How and what to charge

[Voltimax]

Here's one, started by Voltimax, to start with...http://www.talk.electricianforum.co.uk/showthread.php?t=9261

I don't even remember that thread and I started it!

:Blushing

Cheers Admin, I wonder would it be possible to make it a sticky? or maybe another such thread?

 

[batty]

Always is differcult to know what to charge as said it really is a struggle at present. Last year I just made enough to live on made no profit and my wife has gone back to work nearly full time to help out. Cost of everything is going up all the time this includes electric stuff I know youy pass this on to customer but you have to keep an eye on it otherwise you can be out of pocket. You have also got to allow for if you get knocked this can happen and has happened to me a few times. This can take quite a while to recover from.

 

[a1]

http://talk.electricianforum.co.uk/showthread.php?t=1652

 

[a1]

I am almost certain that it was Special Location who did a rough run down?

Maybe he can reply to this, when he sees it?

 

[a1]

http://www.talk.electricianforum.co.uk/showthread.php?p=27525

 

[a1]

Here's one on call out rates:

http://www.talk.electricianforum.co.uk/showthread.php?p=113696

 

[m4tty]

Yeah I was wrong it was sl not gh sorry

 

[a1]

http://www.talk.electricianforum.co.uk/showthread.php?t=9708

 

[tom1]

Yeah I was wrong it was sl not gh sorry

i have just spent the last 30 second beliving it was gh,

thanks for that you need to pick your game up mate

ROTFWL:coat

 

[a1]

http://www.talk.electricianforum.co.uk/showthread.php?t=640

 

[a1]

http://www.talk.electricianforum.co.uk/showthread.php?t=8479

 

[green-hornet]

It was a while ago when I did a breakdown of overhead costs that are sometimes forgotten when you quote or price a job.

I remember breaking it down to categories ie cost per day wether you work or not, and cost for travel, wear and tear ect when your actually out at work.

Once you find how much your business costs are per hour you can price accordingly.

Material costs are very basicly the same for most people the greatest discounts given to those who have large accounts.

Your advantage as a sole trader can be lower overheads, disadvantages are being able to do multiple jobs at once, and therefore lose good work because of commitment to another.

 

[kmaccui]

http://www.whatprice.co.uk/electrician/prices.html

not sure if you guys have seen this.

 

[FFM]

Yes I agree, your charge is fair (poss a little to low) but, as has already been said, you also will get bitten once in a while.....if the customer wont pay for the work because they think its steep your options become limited to accepting what they will pay, off to small claims court or your power of persuasion.....Sadly, these situation arrise once in a while......

i try to cover my back with a written quote each time, which also includes a variable for extra time on the job (if required) which means extra monies should the un-foreseen arrise (as in your case). The customer has to accept it, in writing (usually an email response), before I start. If time is too limited ie you are there and they need it doing right then, then I carefully explain, in complete lay-mans terms what the price is/hourly rate is, what it covers and make sure they say "OK". getting them to accept your price, even verbally, before-hand does seem to make a difference.

Hope this helps,

FFM

 

[Voltimax]

Ok, I've been looking through my library and here is an excerpt from a book I found called 'The right way to start your own business'.

I have added some extra bits in there. I hope it's helpful to all those that ask what to charge

A General Trade

This sort of calculation applies in any situation where the customer will be supplied with labour and materials. The hourly rate that can be charged will depend on the general charges made in the locality.

A very good rule is that the labour charges should provide as a minimum the amount needed to meet all the costs of the business plus a minimum profit. Then any profit made on the supply of materials is a bonus. The reason for adopting this approach is that it is conceivable (if not probable) that the tradesman will pick up a run of business where all materials are supplied.

In this case, we shall be working as follows:

Fixed costs

Workshop Rent =3,600

General Insurance =740

Vehicle Tax and Insurance =540

Total =4,880

Overhead Costs:

Telephone =920

Travelling Costs =3,700

Stationary =350

Postage =350

Bank Charges =575

Accountant =600

Total =6,454

Now if the minimum we need to earn is say