Define "Fair" Pricing...

mahlere

is it the price that they guy in the 10 yr old van, living in a 1 bedroom apartment, that can't pay his bills and lives job to job charges?

is it the "$75/hr, we estimate it for 3 hrs, but it actually took 6...so it's $450 instead of $225" guys price?

Is it the "I hire illegals and pay them $10/hr cash, instead of hiring legal employees and paying taxes and benefits, so I can cut their price" guys price?

or is it the "shows up when he says, looks at the job, tells the customer it will be $x, customer agrees to price, guy does job, collects money and leaves" guys price?

Oh yeah, the last guy was 3x everyone else...

What is a "fair price"? And who is it really "fair" to?

Celtic

I was reading the warranty on a piece of equipment today....blah blah blah...after 90 days a reasonable charge...
WTF does that mean?

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mahlere

exactly....reasonable to whom? if i'm paying the charge, reasonable is $0...if i'm charging, reasonable is $1000....

fair, reasonable, etc...define them..

KillerToiletSpider

When you decide on what is fair, multiply it by three and you have the price our company charges.

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Celtic

exactly what I said out loud to whomever was in earshot...LOL

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mahlere

again, if I'm paying 3x $0 is still $0...is that what you charge?

Bob Kovacs

Everyone knows the definition of "fair"- haven't you heard the old expression "fair is fair"?? There you have it- now stop asking silly questions.........

dougchips

Fair price= Exactly to the penny what I charge. If someone comes in $1.00 less then they are just a low bidder without insurance. If someone charges $1.00 more then they charge way to much, must have problems controlling their overhead.

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mahlere

never heard that expression, but I am familiar with "Stupid is as stupid does"....and I think that applies way more to the trades

mahlere

yeah, I've heard that from some other people...same with drivers...anyone going faster is a maniac, any slower is an a-hole...

Bob Kovacs

I think that one gets taught in votech and then again in the contractor licensing classes, as I see it every day- usually more than once.....

mahlere

well, stop following me around then...

mahlere

here is an example...i need to insulate my attic before winter...I can buy all the insulation from HD or Lowes for about $800...I got one quote (phone quote through Service Magic- don't you love the irony here) for $2000 total...

now, it'll take me a day to leisurely insulate my attic...

is $2000 a fair price? I don't know...I was looking for a price of $1200 installed...to me that would have been fair....

Now, the guys price was $2000...I didn't ask him to do it for $1200...I just told him that was "over our budget" (gotta love the irony)

I'll probably just go hire some day laborers for $200 and have them install the insulation...it'll save me a grand...now that's what I call fair

KillerToiletSpider

I'll send two of my guys to do it for $7,200.00.

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A flush is better than a full house.

dougchips

How much would you charge me to insulate my attic, lets say it looks just like yours? I'll answer for you, more than $1200 and within a few hundred dollars of $2000.

__________________
To get the best replacement windows, or sun rooms contact the replacement windows experts at FHI Vinyl Window Company.

oldfrt

is it the price that they guy in the 10 yr old van, living in a 1 bedroom apartment, that can't pay his bills and lives job to job charges?

I know that Guy!

I see that van at the gin mill every day,about 3PM!

mahlere

sounds fair to me...can you throw in a re-plumb for nothing? you know, quid pro quo

woodmagman

Fair is 2% lower then hearing the words..."I not signing that"

GregS

My van is 10 years old. But I charge just as much as the guys with the 3 year old vans

donb1959

Not to hijack, but I think the better question is "What is Fair?"

When I look at a job, figure my labor, material and profit, and put that number down on paper, that is fair to me. When I do the job, show up on time, do what I say I will do, and leave them with a feeling that it was money well spent, that is fair to them.

When pricing a job their side of the "fair" equation does not enter into it. All that matters at this point is, is it fair to me.

If they accept my "fair" price, and I am contracted to do the job, at that time what is "fair" to them enters in. And at that point what's fair to them is that I do all I say I will do, and do it right. Fair is Fair.

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