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Article: Naming numbers: how do you respond when prospects or clients ask what your markup is?(Q+A)
- Article from:
- Remodeling
- Article date:
- August 1, 2006
CopyrightCOPYRIGHT 2006 Hanley-Wood, Inc. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
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KENT EBERLE
Eberle Remodeling
Sacramento, Calif.
Big50 1995
After 21 years in business, it is a rare occasion when potential clients ask about our markup. When they do, I tell them that we shoot for a 10% profit on every project and that sometimes we achieve the 10% and sometimes we don't. Along with that, I tell them we have overhead costs that are required for us to stay in business. I also mention that costs will be fairly equal among similar professional remodeling companies--we all have similar costs of doing business, assuming we are operating ethically and professionally.
If clients are going to nitpick and pry into ...