I'm not havign a dig, and I hate it when freinds start telling me how to run my business but this is a thread about advertising.
You spend £288 a week on advertising. So one £300 job a week from advertising does not cover it at all. In an ideal world only 5% should be spent on advertising. So from your £300 job £15 can go towards your £288 advertising budget, the rest is needed for costs and profit etc. But from your one £300 job, 96% of that goes towards the advertising costs!!!!! That doesn't leave enough to buy fuel to get to the job??
Your getting all your work from recomendations, which is great and how it should be. You not getting £3k a week from advertising, your recomendations work is subsidising your advertising, so whoever you advertise with is doing better out of it than you. It looks as though you could cut your advertising by 12K easily and maybe your gross income would go down by 15K or so no more than that, and your profits would be hardly effected at all.
I'm rubbish at doing the right thing, so I am probably better at criticising. My advertising budget consists of signwriting which is a one off charge, and having business cards etc. I have no monthly or annual recurring charges. 100% of my work is referal or recomendations or "we saw you working the other day" and so less than 1% of turnover goes on advertising. My turnover is way less than yours (I'm below vat threshold) but I wouldn't be surprised if my taxable income (net profit) was very similar.
I understand that companies need higher turnover in order to run mogs etc. and that is choice to be made. That kit allows you to do more on a day than the little firms, and so you need more work coming in to keep you fully busy and I should think there is a greater worry of not having enough work, and so more stressful. But 15k on advertising, thats some nice holidays you are missing out on IMO.