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What Should It Cost?

June 10, 2017

 

It amazes me how many companies have no idea what their projects cost.
 
The other day I was interviewing a seasoned concrete expert who has been in the industry for over twenty five years and he told a story about how the company he is working with now, is the first one to ever perform detailed job costing.
 
Up until working with his current company customer pricing was done by what the market would bear, square foot pricing and guessing.
 
No wonder so many of the companies he has worked for are no longer in business.
 
Job Costing is actually an easy task that will provide a break-even number that guides you to where the selling price should be. It can be achieved in many ways, preferably with some automated software. An Excel spread sheet is a great place to start!
 
It easy fairly easy to achieve a “true cost” and determine a project break-even which is the starting point I recommend. Once you master that you can decide how exacting you want to be.
 
If you would like to have a discussion about your costing practices, no matter what stage you are in please feel free to give us a call.
 
Guy

 

 

 

 

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© 2017 by Guy Gruenberg and Grow Consulting