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It seems that sometimes our customers, don't want us to make any money.
I work Residential, I like to flat rate most of my jobs.Sometimes a customer will question me on pricing. I don't usually give a break down of materials & labor.
I figure that is my business. Their business is getting a good job done.
And there is always the little add-ons, while you are here type things.
 
hardworkingstiff said:
If you give a customer a proposal to perform some work, what is your 1st thought/reaction if they call back and say their office needs a breakdown on materials and labor?

My 1st thought is they think my number is high and they are trying to understand it better.

My 2nd thought is they are hoping to get a material list and want to shop the job (there was a bit of prep work to put the quote together and they wouldn't know what to exactly tell another EC what to quote).

Either way, I don't like the request, and I'm not sure exactly what I'm going to do.
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Can you give me a breakdown.

That was an article in the How To Screw a Contractor magazine.
 
hardworkingstiff said:
I'm almost always higher than the "other" guy. That's the reason I'm still able to eat and pay my bills in this environment. I charged a high price while things were good and listened to my Mama who told me to make sure to put money away for a rainy day. Now, we'll see if my rain fund can out last this hurricane.
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the other guy was charging about double what I was. I still make $1000.00 profit for less than a days work.
 
hardworkingstiff said:
Here's what I decided to send them. I'm pretty sure it's less than they wanted, but it keeps the dialogue going.
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Tim, one more thing, I do about 500 jobs a year and it took me about 1 hour to do this

'breakdown for you, at $50.00 an hour that would be $25,000 cost to me to do breakdowns

and I'm trying to keep my costs down, I'm sure you understand.

Lou.
 
staticcontrol said:
Hi.
That's some pricy equipment you got. Seems like big switchgear or just big panels with 3 phase and such.. I have been getting beat up over prices. I think the hang up with customers comes down to jealousy. Hear me out.......say you have a days work to do a service change which is typical. A 200 amp service change goes for about $2,500 these days...even more. The material is really about $400 give or take $50. If you itemise that to the customer,I think it's only natural for people to say "wow. he's making more than me in a day than I do in a week" Of course theirs other business costs to you but they don't see it that way. I'm young....I know for sure one customer felt this way cause he came out and said "I'm 66 yrs old and the most I made an hour was $30. He was hell bent on making sure I didn't make more than him and was very vocal about it. However, his bill was $400 with material. He was unhappy. I was there fixing lights outside (troubleshooting that didn't work for 2 yrs) and spent 4 hrs in the heat wave on black top. He underminded my effort and that pissed me off.

staticcontrol
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I like to diplomatically remind those types of folks that if they knew how to do it, they would. We have experience, are licensed and have had schooling and training, etc., and will do the job to the best of our ability, to code, and when we leave, it won't burn down because of that knowledge. If they don't like the price, they can help themselves to the nearest local hardware store and hopefully get the right thing and figure out how to put it all together.

I have also in the past, requested that certain crotchety customers go back inside/the other room/ etc, as they are a distraction and pose a hazard (to my pacience).
 
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