hardly raking it in!
With the kind of work ~I was doing (along with Roger) 50% was fair, regardless of what he may have thought!
Though even at that time the work being done was probably under priced in many instances.
When you employ people you also become more of an overhead yourself, and the more you employ, the less time you have yourself to go out and 'earn' money.
Roger for instance rarely started before 9am, had breaks and was finished by 3.30pm.
In fact Roger was ALWAYS, and I mean ALWAYS 5 or 6 minutes late, and even then, he'd drive off, park up, get out his paper and have a cuppa from his flask, and yes sunshine, I know you did because I WATCHED you on more than one occasion!!
So his £250 a week, cash in hand was a good return for his labour, (that was 6 years or more ago remember) and yes, I stretched the employment laws, but that was long ago enough that I can't be had for it now.
Take a look at your average garage mechanic, he'll be on £6 or £7 an hour, his boss will be charging as much as £50 an hour for his labour...go figure.
JD is under paying his guys, particularly in view of the fact they are working for 7ish until 5ish, but were he employing the pair of them legally - and I'll bet he is employing them in the same way I was employing Roger - they would need to be turning over £200+ each per day, and no way would 50% be sensible either, by the time realistic overheads and running costs are taken into consideration JD wouldn't be making much money.
What a business turns over has nothing to do with the employee, providing he or she is well paid for the work they do that is the main thing.
There are ways and means of offering incentives to employees, and if your work is commercial rather than residential you are more likely to retain your employees as regardless of how much they turn over, getting that type of work is a very different ball game to slowly building up your own domestic round.
I don't personally believe JD's story, I don't think the figures add up...brand new employee working directly alongside existing (and not very experienced) employee and still knocking out £500+ in a single day, and both working on same properties together...uhhuh...
But it is a good post nonetheless, and shows the ignorance of many with regards to running a business and having employees.
Oh, and if I was raking it in, why didn't I continue to employ? It has many drawbacks and costs as well as many benefits, and I would also have needed Roger's replacement to turn over a lot more than the £500 Roger was doing (those are ballpark figures too by the way, wasn't often he did £100 per day, rarely in fact unless he was doing commercial)
Oh,
So you would give them 50% each? So you make... ...nothing?
you would pay them 50% of what each individual turns over, not each one 50% of the combined turnover!!
Ian