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Do you have a minimum job size?

Can a job be so small that it's not worth chasing after?

For example a little 12 sq ranch, by the time you pay for everything there isn't much left over.

If you charge more because it's so small you know your competitors are going to charge their standard price and come in a lot lower.

When you look at the value of you time is it worth it?

It takes about the same amount of time to sell a $4k job as it does a 10K, sure it will tak longer to measure a bigger job but that's not a lot more time.
 

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I do a lot of 1,000 square foot living space ranch homes, with roof sizes that come out to about 14 2/3 squares each.

Those are the bigger money makers, usually due to significant plywood decking replacement required.

Cheaper homes need more repairs structurally, so don't pass up on them. The job size increases significantly and the $5,000.00 to $6,000.00 job turns into an 8 or 9 thousand dollar job in 1/2 day more time on site.

Ed
 

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Jack, a 12 square ranch should gross the same as a 20 square ranch. It's a 1 day job no matter how you look at it. There are no such thing as 6 hour days. I use a spreadsheet and on small jobs I see how much gross profit I have forecasted and if I'm not happy with it, I arbitrarily add on how much I think I should be making for the job.


Going back to another thread, don't say no for the customer. I have the same problem you stated, if you charge enough to make it worth your while the competitors will do it for cost and you potentially end up wasting your time.... However at the same time I don't disqualify any estimate for any reason. If they want me to come look at their roof, no matter the size, so long as it's in my service area and they are willing to meet with me, I'm there.


In regards to the time management issue it takes me the same ammount of time to sell a 4k job as it does to sell a 40k job and to sell a $400 job. Our average sale for this year is: $3,837.38. If it wern't for the $400 repairs paying the bills, I'd be out of business. My residential roof replacement sales ratio is probably 1:10 this year. My repair sales ratio is probably 1:2. These ratios are speculative.

IN other words if I were to say it's not worth my time to chase, I'd stop chasing the big jobs and focus on the small jobs... Gotta just keep pushing along and take what we can get, no matter what size, although I am trying to do more commercial and have begun cutting our residential advertising (although I haven't started commercially advertising yet either, we're damned busy with residential leads even with limiting the advertising!)
 

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Grumpy, that is about where y closing ratio on residential jobs is so far this year too.

I will run the numbers on all the ones I did do drop offs on and see for sure next week though.

Many of the ones I got called in and measured and wrote up, never responded to making an appointment this year. That is what really gets my goat. No return phone call to set up the appointment and I get tired of leaving the messages on the answering machine and voice mail.

The next one I call for the 2nd time without a response, I am just going to leave a message and say, we will be at your home at 6:00 pm tomorrow evening and see if they respond to that at least.

Ed
 

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Ed my opinion, if they never ever call you back and you've done all the leg work already just mail the thing.

Don't say no for them. At least allow them to say no. You and I know that they don't want to meet you because they FEAR high pressure. They've come to assume that's what we are going to be giving them during an in home sale since so many other comapnies use high pressure to make sales. Take away that fear some how and you'll get more sittings. But certainly don't write off the sale because they won't meet ESPECIALLY if you've already done the leg work.

As you know I won't run an estimat without meeting the customer, but I will not hesitate to send the proposal by mail, email, fax, or carrier pidgeon.
 

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Discussion Starter · #7 ·
Grumpy, that is about where y closing ratio on residential jobs is so far this year too.

I will run the numbers on all the ones I did do drop offs on and see for sure next week though.

Many of the ones I got called in and measured and wrote up, never responded to making an appointment this year. That is what really gets my goat. No return phone call to set up the appointment and I get tired of leaving the messages on the answering machine and voice mail.

The next one I call for the 2nd time without a response, I am just going to leave a message and say, we will be at your home at 6:00 pm tomorrow evening and see if they respond to that at least.

Ed
There are 2 ways you can visit a prospect; as a welcome guest or an unwanted pest.

You have to act like you don’t need the sale; if you act “needy” they will detect it. If you appear desperate you will scare them away.

Why would work up a proposal if you don’t have an appointment to go back and present it?
 

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I've been doing well in one neighborhood full of 16sq ranches. These are all full pywood replacements. Because I figure my price by the hour (or actually by the day because there are no 1/2 days really). and because I know going into it that its a redeck, these have been very profitable jobs for me.

The competition prices the plywood per sheet. This gives me a chance to kill them. I ask the owner if they know what the final bill will be. I explain that they need a redeck and most of them already know this. The other guys didn't get on the roof let alone inspect the plywood. Easy pickins.
 

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Thats pretty much the same as the neighborhood I was speaking about.

But, I don't give the plywood away by only charging hourly for the replacement of it.

There are too many issues that can and sometimes do, come up when you have someones home exposed to all of the elements that pop up out of nowhere.

Then, installing it properly with strict adherance to the nailing specifications and using clips when necessarry.

I think that deserves a reward for the risk being undertaken.

Ed
 

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I agree 100% about being rewarded for risk.

I figure all my work out at an hourly rate. Which ends up being a daily rate.

Other people are giving a price per sheet. They are not counting on a full replacement. I don't divulge how many sheets it is. This leaves the prosect unsure about what the other guys gonna do and what his final price may be.

We usaully pull out a few pieces and put back a few pieces of plywood at a time. Its easier to have some where to walk. If bad weather hits, its easier to get it covered up.
 

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I love the small one day jobs. They usually sell themselves and generally have a larger profit margin... work less make more... and I'll take leak repairs all day long. I really love it when they tell you they called 10 other roofers and they either didn't show up or showed up and never came back, I get the job by default. LMAO!!!!!!
 
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