Owners & Managers

This SOP governs how Sea Cool's leadership team (owners and managers) reviews business performance, makes decisions, allocates resources, and manages risk. This document is not for distribution to general staff. It exists to preserve compartmentalization, maintain internal controls, and protect sensitive business information.

Who May Access This SOP

• Alberto Regalado (Owner) — Full access to all sections
• Juan Carlos (Owner/Partner) — Full access to all sections
• Operations Manager — Limited access (Sections 3-5, not Sections 6-9)

What Information Stays Owner-Only

• Owner-level financial data — Net income, personal draws, profit distributions
• Pricing authority & margin floors — Competitive pricing strategy
• Customer disputes & claims — Sensitive legal/financial matters
• Personnel matters — Compensation decisions, disciplinary actions, terminations
• Strategic opportunities & risks — Market entry, acquisition targets, major threats
• Vendor & contractor negotiations — Confidential pricing and terms

Leadership-Only Dashboards & Files

• Mission Control (Leadership View) — Profit by project, by division, by customer
• HubSpot (Admin Access) — Deal values, pipeline, win rates by source
• Financial Reports — Stored in shared drive, password-protected folder
• Internal Memos — Owner communication, strategic plans, risk assessments

Leadership meets on a regular schedule to review business performance, identify risks, and make strategic decisions. This is non-negotiable. Leadership reviews cannot be skipped or rescheduled without explicit owner decision.

Review Meeting Standards

• Same day and time — Consistency builds discipline
• Agenda prepared in advance — No winging it
• Data-driven discussion — Decisions based on facts, not feelings
• Action items documented — Who, what, when
• Decisions made and owned — Not endless debate

Every key performance indicator (KPI) has an owner. That person is responsible for tracking it, explaining variance, and recommending actions to improve.

KPI Variance Escalation

• 5-10% below target: Discuss in weekly review, recommend action
• 10-20% below target: Owners meet with KPI owner, develop recovery plan
• 20%+ below target: Emergency meeting, immediate action required

Monthly Financial Review

Owners review monthly financials within 7 days of month-end. Review includes:

• Revenue by division — Film, shades, motorization, labor
• Gross profit by project — Identify losing projects early
• Operating expenses — Labor, materials, overhead, equipment
• Net income — Bottom line for owners
• Cash position — Bank balance, receivables aging, payables due
• Variance to budget — Why did actual differ from forecast?

Project-Level Margin Review

Every project over $50K gets reviewed individually. If a project is underperforming or has risk exposure, it's escalated:

• Project margin below 30%: Flag for review, discuss why
• Project has known issues (disputes, delays, rework): Escalate to owners immediately
• Project is likely to lose money: Owners decide on mitigation (negotiate change orders, adjust scope)

Cash Management

• Weekly cash position check — Do we have cash to cover payroll and expenses?
• Collections review — Which invoices are 30+ days overdue? Owner personally calls major accounts
• Payment scheduling — Owners approve all payments over $5K
• Line of credit monitoring — Track available credit if cash runs low

Not all pricing authority is delegated. Certain decisions require owner approval to protect margins and maintain strategic consistency.

Margin Floors (Non-Negotiable)

• Direct Sales: Minimum 40% gross margin
• GC Projects (Bid Work): Minimum 25-30% gross margin depending on project complexity
• Preferred GC (Negotiated): Minimum 30% gross margin
• Exception: Projects below margin floor require owner written approval, documented with business justification (e.g., "strategic relationship," "forecast filler," "local market penetration")

People decisions have outsized impact on company culture and profitability. These are owner decisions, not delegated.

Hiring Authority

• Owner approval required for all new hires before offer extended
• PM may conduct interviews and recommend, but owner makes final decision
• Offer approval includes title, compensation, start date

Compensation Changes

• Raises: Owner approval required. Discuss in monthly staffing review.
• Bonus / incentive changes: Owner decision. Must be formalized and documented.
• Role changes (promotion, demotion): Owner approval and communication.

Performance Issues & Disciplinary Action

Certain events trigger owner escalation immediately. Do not wait for monthly reviews if these occur.

Immediate Escalation (Call Owner Directly)

• Safety incident or injury on a job — Call immediately
• Customer complaint or threat of lawsuit — Call immediately
• Major project loss or dispute with GC — Call immediately
• Insurance claim filed against Sea Cool — Notify owner and insurance broker same day
• Key employee resigns without notice — Call owner immediately
• Equipment failure or major operational issue — Assess impact, call if revenue-affecting

Major Project Risk Review

Monthly risk review covers:

• Projects with known disputes — Who, what, financial exposure?
• Projects with significant delays — Impact on crew schedule and cash flow
• GC payment issues — Late payments, retention disputes, payment holds
• Quality or rework issues — Customer dissatisfaction, callback costs
• Scheduling conflicts — Crew availability, competing deadlines

Leadership information is protected. Sensitive data must be compartmentalized and accessed only by authorized people.

System Access Levels

Access Removal

When a manager or PM leaves the company:

• Final day: Revoke access to HubSpot, financial systems, shared drives
• Collect all equipment: Laptop, phone, keys, access cards
• Document termination: Date, reason, who performed handoff
• Transition projects: Transfer project ownership to new PM or owner