How do you maximise the profit on every job ?

[littlespark]

I’m sure we’re all guilty of this, and this might be a very unpopular opinion, but try not to spend all your hard earned profit on new tools that you don’t need.

“I’ve just bought this hydraulic crimper that does up to 400mm! I’ll never use it, I never work with stuff that big... but I might....and it’s sooooooo shiny!”


ps. Before proof reading, I’d just bought a hydraulic crumpet....

 

[i=p/u]

I squashed a guys finger with pair of them, he wasnt happy but his fault...

 

[littlespark]

I squashed a guys finger with pair of them, he wasnt happy but his fault...

The guy had 400mm2 fingers????

 

[i=p/u]

Lol was hospital job anyway. He looked angry. I worked for pitts wilson electrical then if ya ever heard of them. Think based in Preston.

 

[pirate]

As I have very little work on at the moment, I do charity stuff which I get via the Men's Shed. This afternoon I fitted some rack shelving for a neighbour, at cost of materials only. I gave her the receipt for the gear and she gave me the cash, plus £25 as a donation to the Shed. Then she showed me a bottle of Malbec and asked if I drink that, so i said yes, and she gave me the whole case...result!
As I was leaving, her pendant lamp in the hall banged off the front door, and looking up i saw the brown and blue hanging down...now I have a proper job replacing it and 3 others, at proper rates, so all good in the end! A not-for-profit job has produced a for-profit one, and I wasn't doing anything anyway...plus, she is very vocal on social media so I expect some more work from that. OK, hardly the money many of you need to make to make ends meet, but hey...it works for me. Moral: A freebie often results in more work.

 

[HappyHippyDad]

Other than keep increasing your hourly rate how do you make each job more profitable ?

I know other trades put a much bigger mark up on materials , my brother in law who does landscaping puts 100% mark up on core materials to pay for his time driving around collecting stuff

I know Some companies charge an admin fee for certification etc

any other ideas ?

Gosh, that's a big question Dusty!

I think it depends on your priorities. If you mean 'financial' profit, then I think the best way to maximise money profit it to expand and take on employees, just like GMES, Lee sparky etc. If you intend to continue by yourself, then I think you already have a more savy business mind than most based on the majority of your posts, although I'm surprised you don't mark up materials. I mark up at 20%.

I think I would first identify my priorities and then work out a plan.

I wish to enjoy my job firstly and a fairly close second is to make money.

 

[littlespark]

My material mark up can be anything from 10 to 30% depends what it is... and there’s a random number generator for “misc” which covers fixings, consumables etc.

 

[Baddegg]

I’m sure we’re all guilty of this, and this might be a very unpopular opinion, but try not to spend all your hard earned profit on new tools that you don’t need.

“I’ve just bought this hydraulic crimper that does up to 400mm! I’ll never use it, I never work with stuff that big... but I might....and it’s sooooooo shiny!”


ps. Before proof reading, I’d just bought a hydraulic crumpet....

Wash your mouth out @littlespark! New tools are the reason we work! ??

 

[Baddegg]

I put 20% on all materials and offer no explanation to the customer.....take it or leave it that’s my price.......I’m about the pm @pirate and I’ve just sacked my labourer ?
Edit....any customer that wants a breakdown in costs to that extent is gonna be a pain in the arse anyway...I’ve had em in the past and I just say.....

“no probs you source the materials and call me when they are here and I’ll fit”

Customer “ok what do I need?”.......

Me......”that’s your problem now....oh and there is no warranty on parts you supply...see you soon ?”

 

[Steven68]

You can use pricing strategies to boost profits.

 

[LukeD]

I put 20% on all materials and offer no explanation to the customer.....take it or leave it that’s my price.......I’m about the pm @pirate and I’ve just sacked my labourer ?
Edit....any customer that wants a breakdown in costs to that extent is gonna be a pain in the arse anyway...I’ve had em in the past and I just say.....

“no probs you source the materials and call me when they are here and I’ll fit”

Customer “ok what do I need?”.......

Me......”that’s your problem now....oh and there is no warranty on parts you supply...see you soon ?”

Very good point and one I warn people around .Customers providing materials are stupid. Its the best "get out of jail card " a trades person has. They are not responsible . If they start this game.... walk away . Another rule is stick with your gut feeling about customers . And never work cheap. 100% materials is ---- less than some people in the business charge ! I like the 50-70% area .