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Thread: Installation

  1. #1
    New Member
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    Oct 2016
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    Hi everyone,
    I want to start a business as electrical contractor, I have all the required papers. Is there any standard pricing for house installation where i charge per point e.g plug>R350 switch>240 DB>R2000? This is 8room house, How do I do the pricing when I'm not required to supply materials only installation? Or suburbs has its own pricing and location its own pricing and town its own pricing and so on and on. If so then what are those prices?
    I hope I made myself clear

    Please help me

    Thank you.

  2. #2
    Bronze Member ACEsterhuizen's Avatar
    Join Date
    Mar 2012
    South Africa
    Thanked 12 Times in 11 Posts
    Not the exact science by a rough way:

    Add all your monthly costs together. nbcei salaries, Rent, Computers, Data, Consumables, Electricity Water Bills, Cellphone, Telkom, pension, Insurance, Entertainment,Medical Aid, nbcei, ecb, DOL, Safety Clothes,Testers, Car Services, Depreciation, Bank Costs, Interest on Business Loans, Repayments of vehicles, training, Renting THE LIST GOES ON AND ON AND ON.

    Now you have Cost Amount for every month.

    Divide that by 160 hours. That is the most hours you can sell (One Team, One vehicle) in a month working weekdays only. and you are in the business of selling hours, and some materials. :-)

    Now you have your cost per hour. Add your profit. What you need or want to make.

    Then you have a basic Hourly Sell Price.

    Now time yourself how long does it take one team to fit and wire a plug, clean up and test (average). Surface is quicker than chase.

    Now you know how many hours you must charge to fit x-amount of plugs.

    Now add travel TIME Costs. (not fuel and wear and tear costs) How long it takes the team to travel. (You are paying for that time) If it takes the team 1 hour to get to the site it is an hour nbcei driver cost. The money must come from somewhere.

    FUEL: AA gives a travel rate PER KM and i noticed customer dont argue with that travel rate on the invoices. Just keep it up to date.

    If i forgot something (and i know i have) pse feel free to add.

    (if you have excel you can play around with all this stuff, or some billing software out there can also do that for you nicely)

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