Do you spend or do you save?

« **on:** August 30, 2010, 05:22:53 pm »

Last 4 years ive been on a mass spend. New vans (new to me) All sign written. Advertising, have had banners around town. Leaflets. Ads in paper. Brand new kit latest poles etc...

Always under impression more you by, less tax you pay. Personally i dont think thats the best attitude, i bought things that i didnt really need to keep expenses high, as my accountant said, spend a £1 or give tax man 30p, i know it grates ya to give tax man that money, but why spend more on stuff you dont really need?

Ive seen on here people saying you HAVE to spend to get anywhere in this game. After doing so...I dont think so, in the last year ive stopped it all and have been a lot better off for it.

My latest setup is second hand. I can DIY most stuff. I have my reels, pump controlled by a tap not a varistream! harris poles, i have a supalite for high stuff that ive had and will keep for years. I dont spend on anything i dont need and find it works better for me.

Its only my opinion, but i think the way to make it is by working hard, being reliable and friendly and looking after your pennies. What do you think and why?

« **Reply #1 on:** August 30, 2010, 05:44:20 pm »

I think it probably depends on "what" you are spending on. All dependent on how big your company is or how you big you want it to be. If you only want to upgrade stuff as a 1 person business, you would be forever buying the latest kit, but not making any profit from it.

If you were to buy equipment that wasnt high end, but would enable you to expand - and move forward, then I think maybe it could be worth investing.

Just my humble opinion

« **Reply #2 on:** August 30, 2010, 05:51:23 pm »

im cutting right back too iv splashed out on steam cleaners,gutter vacs,pressure washers,airless paint sprayer all the mod cons and bits n bobs and its got me nowhere planning on selling it all off and just concentrating on window cleaning for now. its all just gathering dust now.

« **Reply #3 on:** August 30, 2010, 05:59:48 pm »

Sorry guys, this was my reply to Richy, it got started in a new thread. Apologies.

Shame that Richy

Is there not the demand?

Or any reason why?

Thats what I was sort of saying even if you have the latest kit, dosent mean that its going to be a profit.

Sorry to hear that.

« **Reply #4 on:** August 30, 2010, 06:01:11 pm »

Thats another good point. Im just concentrating on window cleaning too. And after a stupid cladding cleaning job the other day that i spent hours on and they whinged and came they came out with a cloth and started rubbing it by hand saying "this is what you need to do" expecting me to do the whole lot like that im probably gonna drop that service to...my answer was "no i dont think so" lol

« **Reply #5 on:** August 30, 2010, 06:05:18 pm »

I think thats the problem, you can go invest in a load of "kit" and hope for the best.

Or you can carry out market research before hand and assess your potential earnings.

Bit of a catch 22

Get the kit, and promote

Or identify the need first.

« **Reply #6 on:** August 30, 2010, 06:15:36 pm »

I am more of a saver. I promote myself in village magazines as it really works for me. You have to strike some kind of a balance, but its about making money at the end of the day. You have to "profit" from every business decision.

I think the biggest error guys make from my experience is flashy, expensive vans. Its often counter productive as people think you charge to much and are making to much money. Heard it time after time about one guy with a 10 plate in my town - and I'm dearer than him. Be tidy and professional, but showing off is a mugs game.

« **Reply #7 on:** August 30, 2010, 06:27:26 pm »

Funny thing is i didnt need the work...i just thought lets promote promote promote to get expenses high.

Couldnt agree more there about the vans etc, i had a nice little pug partner van, simply sign wirtten and used to get work all the time. I then got the vivaro an as smart as it looked i never picked up your general domestic work. Im in a older galaxy now and i pick up work daily...its not even sign written!! And i dont consider myself cheap either!

« **Reply #8 on:** August 30, 2010, 06:35:09 pm »

A mate of mine spent £9k on a van last year, with a nice wfp set up. It directly generated a HMRC visit. They wanted to check the van actually existed and it was a genuine expense. They also said while they were there, they wanted to view his previous years accounts. Income and expenditure records. He had no problems as his books were in good order, but he is a worrier and really got himself uptight before and after.

« **Reply #9 on:** August 30, 2010, 06:35:21 pm »

Quote from: Sensai LWC on August 30, 2010, 06:27:26 pm

Funny thing is i didnt need the work...i just thought lets promote promote promote to get expenses high.

Couldnt agree more there about the vans etc, i had a nice little pug partner van, simply sign wirtten and used to get work all the time. I then got the vivaro an as smart as it looked i never picked up your general domestic work. Im in a older galaxy now and i pick up work daily...its not even sign written!! And i dont consider myself cheap either!

Hi Matt
why the change from van to car in the first place? Was it for the family.
I'm 10 years in and spend. Not that I want too but I am always looking for the perfect setup and kit. I have spares of most things.
Whats Gary (cookie monsters) new name?
Lee

« **Reply #10 on:** August 30, 2010, 06:41:14 pm »

Quote from: Sensai LWC on August 30, 2010, 06:27:26 pm

Funny thing is i didnt need the work...i just thought lets promote promote promote to get expenses high.

Couldnt agree more there about the vans etc, i had a nice little pug partner van, simply sign wirtten and used to get work all the time. I then got the vivaro an as smart as it looked i never picked up your general domestic work. Im in a older galaxy now and i pick up work daily...its not even sign written!! And i dont consider myself cheap either!

I guess the thing is people assume you are poor, and cheap. Even though you could have a Vivaro if you wanted, they only know what they see. More tips for you at christmas and you go in with an advantage when quoting domestic work. I think a smart 6 or 7 year old sign written van is optimum myself. They don't need to know how rich you are.

« **Reply #11 on:** August 30, 2010, 06:46:38 pm »

I thought he was still the cookie monster lol, im not sure...who are you am i going mad? lol

I sold the van when i was having a momment ... i had enough last year of windows but am back into it again now. I got the galaxy as i thought it would do for now, but i actually reall like it now and it works well for me.

Again guys this is whats working for me, im not telling you what to do

« **Reply #12 on:** August 30, 2010, 07:08:12 pm »

Does make you wonder doesn't it? There are guys with full rounds working from £400 vans with Harris poles probably with very similar turnovers to some with £30,000 worth of kit paying three to four hundred pounds a month for the privilege.

« **Reply #13 on:** August 30, 2010, 07:11:25 pm »

Quote from: Dave Willis on August 30, 2010, 07:08:12 pm

Does make you wonder doesn't it? There are guys with full rounds working from £400 vans with Harris poles probably with very similar turnovers to some with £30,000 worth of kit paying three to four hundred pounds a month for the privilege.

« **Reply #14 on:** August 30, 2010, 07:23:28 pm »

Basic as basic can be. Cheap as cheap can be.

And i dont care what you think...it works for me

and earns me a mint.

« **Reply #15 on:** August 30, 2010, 07:25:27 pm »

I'm a bit of a spender I suppose - I like decent poles, kit and clothing. I would love a brand new van but can't justify it at all. I can't take any more work on so wouldn't gain anything. I think the idea of spending to avoid tax is a bit of a myth - you only avoid paying a percentage of the full cost anyway.

« **Reply #16 on:** August 30, 2010, 07:38:34 pm »

Quote from: Sensai LWC on August 30, 2010, 05:22:53 pm

as my accountant said, spend a £1 or give tax man 30p, i know it grates ya to give tax man that money,

You may give the taxman 30p but if you didn't spend you would keep 70p.

I don't understand this attitude at all. There is no gain in buying things you dont need, as with the above sum you have shiny things but no money.

« **Reply #17 on:** August 30, 2010, 07:46:42 pm »

Quote from: Sunshine Cleaning (Stuart) on August 30, 2010, 07:38:34 pm

Quote from: Sensai LWC on August 30, 2010, 05:22:53 pm
as my accountant said, spend a £1 or give tax man 30p, i know it grates ya to give tax man that money,

You may give the taxman 30p but if you didn't spend you would keep 70p.

I don't understand this attitude at all. There is no gain in buying things you dont need, as with the above sum you have shiny things but no money.

Exactly. 70p nicer in yer pocket aint it rather than a brand spanking new van and zilch in the pocket.

« **Reply #18 on:** August 30, 2010, 07:56:09 pm »

I know image is an issue for some customers but I don't think 90% care.

My Movano died in June, I only had it for 8 weeks, spent a good chunk of money and nothing to show for it. In order to save up i'm using the family car and a trailer, not a single customer has failed to pay me because I dont have a big van! And why would they care?

Save it and spend it on something that will bring you happines.

« **Reply #19 on:** August 30, 2010, 08:22:59 pm »

Make your mind up Ewan.

Poll

As above