Big B
Diamond
- Joined
- Jun 26, 2009
- Location
- Michigan, USA
Question for the active shop owners. As a percentage of your work, how much do you spend on stock for those jobs? My shop is pretty much inactive lately because it's difficult to run a one man shop when I'm in Arizona and my shop is in Michigan so I only do walk in type repairs anymore but when I was more active the cost of materials was usually less than 10% of the total cost of the job.
Thousand dollar order would be about $100 or less for material. Double the cost of material to $200 and your price just went to $1,100 for the job. It isn't like if steel prices double the job quote needs to double too.
My biggest month ever in my one man shop was $23,500 in sales. Materials for the month was just over $2,000. I had some wiggle room to absorb price increases but if prices got too out of hand for me everyone else would be in the same boat and customers would be paying more no matter where they had the work done.
Thousand dollar order would be about $100 or less for material. Double the cost of material to $200 and your price just went to $1,100 for the job. It isn't like if steel prices double the job quote needs to double too.
My biggest month ever in my one man shop was $23,500 in sales. Materials for the month was just over $2,000. I had some wiggle room to absorb price increases but if prices got too out of hand for me everyone else would be in the same boat and customers would be paying more no matter where they had the work done.