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Thread: Where to from here

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    Where to from here

    I have reached my goal and now it is time to find a new challenge.

    I am too old to set anymore 30 year goals ... will have to limit them to 15-20 years ... even that could be pushing it.

    I have learnt a lot in the past 30 years ... so maybe take the experiences and a start a real bussiness.

    A few things would change.

    The first change would be the name of the bussiness ... using your name as part of the bussines name is great if you plan to leave it to a family member ... but pretty useless if you want to sell it ... and try keep the new name as short as possible.

    Taking that percentage of every single payment made to the bussiness and investing it in yourself before you pay out a cent to anyone ... I should have started doing this the day I started the bussiness ... I would be a rich man to day ... even if it was just 2 % ... small investment over a long period creates huge wealth ... look at sanlam ... old mutual etc ... even better if you can do it with other peoples money ... you never loose ... just their return becomes a joke.

    Buying expensive equipment for the bussines ... its nice to have good quality equipment ... but do you really need to spend R25 000.00 on a hilti mchine to drill a hole in the wall ... my equipment replacement value is higher than what I paid for my house ... yet if I tried to sell it ... I wouldnt even have enough to pay the deposit ... regarded as a bad investment.

    Allowing customer to buy the material for projects ... stay away from these projects ... the material works as a damper for other flaws in your quote or at least to cover some of the daily overheads ... some thing you will learn over time ... the money is not in the service or labour cost ... "the bigger the material bill the better bigger the profit margin" ... even if you are charging a higher than normal larbour rate ...you still loose in the long run.

    An example ... A quote I did for a company ... the profit on the material was enough to cover the total labour cost of the project ... I walked away from the project because the customer was whining about my labour fee and travelling etc ... beware of these cusotmers ... they will milk you for every cent ... then sweep you onto the street just as fast ... these customers drive R2M cars and live in R10M houses and have a warehouse full of toys because they got smart.

    Rather be the part of the contract that suppliers the material than the sub contractor ( they come a dime a dozen and too stupid to realise it ... I know I have been one for most of my contracting life ... wonder why my mate is buying new cars and houses every year ... yet we working on the same projects ... he supplied the equipment and materials and I did the dirty work )

    Play nicely with the other kids ... take the time out to go to a place of workship ( people tend to trust you more) ... join the local running/cycling/soccer clubs ... neighbourhood watch groups ... dont just be a part of a colour zone group ... become a commitee member if you want to maximise your exposure ... play nicely on your facebook pages ... I have noticed a lot of cusotmers I have been dealing with lately are using people recommended on groups ... regardless of the crappy workmanship and in a few cases bad design ... they still keep getting recommended ... this is something I need to work on.
    Comments are based on opinion...not always facts....that's why people use an alias.

  2. #2
    Diamond Member tec0's Avatar
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    Few things none related "maybe" but important.

    i came to the realization my body is getting harder and harder to fix.

    So i asked myself this question: What can i do for money that i can keep doing IF my body can no longer do physical work?

    Ask yourself the same question and answer it truthfully.

    Best of luck for you moving forward.
    peace is a state of mind
    Disclaimer: everything written by me can be considered as fictional.

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    Quote Originally Posted by ians View Post
    Allowing customer to buy the material for projects.
    I hardly ever fund materials - I make most of my customers buy the materials up front on their own books -They are welcome to eat the offcuts
    One customer imports R50k of silicone at a time - I am not their bank - they can fund it themselves. (They tried to get me to do it but I refused)

    Charging exorbitant markups on materials is looking for $h!T because if something breaks down the line and needs replacement you will get found out and look like a scoundrel.

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    100 % agree ... to add to that ... glasses are getting stronger and stronger ... working in dark tight spaces is a challenge.

    This is why I should have been training an youngster 10 years ago already ... I have so much knowledge to share.
    Comments are based on opinion...not always facts....that's why people use an alias.

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    Quote Originally Posted by adrianh View Post
    I hardly ever fund materials - I make most of my customers buy the materials up front on their own books -They are welcome to eat the offcuts
    One customer imports R50k of silicone at a time - I am not their bank - they can fund it themselves. (They tried to get me to do it but I refused)

    Charging exorbitant markups on materials is looking for $h!T because if something breaks down the line and needs replacement you will get found out and look like a scoundrel.
    I dont agree ... Customer pay upfront for the total cost of materials ... 25 % is regarded as an industry standard ... however in some cases if the markup is more and can be justified ... I dont see a problem.

    In some cases companies add 25 % to the list price ... others add the markup to their discounted prices ... this could be relative to the size of the company and its overheads.
    Comments are based on opinion...not always facts....that's why people use an alias.

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    Quote Originally Posted by ians View Post
    I dont agree ... Customer pay upfront for the total cost of materials ... 25 % is regarded as an industry standard
    This is why a geyser costs 3x more when the plumber supplies it!

    Some customers might - I won't!

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    Platinum Member Derlyn's Avatar
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    Quote Originally Posted by ians View Post






    Allowing customer to buy the material for projects ... stay away from these projects ...
    I agree 100%.

    We always quote including materials.
    When the 60% commissioning fee is paid, the materials are covered.
    You will also never find yourself on site needing something and having to wait for the client to supply. ( time wasted )

    Different oke's, different strokes.

    What do you think is gonna happen if you go to the pub with your own bottle of brannas under your arm ?
    That's what I ask those who insist on supplying their own materials.

    I walk away.


    Peace out ... Derek
    Last edited by Derlyn; 17-Apr-21 at 04:19 PM.

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    Morning Ians

    These pearls of wisdom are greatly appreciated, thank you.

    The 2% is an excellent idea.

    I am starting this from today.

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    Quote Originally Posted by SeanM View Post
    Morning Ians

    These pearls of wisdom are greatly appreciated, thank you.

    The 2% is an excellent idea.

    I am starting this from today.
    I wish I had 30 years ago.
    Comments are based on opinion...not always facts....that's why people use an alias.

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    I realised the other day that it has just become the norm ... its not that suddenly today the workmanship got bad ... its been happening over a long period of time ... acceptance ... its like a disease.

    People have just got use to the crappy ... untidy ... workmanship ... its not just the indutry I work in ... in SA ... its everything deteriorating ... the potholes ... the bush growing into the road ... the wires being stolen and hanging everywhere ... the building being stripped ... the theft corruption ... the crime ... it has just become acceptable ... People are too comfortable and lazy to change it.
    Comments are based on opinion...not always facts....that's why people use an alias.

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