Pricing

[menace 1984]

Hi All

I'm in the beginning of trying to build a business for myself after 14 years in the trade. I'm struggling a little bit on trying to formally a pricing structure. I want to be competitively priced while making a good profit. Any tips on how to go about this.
I'm currently going in at £200 a day plus materials with 10% or £20 an hour on smaller jobs

Thanks all

 

[Hellmooth]

Exactly, if a customer asks then they get told the same.

 

[Octopus]

The OP isn't an Arms member and unfortunately requires 100 posts to qualify for access. Pricing structures aren't exactly trade secrets so you're welcome to discuss this in the public facing forums but please be aware what you post here is publicly viewable.

So a keen DIYer with 100 posts can be in the arms?

 

[OldeSparky]

wow i wish i worked where you guys do..

 

[Octopus]

wow i wish i worked where you guys do..

An unhelpful comment....... where do you work?

 

[Welchyboy1]

most plasterers and painters charge £20 per hour

try a week of charging £35 per hour and see how it goes, dont budge, be strong, if your worth it, decent customers wont bat an eyelid

the sparks who have got the balls to charge proper money are the ones who do well(as long as they are worth it)

so many trades undercharge and always complain theres no money in it!!

Heres the five secrets to earning decent money as a tradesmen


1. Build the confidence to charge what your worth

2. Dont ever work on a day rate, always work on a fixed price

3. learn to be fast, efficient and highly organised

4. constantly be pruning your customer base of bad customers, so you have time and room for new good quality customers

5. Rinse and repeat


£££££££££££

 

[Marvo]

So a keen DIYer with 100 posts can be in the arms?

Nope, the Arms entry requirements are, broadly speaking, a 'professional electrician' with over 100 posts. We have made exceptions on particular occasions for some people in the past with less than 100 posts and the definition of 'professional electrician' is open to staff discussion in some cases, there are members who are electrical engineers, lighting designers, course tutors, electrical museum owners, meter installers and panel builders to name a few that have qualified for access in the past.

 

[gnselectricals]

most plasterers and painters charge £20 per hour

try a week of charging £35 per hour and see how it goes, dont budge, be strong, if your worth it, decent customers wont bat an eyelid

the sparks who have got the balls to charge proper money are the ones who do well(as long as they are worth it)

so many trades undercharge and always complain theres no money in it!!

Heres the five secrets to earning decent money as a tradesmen


1. Build the confidence to charge what your worth

2. Dont ever work on a day rate, always work on a fixed price

3. learn to be fast, efficient and highly organised

4. constantly be pruning your customer base of bad customers, so you have time and room for new good quality customers

5. Rinse and repeat


£££££££££££

Like no.4 just really got in a position where I can say no chance to a few people who I would have done work to in the past and feel quite good about it

 

[Welchyboy1]

Like no.4 just really got in a position where I can say no chance to a few people who I would have done work to in the past and feel quite good about it

Well keep your self ticking over, obviously, but as soon as your starting to get too busy, start SERIOUSLY looking at your customers

you need too get rid of bad payers first and foremost, even if its that than actually having any work, their not worth it

then it works on a sliding scale from there, builders being next, i actually mentally rate them in stars

what youll end up with in years to come is a solid gold star client base, who pay you well, in time, dont argue with prices, dont want to give you a hand, dont want to supply the materials, dont keep changing their mind halfway through a job, make plenty of tea lol. You get the idea!

once your at this stage you will only be taking on gold star customers to replace the gold star customers that live further away etc

 

[uksparks]

5 hours is 150 quid by your hourly rate. So if you're on site for 5 hours you automatically give yourself a 50 quid bonus?

Yes because any job that takes 5 hours will knacker the day so I charge a day as it leaves a useless length of time.

 

[OldeSparky]

An unhelpful comment....... where do you work?

meaning the rates are higher than where i live and work.. why be so rude?

 

[Octopus]

meaning the rates are higher than where i live and work.. why be so rude?

er no. I have no idea where you work so how could you possibly come to that conclusion?

unless you state where you live this is completely meaningless.

 

[hightower]

Yes because any job that takes 5 hours will knacker the day so I charge a day as it leaves a useless length of time.

Didn't think like that. Very valid point, thanks for clarifying

 

[DuaneMHunt1976]

London and i guess Essex and around London area will be high.
Im from the outskirts of Nottinghamshire/Lincolnshire

TALK
That a guy from S****horpe worked in London for 700% what he could get in S****horpe.
Cost of living down south is so much higher.
Why personally i would LOVE to be able to NIP IN AND NIP OUT Jobs in the London Area, id sleep in a car for that much so im there for them.

 

[Piratepete]

Hi
1. I'm up front with my rates which are £100 per half day and £30/hour otherwise. For small jobs, the first hour or part is always £30. I might pro rata subsequent hours. Depends on job. You need a higher hourly rate for reasons others have stated. Materials markup is 10%.

2. For small jobs, up to a day, or complicated jobs I never give a fixed quote, always an estimate. There are too many hidden pitfalls which will extend the job and turn a profit into a loss. The only jobs I give fixed prices for are rewires and kitchens. My customers have always accepted that it takes what it takes provided that I can demonstrate that problems couldn't have been foreseen. Travelling time is not chargeable unless it's more than half an hour.

3. I only do private work - no subcontracting.

All the best!

Pete

 

[davesparks]

It depends on the type of work really, I charge less on domestic than I do for commercial, less for commercial than I do for theatres. And then for the west end theatres my day rate approaches the four figure mark