What is Wall Street Smoking?

Check out this article consolidation in the A/E industry:
http://money.cnn.com/news/newsfeeds/articles/newstex/IBD-0001-17973024.htm

This is an excellent example of the great minds of Wall Street not knowing what's going on in the real world.

Wall Street bases the entire market for A/E firms on the ENR 500. In doing so, they are missing 30% of the fees generated in the design market - not to mention many firms. They measure the revenue of the publicly held "biggies", apparently based on their gross revenues (which in many cases includes the build in design-build) to measure market share of what amounts to a reduced total market. Thus the basis for their analysis is pretty well out to lunch.

Until next time,

Bruce Lynch, Publishing Director

Don't feel bad about making money

Question…..An architect recently told me his firm was being ‘unethical’ by charging clients too much money…..he asked if he could complain to the AIA about the Principals actions in this regard…..the quote was ‘raping the clients’….yet this firm does work for developers that fly around in their own private jets and drive Bentley GT’s…..Shouldn’t we FIRE people TODAY who hold the belief that high fees are unethical ???

Go for it!!!

Have a great Fourth,

Frank