How to Charge More as a Contractor: 7 Ideas

Рет қаралды 80,637

4 ай бұрын

Under promise and over deliver... consistently do great work...and you will eventually be able to name your price. Framing: • Framing Pro Tips
Really sorry about the audio problems on this... didn't realize it until it was too late!
Free Starter Blacksmithing Tool List bit.ly/blacksmithingtools
Free Guide - 100 Tools Every Craftsman Must Have bit.ly/EC100tools
Enjoy EC? Learn about Essential Craftsman Academy!
essentialcraftsman.com/academy
This is the best way to support Essential Craftsman and you get a LOT of perks as a bonus.
Check it out.
PODCAST👇
Spotify spoti.fi/39ezy3d
Apple apple.co/33dbrJQ
Stitcher bit.ly/3NWy8sY
KZfaq bit.ly/2n4HCLG
Second Channel (Podcast video, family, misc content) bit.ly/2n4HCLG
If you are going to hire a contractor for a big project PLEASE read our ebook first!
amzn.to/2v6qZ6j
T Shirts, Hoodies, and other Merch: bit.ly/2C7JFRv
Instagram / essentialcraftsman
Twitter / ecnatwad
Facebook / essentialcraftsman
Amazon Affiliate Links:
Amazon Store amzn.to/2pcUk8G
Makita 18v Impact amzn.to/2R9uamN
4 ft level amzn.to/389qsQa
Utility Knife amzn.to/2RjVRJL
Palm Nailer amzn.to/2LhvTTd
Spencer Tape amzn.to/2EQWxPy
Carpenter Bags amzn.to/2XeBaC1
Belt bit.ly/3MsdijV
Hammer amzn.to/31y4q66
Tape Measure amzn.to/2WYg23Q
Skil Saw amzn.to/2UcQyLi
Video Equipment and Misc.
Main Camera amzn.to/2WG9qSC
Secondary Camera amzn.to/32tS2Vx
Microphone (for narration from office) amzn.to/2WquPnM
Wireless Microphone amzn.to/2IGpNto
Other Wireless Microphone amzn.to/397VmxJ
Tripod amzn.to/2XOJcOd
GoPro amzn.to/3znHgTA
GoPro Tripod amzn.to/3aL8pFH
Battery Bucket amzn.to/3GVR9cV
ActionPacker amzn.to/2l7Msqv
www.essentialcraftsman.com/

Пікірлер: 348

@michaeld2662 4 ай бұрын

I’m retired and working in a large orange big box store, millwork department. I have many contractor customers who only work by word of mouth, do not ever advertise and are booked many months ahead. Folks will pay top dollar for good quality, honest work from skilled craftsmen/craftswomen.

@jerbear7952 Ай бұрын

I'm the version of you that did the auto mechanic/ parts store route. If you are a half way decent mechanic who treats people right, people will pay. They will line up, wait a month, yes sir no sir and be happy if you only slightly over charge them. Us in the biz don't live in the same world they do. We are scarce wizards. I'm a mildly decent parts changer and people think I'm friggin Norm Abrams over here.

@marcr9305 7 күн бұрын

Well said Michael. 36 years as a carpenter and I've never advertised or have been on any social media. Feel blessed for that as advertising can invite alot of wasted time with tire kickers that never end up doing anything to their homes.

@davidgolden6068 4 ай бұрын

I just started a remodeling business 1 year ago next month. Became a licensed and insured homebuilder in Alabama and man I couldn’t possibly agree with you more. Manage expectations, Under promise, over deliver, and just work like God’s word tells me to. Diligently, patiently, and honestly glorifying Him through my work is what I try my best to do every day. This video just made me smile, full of wisdom and inspiration together.

@charlesjacksoniii8787 2 ай бұрын

Cool, I am a carpenter in Alabama as well looking to get a homebuilder license myself.

@dicksargent3582 4 ай бұрын

I never lost money on a job I didn't get!

@jeffcourtney8101 4 ай бұрын

Advice/suggestions from experienced pro's like yourself is very valuable. Passing that on to the younger generations to hopefully improve their experiences is very thoughtful. Thank you

@Theclone15trooper 4 ай бұрын

Coming from the other side of the table as a project manager in heavy industry who gets bids, I thought I share my opinion on this subject in hope it will be useful; You hit the nail on the head that what separates the contractors who's bids I accept that aren't the lowest is they all include better value and service. Understanding what your perspective client needs are can easily make a bid that more expensive the "best bid." The best example of this I have is that most of my contractors still don't comprehend how much downtime cost me as project manager. Doing a bad job on a project that results in me having to take that unit or system down to fix a mistake can easily cost multiples of the entire project budget, not just that specific contractors portion. If your bid can give me more confidence that won't happen it's more likely to get accepted. The other thing that drives me up a wall right now is scheduling. I recently switched my primary electrical contractor not because their work was poor, but because they always changed their work schedule around last minute making it extremely difficult to support them. My new contractor is more expense, but as a project manager, it well worth my own sanity to not have a contractor acting unpredictably.

@themarkfunction 4 ай бұрын

I encourage my contractor friends often that even the Bible agrees with this mindset. 1 Timothy 5:18 says "The laborer deserves his wages." Great video, appreciate the practical advice!

@jesserhodes7430 4 ай бұрын

Admittedly I have committed most of the sins you mentioned on my current project. I absolutely have to stop deciding what "Expensive" means to my clients. You nailed it when you said we undervalue our work because it's easy to us. I'm not a builder im a remodeling contractor and I've lost my shirt in this current project, but I'll get through it. I'll take all the knowledge I've gained and won't make the same mistakes again. Thank you for sharing your wealth of knowledge, I hope to be half the contractor you are one day.

@ajs96350 4 ай бұрын

I know the feeling, I've done that to myself a few times. I just grind through it and learn my lesson. Not sure how long you've been on your own, but I learned the only way to survive is I must include overhead on top of the project total before quoting.

@dutchcreek1 4 ай бұрын

“Bidding on a worst case scenario…” this is GOLD! It doesn’t mean things will go poorly, it means I’m prepared to address the unexpected that I often encounter and do that “extra mile” I always want for my clients.

@jeffwolinski2659 4 ай бұрын

Audio is funky, but great video and content as always.

@baggetja1234 4 ай бұрын

“I thought it was a micro dose”

@MrPesht 4 ай бұрын

I was looking for this comment, noticed the bad audio right away

@colinstu 4 ай бұрын

@@MrPesht how is there not more comments on this / this isn't +1'd higher?

@sterlinghearth6672 4 ай бұрын

Sounded like some strange AI voice. Has Scott been cloned?

@markifi 4 ай бұрын

i'm 90% sure they left in camera audio on the right with the lavalier on the left@@sterlinghearth6672 so it has the delay (speed of sound + digital radio transmission processing) between the two leading the listener to feel the sound is coming from everywhere at once instead of front and centre

@ethanmercer53 4 ай бұрын

I started a handyman business, and I'm still in my first year. Thanks for the tips and encouragement!

@cheekymcnuggets745 4 ай бұрын

Right there with you brother, put out a good product make a great living

@justincabral1150 4 ай бұрын

Hey, me too!

@drew22 4 ай бұрын

Look up “bulletproof handyman” if you haven’t already. I’m a specialty contractor but I still get value from some of the things he says. I think you will get something out of the channel too

@anhtuanb 4 ай бұрын

I started out mine about 2 years ago. One thing I learned is to be deligent in making sure you cover everything in your estimate and add extra for profit and something bad situation. You will be tempted to add on little things here and there by the clients request and they expect to be free or cheap since you're already at it, that's where you will begin to lose your money and time. Be clear and tell them that you will run the estimate and get back to them. Don't do it on the spot.

@gillihansmobilewelding6318 4 ай бұрын

Get it boyz!!🤙🏼

@jasonperkins8716 3 ай бұрын

You are so relatable. Everything you say about contracting is on par. I’m 49 years old and have only recently learned I need to interview my homeowners. Not them just interview me. Not all personalities work out. Thank you for your wisdom i’m headed in the right direction.

@zschudrowitz155 4 ай бұрын

LOL! “Recomend one of your competitors so that client can rope them into all the call backs.” LOL! But TRUE! This advice applies to so many other fields and life! You re great at summarizing and delivering true gems of wisdom.

@floodo1 4 ай бұрын

It’s always interesting how “all jobs aren’t good jobs” can be hard to see sometimes (-8

@tonyn3123 4 ай бұрын

I am retired after 47 years in construction contract management and construction inspection. I enjoy your talks on contracting and the importance of contracts (with round numbers thrown in sometimes). Every time you do one of these videos my mind explodes with memories of construction contracts, contractors, change orders, special provisions, proposing contracts to clients, etc. I have dealt with during my career. I was fortunate to have had the opportunity to experience both of contracting management (75%) and being a contractor (25%). I wish I could online shout an "amen" when you touch on many of the things I feel are so important in the business of construction. It is amazing how few truly understand the process, but still dive headfirst into a project and get hurt. Thanks.

@westendlawn 4 ай бұрын

We need guy's like you teaching courses, talking on a podcast or write a book.

@marylousherman5471 4 ай бұрын

Your reference to that article on various strategies for markup percentages in the Journal of Light Construction was good!. I printed it out some months ago and went over it with a yellow marker pen as if I were still in college and needed to really, really study it! The general economy of this country is as dynamic as the planet itself and doing bids usually feeIs like a guessing game...but as a remodeling contractor I have found it to be true and ironic that the customers who have less income appreciate my efforts more and will pay what I bid without whining. Thanks,and keep up the good presentations and I'll try to keep up the good work😎

@normandowell3474 4 ай бұрын

I very rarely get bids anymore. I’ve been doing electrical work for 12 years and 90% of my customers just asked me for a ballpark price and tell me to do it. I am pretty comfortable with the price so I feel I’m making enough money it works out for everyone.

@tysleight 4 ай бұрын

Bidding cost a lot!!! I am often shocked at how much or how little work contractors put in.

@mjb2709 4 ай бұрын

As I once was a self employed contractor who is ethical and moral I charged my materials and labor plus my profit. Yes profits is why you are in business, otherwise it’s a hobby. Not sure about contractors some deal with but I had to carry: 5 million liability insurance Workman’s comp Auto insurance Payroll for employees Account fees 941 for Uncle Sam and State taxes Incorporation tax every year Environmental license every year I can go on, but the end result was based upon my “rate” it would take me from January 1 until June 1 to pay every one else who put their hands in my pocket. After that point I made what I made. While competing against every unlicensed, uninsured, hack-and -whacker who would take work just to feed their addictions.

@Rambleon444 4 ай бұрын

This is so accurate! In Calif. I might add you have to compete with contractors who hire illegals you can get 2 for the price of one legal worker.

@Prodmullefc 4 ай бұрын

I think the fear is that if you don't charge hobbyist prices then you won't get the job. (One reason for that would be what the guy above me said.)

@imout671 4 ай бұрын

I think you need to be getting about 60% of your bids if your prices are right and probably need to run away from 25% of your interested customers. I bid for 50% profit, im able to charge less in the end when things go well. Keeps me from working for free and much of the time the final bill is less than the estimate. The only mad customer l ever had was 1 i didn't end up working for. If you do work, behave like God is watching because he is you can make a good living and always have more work than you can do. Two things you can't ever do is charge more than the estimate or go hat in hand asking for more money after the fact or do bad work. Those 2 things will ruin your reputation. So take the L and bid more next time because you can't forsee all the problems. It's like combat, once the first shot is fired the plans change quickly.

@rangerousdave 4 ай бұрын

If you're not willing to charge your client higher than your estimate, you shouldn't be charging less. You're effectively working on a fixed price contract, but only when it benefits your client.

@johnsrabe 4 ай бұрын

I agree with Dave. You shouldn’t have to eat the extra cost when you rip open a wall and find the mold or the leaks or whatever you could not reasonably have been expected to anticipate. But you can have laid the groundwork with your client that you will need to charge more if something like this happens.

@Bolockaye206 4 ай бұрын

Aim for 70-80%

@imout671 4 ай бұрын

@rangerousdave I give a very detailed estimate of what I'm going to do, what I'm not going to do and what ifs, when the money is due and final payments and whats expected of both parties. I learned my lessons but I never go and ask for more money on things that aren't covered in my estimate.

@dnelson9529 4 ай бұрын

And charge enough that you can warranty your work with no questions asked, even if you do lose money. Never sell your reputation for $250

@wlms04 4 ай бұрын

Scott, you've hit the nail on the head, as usual. I'm about 2 years into part time handyman work (19 years old), and everything that you said has happened to me, some more than once. I am quickly learning the importance of learning how to read potential customers before signing any documents with them, in attempts to have less headaches later on. I have also learned that pricing should almost always be a little higher than what you estimate. The 'best case scenario' comment really is true! Thanks for all of your great videos, EC.

@Horribous 4 ай бұрын

I stopped giving free estimates 3 years ago. I charge $120 for the 1st 1 hour meeting and more for estimates and have weeded out the tire kickers.

@Wallymakesstuff 4 ай бұрын

I did the same, with the exception of repeat customers who already know my worth. Total game changer, and now I have time to do the work for my favorite clients, and time with the family at the end of the day instead of giving someone my free time at dinner hour.

@CGrib16 4 ай бұрын

@@Wallymakesstuffexcellent concept!

@Wallymakesstuff 4 ай бұрын

I only got chewed out for telling a potential client that I charge for estimates once, and was relieved! (Dodged that bullet)

@FPV_Viking 4 ай бұрын

Started up my own concrete form and laying company after 15 years in the game. and just took on a project and the rates looked good at the start but not so much now.

@stewpot3971 4 ай бұрын

Many years ago an old CM told me that the best way to make money on a project is to start on time and finish ahead of time. I find getting as many items firmly quoted for, pricing as per the specification (and not a cheaper alternative), working with good subcontractors (and not forgetting to put some mark up on their quotes), keeping good site records and getting any extra work agreed in an email (either as an 'AI' instruction from the Architect or site instruction from the client) and then breaking down as far as possible any extra works (outside of the contracted works) so that the client knows exactly what they are getting (or if need be so that they can change their minds), as well as any extra time onsite required, helps with keeping on top of costs. Another good one is checking leadtimes and availability on non-standard items and getting them ordered early helps with the finishing on time!

@soupofpossibilities8537 4 ай бұрын

I always say "I don't compete, I collaborate." I believe there's plenty of business for everyone, if I'm not getting what I need it's my own doing.

@grahamyetton2446 4 ай бұрын

I'm in IT and those sentiments are true there too. I watch because you offer good clear advice and one day I hope to self build my home.

@richzimmerman4010 4 ай бұрын

Thank you again. "You're spending your Life..." Wow what a great phrase. I hope there's a book in the works.

@bryanthunders2046 4 ай бұрын

I'm 26 from California. I used to feel bad for charging quite a bit for my services as a young general contractor bc some things seemed real easy to me. I did the mistake of charging cheap sometimes until I really learned to value my work and body. Construction is hard. Wears your body out. Charge for it but be fair! Tik-tokers and influencers, (whatever that means) make lots of money which is easy today, yes..but in the future who will call the plumber, electrician, painter, etc? Value your labor.

@deangarner4 4 ай бұрын

I work in IT now but have been many things. I have run a fleet of logistic trucks, had a removals business and now I have a landscaping business on the side and of them all, we're all tradies at the end of the day and costing up jobs is the same. I loved your explanation of the "psychological" side of quoting. It's the same whatever business I've been in and true, it is hard to learn and appreciate your value beyond what you would pay. My mantra has always been "under promise and over deliver" but I see too many blank faces when I preach this. The most common thing that comes up is "manage expectations" and I feel I always understood what that meant but breaking it down into two separate parts "remove uncertainty and clearly communicate the vision" is all I need to now motivate my team. Thank you for what you do and keep up the good work

@toddsmith9598 4 ай бұрын

I love this channel so much. And I’m not even in the trades, although I do admire them. So much great wisdom here. Thank you.

@ericvandermeersch6677 4 ай бұрын

Thanks Scott! I loved this. I really needed to hear this today. I’ve been struggling with charging enough for 15 years! I’m better than I used to be but I think this encouragement just might put me over the hump. It really is hard for a craftsman to no the true value of his work. Thanks again and God Bless you my friend!

@zacharystrohschein6997 2 ай бұрын

Man, I wish this video came out when I started. Super validating information here.. the law of reciprocity is an art form

@SparkysGarage 4 ай бұрын

I'm just learning of how to bid jobs. I'm mostly in light excavation work with minimal material usage. It is mostly time and equipment. Thank you for the advice!

@roberthillyer2888 4 ай бұрын

Your knowledge is PRICELESS. I love all your videos.. so much time and though and the right choice of words goes into each one. God Bless

@rjtumble 4 ай бұрын

Can't wait to see you and Matt on a video (or maybe you and Kyle). I hope it happens someday. Makes me think of that old joke about the old bull and young bull standing on a hill :)

@spock59 4 ай бұрын

The instructor at the contracting school I went to said “figure your materials and double it, figure your labor and triple it”. I could never go that far, but that P&O percentage you speak of can make or break you.

@chrismullin8304 4 ай бұрын

I have had signed contracts unpaid at the end. even with the threat of litigation. A lawyer buddy helped me with a few, and said the game is, if the debt is 10-15k or less, you will spend more fighting to get it back. Even then you may not get paid.

@probuilder961 4 ай бұрын

I try to keep the final payment at $5k or less, which is the small claims court max in my state.

@robertwazniak9495 4 ай бұрын

Staged payments are a must. And, the balls to walk at the first time they balk at paying. Respect must exist on both sides of the project.

@arresthillary9502 4 ай бұрын

pricing tree work after the storm yesterday in NC, i think you all should come here and start a tree service. some competition would get the prices down!!

@ryanfields5181 4 ай бұрын

Excellent advice, EC. Thanks for sharing your knowledge and experience with us.

@Handymanprocess 4 ай бұрын

Great advice. Thanks for sharing.

@mchilly 4 ай бұрын

I’m glad you brought up overhead. I actually add up all my annual overhead costs and divide by 2,080 (annual working hours). This gives me my overhead hourly rate which I add to all of my estimates. I usually just have one line item for the total project cost that I give to my clients but I have a very detailed excel spreadsheet for how I arrived at that number.

@darkslidesk8t3r Ай бұрын

Could you please share how you calculate it?

@arresthillary9502 4 ай бұрын

true. when i do an estimate, I am interviewing the customer, not the other way around

@crustycurmudgeon2182 4 ай бұрын

I paused this video at 11:48 because the subject rather reminds me of that hilarious comedy "The Money Pit", starring Tom Hanks and Shelly Long. The crew they hired to refurbish their classic, old home was a motley bunch who seemed better at demo than actual building. best lines: (paraphrased) "How much longer until you're done?" and "Two weeks!" I strongly suggest watching this flick if you haven't, already. (Or re-watch it!)

@williamdemilia6223 4 ай бұрын

Yes... good movie .. my line 220-221 whatever it takes .. Another classic , older from the 40's .. Mr Blandings Builds His Dream House (Cary Grant)

@michaeldalton8374 4 ай бұрын

“Aren’t you going to offer me a drink?” “Oh, yes! What was I thinking? It’s almost noon. You must be parched!!”

@herefornow9671 4 ай бұрын

EXACTLY the right advice at the right time!!! Thanks Scott for all that you’ve done here and for all that you’re doing SO VERY HELPFUL and uplifting From another Oregon Scott 😀

@elijahfromamerica 4 ай бұрын

I love listening and learning from you over the years ,thank you for great advice ❤

@HighPeaksHome 4 ай бұрын

As a contractor in an area that is struggling to have enough of us that can do the work. I have built a reputation as someone worth waiting for, currently with a 4 yr waiting list... and here I am struggling to add 10% and justifying it... thank you for reassuring my decision to at least start adding fees. up to this point I have only done the T&M.

@user-kc9zm2lu1z 4 ай бұрын

lol thats why you have a 4 year wait list. Thats crazy, I'd never wait more than 6 months.

@steved8272 4 ай бұрын

Thank you Scott! This is the type of content that is so hard to find but is genuinely life changing. I can mill a board any which way in my sleep but I struggle so much with 'the business end of the stick. If you or anyone else had some suggested reading on the topic I would appreciate it, and would surely pass on any knowledge I could glean from it.

@keithmiller1982 4 ай бұрын

Can you do a video from the other perspective; how can a customer/client pick the right contractor? Also, what behaviors should a customer/client avoid and/or irritates contractors?

@Prodmullefc 4 ай бұрын

iirc he actually does have that video. It's called Hiring a Contractor: 9 Things You Should Know

@minedustry 4 ай бұрын

I can start tomorrow morning. Really bad news. I might be able to fit you in the winter. Really good guy.

@plumhillfarm7285 4 ай бұрын

@@Prodmullefc And also a a book to purchase

@thelight3112 2 ай бұрын

Communicate what you want as early as possible. Try not to change your mind 25 times throughout the course of a project. Pay promptly. Contractors want to get it right the first time just as much as you do.

@artdell 4 ай бұрын

Really happy that you provide these videos

@davidspaulding1356 4 ай бұрын

Great video EC! Your words apply to any industry. When you feel like you are in a race to the bottom, chances are your biggest competition is yourself. I’d also like to add that the importance of factoring your depreciation on the equipment being used can be overlooked or under estimated quite often - equipment wears out and it isn’t getting any cheaper to maintain or replace.

@vaughnburrows 4 ай бұрын

As a homeowner, I say keep your prices reasonable, with everyone charging so much it has led me to KZfaq to learn how to do everything myself which I would have been fine paying someone to do had the prices been reasonable. For example got a quote to clean my carpet one guy 3,000 other guy $270 I went with the smaller number and he did a wonderful job, but my next step before I found a better price was can I find a used steam cleaner and do it myself. Keep your prices fair or you are going to create a bunch of DIYers which can also lead to competition.

@akbmunsell 4 ай бұрын

As a contractor I say you are the exact kind of client I stay away from. 😂 Do I dislike DIY’ers? No, I think that learning how to do things yourself is really cool, but, if that is your inclination, if you would rather spend your free time, basically your overtime, the time you would get paid time and a half on your job, to do your own construction work, then you dont, won’t? value my time and my time, even more so than my skill, is what is my most valuable commodity and what I have for sale. In actual practice when a potential client starts talking about “reasonable” prices I’m headed for the door. Just saying

@vaughnburrows 4 ай бұрын

@@akbmunsell Just so you know even though I would rather do my own work than pay someone a ridiculous price, I do in fact value their time I just value what’s left in my account more than their time. And if you needed work done on your house, you’re going to pay someone else to do it so you can make more money on a job? Also when you need a subcontractor, you as a contractor know what a job should cost to be done and if a guy is charging way over what it should be are you going to use him because you value his time and skill or are you going to use the guy that’s not being greedy who is just as skilled?

@probuilder961 4 ай бұрын

We do not compete with DIY'ers. If you're capable, more power to you.

@vaughnburrows 4 ай бұрын

@@probuilder961 So if a guy try’s his hand at construction due to high prices, realizes he’s actually good at it and hones his craft and starts his own construction company, he’s now your competitor. In my part of the US a guy only has to answer his phone and clean up after he’s done and he would take the jobs from guys doing construction for years longer than him. I grew up in a construction family and sadly I decided to go a different direction, but it’s hard to find someone that does quality work especially on what you can’t see. I bought a manufactured home, previous owner had mice and didn’t know how they were getting in, long story short the plumber didn’t seal any of the holes that were going into the house, why because you couldn’t see it, only reason I saw was because I upgraded to pex.

@thefreedomwarrior 4 ай бұрын

The first guy didn’t want the job. The second guy had to have it.

@bjen2005 4 ай бұрын

This is really hit home for me. I always looked at best case scenario when bidding, so that will change starting "today". Thanks Scott !!!! for this video.

@horstconstruction1995 4 ай бұрын

This is 💯 the truth. Such valuable words of wisdom ec . Words not spoken by many people. I entered into the world of construction 13 years ago working alongside my father who has been in the business for 30 plus years. And this is exactly what we have learned over the years. Thanks for videos. I really do enjoy them

@damiengoss8382 4 ай бұрын

Great advice as always, Definitely finding the right customers is key

@smoothbore4377 4 ай бұрын

Well, you know, ... there are some of the more experienced Contractors who simply refuse to work on a fixed bid basis. These "time & materials" guys don't get themselves into those no-win situations. But, of course, they also have to be willing to pass on a LOT of jobs. But THAT'S A GOOD THING, if the alternative is to work for nothing. And the time spent working-up all the info on a job has to be covered by the overhead, too. Personally, ... here in Southeastern Pennsylvania, ... ( where you are often bidding against Amish crews, with their unique overhead situation ) I've found that a deceptively simple formula ( materials X 3 ) will get you just as close as any other, without all the HOURS of paperwork.

@JoseJRamos-dh2cn 4 ай бұрын

Just adding another thank you. Thank you for sharing your valuable experience. Many contractors of your generation have not done a great job when it comes to mentorship. This is certainly actionable insight as well as encouragement at just the right time. I am three years into my GC journey in a very tough market (South Florida), learning every single day.

@mountainbungelow7283 4 ай бұрын

The comment about “if you’re getting 100% of the jobs you bid, you’re not charging enough” is gold. I used to tell a former employer this all the time. They would scoff at my comments and act like I didn’t know what I was talking about. They would get most of the jobs they bid and we would go over budget on most of them. They were betting on best case scenario which is rarely the case. I left that company a few years ago and they seem to be faltering to this day.

@thomasfogerty3515 4 ай бұрын

Thanks Scott! Needed to hear that!

@sawdustadikt979 4 ай бұрын

THANK YOU! This was AWESOME! I’ve been swinging a hammer for 30 years in southern New England. Over 20 of those years have been self employed. The head trash and ignorance of what things cost that we all bring to the table in some form or another really makes life miserable. I grew up in a generationally poor area. So the ideas about money I had really hurt me. The thing that unlocked my mind about what to cost was the epiphany I had of”what would it cost for me to bring my absolute a game to every project and every aspect of what I do?” “What would it cost for me to smile at every unforeseen obstacle?” I also realized that I HAVE A RIGHT TO EARN A LIVING! Second thing that changed my life was finding The Contractor Fight and learning their sales format called The Shinfu. Like you said it’s all about asking specific questions, shutting up, and deeply listening to what is important to that customer and deciding if those things align with what’s important to you. Learning to communicate better has been everything.

@TheWhoIsThat 3 ай бұрын

Wow an experienced guy coming on KZfaq to provide good old fashioned way of providing insight instead and these overnight 20 yr old experts is nice for a change. Thanks for coming on KZfaq!

@TheMVCoho 4 ай бұрын

Best advice you have shared. Thank you.

@timmiller8069 4 ай бұрын

I appreciate your info it's got to hear someone that's talking out of experience as a contractor for 41 years .

@foad100 4 ай бұрын

Thank you for the great heartfelt advice!

@garycronk4967 4 ай бұрын

Very well said...thank you!

@judsonhancock8917 4 ай бұрын

Nailed it. Thanks Scott.

@gtbkts 4 ай бұрын

Thanks for the awesome content and great videos!!

@805socal 3 ай бұрын

Truly inspiring words, pretty good approach on the issue like always! 🙏🏽

@jfabiani 4 ай бұрын

Strange audio on this one. Thank you for your advice and care.

@run-oo6wd 4 ай бұрын

Appreciate this video very much thank you!!

@Hoaxer51 4 ай бұрын

Just a quick word on change orders, always get them signed. I always signed my own when I had the contractor sign it and that way everyone was on the same page and agreed to what needed to be done. As a side note to a change order, make sure that you write in it exactly what you are going to do including who pays for material and the labor to complete the job. I’ve seen jobs where the amount of money the change orders cost exceeded the cost of the original contract so make sure you get them signed and keep them filed in a orderly manner.

@Bill_N_ATX 4 ай бұрын

I build IT systems. The idea is to build long term relationships. I have contracts that have been running for years with just change order after change order. The core contract has been done for years. Often, a new contract takes way too much time and paperwork. A change order might only take a local managers sign off, not involving several corporate depts. The government calls them indefinite quantity / indefinite delivery contracts. They are a beautiful thing if you actually serve your customer well.

@kelturner5452 Ай бұрын

Some contractors,will intentionally bid lower on jobs, bomb w/ change orders that wind up sometimes really hammer ing project cost. Calculating insane profit for them. Instead of including there nominal margins w/ original bid. I call it predatory bidding because they victimize clients delays,or plain job progression ceased until they uuhmmm, correct issues. Which in turn puts trades behind. There are legitimate offsets on projects that may not forseen or correctly planned, installed.lnspectors definitions of what is & not acceptable.very broad brushstrokes for them. Jurisdictions Remember code is absolutely minimum requirement in that particular area what ✅ here may not there. Some time you have to give them the knowledge that's holding up your part of job. The scouts teaching scout master how to start a fire so you can get merit badge. 43 yes. in const. seen a lot of WOW moments of being impressed & disbelief

@Hoaxer51 Ай бұрын

@@kelturner5452, You are absolutely correct, I thought about including the fact that some contractors will low ball a bid, sometimes under costs and then once they have the job and are building it will start saying “That’s not my job” to all different aspects of the contract. They’ll come with their hands full of change orders, this is one of the problems with government contracts, where low bid wins. The other commenter here Bill_N_ATX, makes a very valid point, Build long term relationships, this is what you want to aspire to, when contractors just call you to do a job you haven’t even bid on. They call because you do good work, on time, and you end up doing all their work. You know what you’re getting with them and they know what they’re getting with you, jobs get done and everyone makes some money. Just don’t get greedy on them, if you lose some money on a job, you know you’ll get more jobs with these long term relationships. Good luck out there and be careful!

@57Dalv 4 ай бұрын

Scott, your experience and wisdom from all the years in the trade is invaluable. As a mason when I started out, I did far too many "side jobs" for next to nothing, believing I was doing the Owner a favor. Only to watch them sell the property and reap the rewards from my labor. I was terrible at pricing my jobs and ultimately worked for others rather than myself. There's a song from our past: "I wish that I knew what I know now When I was younger I wish that I knew what I know now When I was stronger" Hopefully the younger guys and gals are seeing what you are teaching - I wish there was someone around like you when I was doing those jobs... but we all live an learn. "Keep up the good work"

@anhtuanb 4 ай бұрын

I do shared your experience and it is a terrible feeling at the end of the day where you know you didn't make as much as what you should get. It's a discouragement for sure but live and learn and grow. Learn to say no is a step too.

@Shapenupeugene 4 ай бұрын

I love the sound in this video.

@crustycurmudgeon2182 4 ай бұрын

Your closing statements are spot-on. (See my prior statements, below). There's no such things as being "over-prepared" or paying yourself what you know you're worth, Love these videos!

@bcn365 4 ай бұрын

This is my favorite KZfaq channel. Scott is an IDEAL version of a man!

@alessandroavir7386 4 ай бұрын

You're saving my life right now. Thanks for these wise words.

@dougtruluck6010 4 ай бұрын

Great reminders that just because many of us work with our hands AND our minds that we should charge for that value and those skills!

@thomasdement3046 4 ай бұрын

Great information. Keep going

@nspro931 4 ай бұрын

Your audio is not synced between right and left. Very strange sound.

@crewcallco 4 ай бұрын

this is a great video in general for speciality contractors

@rustyshackleford5060 4 ай бұрын

Keep up the good work.

@henrymorgner1562 4 ай бұрын

Thank you.i needed to hear this specific info.iam handyman and need all the info I can get concerning this topic.

@Ampeex 4 ай бұрын

The sound is a bit strange.

@Alpha-ro8sc 4 ай бұрын

We vet our potential clients by checking thier social media prior to bidding. Surprisingly effective and saves time.

@BRLnSEE 4 ай бұрын

Bingo! 10-15 minutes of due diligence online and some carefully asked questions will weed out 90%+ of the poor quality prospects.

@Alpha-ro8sc 4 ай бұрын

@@BRLnSEE Exactly

@tedsheldon11 4 ай бұрын

Spot on! As a supplier I can find the bottom feeders and the guy getting it right just in talking.

@ericmodeen4164 4 ай бұрын

You set that concrete spike deep with that advice, it took me a long time to learn from that experience

@benchippy8039 4 ай бұрын

It’s like you’ve been watching me write up my quotes! I tend to do higher end work for wealthy clients in the counties outside of London. I’m forever under pricing jobs. All too often because I’ve gone off best case scenario

@bcase5328 4 ай бұрын

Something about what you said reminds me to an line of Scotty in Star Trek in Star Trek Next Generation Session 6 Episode 04, "Relics", What it takes to be thought of as a miracle worker. Scotty explained that to Kirk in one of the Star Trek movies; I think it was Scotty took the time estimate and multiplied it by a factor of four, but he was dealing with Captain Kirk, who halved the time frames.

@pauljenkinson8798 4 ай бұрын

Very appropriate "big picture" discussion. A little short on specifics, but a good start. The first topic, finding good clients. Less experienced GC's might not have that list of questions that identify the "20%". So were do they find that list and how should they ask without alienating the potential client their interviewing. This may be obvious to an experienced operator but not so to those less seasoned practicioners. After all GC,s are trained crafts people not counselors. The answers would make a good topic for another separate video.

@invisiblerevolution 4 ай бұрын

Great stuff.... 👍🏾 THANK YOU!

@jraybye 4 ай бұрын

In sizing up customers, here's my advice. Never work for someone over 45 who has more than three cats. Never work for a couple who are restoring an old house in an attempt to "strenghten" their relationship. And never work for an architect on their own home! Full disclosure, I did violate #3 and it turned out alright.

@alkorngrigA41 4 ай бұрын

Thank you!

@lukehanna7440 4 ай бұрын

Priceless advice, thanks. In the UK we have a “can you just” note pad for calculating extras in. Amazing how many customers expect extras for free. Although if they don’t, & the job goes well, invoicing less than the quote makes for a happy customer & gets you recommended.

@mikehogan1827 4 ай бұрын

I remember a story about a small tender, named “Successful Bids”, attached to a beautiful sailboat named “Change Orders”.

@michaelduffy5691 3 ай бұрын

Excellence spoken here. Thank you.

@Dtileandremodeling 4 ай бұрын

In my business. I find it very difficult. Most will love the race to the bottom game. I have found that pricing usually isn’t the issue. Its the people you are trying to serve. The right people will pay your price period!

@AdamKirbyMusic 4 ай бұрын

The audio has an echo on it FYI.

@leonardfay7073 4 ай бұрын

Thank you.

@seangarrison2323 4 ай бұрын

Hindsight is a gift. Thanks for sharing what we all know but fail to act on. We have to eat after all is said and done..

@coyotech55 4 ай бұрын

That was helpful.

@matthewthornton1584 4 ай бұрын

Thanks for that video. I’m working on a bid right now for a 4 car garage.

@dagwood1327 4 ай бұрын

I am a couple years older than you. I have never been good at valuing my work. I started my first cabinet shop when I was 19. I bid a big job for $6k and it cost me $10k. They were nice people. It was expensive education. I am a skilled worker but a lousy businessman. I have found that people will take the Lamborghini and pay for the Chevy if you let them.