Pricing help

[jayglynn]

Can anyone help with the basics of pricing,im thinking of setting up as i've been offered my old bosses contracts.The problem is i've never really had to price for a contract or a big job.Their are a couple of Fire Alarm & Emergency Lightings contracts for Apartment blocks and Public offices,also what would you charge per point wired and just for labour per hour.Thanks in advance.

 

[MvP Electrics]

where u located? could you give an example of a job specification u might get. pricing is all down to what you value your time at.

 

[electricians]

The best way is to get all the materials together and send this out for pricing , get the best price and add a percentage. Then you need to think about the total labour time , including travel and site meeting etc . Your labour charge will depend on your overheads and the cost to run your company for a year - usually at least double the wage you pay yourself . Then you simply add the labour and materials . Pricing is never easy , but the more you do it , the easier it becomes .

 

[Octopus]

Can anyone help with the basics of pricing,im thinking of setting up as i've been offered my old bosses contracts.The problem is i've never really had to price for a contract or a big job.Their are a couple of Fire Alarm & Emergency Lightings contracts for Apartment blocks and Public offices,also what would you charge per point wired and just for labour per hour.Thanks in advance.

Never mind what we would charge, what do you need to earn to make ends meet? What is the going rate in your area for electricians? As a sole trader you are likely to be bidding against companies who will charge VAT at 20%.

Many questions..... sorry!

 

[Voltimax]

If you're new to pricing, forget trying to look at the whole job and guess the labour.
Do a variation of point pricing. Like so:

Take an individual point and take the materials that make it up. Just for example;
Double socket (flush)
8 x 2.5mm 6242Y
2 x 25mm oval (mtrs)
1 x 2gang 35mm flush box
1 x double socket front
1 x sundry items (grommets, wall plugs, screws etc)

Add up all the materials for this and work out how long you think it will take you to complete that task and multiply that by your labour rate, then add the two figures together. Multiply this figure by the amount of points. So on and so fourth.

This is a good way of pricing, because nothing gets missed and it breaks it down into much smaller easier to handle chunks