Far too many contractors are stuck in their ‘volume-driven’ ways…
They think More Work = More Money.
And this is fundamentally because they don’t know their numbers!
So, let’s look at the numbers and square this away once and for all…
Below is an example of one of our clients before they started working with us 3 months ago:
They weren't very profitable (only 5% pre-tax profit margin), working with bad clients, not charging enough, spending 2800 hours per year quoting for 1400 jobs FOR FREE (90% of whom were time-wasters!) and skyrocketing their overheads to be able to service this many free quotes.
They were volume driven.
And it was costing them BIG in money and time.
We knew their business model needed to be flipped on its head.
So, here’s what we did:
- We implemented a consultation fee (no more free quotes!)
- We increased their prices by 20% across the board
- We developed their sales capability to better convert the right clients at the new higher prices
Here’s what happened:
- They could make an extra $150K Pre-Tax Profit per year (operating at 20% pre-tax profit margin!)
- They could cut down their quoting time by over 2300 hours by quoting 1160 less jobs!
- They could cut costs by over $200K by dropping a salesperson and the worst performing tradesman because of the reduction in work (and severe reduction in free onsite quotes)
- They stopped wasting time with tyre-kickers and the quality of their client-base improved (no more cheap, shitty, price-focused clients)
You too can have these kinds of results in your business if you start focusing on PROFITABILITY… not volume!
If you're an electrician, plumber, painter, carpenter, or any other trade business owner who is looking to take their business to the next level, click here to learn more about how our team can help!