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BusinessConsultantLosAngeles.com
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Guarantee for Small Business
Consulting Services | Los Angeles, CA
The $10,000 Promise
& Pricing Estimate Worksheet
Whenever I go into a small business to consult
I rarely find that they are pricing themselves correctly.. Many companies don't know what they
should be charging. They don't know if they should raise or
lower prices. They don't know how much profit they have built
into the sale of their product or how much profit they have
built into an estimate or a bid for a job they propose to
perform. For a business, not knowing this is not a good thing.
Let me state the obvious: If you're not turning a decent profit
now, then you're not pricing properly...or...your costs (labor,
material and/or overhead) are too high; one or the other.
And I always hear the same thing initially from my clients: "I
know my costs are in line and I just can't charge any more."
Not true. I inevitably go through a process of getting business
owners to understand pricing concepts and the true costs and
burden included to arrive at a proper price or a profitable
estimate. This includes using the true costs of labor and
material, overhead load and optimum profit level by job or
product. There is a concept called margin mix. All owners should
grasp it and it is something I teach.
Many of you may know these concepts or are close to knowing
them. But even if you don't know exactly, you can still use a
simple Excel program for your pricing that you could enter
numbers into and it will give you a better price or estimate than what you
are charging for your product or service now.
Here's the promise:
* If
you have proper financials and generally know true costs (labor
burden, etc),
* know your proper
overhead load (e-mail me if you don't, I'll help you calculate),
* provide a quality
product or service,
* your business does
at least $300,000 a year in sales,
* and you use the
downloaded bidding tool to raise or lower your prices
accordingly...
You will make at least an additional
$10,000 profit in the next 6 months. And probably a lot more.
It works every time!
Just fill out the download form below. We'll send you a simple Excel
spreadsheet. Get familiar with it. Use your own bidding system;
then use this one to compare. It will tell you what you should
be charging to make your desired profit level. Over time, start
using this one all the time.
If the prices estimated are too high in your mind, then you must
take a hard look at your costs. It's pretty basic. Remember:
No
profit or low profit equals either prices too low or costs too
high.
If you need help with this tool, or in reducing your costs, or if
pricing looks skewed, or if you have any questions, contact me,
(e-mail:
randy@rmoonconsulting.com, ph. 469-767-5012) and I will get
back to you quickly.
(Depending on your industry, you may need another type of
pricing tool.
Contact me.)
...And you need to be job costing also. This spreadsheet has a
simple job cost module included.
To receive the Download Link, please fill
out this form and then check your email:
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Los Angeles Small Business Consulting Services: management, development,
process, strategy, planning, growth,
success, business plan/model, start-up, family business consulting, executive
coaching.
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