finders fee ettiquette

[Hodge]

Everyone is going to have their own opinions on this, for me if I get a job passed on and I get it then I do give a "thank you". If someone asks me for a recommendation for a tradesman I will pass on details but I don't expect anything in return.

[Jonny69]

If he wants 10% just add it on to the quote.

 

I don't care if I don't get the job, its his customer, not mine and his commission gets added to what I would normally quote. Its NOT coming out of my money.

 

Clearly some people don't understand what 'backhander' is, what is being asked is perfectly legal and not immoral, 4/5ths of running a business is what and who you know. Why shouldn't you be paid for having good contacts if you pass work off to other people.

 

I have people that want commission for work they give me and others I pass work back to. I am not worried which way it works, just as long as everyone knows beforehand hopefully it won't turn sour.

[egnsean]

In the plant hire game its called a cross hire usually £1.00 an hour of the hire rate goes to the person that passes the work on, been driving round sites many a Christmas with a van full of bottles for formen, site managers,agents etc just the done thing in plant hire.

[Chris Sheppard]

If he wants 10% just add it on to the quote.

 

And then when you don't get the job for being 10% too dear he might realise he's being greedy.

 

If you have a good working relationship with other companies/trades they'll ring you anyway, not because they think they'll get a bite out of it.

[doobin]

Gotta chime in here. Big difference between the aforementioned 'chancer down the pub' and a bloke who passes you good leads because he's too busy or is taking his business in a different direction.

 

10% once I've done the job is fine by me. Saves all the hassle of advertising, plus my buddy is pretty good at weeding out timewasters on the phone. In a nutshell, it's high quality leads in the local area that I only give 10% on once I've gotten paid for the job. Works for me, I enjoy paying him. Knowing the work will keep coming in.

[gensetsteve]

I recently had a generator install 700 kva, contract value £112,000 it was too big for us especially with all the others going on. I passed the job on and invoiced them a grand and we got the service agreement after. It looks a large amount of money but by the time you have installed and certified and found things you missed on the quote its often not great.

[Goaty]

I pass work on to others with no expectation or favors back. It stands you in good stead as a useful contact in the know. Which indirectly helps you against the competition. Sometime you get work in return.

 

Once you have done the referred job it is down to you if you get repeat business or impress others. Therefore to the OP extra work acquired is to your credit really.

Do a shoddy job or rip them off. You lose.

 

Im not obsessed or orientated by money so that affects how i feel about it. Some people put a value on everything and it probably costs them more in the long term.

[Jonny69]

And then when you don't get the job for being 10% too dear he might realise he's being greedy.

 

If you have a good working relationship with other companies/trades they'll ring you anyway, not because they think they'll get a bite out of it.

 

Does not matter to you though because its a contact and quote you wouldn't have had the opportunity do without them. You are financially better off losing a few due to being more expensive than to soak the 10% up in your margin.

[skyhuck]

Does not matter to you though because its a contact and quote you wouldn't have had the opportunity do without them. You are financially better off losing a few due to being more expensive than to soak the 10% up in your margin.

 

And you get a reputation for being expensive, so people don't recommend you.

[Mountain man]

I personally love it when people say I have a reputation for being expensive.