ on jobs anymore,” says Goodness, the practice in which competitors continue to drop prices and offer increasingly low bids to get a job. “We’ve established a good name and people recognize the quality of service we offer.”

As a result of a solid reputation with clients and contractors, 100 percent of Covenant Painting’s business is generated through word-of-mouth referrals. The company does both commercial and residential painting, but it’s found a growing niche in stain work and fine woodwork for custom homes.

As Goodness looks to the future he wants to take his business to the next level. He hopes to qualify for Hawaii’s Small Business Administration 8(a) Program and be able to compete for larger, government contracts.

“That type of work translates into better benefits, bigger salaries, and more opportunities for my company,” says Goodness. Always ready to embrace the next challenge, Goodness smiles when he thinks of the road ahead. “I’ve only just begun.”