I had this out a couple of weeks ago with a customer, they reckoned that £100 a day is more than enough for any tradesman, I pointed out that it's not just their time that you pay for but their experience, van, insurances, holiday pay, sick pay etc...all rolled up into one, it's a case of tangible and intangible costs of business, for instance joe bloggs employee costs the company more than they are paid, the company must make significant profit on the employee's time to pay their holidays, sick, insurance and taxation costs, transfering that into £ per hour would increase their gross pay too!!!but employee's don't have to file a tax return and provide all their work related expenses from their wage!!I also pointed out that by reducing our prices it will ultimately put the trades out of business as more people jump on the band wagon and undercut!
It later transpires they had a couple of lads do sum work on their house a couple of months ago and basicly by the look of it they charged £100 each, rolled up at 9, gone at 3, left all their mess for the house holder to clean each day and the work they did I could've done it cheaper on own even though I charge more, I worked it out that I could've saved them about £100 per room, they did 6 rooms, could've saved them £600! But they had it in mind that cheaper was better, however, in this game that is not always the case! You get what you pay for experience, speed, clean, tidy and reputable tradesman!
I got this job by recommendation as the customer, although happy with the work already done, only had enough work for 1 and the other lads wouldn't work on their own, fair enough but after I had finished they were very happy and I was told I would get any more work they needed and their recommendation!
