Profit on jobs.........

[Lyncombe-climber]

Haha not all blessed like me yep total costs. Then and your margin.

[kentjames]

When it comes to landscaping and indeed the building trade it is hard work these days.

 

I think its mainly down to the B+Q's and Wickes' and people opening accounts with their local builders merchant even though they are only members of the public. The result, everyone knows the price they can get it for.

 

Profit is a hard one to build in. Most work is done to gain a wage from the labour and that's about it. I do put extra in on the materials where possible.

 

One thing I have done is price a job before on a unit price for something (eg Marked retail price of materials) and then when I have come to order it then the quantity discount makes up a profit. This works well on things like fencing and paving.

 

Also knowing your local supplier really well makes a huge difference as I get great prices from one guy as he has dealt with me since I 'were a 'lad standing next to my father ordering materials!

 

Another good way to 'hide' profit is to avoiding breaking the quote down and to lump all the materials in one column and don't quantify individual items - that way they find it harder to check the price themselves as they don't know the quantity required when the merchants ask them for it.

 

Its all a game really, at the end of the day if someone questions my prices for materials supplied I usually turn and say I'm in business to make money. Having said that I think the most I've made on materials is 30%

 

I do less and less landscaping, admittedly I haven't pushed it in the last 12 months but most clients seem to want to maintain what they have and not spend the extra money on bettering their gardens.

[[email protected]]

When it comes to landscaping and indeed the building trade it is hard work these days.

 

I think its mainly down to the B+Q's and Wickes' and people opening accounts with their local builders merchant even though they are only members of the public. The result, everyone knows the price they can get it for.

 

Profit is a hard one to build in. Most work is done to gain a wage from the labour and that's about it. I do put extra in on the materials where possible.

 

One thing I have done is price a job before on a unit price for something (eg Marked retail price of materials) and then when I have come to order it then the quantity discount makes up a profit. This works well on things like fencing and paving.

 

Also knowing your local supplier really well makes a huge difference as I get great prices from one guy as he has dealt with me since I 'were a 'lad standing next to my father ordering materials!

 

Another good way to 'hide' profit is to avoiding breaking the quote down and to lump all the materials in one column and don't quantify individual items - that way they find it harder to check the price themselves as they don't know the quantity required when the merchants ask them for it.

 

Its all a game really, at the end of the day if someone questions my prices for materials supplied I usually turn and say I'm in business to make money. Having said that I think the most I've made on materials is 30%

 

I do less and less landscaping, admittedly I haven't pushed it in the last 12 months but most clients seem to want to maintain what they have and not spend the extra money on bettering their gardens.

 

thanks James,

 

yup its mainly the fencing we have pushed into and doing well,

Ive even had a bloke ask me "so whats your profit on my job?!?!"

cheeky sod, surely they realise that the aim of a business is to make profit not just wages!

I don't go into Tesco and ask them "whats your mark up on this produce?!"

I seem to be getting the jist of it now that im doing it the right way.

I know a landscaper who lists his profit on the quotation!

Wouldn't say that's the done thing but he always has and says that he shows the client everything & being honest to show your profit !

he always seems busy ! (maybe he is too cheap!)

 

Thanks for the advice guys will keep plodding as I am me thinks :thumbup:

[testcricket01]

I wouldnt hide the profit, if i had to break it down i would show exactly what is what. A business is ment to make money. Its the total price that counts to people, not how much you get to keep.

[bggc]

we give clients one figure for the job and all the working out is done before hand, i'v found if you give out too much information it puts things up for discussion.

[hedgesparrow]

If I get questioned about the materials I explain that the client is welcome to source them and have them delivered, but they are in turn responsible for any down time I experience if they mess it up!

 

+1 if i do supply materials i put on 10 to 15% mark up for my time sourcing and collecting the stuff.

[muttley9050]

I add 10% on materials and 10% on final figure(this includes labour, materials, plant hire and use of plant owned). I never break down costs, just supply a full spec and total price. I tell fussy customers that i always use same suppliers and if they want to trawl the internet for every item they probably could get some stuff cheaper but on there head be it. The only time i ever work differently is when working for friends when they pay directly for materials and i work for day rate.

[likeitorlumpit]

If I get questioned about the materials I explain that the client is welcome to source them and have them delivered, but they are in turn responsible for any down time I experience if they mess it up!

 

Now THAT is the killer.

The client then understands that sourcing and arranging delivery is a skilled job.

[Ty Korrigan]

Here in France, if a client buys materials then they pay 19.6% vat

If the client merely chooses and leave the artisan to supply and install then the client pays 7% vat

Brits can't get their heads around this and so normally search the internet for sleepers and sheds etc but after paying transport and 20% vat they often and up paying the same to more.

Plus artisans here normally get a trade price which can be 25% lower than the list but more often hovers around 10-15%

The system is geared towards encouraging people to use tradesmen in all things.

I will some-times just collect materials for free as a gesture of goodwill...I'm full of that see:001_rolleyes:

Ty

[Matthew Storrs]

The problem i have is arranging materials, if you've got say 2 days worth of fencing to do at least a few hours of those days are going to be spent getting the materials. I only really do agricultural fencing so i can't expect the delivery lorry to get to the arse end of nowhere and if i asked him to deliver to the yard it means being there at a set time to recieve them and then double handle the materials to get them on to your trailer etc. So basically i collect them myself then add on to materials my time and expenses. As for adding profit on, why show them your profit, just add it onto labour and surely anyone would understand that as its a buisness not all of that money ends in you backpocket and covers- machinery, breakdowns insurances etc and of course profit.