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#11 |
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Senior Member
Join Date: Oct 2008
Location: Chicago, IL
Posts: 1,574
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Re: What are you charging?
Keping your guys busy is good for them. Taking a cut on your profit is bad for you. I'd rather do less work and make the same than do more work, take on more liability and make the same. For me the math doesn't add up. Every time I take a job "to keep the guys busy" I end up bending over and taking it up the butt.
It took me 6 years to figure out that I was working for my employees and subcontractors, rather than them working for me. I know what my costs are and I know how much I want to earn thus I know what I need to charge. Everyone's price will be different based upon their costs and how much they think they are worth. I place a high value of worth on myself and my workers because I know we do a better job than the average, so we deserve more than the average. Then again I am not the most expensive either. |
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#12 | |
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StartARoofingBusiness
Trade: Residential Roofing
Join Date: May 2010
Location: Maine USA
Posts: 148
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Re: What are you charging?
Well Said Grumpy...
"It took me 6 years to figure out that I was working for my employees and subcontractors, rather than them working for me." Quote:
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David J. Deschaine http://www.startmyroofingbusiness.com http://www.roofingbusinessblueprint.com |
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#13 |
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Senior Member
Join Date: Oct 2008
Posts: 163
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Re: What are you charging?
the roofing industry is in crisis. It is filled with people that don't have a clue pricing jobs. You have to try to educate your custumer.
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#14 |
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Senior Member
Join Date: Oct 2008
Location: Chicago, IL
Posts: 1,574
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Re: What are you charging?
Amen Jim it is. At the start of the year the prices I was competing against were so low it was sick. It really beat me up emotionally to constantly see guys bidding way below what I could even do a job for.
It's like these guys have no idea how to price a job, ask someone the going rate, then drop it a couple bucks because they want the job, then someone asks them the going rate and that someone drops it a couple bucks and on and on and on. Yes we do need to educate our customers. This is absolutely a must, regardless of the economy there are always cheap hacks out there. However some customers just do not care. Furthermore when we have a situation like I saw this spring, when the customer is getting 4 bids and 2 of the 4 are doing work for break even or less... It's real hard to win jobs except from the extremely saavy consumer. They are out there, but getting harder and harder to find. This storm situation doesn't help either. It really brings out the worst in people when the storm chasers hit an area. It's like a virus that spreads from unscrupolous contractors to the general public. The only way these storm chasers are making money is on the fact that as the storm work dries up they will skip town leaving their subs and suppliers with a million dollar debt. Some consumers will get liens filed and have to pay for that "free roof". |
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#15 |
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Senior Member
Trade: ROOFING SIDING WINDOWS GUTTERS
Join Date: Feb 2009
Location: VIRGINIA
Posts: 168
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Re: What are you charging?
The supply houses prolong it when they keep extending credit to these low-ballers. I have seen guys go bankrupt and not pay their supplier, only to open another account with the same supplier a few months later.
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http://www.ClarkRoofingAndSiding.com |
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#16 |
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Junior Member
Trade: Roofing company owner
Join Date: Jan 2010
Posts: 26
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Re: What are you charging?
290 plus for something n that area a flat price is so hard to do since I up charge per item etc. I'm on the upper end or charging like to get 34 to 38% profit per job or 47 to 51% mark up still way to low is u figure in overhead. I still do lots of ads some work some don't but I do not door knock ever. I know I loose jobs all the time due to price I put up a price match for apple to apple 99% of time there bid is to cage or 15# felt etcetcetc. After I'm done with customer I usual get job at my price.
Remember 10% profit your 10 company 10+ for overhead |
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#17 |
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room2roof.com
Trade: residential roofing and remodeling
Join Date: Oct 2010
Location: charlotte nc
Posts: 101
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Re: What are you charging?
We usually Charge anywhere from 190 up to 270 per square in the charlotte area. I'm from New York originally so I still do my Roof installs to code in NY. You wouldn't believe how many contractors here just use #15 felt or nothing at all...alot of guys here that work for beer money it seems...lol...We always use Ice & water in the Valleys, Rakes, Eaves and around dormers, always change out the flashing, We use Fiberglass underlayment or Synthetic (depends on customers budget), Cobra 3 type Ridge vent and Certainteed shingles (6 nails per shingle) because they have a good quality shingle and stand behind their warranty.
We give a 10yr Workmanship warranty when customers buy into a Complete Roofing system with us and we do not ever install Roof Overs..... |
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#18 | |
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Junior Member
Join Date: Oct 2010
Posts: 5
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Re: What are you charging?Quote:
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#19 |
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Junior Member
Trade: owner of residential roofing business
Join Date: Nov 2009
Location: P.E.I, Canada
Posts: 17
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Re: What are you charging?
I do agree with bidding with the going rate in your area.
I like to keep my quotes in the middle to high range, so customers will know that we don't do cheap work, " Quality Doesn't Cost...It Pays !!! " . We do have a hand full of roofers that like to under cut the rest of us, but they are known as "Backyard Roofers " . We ususally end up getting a call from their customers, within a year or so to go and do a repair which was neglected by these Backyard Roofers. Although sometimes it is important to get a job which you might know will create you some leads or even get you a high paying contract. Our going rate usually run between 300-400 /sq, incl re/re, and all materials supplied. Metal roofs are a hard sell up here but there is a small demand for it. You can usually make a good profit with these contract !!! |
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#20 |
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Senior Member
Trade: Roofing Contractor
Join Date: Aug 2010
Location: Stillwater, MN
Posts: 105
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Re: What are you charging?
Every area is different. A roofing company in Texas may be getting rich at $250 a square while a roofing company in New York is going broke at $250 a square.
A few weeks ago bid a roof in WI. 55sq easy 4/12 no valleys no step flashing. I bid around $265 a square, one layer. Figured $125 a square for labor and could get a good sub to do it for $75 a square. When I told the price to the home owner he said I was $4,000 more than the other bids. I said thanks for your time and saved a stamp and left it at that. What I've found out is even on insurance work WI pays way lower than MN. Basicly a $10K roof here in MN is worth $8K in WI. I do most of my standard bidding at $275 a square for easy one layer walkers. For insurnance it's usually another $100 per square. This is for all the time it takes dealing with adjusters and mortgage companies and paying out before collection. |
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