I've said this before and people are shocked but... If I am using subs, and they give me a labor price I double that price, add the materials and that's the customer's price.
Yes, always.Mike Finley said:Do you mark-up subs work?
I build water mains and sewers for land developers and commercial builders. I was an estimator for others for about 15 years before I hocked everything and took the plunge last year. Now I do my own. There are a couple of things I consider when determining mark-up.Mike Finley said:If so do you have [an] amount that guides you in this?
Rick Newell said:Once you've got the cost side down then you get into the black art of pricing adding mark-up). Play with some mark-up schemes and start looking for trends. Where do your margins need to be to get the "typical" job. How high can they be to get that "need you yesterday" job. How low do you have to go to "take" a job that you've just got to have.
You're absolutely right. I have to tell you though that if I had a nickel for every minute I spent on the phone with subs this year...I might be able to buy an icecream cone.hatchet said:we manage our subcontractors therefore we spend time and energy...We should be paid for that time and energy
numbers are statistics, statistics can be manipulated. so unfortunately, numbers do lie sometimes.Again this is just another way of running the business by the numbers. (Numbers NEVER lie)