[Phillip Mold]

I wonder if a few of you would share your thoughts please?

I am getting over 80% of the domestice jobs I quote, at around 25-30 pence / sq ft, but few of the commercial ones, even though I keep lowering my rates. Today I was told I was not successful in quoting for 3,200 sq ft of offices, I quoted £460, the "winner" quoted £300, ie less than 10 pens per sq ft.

In retrospect I suppose I would be happy to work one long Saturday for £300, am I off target here?

[markpowell]

hi Phillip,
What method are you using HWE or LM?
Low moisture could cut the clean down by half time wise. It all depends what state the carpets are in but someone using LM can usually quote lower than someone using HWE.
Mark

[Karl Wildey]

I think you are trying to please all the people all the time, why not just stick to dosmetic work and save yourself the bother of commercail.
Commercail carpets are dirtier, out of hours, late payers, difficult access, rude security, etc, but can be good money for a long day.
Some people will not work for 10p a sq yd, it depends on you

[Timmy Boy]

Hi Philip
We do more commercial than domestic. Typically in my area you can get about 20p per sq foot for areas less than 1000sq foot but as soon as you go higher I tend to change the way I cost it. So if the job is open easy access (say like a community centre carpet or such like) I work more on how many hours it will take x £40.00. With this one you missed out on, it depends if you want to bust your guts on a saturday for that kind of return.
Regards
Tim

[Phillip Mold]

Thanks for the replies so far, I would HWe.

[Simon Gerrard]

A reasonable rate for that job is around £450 and that is at the low end of the price range where some would quote as much as £800 but would be unlikely to get it.

It all depends on what equipment you have. If you're doing it with a portable only a mad man, or a desperate man would take it on at £300. Even with a TM £300 is not that attractive but with a dual or triple capable TM, especially if equipped with RX20's then £300 is just a mornings work and you have the power and heat on hand to produce the high quality that these commercial clients often demand.

In short, you have to have the tools to do the job, otherwise the job will find you out.

Simon

[PaulKing]

hold on a min, Simon you would do a job on a saturday morning for £300 with two or three guys for that?


yes i'd take it, but for me and the van on a Saturday  and with staff as well?

[Len Gribble]

Phil

I make it a point to be last to quote when going against other companies, then find out! If happy and customer is happy with you match it that if you want the work

Len

[Mike Osbourne]

You crafty old sod Len.

On domestic I like to go first and get them to give me a non refundable deposit.

[Doug Holloway]

Hi Guys

I always try to get 100 per hour for commercial, especially at weekends.

Phillip, imagine you are successful in gaining many hard Saturdays at 300, you would soon get fed up with it, better to stick to a proper price.

Try to get prospect to buy on something other than price, LM, Dry !, quality, stain removal expertise etc.

Cheers

Doug

[Roger Koh]

Staying and cruising in this “cash cow” industry for too long just frustrating!

First is the ever presence of newbie that complete with price.

Second is that the same wand becomes heavier by the years.

We become a zombie, numb and burnout!

Where is the challenge?

The only challenge is going uphill, doing more getting less.

In the long run, we want clients not customers.

Customers come and go, clients stay.

Our expertise makes a difference.

Leather is one area that we can succeed vertically.

As our expertise grows, our business grows.

And it is very difficult for newbie to take that business away from us at the price we deem fit.

Just a thought!

Roger Koh
Leather Doctor® System
IICRC #942 Certified
Leather Cleaning Technician
Master Textile Cleaner
Master Fire & Smoke Restorer
Journeyman Water Restorer
Since 1973

[TommyB]

I would do a job for £300 on a saturday morning with a couple of guys on my twin TM, who in their right mind wouldn't. Anyone who has been in this industry for any period of time knows that this is a swings and roundabouts business. How can you lose out at £300 for a few hours work.
Paul if you've got any three hundred quid jobs you don't want let me know.
Tom

[Len Gribble]

Commercial are price driven very small budget but not always as Doug expertise BS helps! But it down to you the seller.

Mike

Only giving an insight! Most defiantly! Am sure one will still make a profit but not as some would like could only be 10% but its profit.

Tom

Only got a single vac machine

Len

[Mike Osbourne]

Len

Bet you play a mean game of hold'em too.

[Len Gribble]

 

[PaulKing]

The jobs are yours can you travel to the NE or anyone else want them

But just before you say yes, looking at it quicky and very simply.

 Two guys for a saturday morning would be £70+NI ect x2 ( as they rightly expect to get 50 for a saturday mornings work after tax, which I think is a more than fair price)

 Then there's the running costs for van, chemicals and TM depending on milage ( plus the milage +time for the original quote) so say a round £60 for all costs to build in a cushion.

So we are up to £210   job is £300 so thats 255.31 + vat so theres is £45.31 potential profit in the job for me.

It might seam frivolous and condescending,  but you can have the job for that I'd rather just do one extra job on a weekday and have saturday free with the family.

Simon's price of £450 sounds good, there's a possible £195.31 profit in that which is a fair return on invesment. I'd do it and could understand anyone else as well

Take out the other two guys and do it yourself and it's even more, better still get the two guys to do it without you at all and pay them a bit more. Then your free if another job come along,

 Personally I'd quote that job at £900 +vat and be  prepared to negotiate maybe miss out on that  job, but i only need to get 1 in 12 and still make more profit in the long run without breaking my back. and spending 12 saturday mornings working.

Which as you will be doing 12 jobs more may mean I'm free when your not?


I learned this the hard way at 16 when I started out valeting cars for a garage, who the got there own guys in to do the work after watching me do it, so I went to the dealer who gave th garage  most of the work and said "i'll do it for £5 less" which was wht I was getting anyway so what had i to lose.

I got the work for a week till steve the owner of the garage got all the cars the next week he was doing them for £10 less , this was on £25 valet you could only do 3 a day and be knackered, but hey I was 17 so go for it, I did the obvious thing when in for less again.

It took four weeks to run out of everything, polish, tyre dressing, dash sheen and I didn't have the money to buy stock, I was out of business, plus the dealer had gone back to the garage as they did the job right, as they hadn't run out of chemicals

 It's called the busy fool, or better words are "turnovers is vanity, profits sanity"

Roger is right there nothing you can do to stop new people undercutting you, but plenty you can do to get the job.

[Simon Gerrard]

Paul,
I was merely using the cost thing to emphasise my point that depending on what equipment you have dictates to quite a large extent the prices that you are able to quote for commercial jobs. Obviously £300 is low for a three man team, but a three man team can do three of those jobs in a day because they have the equipment whereas the guy with a portable has got his hands full trying to complete that same job in a day.

Simon