How do charge small jobs?
- Thread starter A1cbr
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Minuteman
Senior Member
- Location
- The Sooner Nation
A1cbr,
I hope you mean that you have a new Master/Contractor license, and all the proper insurances and registrations that go with it.
The best way to price small jobs is T&M. That way, you are covered and will make a profit.
Secondly, you have to estimate what everything based upon how long YOU think that YOU will take to do EACH task.
Example:
Next, figure how much material for each task including any applicable tax. Then take that figure and double it, that way you cover anything you missed, anything that takes to long, and a little for profit.
I hope you mean that you have a new Master/Contractor license, and all the proper insurances and registrations that go with it.
The best way to price small jobs is T&M. That way, you are covered and will make a profit.
Secondly, you have to estimate what everything based upon how long YOU think that YOU will take to do EACH task.
Example:
- So many hours to rough the project
- So many hours to make up each connection
- So many hours to install devices/fixtures
Next, figure how much material for each task including any applicable tax. Then take that figure and double it, that way you cover anything you missed, anything that takes to long, and a little for profit.
Rewire
Senior Member
- Location
- Lake of the Ozarks
Dont leave any money on the table,remember somebody has to be the highest electrician in town so it might as well be you.The smaller the job the more you can charge on your hourly rate.I get 85.00 to hang a ceiling fan total time is an hour with travell.
Yes I am licensed and have all the proper insurance, business license ect.
I just needed some advice as far as doing small jobs. As of right now I am a one man operation planning on targeting on the residential jobs until things grow then move to bigger jobs and then higher some help down the road.
I just needed some advice as far as doing small jobs. As of right now I am a one man operation planning on targeting on the residential jobs until things grow then move to bigger jobs and then higher some help down the road.
megloff11x
Senior Member
Don't be bashful about charging money. You have overhead. You have tools, vehicles, gasoline, supplies, taxes, license fees. If a guy is too cheap to pay or wants a shortcut, let him burn his own place down.
One hour minimum plus travel time & mileage. If you get summoned to check something, let them know what it will cost them on the phone. If they're paying you to come out, they'll likely have you fix it since they had to pay to see you anyway.
A good place to start is property managers and rentals. They usually subcontract out major repairs and pass the bill to the property owner. Keep in mind that many of the properties are not well kept and that includes the wiring. Don't touch what you don't have too, unless it's unsafe and not just old.
Another is new businesses. When a guy sets up shop in an industrial building, he usually needs a full re-wire for his machinery.
Try pairing yourslef up with computer network folks too. Aside from having someone to help you keep up with Microsoft's latest mistakes and viruses, if they have to put in a network, they likely need some power outlet routing for all those computers to go with it, or perhaps just an inspection sign off.
One rule is that your labor overhead is 3-4 times your salary. Look at what a car repair shop charges vs. what it pays the worker bees. Or a machine shop.
Good luck.
And one last bit of advice from Brownells Gunsmithing Supply, "We charge a 50% deposit for customers we don't know, and a 100% deposit for some customers we do know..."
Matt
One hour minimum plus travel time & mileage. If you get summoned to check something, let them know what it will cost them on the phone. If they're paying you to come out, they'll likely have you fix it since they had to pay to see you anyway.
A good place to start is property managers and rentals. They usually subcontract out major repairs and pass the bill to the property owner. Keep in mind that many of the properties are not well kept and that includes the wiring. Don't touch what you don't have too, unless it's unsafe and not just old.
Another is new businesses. When a guy sets up shop in an industrial building, he usually needs a full re-wire for his machinery.
Try pairing yourslef up with computer network folks too. Aside from having someone to help you keep up with Microsoft's latest mistakes and viruses, if they have to put in a network, they likely need some power outlet routing for all those computers to go with it, or perhaps just an inspection sign off.
One rule is that your labor overhead is 3-4 times your salary. Look at what a car repair shop charges vs. what it pays the worker bees. Or a machine shop.
Good luck.
And one last bit of advice from Brownells Gunsmithing Supply, "We charge a 50% deposit for customers we don't know, and a 100% deposit for some customers we do know..."
Matt
77401
Banned
Small jobs? How small are you asking about?
Charge a minimun of $XX.00 for anything. If your area covers a large area then create a boundary outside your imediate area & charge more for that.
Don't go chasing ids on small stuff undser a few hours. Quote them over the phone.
Call your competition & pretend to be a dumb homeowner. ask what they charge to replace a ceiling fan or bad dimmer.. this will tell you what their minimun is. ask for a quote to F & I 4 recessed cans with a ceiling light existing. these are all items an experienced EC won't go look at but quote over the phone
Charge a minimun of $XX.00 for anything. If your area covers a large area then create a boundary outside your imediate area & charge more for that.
Don't go chasing ids on small stuff undser a few hours. Quote them over the phone.
Call your competition & pretend to be a dumb homeowner. ask what they charge to replace a ceiling fan or bad dimmer.. this will tell you what their minimun is. ask for a quote to F & I 4 recessed cans with a ceiling light existing. these are all items an experienced EC won't go look at but quote over the phone
macmikeman
Senior Member
- Location
- Planet macmikeman
Be careful about giving unseen quotes over the phone, ballparks maybe, but quotes- no way. Too many things could be different than what they say to you over the phone. Second, take a few minutes and search under the term "Flat Rate" pricing, and "Break Even" calculations. I also approve the double up method, used it lots, its good also. I won't tell you what to charge, just how to go about doing it the best way. Until I learned to charge enough to make it work for me instead of working for the business it was a much harder pull. Also set goals for your business down on paper. Then you have a roadmap to where you want to go. Good Luck. P.S. Small jobs, once you get it wired are great.
larryl
Senior Member
- Location
- wrentham ma.
T&m
T&m
get the hourly rate,1 guy=say 80-90 an hour,if your erea gets more,, than so do you,,,"x a two hour minium"!!,,
you gotta get a two hour minium,to make it worth going there,one way travel,,i've been doing it for years this way,,with no complaints,,
i tell them on the phone at the first conversation,,that i get a 2 hour min,so there's no suprises.be honest with people,,they really like that.
tell them to make you a list of repairs,because they got you for 2 hrs.
add a gfi out-side
a motion lite
swap the o.s. lanterns
run a a/c circiut
put a fan up
you get the idear,,,
take your time,clean up after your self,be polite,have fun,and most of all be honest,,its all about sleeping at nite,,
thats it,,you'll have a great business,,
have fun w/ it,,
T&m
get the hourly rate,1 guy=say 80-90 an hour,if your erea gets more,, than so do you,,,"x a two hour minium"!!,,
you gotta get a two hour minium,to make it worth going there,one way travel,,i've been doing it for years this way,,with no complaints,,
i tell them on the phone at the first conversation,,that i get a 2 hour min,so there's no suprises.be honest with people,,they really like that.
tell them to make you a list of repairs,because they got you for 2 hrs.
add a gfi out-side
a motion lite
swap the o.s. lanterns
run a a/c circiut
put a fan up
you get the idear,,,
take your time,clean up after your self,be polite,have fun,and most of all be honest,,its all about sleeping at nite,,
thats it,,you'll have a great business,,
have fun w/ it,,
jeff43222
Senior Member
- Location
- Minneapolis, Minnesota
OK, here's a curveball on the same question:
Today I had a bunch of little jobs scheduled (about 1 hr each), and I found myself with about 1 hour to kill between jobs. I was planning on grabbing a bite and hanging out at a bookstore, but on the way to the bookstore I got a call from someone who had a light she couldn't turn off. After talking with her on the phone for a few minutes, I was 99% certain a new switch would solve the problem. So I went to her place, changed out the switch, and solved the problem. I was at her house for 10 minutes. I couldn't see charging her for a full hour since I did so little, so I only charged for a half hour. Also, she's right in my neighborhood, so it wasn't exactly inconvenient.
Seems to me if we charge $200 to change a light switch, people will just get their neighbor or some handyman to do it, and they won't call us when they have real electrical work for us to do. I've done small jobs like this and charged small fees, only for the person to call me several months later with a big job they want me to do because I gave them such a good impression the first time.
Today I had a bunch of little jobs scheduled (about 1 hr each), and I found myself with about 1 hour to kill between jobs. I was planning on grabbing a bite and hanging out at a bookstore, but on the way to the bookstore I got a call from someone who had a light she couldn't turn off. After talking with her on the phone for a few minutes, I was 99% certain a new switch would solve the problem. So I went to her place, changed out the switch, and solved the problem. I was at her house for 10 minutes. I couldn't see charging her for a full hour since I did so little, so I only charged for a half hour. Also, she's right in my neighborhood, so it wasn't exactly inconvenient.
Seems to me if we charge $200 to change a light switch, people will just get their neighbor or some handyman to do it, and they won't call us when they have real electrical work for us to do. I've done small jobs like this and charged small fees, only for the person to call me several months later with a big job they want me to do because I gave them such a good impression the first time.
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77401
Banned
A two hour minimun wonn't fly down here.
I get an hour minimun eevn if its across the street from me.
If its a little away across town I charge my hour rate for the first 30 minutes then by the hour.
I did have a customer tell me anytime he calls a service man he expects a $100 charge.
I get an hour minimun eevn if its across the street from me.
If its a little away across town I charge my hour rate for the first 30 minutes then by the hour.
I did have a customer tell me anytime he calls a service man he expects a $100 charge.
Minuteman
Senior Member
- Location
- The Sooner Nation
jeff43222 said:
Yeah, I know some of y'all won't agree, but I have charged a 1/2 service call before. It depends upon the circumstances, their attitude, and my mood at the time. About half the time, the people will use us again, but there are some that I have not heard from again.
JROD
Member
- Location
- North Carolina
I started contracting on my own in 2004. The biggest mistake I used to make and still make sometimes is under charging.
I have found that most people do not mind paying a reasonable amount.
Last week I had an older lady call me because the receptacles in one of her rooms were not working. Found and replaced a bad receptacle out the door in 20 minutes and that included exchanging pleasantries and small talk. I had told her my callout rate of $70 + materials over the phone, but I really didn?t feel right charging her that much, but she insisted on paying the full amount.
But I think my point is the ride to and from the job, the cost of having materials in stock, your knowledge and your experience is worth something.
Good Advice Matt!megloff11x said:
I have found that most people do not mind paying a reasonable amount.
Last week I had an older lady call me because the receptacles in one of her rooms were not working. Found and replaced a bad receptacle out the door in 20 minutes and that included exchanging pleasantries and small talk. I had told her my callout rate of $70 + materials over the phone, but I really didn?t feel right charging her that much, but she insisted on paying the full amount.
But I think my point is the ride to and from the job, the cost of having materials in stock, your knowledge and your experience is worth something.
larryl
Senior Member
- Location
- wrentham ma.
selling-time
selling-time
if you return there call & show up,,they'll call ya again,,i would,,if you tell them to make a list,because they got ya for 2 hrs. ,,,they'll make a list,,,you gotta sell your time,,
make some sugestions,,
dimmers,,o.s plug for xmass lts.,swap a fixture,,a couple more basement lts.,,swap a bedroom lite for a ceiling fan,,repair there flood lts.add a motion on the floods,,swap the existing receplacles in the kitchen to gfi,,cut in a couple old work resses lts. in the kitchen,,it's all quick stuff,,
we can get a ton of stuff done in two hours.
if you ask them,while you have the extension ladder off the truck would you like me to put new lamps in the flood-lites any way,,what do you think they would say,"of course",while your here.they dont have a ladder.we do.
theres a ton of stuff you can find,if you be a little creative,,
if i was driving by a job on my way to another,and stoped by to change a switch,of course i'd do it for nothing,,i do at lease one good deed a every day my self,,thats what life's all about,,allthough i sure do like living in my house too.
selling-time
if you return there call & show up,,they'll call ya again,,i would,,if you tell them to make a list,because they got ya for 2 hrs. ,,,they'll make a list,,,you gotta sell your time,,
make some sugestions,,
dimmers,,o.s plug for xmass lts.,swap a fixture,,a couple more basement lts.,,swap a bedroom lite for a ceiling fan,,repair there flood lts.add a motion on the floods,,swap the existing receplacles in the kitchen to gfi,,cut in a couple old work resses lts. in the kitchen,,it's all quick stuff,,
we can get a ton of stuff done in two hours.
if you ask them,while you have the extension ladder off the truck would you like me to put new lamps in the flood-lites any way,,what do you think they would say,"of course",while your here.they dont have a ladder.we do.
theres a ton of stuff you can find,if you be a little creative,,
if i was driving by a job on my way to another,and stoped by to change a switch,of course i'd do it for nothing,,i do at lease one good deed a every day my self,,thats what life's all about,,allthough i sure do like living in my house too.
macmikeman
Senior Member
- Location
- Planet macmikeman
This thread started off with a question about how to best charge for small jobs, and then turned into one about not charging for small jobs like a switch replacement. I have an experiment in mind. Try stopping at the local hardware or supply house and pickup a single 15 amp switch. Do not tack it onto any bigger order. See if the counter person says - just one switch? Oh thats too small to charge you for. Take it, no charge. Alternatly, we could try this at a retail clothes outlet for a single t-shirt, or maybe one small soft drink at McDonalds. I am curious to see how many business's of other types are as generous and kind as we in the electrical field are. Don't get me wrong. I have done the same tons of times myself. Its just that right now the thought is striking me that we seem to be the only trade that does stuff like this, and I wonder why we are like that. I know what my business guru would say about it. I would get scolded for not charging or undercharging for work done unless it is a charity job.
Quote: "I am curious to see how many business's of other types are as generous and kind as we in the electrical field are."
Not many, I don't know of any other business, that says well this is little old lady, so i think i will cut her a break, my mother in law is in her 70's, and every time she gets work done, there is no mention of cutting the price, she pays full rate for all work she has done, sidewalk replaced, 2 slabs removed and replaced $1000, no cut rate, roto rooter, drain clean, man was there 1.5 hour, $369, HVAC low on gas, man there 20 minutes, $290, Roof repair $490, 2 men half hour, so you can just pretend you in business, and keep up the good social work.
Just make sure you charge, to cover your overhead, and operating expenses, and don't forget to add in your profit.
Not many, I don't know of any other business, that says well this is little old lady, so i think i will cut her a break, my mother in law is in her 70's, and every time she gets work done, there is no mention of cutting the price, she pays full rate for all work she has done, sidewalk replaced, 2 slabs removed and replaced $1000, no cut rate, roto rooter, drain clean, man was there 1.5 hour, $369, HVAC low on gas, man there 20 minutes, $290, Roof repair $490, 2 men half hour, so you can just pretend you in business, and keep up the good social work.
Just make sure you charge, to cover your overhead, and operating expenses, and don't forget to add in your profit.
77401
Banned
satcom said:
Very well put! When I was a new EC I was Mr generous too. Now I realize this is a for profit business.
What if your customer asked you to stop & pick up a gallon of milk on your way & would pay you for it?
77401
Banned
Are you free king crazy???larryl said:
If you charge a minimun 2 hours & they only want a switch replaced do it & MOVE on. Don't be stupid. So they say..." I Have you paid for for two hours, and at your rates can you vacuum the carpet & wash the windows with your tall ladder?" How about hanging a towel rack or mowing the back yard or trimming a branch off the oak tree with the tall ladder on your truck?
HeY Trust me... they are not going to remember you in two years. If they need an EC they will go looking the same place they found you the first time. I keep records, & so many times I get repeat customers from my ads only. Not because they remember calling me a year ago. When I tell them I have been there before they are surprised but don't care!!
My advice is take all the money now, either they or you may not be around in a year.
Drive it like you stole it.... Charge them like you will never ever see them again.
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petersonra
Senior Member
- Location
- Northern illinois
- Occupation
- engineer
most every service guy in town around here (from electrical to plumber to hvac to tv repair) has a trip charge. usually about $60. that covers getting here.
but around here traffic is not a big issue and you can get from on end of town to the other in 30 minutes, even at peak traffic times.
some place even charge a trip charge for estimates that you get credited to your bill if you buy something.
but around here traffic is not a big issue and you can get from on end of town to the other in 30 minutes, even at peak traffic times.
some place even charge a trip charge for estimates that you get credited to your bill if you buy something.
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