[JandS]

Mike

Think Dave means £1250 gross roughly £1000 after tax although
that's not right either because you wouldn't pay tax on the full
amount anyway.
There's your personal allowance to take off and then your outgoings
before you can calculate your tax.
Let's keep it at earning £1000 a week gross for ease.

Also you can't do the other jobs you pull with your £1000 job marketing
because your aim is just one £1000 job a week...

[david@zap-clean]

Errr.. £250 on a 5 day week is £1250

If you earn £48,000 and half of it is expenses then your small living wage is more than a qualified nurse, police officer, and many other occupations

I think we should all aim for that magical 1 job a week @ a £1000 because now & again we will find it... Not every week but sometimes.

But all the effort we wil put into finding it will have a magical side effect, while waiting for that £1000 job to appear our marketing will bring in lots of £150, £200, £350, £500 jobs  

£250 on a 5 day week is £1250 - yep, my mistake!

I'm not sure (yet) how much it will cost in marketing to generate that amount of work, but as a start-up I'm not going to make a 50% profit in year 1, no matter how much my turnover ends up to be.

[Blacky]

Mike, your correct in the 1 grand a week figure you mention. This would provide you with a NET of about £25000 per year.

Remember that the average 'employed worker' on 25 grand a year takes about £100 per day every day of the year (5day week -12 months)
They're also lucky enough not to be worrying about paying for machine repairs, expensive marketing, holiday down time, sickness ect,,

* / If you want to earn an average net salary of £25k whilst been self employed in this game you should add a 8k marketing budget to that figure, takes you to £33k Turnover.
*/ Account for 1.5 months of loss of income for holidays/sickness. This drops your working year to 10.5 months.
*/ Machinery repairs/ servcing for the year - £550.00. This is negligible depending on your equipment.
*/ Diesel for van per month - £ 210.00. Over 10.5 months this equates to £2205.00.
*/ Van Tax - £215.00
*/ Chemicals - £ 450.00
*/ Servicing and repairs on van - £300.00
*/ Phone bills / Internet / Web - £800
*/ Depreciation on vans value - 18% on average - £1710 annual drop on a van costing £9500 van. The percent drops as van ages.
*/ £4500 for re investment for your business and equipment.

With the above in mind, you should be aiming to bring in £43730.00 per annum.
Your weekly takings based on a 10.5 month year needs to be £ 1041.00 per week every week.
In other words – you have to work TWICE as hard as the basic office worker or sales rep with new mondeo who earns your wage without insecuritys and all the other considerations you have to fund.

[Craigp]

A lot of effort in that post Blacky, and I agree, figures are spot on, though I would round up to aim for £50k per year turnover. 

[Mike Halliday]

No that can't be right .......I have to work twice as hard as a employed person to be on an equal footing ?

But on my figures I am Working 10hrs to take double what  they earn in 40 hrs to achieve, if my outgoing were 50%  I'm still well ahead and when did employment come without insecurities.

I' m in a more secure a position than most employed workers

Lots of smoke &  mirrors in them figures Blacky but there waffle

[Blacky]

Mike, the figures I have given are very conservative.

If I was being harsh, you will know that the profit of your business should be after you have claimed a wage. So if you claimed a 20k wage based on my figures, your company has taken a profit of 5k for the year. It’s the first question your bank, investor or buyer would ask  - "What is your profit after you have taken a wage".

For you to say that having a paid salary of £25000 a year as an employed person is less viable than shouldering the task of  not only generating, but completing £43000 of work using equipment, vehicles and chemicals paid and maintained by yourself for the same wage is utterly ridiculous.
Self employment is much more enjoyable than working for someone, but don’t for a second think because you take more money you earn more than someone who claims smaller a wage than you.

Not many employees would have the nerve or confidence to generate money for themselves, they slip under the cozy warm wing of corporate life where they can blend into the back ground and hopefully slip under the radar. They do just enough to get them through and not raise any alarms.
The self employed person is on the edge all the time, you don’t work, you don’t eat!.



 

[Carpet Dawg]

Alot of expenses there Blacky

Personly, I dont go through all the hard gaft I go through if i was only walking away with that .

you also forgot accounts fee's and van and business insurance.

[feldon]

I decided to use the £90 for 3 rooms for google adwords for my special offer for January a couple of days a ago, got a call this morning and booked a job for 6 rooms for £180, so thanks Mike for giving me the idea.  Waiting to hear back from another caller so that is potentially another job of £90 which might come in.

[mark_roberts]

Thats great until you arrive and find the rooms are all 15x15.

Or your local competitor does three for £75

Mark

[Craigp]

Thats the problem your competitors may now copy your offer but for less.

[Ian Gourlay]

Im going to do 3 for £60 when I restart.

Or I might do it for Free not even a CUP OF TEA