Handyman Business #2

[G Fresh]

I was considering this business venture... and after reading all the input from the original Handyman business thread, an hourly rate is not the way to go. That being said, understanding that depending on location and the fact that every market is different, I was hoping the more experienced contractors could help me out with pricing.

I have always been the one slinging the hammer for $10-20/hr and never the one pricing the jobs. What are some of the average prices on average jobs? Ex. Hang and Case a door - $60-75? a door, $1.00 a linear ft for baseboard?

Any pricing could be discussed - anything from hanging a sheet of drywall, to framing in a small bathroom, to installing door knobs, and hanging kitchen cabinets.

Open for discussion...

[carpenter]

Re: Handyman Business #2

Maybe try the search feature for awhile. 2 things should pop up for you. Many like to see your profile filled out and discussing prices isn't generally done. Profiles will let everyone know your another pro. Many will be happy to help you learn how to set your own prices.

I read an article years ago that suggested a handyman business could be a profitable and easy to manage side proposition for a remodeler. The idea was to hire semi retired tradesmen that wanted to stay busy. When the call comes into your office someone would have to determine what type of service was required, electrical, plumbing, carpentry etc. The appropiate tradesman would be called, set his own appointment, assess the job and bill the customer according to what he felt he should earn + materials.

A predetermined percentage was to be added to his wage to cover burden, overhead and profit. (except for carpenters, who apparently are exempt from O+P) The tradesman brings in the check with invoice and receives a check for the number of hours billed.

I think I just rewrote the article. But that should give everybody something to pick at while you check the archives and come back armed.

Good Luck
Dave

[VTNorm]

Re: Handyman Business #2

You still need to figure out your hourly rate even if you decide not to share it with the customer. Search for posts from Jerald Hayes and download his PILAO worksheet, it will help you understand ALL the costs that are incurred in running your business not just the few bucks you put in your pocket.

In my small market there's everything from mobile homes to $1M vacation houses. Similar handyman jobs at each end of the spectrum are going to be be billed at two very different prices...so the answer to your question is - it depends.

-Norm

[G Fresh]

Re: Handyman Business #2

Didn't really feel like I needed to fill out a profile... any questions, just ask. I started out in roofing right out of high school 10 yrs ago, went to HVAC while in college, became a professional firefighter 3 yrs ago and have slung a hammer on my days off ever since - mostly finish carpentry... never giving orders, just receiving them. I am in hopes of starting a handyman business b/c where I live construction is booming and most of the contractors don't want to be bothered with these types of jobs. I have been hung up on pricing, and no one around here wants to reveal their prices... afraid of competition. I was just looking for a little help from people with more experience so my business adventure didn't go belly-up.

[kreg McMahon]

Re: Handyman Business #2

you can be successful either way... by charging hourly and by the job. I do it both was and make money with both of them if you charge by the hour and it is up thier. you must know your stuff, have supplies be neat and clean up after yourself. be quick and get it done, and done right the first time, and you will be successful.

people do not mind paying as long as they feel they are getting their monies worth.

just the other day I had to lower a deadbolt latch 1/2 " so it would lock better took 10 minutes. 75 bucks. lady was very happy to pay me my min charge, remember it took me 30 min their and 30 min back . but when I was done she felt better, being a single women and living alone that she could now put the dead bolt on her back door. she had 2 friends who tried to fix it and couldn/t ( i do not know what they did, there was no evidence) but she felt she got value for her money.

quick story: I had a friend who was a locksmith... I was visiting him, he got a lock out call for a car.. we went their and he tried the drive door , no luck then the passanger door no luck, keep trying for about 10 minutes, finally got the door open and the lady was happy and paid him 65.00 (this was 20 years ago) we got back in his van.. and I said boy that was a tough lock to open.. he said no it was not. you have to put on a show and take a few minutes and make it look tough and they are happy to pay you.. when I would go out and boom.. open it up right away people seemed pissed off that I charged them 65 bucks..... true funny story.

show time!

[kreg McMahon]

Re: Handyman Business #2

also remember, if you show up at a house in an old car, beat up truck or van etc and want to charge top dollar, people are not going to be so sure. you show up in a nice van or truck, name of company on side, have cards, printed invoices (not rubber stamped from pads at staples) printed estimate sheets etc. and look professional then you can charge as a professional.

[kreg McMahon]

Re: Handyman Business #2

g fresh,

several other things came to mind. that is of training and knowledge of our industry. as a handyman you are asked to lots of different things. for example hanging pictures.... okay... do you remember to wash your hands first so you do not dirty the walls? for example. dryrot repair, I get a lot of that. do you know how to carve bondo to match the profile you just fixed? and then sand and prime and paint so you can not tell it has been repaired?

I have seen a lot of handyman work in my 9 years of doing this business, and have seen a lot of crappy repairs and a lot of customers complaining about the unprofessionalism etc.

in order to be successful you need to learn all aspect of this business, which you can do. so start off charging for your experiance and move up from their.

I can charge a higher rate because I give the customer confidence that I can do the job, better than anybody else, clean up afterwards etc.

when you learn this business, As I have from scratch and also from a lot of reading, mags, dvd training, shows, talking to others in this business, watching, and these forums and asking questions (like you are doing) you can become successful,

and always have a positive attitude and never get upset at a job and throw things, cuss act pissed of if things do not go right. you may laugh, but I have heard this many times from people about the last handyman that did some work for them... I have heard it a lot. remember to be paid as a professional, you must be percevied as one and act like one. you can and will be successful.

just keep asking questions I am happy to answer,

[carpenter]

Re: Handyman Business #2

Didn't really feel like I needed to fill out a profile... any questions, just ask. I was just looking for a little help from people with more experience so my business adventure didn't go belly-up.

I was sincerely trying to help you. And so is Kreg.

I know first hand that there is a ton of helpful info here for the asking. You will be ignored by some of the finest minds here IF you don't fill out your profile. It's a courtesy.

There is no magic number, the going rate is a myth, the right number for me is probably the wrong number for you. You have to figure your own for best results.

Start by asking yourself how much it will cost to be in business. Get quotes for insurance, what tools or equipment will you need to buy or maintain, whats it cost to operate your truck, etc. Ask more questions.

Good Luck
Dave

[carpenter]

Re: Handyman Business #2

Kreg,

The locksmith story... priceless.

Good Luck
Dave

[Mueller Construction]

Re: Handyman Business #2

G Fresh,
If you are multi-skilled, have a wide variety of tools, can find solutions to problems rather quickly, deliver professional work, and work at a productive pace I'll pass on a price structure that I sometimes follow:

Labor Only:
Minimum - $75
Quarter Day - $125
Half Day - $200
All Day - $350 - $400

These are targeted minimums; you can make less but always shoot for more once you get your groove on.

If you can predict the amount of work involved - bid it. If it looks open ended - T & M it. As Kreg outlined, look professional to charge professional. Remember to mark-up the material 15% to 25%. Remember about perceived value... if the customer can conceptualize how the job is done, it is worth less money to them. If they are impressed with your skills and tools, it is worth more to them.

Seems nobody wants to divulge their prices but maybe they will tip their hands as to whether the above prices are high or low.

Best of Luck,

[kreg McMahon]

Re: Handyman Business #2

brian,

the prices are about right sometimes a day rate might be a little higher. and if you have to drive further, you need to add gas cost to the min

several francise service here charge 95 an hour, and that is for an employee to come out.

[S. Donato]

Re: Handyman Business #2

i know a few handyman companies around here charge from 75-150/hr for an employee to come to the house. i had one client tell me that he paid 75 for one to come out do some work and the main thing he called them about the guy couldn't do - clean gutters - he didn't bring a big enough ladder.

my min is higher b/c i service a pretty large area and traveling takes up so much time.

i do have hourly prices but rather not say and i offer a one man price and a two man price. the two man price is 10% discount off one man for two hours. the customer recognizes the discount and feel that it is a better deal and i usually get the job based on that. this helps me do more work quicker and move onto the next job.

from the business standpoint it is works fine since it covers all my costs for the 2nd person and i am paying them less per hour so i still make money. plus i don't have to work as hard and neither does my sub. so we don't get as tired as quick.

[G Fresh]

Re: Handyman Business #2

Thanks for all the comments so far... I hope I have not come off disrespective. As a professional firefighter, I have learned a lot about professionalism when entering other peoples houses... but every tip is handy. Thanks.

I have already been contacted to finish a bathroom that the HO started... half framed - then quit. I believe I could be there several days, but I don't have a great idea of man hours (partially b/c I haven't seen the job yet,) It is a small bath, I believe a half bath... so the rates brian disclosed are very helpful.

One problem I will have starting out is I will probably be slow, but I will eat some profit in the beginning to make sure the job is professional when complete. I know a lot of contractors who keep telling me that if I don't know something, learn as you go b/c I am losing money everyday the business is not out there. However, I do not believe in the beginning I will bid a job that I am not completely confident with.

Thanks for the discussion.

[kreg McMahon]

Re: Handyman Business #2

I It is a small bath, I believe a half bath... so the rates brian disclosed are very helpful.
.

since it is a half bath then you need to charge half price!

[Mark Parlee]

Re: Handyman Business #2

C'mon G, give it up, fill out the profile
you were asked to and you question us, yet you want our advice and to be part of this community
Everyone that has responded to you has theirs filled out.
Now do it, it is a professional courtesy

From your posting so far you seem like a guy that will fit right in here, not trying to come off as a hardass but you know...