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Click Here https://pt.theprofitabletradieprogram.com/24-simple-ways
I gotta say the situation with rising material costs and how hard it is to source materials at the moment is having a H-U-G-E effect on business profits.
And unfortunately, most tradie business owners are underestimating the effect rising prices are having on their bottom line.
It’s a mistake because despite knowing prices are rising, they don’t realise simply increasing your prices to keep up with the rising costs won’t protect your margin completely.
More needs to be done.
For example: If your costs go up by 20%. Your profit margins will go down by 33%.
But there's a hidden leak you need to plug….one which you may well not have considered.
All the extra running around trying to source materials and then all the project delays are adding hours to your costs…both from a project management point of view. And from the fact that you are often faced with extra trips to site or downtime because other contractors are also being held up.
We all know that the profit is in the labor and if you are getting overruns here it's a recipe for disaster.
The key to success?
You need to protect your margin at all times!
Make sure you are pricing work and completing projects that maintain your margin and pass project delays that are outside of control onto the customer.
Tactics like:
– Invoice all larger jobs on percentage-complete rather than project stages so hold-ups in materials won’t prevent getting paid.
– Change all quotes/bids to be valid for the shortest possible time (e.g 14 days instead of 30).
– Include cost increase clauses into contracts for longer jobs.
– Buy materials when the job is accepted at today’s price and charge the client for the materials at job acceptance.
These tips along with 20 other tactics will mean a few things.
Your margins are protected so you can be confident the cash will be in the bank to grow your business.
And you’ll be less stressed from the uncertainty.
Yes, the market is unpredictable at the moment.
But, you’ve still got a lot of control over your future.
This week I’m going to be covering off the 24 tips to help you protect your business when materials are hard to find, and prices are skyrocketing.
click here for the download https://pt.theprofitabletradieprogram.com/24-simple-ways