I have been on my own for a while now doing all types of jobs and now I would like to expand into the bigger jobs such as kitchen remodels, bathroom remodels and basement finishing. I'm just curious what you guys charge for jobs such as these like how much to hang cabinets, hourly rate, drywall, flooring is it all included? Do you just charge by sq/ft like $20sq/ft for a basement remodel which includes all material? Just would like some tips to help me further expand my business to the next level
The best way for you to get that kind of information is to work for somebody else and learn the trades. What you are asking for says that you are likely in over your head. Each job has it's own idiosyncrasies and caveats that must be considered.
Each type of job has it's own cost factor. An average bathroom can go for $5000 to $15000 and more if high end items are used. Again, kitchens can vary. Drywall can be by the job or by the square foot, same with taping. There is much more to consider. I would suggest that you simply ask around your neighbourhood about local costs. Call some contractors and ask for average labour costs. This will provide a ballpark figure from which you can set your rates. You also have to consider your honest experience, How long does it take you to do a job, is it okay workmanship or excellent? If you aren't qualified, either get qualified or don't do the work. Be very conscious about your ability and price accordingly. Good luck.
As mentioned by other trade colleagues it depends. The best advise I can offer is to start with a business plan. This will be your blueprint to business success. You'll be able to see quickly what your companies fixed expenses are, areas for growth etc.
It wil also show how much you need to make per day/week/month/ quarter etc.
Some of the other idiosyncrasies will come through the school of hard knocks. For instance your not going to charge for a Mercedes repair if your shop is a back yard shade tree.
Thanks for the advice. Just because I'm having trouble pricing the bigger jobs does not mean I am not qualified to do the job. It simply means I have not learned or been taught the proper way to quote the big jobs. I hate when people act like that seriously did you know everything when you first started out I highly doubt it, I understand a lot of it is leg work and figuring my own numbers, I was simply asking what you guys do in regards to your own pricing.
Quoting comes with experience and being very thorough with all of the details involved, that is experience learned on every project. The more detailed the quote the better for everyone, I try to break all projects down to all components, framing, drywall, trim, electrical etc. The more detailed the better.
I have been in estimating and selling construction for 16 years. It is a very tough process to learn everything you need to know and I am still learning. I would be willing to work with you and your company to guide you on estimating projects so you don't under price jobs. I have worked with 4 contractors in the past to educate, guide and informing them on pricing.
You must get your feet wet if you want to get started in this. There is no magical number that you can use. If you feel you have the skills, then you must set yourself a hourly rate $ 20, $ 25 or $ 30 + start small look at a job in great detail, take lots of measurement & pictures so you know exactly what the customer wants. You must visualize what work you know you can do and how long it will take, put this down on paper and items
like Cabinets, Plumbing & Electrical must be done by specialists & licensed people in that trade. If you make Very detailed drawings and provide pictures , most of the time you can get estimates from those specialists as well. Don't expect to make a lot of money at first, on average it takes 2 to 3 years to really start to get your name out there.
Don't cut corners!
Thanks for all the advice I do appreciate it.
I know I have posted this on here a few times in the past.
There is no such thing as going rate. You must have a business plan and know what your overhead and margins are. Once that is done, price in your material. Once that is done all you need to know is how long it will take you. Your price is simply adding up your overhead, margins, salary and materials.
This is a worthwhile read; I have recommneded it a number of times.
Datawise Solutions inc
Awesome! I will have to check that book out. Is it the Canadian or American version though?
It is written by an American, but the principles and techniques are the same. The book does not get into accounting or paying dividends, etc as that changes from country to country.
The business principles are sound and in my opinion it should be a mandatory read for anyone starting out or anyone wishing to improve their business acumen.
Datawise Solutions Inc
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