How do you calculate delivery fees?
Gas prices are going up drastically!! When should we make the jump to increase delivery fees? Our customer base already complains about delivery fees because we are in the firewood market with a lot of our competitors not being official businesses, they usually just sell wood from their backyard so they are not concerned with overhead. How do you calculate delivery fees? Has anyone ever done a gas surcharge to introduce a hopefully temporary additional charge while prices are high?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!How can home service businesses improve profit margins without raising prices?
If you had double your profit margin without raising rates, what would you cut or optimize? Our payroll all-in consistently remains at around 50%, but I was hoping to hear what others are doing considering labor is our biggest expense as home service businesses!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.
Financial Dashboarding
Hello! Thought I would share a useful tool our landscaping irrigation company started using recently. I am one of the co-owners of our business and handle all the accounting. Being in the industry for a while, I have found that many small companies struggle making financially-informed business decisions. I think the cause is that business owners may feel lost when looking at their books/margins/KPIs. I recently stumbled upon a tool called Reach Reporting which does financial dashboarding. You can connect it to Quickbooks or other major accounting softwares. It pulls all relevant financial data from your books and then gives you the ability to create your own financial dashboard or even has templates already made. It has been incredibly helpful for us to see our financials beyond a Balance Sheet and P&L. It slices, dices, graphs, and plots anything you want it to. This has helped other owners or managers in our company who do not have a financial background to understand our financials more clearly than ever before. This is just one of many examples. Hope you find it useful!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?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.
What's the best way to do job costing?
Hello everyone, I have been inconsistent with adding expenses to each job. How are other jobber users adding expenses to each job to see your profitability per job? Are you having your techs keep track of parts/fittings used on a separate form and then adding that to the job after the job has been completed? Trying to find an easy way to keep track of this and get it entered into jobber. Thanks Ernie
