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Thread: Markup on subcontractor work

  1. #11
    Join Date
    Mar 2007
    Location
    Valdosta, GA
    Posts
    3,692
    Quote Originally Posted by cdslotz View Post
    What are they doing in-house? How many subs are on this job, because the other EC's can't do them all.
    I'll do a turnkey sub than in-house every time for liability reasons.
    On this job, fire alarm, structured wiring and networking, and lightning protection. Some do it all.


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  2. #12
    Join Date
    Jun 2010
    Posts
    1,755
    If I needed ten of something but bought a case of dozen and sold two of them at or below cost, I saved money as long as price per item on the ten pieces I needed ends up being less. That bigger company buys more from subs so they're probably able to negotiate better pricing.

    If the additional hassle increases work load on your office your cost didn't go up. Also, if you sub something out to them at cost, it keeps their gears turning even if you made no markup. If they utilize you sometime down the road, you benefit from that too.

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