Do you feel confident in your pricing?
Pricing can feel tricky. How do you usually decide what to charge? And what’s one thing you learned the hard way about pricing? In this episode of Masters of Home Service, Wilson Betances (EnergizeUs) shares: The 30-30-30-10 profit formula How knowing your true costs changes everything Why even a 5% price increase can have a big impact on profit Never miss an episode of Masters of Home Service. Subscribe on Apple, Spotify, or wherever you get your podcasts.
When should businesses increase prices to keep up with rising payroll costs?
When's the last time you updated your pricing model to match your payroll reality? For example, our direct payroll (before tax) is 38% while our indirect payroll is 10%. As of January 2, we increased rates for all recurring clients by 4% to offload the indirect percentage. Going forward, we increased all first-time services by 5%. Thoughts?How Much Should You Really Be Charging?
The number one question I receive is tied directly to the fact, most contractors are still guessing when it comes to pricing. Overhead. Profit. Labor rate. Trip fees. They think just because they throw a number they hear their competitors use, thats all that they need. It may work, but how and what do you divide these funds is just as important for your business health. If you don’t know how to do the math, you’re not building a business. You’re surviving check to check and think you need more work, when you do not. So here’s the plan: This Tuesday & Thursday on IG, I’m walking you through our Contractor Price Builder Worksheet FREE on instagram live. We will cover: - How to calculate your real hourly rate - The difference between markup and margin - Why profit is a non-negotiable - And how to price with confidence Join the session. Bring your numbers.What do I need to know/have prepared in order to get better business loans?
Have been using Jobber Capital for years to help grow my business. However, it is expensive and really sucks for cash flow purposes. At least in my experience. Is there a better way to do that, or should I be trying to get financing somewhere else that is cheaper? If you recommend the Jobber Capital/ Stripe Loan, then how much have you taken? I have been approved for a little over $100K but I haven't wanted to take that risk. Let me know what you have done and options I may not be thinking of. Thanks!How to price a job that is outside your normal working area?
I have made myself a set price list for work within the 35KM where I like to work, but often get calls outside that area. I have been going and doing the work at the same price I quote for calls within my area and wonder if that is hurting me? The idea was to have people discuss what price I gave them with family and friends in different locations and recommend me, but at what point does that price become unprofitable? Should I raise all my prices so customers feel I am not adding a travel surcharge? Should I be upfront and let them know my location and if they want me to come, I will have to add a travel charge? Should I refuse work outside my area? Refuse is such a bad word right!How can I create an invoice for the deposit?
When doing certain commercial work the client will ask us to send them an invoice for the deposit. This isn't typically how Jobber works as the invoice isn't created until the job is closed usually. What is the best way to send a customer an invoice before having the quote signed, deposit paid, or the job completed? Hope that makes sense. Thanks in advance!
💡FEATURE REQUEST: Price Increases in Products & Services List
Do you increase prices for ongoing customers? Do you know how long it takes me to increase my prices for 700 ongoing clients in my cleaning business? Whether you increase your prices on an annual basis or just as needed in these unpredictable times, it would be easier to make these changes en masse in the Products and Services tab! How would it work? When editing a product or service line item in the Products & Services List, there should be an option to carry that modification over to any existing Jobs that have that line item on it. Currently, this would only update for new jobs created, but I'd love to see a little pop-up that says, "Would you like to change the price for existing Jobs with this line item? Yes/No" Use Case Example: Because I am in the cleaning industry, it will be my primary use case. Let's say you have a minimum price that every client's rate will be at or above. When you create a new job for a recurring customer, you add a line item titled "Minimum Rate + current year," like for 2020: "Minimum Rate 2020," which is $150. You also add another line item based on how your pricing model is set up - in this case, I will use a simple one: "Small House" for $10 "Medium House" for $30 "Large House" for $50 When it's time for your prices to increase, consider the following options: you could decide to raise prices only for people with large houses and keep your minimum rate the same, or you may want to increase the cost for clients who have been with you for more than 5 years. Instead of making this change one client at a time and trying to sort through who the change applies to, I could go to the Products and Services List and find the specific line item I want to modify. Then, I could edit the price in there! Ta Da! You've raised your prices! Why should Jobber care? This would be huge for any business industry that has recurring clients. ServiceTitan, Housecall Pro, and other competitors already have this feature. I have found other threads that mention something like this or frustrations with how to go about raising prices. This would allow businesses that only see customers once or twice a year to set up their customers as recurring with one Job, saving them a lot of time and effort as well. You'd have at least one very loyal customer in me! I've spoken to two support agents who thought this was a simple but fantastic idea! My next price increase is in June, and I'd love you guys if you saved me weeks worth of work in a single click 🤞🙏 QUESTIONS, COMMENTS, FEEDBACK, AND MORE USE CASES WELCOME!!
