Pricing

[jimjamjimajam]

Hi guys, only recently set up on my own and need some advice on pricing of c/u changes please. Had done one for a property agent domestic/off peak at £200 fitted, priced low to get my foot in the door sort of speak but have friends say even that is way too cheap!
Obviously am not wanting to rip anyone off but need to make it worth while me doing so any advice be great thanks

 

[Octopus]

What the OP needs to understand is how much it costs him to have his business plus the normal extras like fuel and repairs. PLUS you have to pay class 2 & 4 NI and taxes!

No wonder so many are moaning about not earning much

 

[Geordie Spark]

thanks guys great help. just a bit cautious on charging too much as trying to build a solid rep. to get the work coming in

The problem with your approach is that you'll become known for your "reasonable" prices, then when you try to increase your prices you won't be able to as folk will be (rightly) asking if you could afford to do it for "X" price, why is it now "Y" price??

You need to start the way you mean to go on and that means getting the price right as near as possible at the start.

My mate ran a shop fitting business, and pitched his quote low in order to get a contract for a Franchise firm. It was for one year's work fitting-out shops all over the UK and there was one in Florida. His idea was to do a good job at a cheap price for the first year to impress the client, then when the contract came up for renewal, go in with a higher price which he was sure would be accepted. Guess what?? ........ it wasn't and he was told to go forth etc. and so it came to pass that just a few days before Christmas he was presenting P45s to 22 of his employees.

 

[amo]

stick to your guns. there are people out there willing to pay for good quality work at a fair price. Just need to find where the're all hiding lol. I'd say somewhere around the £300- 350 CU change earthing upgrade if needed, all certs, EIC, EICRand a general check on the install to assess its condition.

 

[jimjamjimajam]

Really guys thank you. This should help get my business in the right direction. Courses teach the skills, but not the prices

 

[nottz_spark]

Im sorry if I came across as arrogant, I don't mean to be but I'm being realistic. There is no way that this guy can afford to live on the money he gets from that fuseboard. Thereefore what is the point in doing it. He may well be trying to 'get his foot in the door' but he is giving a false sense of the cost of electrical work to his clients. All he is doing is making every other sparks on £180-£200 a day look expensive. By definition he is creating the very problem that he himself will find in his more experienced years. it blights this industry. Plumbers don't have this problem, they are charging £60 an hour and they are no more qualified than your professional electrician. and I resent the implication that I am 'chasing money money money'. it is simple maths. if you don't cover your costs then you will go under. I don't overcharge and I am very proud of the work that I produce and the knowledge that I possess, its just a shame that the original poster didn't work his costs out before giving the quotation. I suspect the next time he does it, he will loose his foot in the door!

your apology tells me you are not at all arrogant and i got the wrong end of the stick,so kindly accept my humble apologies...back to the pricing subject it was one of my biggest obstacles when i went on my own, i made the mistake of working for family and friends and when i started doing private jobs i was still working for a company so i always threw materials in at no cost,as these were my family and friends,so when i started trying to price for jobs including materials and my labour you can imagine the struggles i had set myself up for. So that brings me to my next bit of advice regarding pricing,once you have found your price then that is the price you must charge ,if they are really true friengs they will understand you need to mke money or you wont have a business,if they dont understand this principle then they are not your friends at all.

 

[Welchyboy1]

i made the mistake of working for family and friends and when i started doing private jobs i was still working for a company so i always threw materials in at no cost,as these were my family and friends,so when i started trying to price for jobs including materials and my labour you can imagine the struggles i had set myself up for. So that brings me to my next bit of advice regarding pricing,once you have found your price then that is the price you must charge ,if they are really true friengs they will understand you need to mke money or you wont have a business,if they dont understand this principle then they are not your friends at all.

one of my biggest mistakes too, i will only work for my parents(dads a plumber) or brother(accountant), so its a bit of give and take and they are both self employed too, NO-ONE else, just say im too busy, as they allways expect it done for nothing

The worst time i worked a whole sunday at my in laws house re-wired his bathroom, spots fan ufheating the lot, all i got at 530pm when i was leaving was 'thanks mate,ill buy you a beer!' That was 6 years ago and i never even got that beer

 

[Octopus]

Mates rates = normal rates.

 

[Midwest]

Mates rates = normal rates.

Yep I beginning to think the same!

 

[Jdsparky]

The worst time i worked a whole sunday at my in laws house re-wired his bathroom, spots fan ufheating the lot, all i got at 530pm when i was leaving was 'thanks mate,ill buy you a beer!' That was 6 years ago and i never even got that beer[/QUOTE]

Wheres the hate button!! When the shoes on the other foot I bet its different they expect something in return for a bit of graft.