garyj

Re: Why Do We Think We Are Worth So Much
« Reply #60 on: August 16, 2010, 08:06:57 pm »

Hello Gary you old git  ;D
Quote

 ;D Yep, I'm back at long last, nearly 2 years away  :o.

Decided to do it properly this time and got a little truck mount, should be ready to go by the end of the week :-). ( Hope I haven't opened a can of worms  :P ). 

Does that mean I wont get to go to Hamble again?  :-[

Probably, don't think she is talking to me at the moment!

Re: Why Do We Think We Are Worth So Much
« Reply #61 on: August 16, 2010, 08:34:11 pm »
Let's not forget what the topic heading is, which is basically why do you think you are worth what you charge. Has anyone actually answered that?

I've had the odd £100/hour but I don't think any standard cleaning is worth that.
I renovated a leather handbag that generated that sort of money but as the item was worth about £1,000 it only felt right to charge accordingly. Now ask yourself would your wife pay £150 to have her handbag renovated when it only cost £80?
That's the point I'm making. It's not what it's worth to the customer but what the actual job itself is worth, and I believe that's what the answers should be.

Joe H

Re: Why Do We Think We Are Worth So Much
« Reply #62 on: August 16, 2010, 08:42:03 pm »
To me it sounds like you contradicted yourself in your 2nd paragraph.

If the handbag is worth £1000 you say its only right to charge accordingly. If the custy pays £150 to save her £1000 handbag then its worth it to the customer.

M.Acorn

  • Posts: 7223
Re: Why Do We Think We Are Worth So Much
« Reply #63 on: August 16, 2010, 09:00:31 pm »
Carpets are expensive though !! It costs far less to clean than it does to replace them,even at £100 per hoyr
What goes around comes around

Re: Why Do We Think We Are Worth So Much
« Reply #64 on: August 16, 2010, 09:00:59 pm »
I didn't say it was right but that is what it was worth to the customer, likewise if a carpet cost £10,000 then no doubt the customer would happily pay £1,000 for a few hours work. Would a neighbour with the same size rooms who paid £1,000 for the carpet (new) pay £1,000 to have the same service?
BUT and again,
Why do carpet cleaners believe they are worth what they charge? I've yet to see an answer that says....
'I prolong the life of their investment'
'As they have kids with breathing problems I am stopping a potential fatality.'
etc
etc

Matt Lindus

Re: Why Do We Think We Are Worth So Much
« Reply #65 on: August 16, 2010, 10:36:30 pm »
Many claim to be earning the earth cleaning carpets, that fact is, most on here would jolt a tramp off for the cost of a coffee.

That’s my positive comment for today.

Matt.


Then theres always someone who will undercut you to get the job...


Clouds have linings Andy. The winner would have cream for the coffee.


Matt

wynne jones

  • Posts: 2918
Re: Why Do We Think We Are Worth So Much
« Reply #66 on: August 16, 2010, 11:12:41 pm »
To me it sounds like you contradicted yourself in your 2nd paragraph.

If the handbag is worth £1000 you say its only right to charge accordingly. If the custy pays £150 to save her £1000 handbag then its worth it to the customer.

Well Neil I agree with Joe you have contradicted yourself.

And ain't many carpets in a house knocking on for a grands worth?
It's not expensive, you just can't afford it.

M.Acorn

  • Posts: 7223
Re: Why Do We Think We Are Worth So Much
« Reply #67 on: August 17, 2010, 02:36:06 pm »
Well i have just been asked by the agency what i would charge roughly to do a 5 bed house,said around £350 ish,have been told that is far too much,and would i match the £235 quote they had !!
From a national company supposedly
Said yes as it`s all work..
Can`t see why someone who is paying upwards of a grand a month to rent a house,would quibble !
What goes around comes around

jasonl

  • Posts: 3183
Re: Why Do We Think We Are Worth So Much
« Reply #68 on: August 17, 2010, 04:59:27 pm »
Lets not forget its not how much you make per hour but how much you keep.

With over 10 years experience IMO it takes £25k give or take to run a cc business.  Thats £520 a week for 48 week year.  Then comes tax, sick pay, holiday pay, pension so really you should be aiming at the very least for £200 a day to give yourself an average wage.

Steve - seems you got a bargain with your tradesmen.

Mark


I am not knocking you , for I one man band I struggle to see where you get 25k from.

EQUIPMENT 3K

AD/MARKETING 4K

Vehicle  4k

CHEMS  2K

Ins/phone/bits 2k

That is 15k, what have I missed?  This is based on a 50k turnover.
I clean carpets
I dry Buildings

Cleanbright UK

  • Posts: 129
Re: Why Do We Think We Are Worth So Much
« Reply #69 on: August 17, 2010, 05:10:13 pm »

I am not knocking you , for I one man band I struggle to see where you get 25k from.

EQUIPMENT 3K

AD/MARKETING 4K

Vehicle  4k

CHEMS  2K

Ins/phone/bits 2k

That is 15k, what have I missed?  This is based on a 50k turnover.

Yours may be 15k but others maybe 25k+
Cleanbright Solutions Uk - Home of the UKs Most Powerful Truckmount!!

www.cleanbright.co.uk

jasonl

  • Posts: 3183
Re: Why Do We Think We Are Worth So Much
« Reply #70 on: August 17, 2010, 06:15:38 pm »
I am just wondering where the extra gets spent.
I clean carpets
I dry Buildings

robert meldrum

  • Posts: 1984
Re: Why Do We Think We Are Worth So Much
« Reply #71 on: August 17, 2010, 10:15:20 pm »
Any business turning over £50k with costs of £25 is seriously flawed.

Peter_Jones

  • Posts: 38
Re: Why Do We Think We Are Worth So Much
« Reply #72 on: August 18, 2010, 03:09:52 am »


With over 10 years experience IMO it takes £25k give or take to run a cc business.  Thats £520 a week for 48 week year.  Then comes tax, sick pay, holiday pay, pension so really you should be aiming at the very least for £200 a day to give yourself an average wage.

Steve - seems you got a bargain with your tradesmen.

Mark


:o £25K a year to run a carpet cleaning business?

I aim for £200 a day but my overheads for the year are less than £5K!

ianharper

Re: Why Do We Think We Are Worth So Much
« Reply #73 on: August 18, 2010, 06:28:48 am »
Steve

this is real easy question.

Time

when your in demand you time is worth more. its the law of business, supply and demand. you must of heard on the news about the trader that's buying up all the stock of cocoa? he now controls the price. this block is really cleaver as traders don't normally take delivery of the stock but this guy has a long term plan and he is.

Anyway well done and long may in continue.

Respects

Ian Harper


jasonl

  • Posts: 3183
Re: Why Do We Think We Are Worth So Much
« Reply #74 on: August 18, 2010, 09:20:36 am »


With over 10 years experience IMO it takes £25k give or take to run a cc business.  Thats £520 a week for 48 week year.  Then comes tax, sick pay, holiday pay, pension so really you should be aiming at the very least for £200 a day to give yourself an average wage.

Steve - seems you got a bargain with your tradesmen.

Mark


:o £25K a year to run a carpet cleaning business?

I aim for £200 a day but my overheads for the year are less than £5K!


So to run a van , inc diesel, insurance and tax, advertising, chems, depreciation, pl insurance come to under 5k?
I clean carpets
I dry Buildings

Helen

Re: Why Do We Think We Are Worth So Much
« Reply #75 on: August 18, 2010, 09:31:12 am »


With over 10 years experience IMO it takes £25k give or take to run a cc business.  Thats £520 a week for 48 week year.  Then comes tax, sick pay, holiday pay, pension so really you should be aiming at the very least for £200 a day to give yourself an average wage.

Steve - seems you got a bargain with your tradesmen.

Mark


:o £25K a year to run a carpet cleaning business?

I aim for £200 a day but my overheads for the year are less than £5K!


So to run a van , inc diesel, insurance and tax, advertising, chems, depreciation, pl insurance come to under 5k?

Can someone let me know the formula for getting your overheads so low please? ;D ;D  Mind you I'd rather have higher ones then the tax bill isn't so bad :)

John Kelly

  • Posts: 4461
Re: Why Do We Think We Are Worth So Much
« Reply #76 on: August 18, 2010, 10:35:27 am »
The rule of thumb is you need to spend 10% of turnover on marketing to stand still and 20% to grow your business.

Helen

Re: Why Do We Think We Are Worth So Much
« Reply #77 on: August 18, 2010, 01:44:37 pm »
The rule of thumb is you need to spend 10% of turnover on marketing to stand still and 20% to grow your business.

Sorry, my request was "tongue in cheek" ;D as would love to have only £5k outlay per year!
Haven't got time to break it down, but we try to work on 65% of gross income = nett income. therefore 35% is all overheads.(not including what we take from the business) doesn't always stay at these percentages, but not far off  :)

Peter_Jones

  • Posts: 38
Re: Why Do We Think We Are Worth So Much
« Reply #78 on: August 18, 2010, 05:09:23 pm »


With over 10 years experience IMO it takes £25k give or take to run a cc business.  Thats £520 a week for 48 week year.  Then comes tax, sick pay, holiday pay, pension so really you should be aiming at the very least for £200 a day to give yourself an average wage.

Steve - seems you got a bargain with your tradesmen.

Mark


:o £25K a year to run a carpet cleaning business?

I aim for £200 a day but my overheads for the year are less than £5K!


So to run a van , inc diesel, insurance and tax, advertising, chems, depreciation, pl insurance come to under 5k?

Yes, well mine does anyway, I can't speak for anybody else's overheads.

John Kelly

  • Posts: 4461
Re: Why Do We Think We Are Worth So Much
« Reply #79 on: August 18, 2010, 05:14:27 pm »
Helen, I wasn't specifically replying to your post. Just highlighting what a business normally should spend on marketing alone. :)