how much should i be charging for jobs????

[Tarzan]

hello,i am self employed spark. i have been in the industry for 13 years since leaving school. i served my time on mainly domestics but i had nothing to do with priceing and since worked for largish installation company's.now i know what they used to charge for jobs and that is why they went bust before christmas! but can any one point me in the right direction with hourly rates, call outs, day rates etc etc for domestic and shops etc as not sure with the current financial climate. ; cheers chaps and ladies.

 

[batty]

Tim I charge

 

[green-hornet]

One of the reasons larger companies go bust is the overheads they have and not the actual pricing.

The quotations they will give are the going rate for them jobs, however part p has thrown a spanner in the works because now Mr dim but nice could decide that 10 years has a hairdresser does not suit him so he is booking a two week course and then he is a sparky!

When I set up in business the legal minimum required profit margin for any ltd company was 15%, I now leave all this to the accountants but what the low down is this.

Time

Materials

Labour

Profit

Work out how much time it will take you to do the job

Get up to date cost of materials to be used

Work out your labour costs (your wages)

Then the profit per job (some give more profit than others)

One of the main faults from sole traders who give quotes for jobs is this for example

Customer requires an extra socket 2 metres from an exsisting socket

Time to do the job 2 hours at say

 

[M107]

I price myself out at

 

[batty]

I price myself out at

 

[Tarzan]

fantastic advice!!! many thanks chaps. good luck. Tim Moore

 

[green-hornet]

One of the reasons larger companies go bust is the overheads they have and not the actual pricing.The quotations they will give are the going rate for them jobs, however part p has thrown a spanner in the works because now Mr dim but nice could decide that 10 years has a hairdresser does not suit him so he is booking a two week course and then he is a sparky!

When I set up in business the legal minimum required profit margin for any ltd company was 15%, I now leave all this to the accountants but what the low down is this.

Time

Materials

Labour

Profit

Work out how much time it will take you to do the job

Get up to date cost of materials to be used

Work out your labour costs (your wages)

Then the profit per job (some give more profit than others)

One of the main faults from sole traders who give quotes for jobs is this for example

Customer requires an extra socket 2 metres from an exsisting socket

Time to do the job 2 hours at say

 

[green-hornet]

If you require an explanation of my edit of you earned

 

[Tarzan]

thank you for the advice,however i do have a real grasp off my overheads,and materials costs.i know what the jib say i should be paying myself by the hour but i was unsure of the commercial rates esp at the moment as we are up to our necks in a recession.and my previous position was site supervisor so i am well aware of the "part p" trained jokers out there.

 

[Apache]

Does this not really boil down to knowing what your business actually costs to run?

Have you worked that out?

Add to that what you want to earn per year.

How many days do you expect to work?

eg business costs you

 

[green-hornet]

thank you for the advice,however i do have a real grasp off my overheads,and materials costs.i know what the jib say i should be paying myself by the hour but i was unsure of the commercial rates esp at the moment as we are up to our necks in a recession.and my previous position was site supervisor so i am well aware of the "part p" trained jokers out there.

I apologise if you think my answer was directed at you it was not, I only ever answer in general and I have no pre judjments over any persons abilities.

The purpose of this forum is to help and inform without predjudice.

I am still learning and this forum has taught me loads of usefull tricksGuiness Drink

I think that one was andyc but there are a few drinkers on here:_|

 

[Apache]

thank you for the advice,however i do have a real grasp off my overheads,and materials costs.i know what the jib say i should be paying myself by the hour but i was unsure of the commercial rates esp at the moment as we are up to our necks in a recession.and my previous position was site supervisor so i am well aware of the "part p" trained jokers out there.

I see you replied whilst i was typing!

Are you prepared to say what you are actually charging? A couple of our members already have................

 

[Tarzan]

mines a larger! oh and a packet of salt and vinegar........

 

[Tarzan]

yes,

 

[green-hornet]

yes,

 

[M107]

It's a funny old game quoting isn't it.

Just remember don't chase a job by under quoting, nobody wants to work for nothing & word will soon get round other sparks that you are banging out low prices (not good for relations at the trade counter).

Be realistic with your prices & if you find all your quotes are being accepted, put your prices up a little (you are probably going in to low).

Ask your customers when undertaking the work if they had other quotes. Some will tell you you can then gauge where you are in the market.

Don't be tempted to use cheaper end of the market accessories just to bring costs down..you will regret it (been there done that). Never has a truer word been said "you get what you pay for" usually hassle with the cheap end kit.

Remember most customers will compare your material costs with the diy sheds, your wholesaler should beat those prices handsdown....if not tell him they are cheaper else where & he can surely do better (yesterday I printed off the TLC price for 30mtrs of 16mm swa & shoved it under my suppliers nose when his quote was higher...he soon changed the quote & came in under TLC's price).

Got to go & do some work now.

 

[ianmacd]

I then add another 4% to final quote (but dont tell customer) & add a note stating that if payment is received by XX date there is a 4% reduction on the quoted price.

You need to add slightly more than 4% (4.17%) if you want to drop 4% off and still have the original number.

Ian.

 

[dougal]

has anyone used Spon's guide for quoing?

 

[betty swollocks]

i charge

 

[binky]

Normal rates are