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Email to client too harsh?

Cooper | Posted in Business on May 11, 2008 04:26am

I sent an email to a potential client last night that I’m regretting. I was hoping you guys could read the email and tell me if it came across as too harsh. A bit of background first:

For some reason, I have to learn every business lesson the hard way. You’d think with access to this forum and to roundtable advice from experienced pros, I would save myself headaches that are forewarned by others—not me! Case in point: I’ve always attempted to show line items for every aspect of a job, and on a summary page (Using Xactimate) my overhead/profit broken out. I’ve justified this as being “transparent” and thought being upfront and open would give an edge over other “one number” contractors. I was warned I would be nitpicked to death (and sometimes am) but mostly over the last few years, I’ve been more successful than ever before.

Recently though, a potential client questioned my 40% margin, mistakenly thinking it was 40% MARKUP. This guy is dating an architect who went through my bid, line by line, confirming each item’s relative cost, and then looking at the final page, and blowing a gasket at the overhead/profit. Telling me that the industry “standard” for profit/overhead was 25% of the job cost.

My client sent me this email:

Hi Stephen…

After our telephone conversation I looked at the margin number a little more closely. Perhaps there is a miscalculation. Here’s what I came up with as far as margin %’s

40% of 7988.52 = 3195.41

60% of 7988.52 = 4793.11

66.67% of 7988.52 = 5325.68 which is the number detailed on your estimate.

Maybe something went wrong in the calculation, thought I would just share the numbers I came up with, you may want to revisit it to see if there is a miscalculation somewhere…

Thanks,

Gary

MY RESPONSE:

Gary,

You’re figuring “markup” NOT “margin in your email.

The Xactimate estimate I sent you shows “margin” which is different from “markup”. Markup is a flat percentage profit on a product/service. The Gross margin shows what percentage of the total job price is potentially profit (including markup) BEFORE overhead, taxes, and other fixed costs are deducted. In other words, a $100 total job cost at 40% MARGIN(NOT MARKUP), $40 is profit.

Of course, that’s before the government takes out taxes, on the forty percent, the cost of liability/workers comp/auto/bonding insurance, the cost of registration with the city, cost of owning/maintaining tools/trucks/associated materials, subscription estimating costs, advertising costs, etc. Unfortunately, running a remodeling company, because it encompasses so many subtrades that require a variety of tools, isn’t cheap.

Call me crazy, but I also want to be compensated for unbillable time—time spent meeting with clients, bidding jobs, organizing tools/materials, keeping track of receipts, job costing, accounting, dealing with employee payroll, being audited by health and human service, etc. I realize you must think me greedy—-but believe me, it isn’t worth doing a job that doesn’t at least compensate me well enough to start saving for retirement AND affording health insurance. I’ve paid my dues, working at the bottom of a remodeling crew (inspite of earning a Bachelor’s degree summa cum laude!), learning through doing and on my own, since I’m passionate about my job. After a few LEAN years, I’ve discovered it’s better to profitable, than busy. Knowing when to take a job, and when not to, is tough to learn, when you’re taught that if you work hard you’ll be fine in this country. As much as I love the artistic side of the profession, I’m a realist: it’s a physically and mentally tough profession and it’s not worth doing for too little money.

But let’s check out the POTENTIAL profit margin on your job, just for the heck of it:

If you take the $5000 margin for the job, and remove taxes (50% roughly—self employment taxes as you know are 12.6% for social security, 2.9% medicare, 2.1% Cincinnati tax, 3% Ohio state tax, and federal income tax 28%) you have $2500. Overhead has been running around 20%, so take off another $1000..you’ve got $1500. Spread that profit over three weeks, if we hustle, and the company makes roughly $500 a week—–ASSUMING I haven’t missed something that is unforeseeable and I have to eat the costs. I work 50hr weeks (or more)—-that’s roughly $10/hr. after taxes. Not exactly super rich!

As Dean pointed out, my line items maybe in line with the industry norm for each subtrade, and it should be since I pay about $800 a year for the data that keeps up with that information, BUT the cost of each subtrade does not take into consideration the overhead/profit margins for an established company. I would be surprised if a legitimate full-service remodeling company is less than my bid. You will undoubtedly find less experienced, or less transparent firms to initially cost less—-but I have been called in many times to do the job correctly after unscrupulous “contractors” ripped off penny-conscience clients. Accountability, professionalism, and pride in one’s work have a value too.

I enjoyed meeting with you, and I had hoped that we might have had the opportunity to work together. I do realize in tough economic times that sometimes price is the most important factor in certain jobs. If that’s the case, you do have an option to save money: Dean, being an architect, must know many trades people who might “moonlight” (do the job on the side from their regular job). If you decide to take that route, you should be able to get the job done for much less money. Since you work at home, this might be your best bet since you’d be able to watch the work progress, and since Dean can verify that it’s being done correctly. Ask for proof of insurance, registration with the city, and see examples of work.

If you have any other questions, please email or call me. I’m curious to know what the other bids will be….

Take care,

Stephen

Too Harsh?

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Replies

  1. MSA1 | May 11, 2008 04:51pm | #1

    Just the fact that this guy is calling you on your margin tells me you were no where near as harsh as you should have been.

    I probably would have seasoned that e-mail with a few properly placed f-bombs.

    I had a guy tell me I was making too much once, I about wanted to deck him.

    When an employee (of any business) tells you your rates are too high or "more than they make" its obvious they have no idea what running a business takes.

    After rereading your initial post I dont think he could have insulted you more.

     



    Edited 5/11/2008 9:52 am ET by MSA1

    1. Jim_Allen | May 11, 2008 05:49pm | #8

      You are way overreacting Mark. It's not an insult if someone thinks you are making too much money. It's just an opinion based on their perception of what "too much money" is. Often, they don't take into account all the expenses and trappings that go into the price. It's really a great place to explain the benefits of your company and explain why it's a smart choice to used a company that is going to be in business forever. You can point out that most contractors fail to understand their business expenses and statistics show that a very high rate will fail within a time frame that won't cover the warranty.A proper response might be a hearty laugh followed by the explanation above. That forces the client to put his true objection on the table, whatever it really is. Sales isn't taking a swing at everyone that doesn't like your price LOL! Bob's next test date: 12/10/07

      1. MSA1 | May 11, 2008 11:03pm | #20

        You're probably right, but I can just see this guy with one eyebrow raised knowingly as he "beats the day lights" out of his calculator.

        I just have a problem with people that I perceive as cocky. The way I understood the OP his client seems cocky.  

    2. User avater
      MarkH | May 12, 2008 05:38am | #26

      Speaking as a non professional, I don't remember ever hearing anyones markup on a proposal. I have said something like "that seems like a lot more than I was expecting" or something like that, and almost got decked by a tree trimmer that was offended by my comment. Truth is, everything seems expensive to me (I still think he was a crook). But it's very expensive to run a business properly and profitably, so I think you should have just said that you miscalculated the price, you were too low, but you would still do the job at the original quote.

  2. Hal123 | May 11, 2008 04:59pm | #2

    You were doing OK through line one. Then you blew it. IMO, you should have left it at the first statement and let the client then come back and ask for a definition of margin. You could have then furthered the dialogue.

    The rest of the email read like you were really pissed and it also came across as "don't bother contacting me again".

    Sorry, but you asked. I should know because I have alienated a few customers in my day as well. Since they have the checkbook, even if they have not written a check yet,it seems to give them a holier than thou attitude on occasion.

    1. Jim_Allen | May 11, 2008 05:54pm | #9

      "You were doing OK through line one. Then you blew it. IMO, you should have left it at the first statement and let the client then come back and ask for a definition of margin."I think the entire discussion is off track. The goal is to sell the client, not win the argument. In the book, How to Win Friends and Influence People, the author explains that "If you win the argument, you lose". It's really that simple. Bob's next test date: 12/10/07

  3. jwinko | May 11, 2008 05:06pm | #3

    Reject this client. Anyone quibbling over an project that costs less than $8000 and is projected to last for 3 weeks should not be deal with.

    I agree with the other post that you were not harsh enough. Perhaps you should not have bothered to reply and waste any more of your time.

    Good luck

    john

    1. davidmeiland | May 11, 2008 05:36pm | #5

      >>Reject this client. Anyone quibbling over an project that costs less than $8000

      Definitely what I would do.

  4. USAnigel | May 11, 2008 05:16pm | #4

    I like it!

    I note you were picked on my someone who won't sell you a product, only let you use it once 'cause they think it belongs to them!

    But they were correct your price is wrong SHOULD BE HIGHER!!

  5. Oak River Mike | May 11, 2008 05:39pm | #6

    Stephen,

    I agree with jwinko (I think I got the name right?).  Anyone who is spending THAT much time on an $8k job would be a pain to work with.  And also, not minding YOUR business but if YOU spend that much time debating and working out numbers on jobs that small, you're spinning your own wheels.

    I don't mean that to be critical its just I have worked $50K+ jobs that I would never have to explain all that to the client.  More like here is my price, here is where you can save a few bucks by changing some things and thats it.

    My thought is if you have to work any math or show a % figure in any of your negotiation to get a job that small with a client, its a red flag for trouble.

    Just my two cents of course.

    Mike

  6. Jim_Allen | May 11, 2008 05:43pm | #7

    I'm okay with you deciding to be transparent but your email was all wrong from a sales point of view.

    In the words of a very wise television shrink..."What was your payoff?" and "How's it working for you?"

    Every sentence in your email should have been focusing on your #1 goal: close the deal. Instead of teaching the guy about economics, you should have been explaining the benefits of using your company. Explain that covering your overhead and making a profit allows you do do a great job and stay in business to service the warranty.

    Ask questions. Ask what margin or markup the other contractors were using. They won't know but they will know where your prices are in relation to the others. It's the bottom line that counts for most people. They just want to know that they aren't overpaying and if you're in the same neighborhood on price, that objection is a moot point.

    One last thing about sending letters or emails. Write them, then put them in the drawer overnight. In the morning, re-read it. If you still think it should be sent, send it. I'm thinking you would have re-thought this one.

    Bob's next test date: 12/10/07

    1. Cooper | May 11, 2008 07:16pm | #13

      Jim,I will definitely use the tip on waiting to send questionable emails written at night until the morning when my head's more clear. I've been working so hard, been so busy lately, that when I finally had the opportunity to read his email, I was annoyed. (Especially since his boyfriend is an architect who knows EVERYTHING. No offense to architects---they know how to draw, but seldom how to build, and even less often how to run a small remodeling company...). I was afraid that writing an email that late might be a bad thing. I was so heated, that I didn't care about closing the job.I've been fortunate to be extremely busy right now---so much so, that clients that seem like a handful don't get catered to. (I'm booked steady to the fall, and am considering bringing on two lead carpenters to expand, but that's a whole other problem). Over the years I've started to get a vibe for jobs that I'd be better off NOT getting. It's funny, because after I did the math in the email, I started to realize I charged too LITTLE!Thanks for your thoughts...I'm just not wanting to do his job---hence, why I wasn't really focused on closing. (Of course, I don't want to get the reputation of being rude, since I do little advertising, and this guy is a referral of a friend----don't want to make my friend feel bad for referring me.) There's about six bathrooms lined up and a master suite addition with clients who are willing to WAIT for my services AND recognize the quality they're getting is about VALUE and not nitpicking the price....

      1. Robrehm | May 12, 2008 08:49pm | #34

        , I don't want to get the reputation of being rude,

        You won't. Chances are every one around him knows what he is like & will take his comments with a grain of salt.

        ONce some one like that is succeseful in beating a contractor down like that, they refer them to other like minded indivuals with a note on how they got the job for less.  You are better off without them. I'm pretty nuetrral on the letter. Something else to consider, the 'architecht" may not be real.  A couple classes, a minor in architechture or a naval architecht (big ego drafts person too) deos not a realistic architect make.

  7. dovetail97128 | May 11, 2008 05:58pm | #10

    Hope you weren't vested in getting that job.

    I liked the breakdown of what is included in the "margin" , beyond that I would have deleted the rest.

    They can't get your Goat if you don't tell them where it is hidden.
    1. onthelevel | May 14, 2008 07:03am | #43

      I agree with Dovetail, You should have just dropped it after the margin explanation. I would not have sent any more than that and a thanks for their consideration. I think you went way overboard on a response that will only come back to haunt you. I would just keep my mouth shut and walk away.  Take Friday off and look forward to an appreciative customer.  Wouldn't want a customer like that anyway.

      1. cap | May 14, 2008 07:38am | #44

        I had a request to design and install a CCTV system for process monitoring at a concrete batch plant that was being built.  Many cameras, some on top of 125' towers, some in a heavy cement dust environment, digital video recording, many big flat panel monitors in the control room, and the plant mgr & project manager wanted high quality, durability, and reliability.  Short time frame for the install, to start in 3 weeks.

        I give a quote of about $32k with some general specs.  A week goes by.  The proj mgr calls, says "wow that bid seems high".  And I ask, I bid the job the way you wanted it, for the price I can afford to do it for.  I ask, what's your basis for that judgement, did you get another bid?  No, he says, no other bid, your number just seems high.  I say, well we can cut costs a bit if we use fewer or lower resolution cameras and flat panels, and so on.  HE says, "I'll get back to you".  I figure, goodbye and good riddance.

        A few days later, he calls, "O.K., let's do the job per the bid, you need to start next week".  I tell him, I'm sorry, we're booked up.  We were, but not with anything that I couldn't have juggled if I'd wanted the job.

        I had no regrets.  The job would've been fun to do, but the initial response left such a bad feeling, I just didn't want it.

        I recall the advice that Sonny Lycos and others gave at JLC, if you're not losing about a third of your bids on price, you're not priced high enough.  Given that you're a high academic achiever, you probably want to win every debate.  Don't waste your time.

        Cliff   

        1. Cooper | May 15, 2008 01:44pm | #46

          I agree with you and what another guy said: If you win the argument, you lose. In this case, I'm probably lucky. The vibe off this client was off.I love construction, but I wish it didn't come with so much associated baggage (e.g. the perception that contractors are flaky, rip-off artists...) Most of my clients are great---it's just incorporating new ones that can seem like a waste of time.

  8. Jay123 | May 11, 2008 06:10pm | #11

    Here's one of my doozy's from a couple of years ago if it makes you feel any better. Jim is completely right...what the hell did I gain from it?

    J

    Jay123,

    To be perfectly blunt, I about fell out of my chair when I saw this
    email. That estimate is somewhere north of ridiculous. If you're in
    the business of trying to gouge customers then I obviously picked the
    wrong company. I've seen my share of people trying to take advantage of
    homeowners in an aflunet area but this is a bit much. I have a friend
    who worked for xxxxxxxx and now builds houses and he couldn't believe
    it either. He said his cost on that plan would be around $50k tops so
    even with a decent profit it shouldn't be anywhere past $65-75k.

    Just send me my final drawings including the mechanicals and I'll look
    for other options.

    yyyy

    To be perfectly blunt with you as well, I take some serious offense with your comments. As soon as you and your friend can tell me what my job costs and overhead costs are, as well as my net profit goals are then you can tell me how to run my business.

    As far as taking advantage of people living in "affluent" (your term, not mine) areas, please take a closer look at other neighborhoods in the metro area for your definition of affluent... everything is relative.

    We have worked in homes that are both much lower and much higher on the price scale than your neighborhood. Our prices are determined by our costs...it doesn't matter where the home is located.

    I have always thought of people living in "affluent" areas to be some of the better educated people, and especially those that have had other remodeling work done, and they have been some of our best clients

    I would personlly suggest that you have your friend do your work for you, it sounds like he's got it figured out. Be aware, building homes and remodeling are often two very different animals.

    Just because you (and your friend) think we are charging too much, doesn't make it fact. And it also does not make it acceptable to insinuate that we are in the business of "gouging" or "taking advantage" of our clients. As I mentioned above, our clients are highly educated, intelligent people. No one is forced to hire us, just as you are not

    As far as final drawings go, you've already got them, good luck with your project. You've also never mentioned the fact that your kitchen design was never included in the cost of your drawings, as well as the numerous changes to the kitchen, so - you are welcome.

    Also, please make sure to pull a permit and get inspections for your own safety, as there will be plenty of people who will tell you that you don't need a permit - and that is just wrong. It's the law and it's for your own safety.

    1. Oak River Mike | May 11, 2008 06:45pm | #12

      I've had one or two of those as well.  I think its funny folks feel the need to try to "put you in your place".  If I called someone for an estimate on anything and didn;t like the price, I would either just not call back or call and bow out gracefully as I would still want to keep on their good side for future needs.

      Thats the problem of many folks and free estimates.  They are tire-kickers and will call everyone around harassing them for a better price.

      One thing I have found is if its a couple and the man either doesn't work or works at home, be ready for trouble as they have wayyyy toooo much free time to try to tell you how it should be.  Stay at home women don't seem to be as bad.

  9. tashler | May 11, 2008 07:52pm | #14

    I know I'll catch he!!, but am I the only one who noticed that Gary is dating Dean?

    Hmmmmmmmm.

    1. User avater
      davidhawks | May 12, 2008 01:05am | #22

      Isn't that sweet.

      Not that there's anything wrong with that.The best reward for a job well done is the opportunity to do another.

  10. MikeSmith | May 11, 2008 08:24pm | #15

    What...... AYAFI ?
    <<<<<<or some reason, I have to learn every business lesson the hard way. You'd think with access to this forum and to roundtable advice from experienced pros, I would save myself headaches that are forewarned by others---not me! Case in point: I've always attempted to show line items for every aspect of a job, and on a summary page (Using Xactimate) my overhead/profit broken out. I've justified this as being "transparent" and thought being upfront and open would give an edge over other "one number" contractors. I was warned I would be nitpicked to death (and sometimes am) but mostly over the last few years, I've been more successful than ever before.

    Recently though, a potential client questioned my 40% margin, mistakenly thinking it was 40% MARKUP. This guy is dating an architect who went through my bid, line by line, confirming each item's relative cost, and then looking at the final page, and blowing a gasket at the overhead/profit. Telling me that the industry "standard" for profit/overhead was 25% of the job cost.>>>>>

    i think you got just what you deserved
    why on gods green earth do you feel compelled to be transparent ??????

    edit... and furthermore.... as andy engle is want to say
    wrestling with pigs will just get you tired and dirty.... and the pigs love it

    Mike Smith Rhode Island : Design / Build / Repair / Restore



    Edited 5/11/2008 1:27 pm ET by MikeSmith

  11. wallyo | May 11, 2008 08:30pm | #16

    Cooper

    I think it was a little harsh, but not over the top. I would of just emailed back and said "there is no mistake the finial total cost out of your pocket is $ xxxx.00, I can start 0n XX/XX/XX if you like. I may have left the part on the difference of profit and margin or just said profit is only one part of margin.

    Wallyo

  12. brownbagg | May 11, 2008 09:07pm | #17

    two things I have learn here

    1) never line item a bid

    2) its not that you bid too high but other had bid too low

  13. rez | May 11, 2008 09:27pm | #18

    If you decide to take that route, you should be able to get the job done for much less money.

    Don't know why you would want to use the words 'much' and 'should' instead of 'for less' and 'might'.

     

    Click here for access to the Woodshed Tavern

    Click here to visit the beginning of Breaktime

  14. runnerguy | May 11, 2008 10:36pm | #19

    I think the response was a little wordy but you got your point accross.

    One general question: How long did you wait before sending your response?

    The reason I ask is I've learned if I get an email that upsets me in some way, it's best to wait at least 24 hours so I don't send something that's rash. I normally type out a response immediatly and save it for review the next day. Sometimes when I read that initial draft, I can't beleive I was going to send it.

    I think my "24 hour rule" has saved me a lot of grief.

    Finally, I don't know why you would want to have margins known to the customer. When you buy a big screen TV you're not privy to the stores markup. You can't win with the client knowing your margin. If it's too high it's "Hey contractor, you're gouging me!!!", if it winds up too low it's "Hey, the bid's the bid. Figure better next time sucka." You can't win here.

    Runnerguy

     

     

     

  15. susiekitchen | May 12, 2008 12:06am | #21

    First, let me say that my quotes are nothing like transparent, and I don't feel they have to be. I wouldn't provide client or architect anthing but the final total, broken down sometimes by labor, cabinetry,etc., but most often not. Nor do I feel that any contractor has to provide that much info to a client, most of all on a job that small.

    One of my recent customers asked for a cabinet list; I provided a copy of the invoice with the pricing whited out. She asked "Don't you have an item by item price?". I told her that the manufacturer's pricing software I use takes list per item and totals all together, but doesn't show the retail for each item. Even if I hand price a job, I don't take each item to retail, and I don't know anyone who does.

    A colleague said I should have asked her if she got the prices on the spark plugs, steering wheel, ignition switch, etc. on the last car she bought.  Wish I'd thought of it at the time.

    That being said, the client's email to you was rather smart-assed, since I would expect that any architect worthy of the name could have figured out something was wrong with his/her figures with that kind of mark-up. However, I think your email was a bit over the top, too. I'd have settled for "Gary, are you and Dean perhaps confusing mark-up with margin?" and let them be the ones to figure out they messed up and get back to you.

    I know the point is to sell the project, but I'd probably consider myself well-off to not have to deal with this client.

  16. User avater
    Ted W. | May 12, 2008 03:33am | #23

    When a customer, or potential customer, asks me how I figured the overall price of a job, I tell them that's what it's worth to me to do the job. No fuss, no details, none of all that hogwash. Either they want me to do the job at my price or they don't. It's that simple. I would never discuss line-item costs, markup, margin or any of my costs with the customer. They know my work and they are welcome to shop and compare.

    This is America, dammit!

    Edit: Don't mean to sound harsh, but that's just the way I feel about doing business.

    :D :D :D

    --------------------------------------------------------

    Cheap Tools at MyToolbox.net
    See some of my work at AWorkOfWood.com



    Edited 5/11/2008 8:34 pm by Ted W.

  17. User avater
    dieselpig | May 12, 2008 04:05am | #24

    It probably made bad business sense to send it.  That being said.... I liked it.  Maybe it's just the mood I'm in, but I feel like we all take an awful lot of krap in this business.  And every once in awhile you get the opportunity to hand a little of it back.  And it usually feels pretty good.  Childish?  Sure.  But so is going to Disney World and I like doing that too.  

    I can't afford health insurance for myself or my guys.  I struggled for 2 years with myself before pulling the trigger on a $400 toolbelt that I'll spend more time in than my own bed (literally) .   We're dipping into our savings for our (one week) vacation to the Cape this year.  A few weeks ago I wrote out a $32,000 check for Uncle Sam.  I've got my worker's comp audit coming up and am not looking forward to them bending me over my own kitchen table in a week or two.  I have to chase about 75% of the last draws on my contract payment schedules for months after I finish a job.  I usually get them eventually, but sometimes I don't.  I'm constantly in competitive bidding situations and am usually the 'high' guy and have to hear about it.  Meanwhile, my 'competition' is frequently playing the same game but with a different set of rules... not paying a living wage to their employees, not carrying the appropriate insurances, delivering a sub-par product, etc.    I submit invoices for work that GCs order and get looked at like I'm a criminal for actually charging for work that was outside of the original agreed upon scope and my rates for additional work are clearly spelled out in my contract. 

    So yeah.... I get the 'bitter' thing sometimes.  :)  Just don't let the bastards get ya down.

    View Image
    1. User avater
      Huck | May 12, 2008 10:16am | #29

      man I loved that post!View Image â€œGood work costs much more than poor imitation or factory product” – Charles GreeneCaliforniaRemodelingContractor.com

    2. User avater
      JeffBuck | May 13, 2008 12:17am | #36

      "Childish?  Sure.  But so is going to Disney World and I like doing that too.   "

       

       

      and we have a winner!

      Jeff    Buck Construction

       Artistry In Carpentry

           Pittsburgh Pa

    3. Jim_Allen | May 13, 2008 03:04pm | #39

      Careful Diesel....you're starting to sound like I did about three years ago LOL. Welcome to the real world of "carpentry isn't a real business"! Bob's next test date: 12/10/07

      1. User avater
        dieselpig | May 14, 2008 02:27am | #41

        You know, I actually thought that as I was typing it out Blue.  I've managed to settle in with a couple of really great GC's who just want a good job done right and pricing isn't much of an issue with them.  These jobs are always the big custom jobs.  I'm "their guy" and as long as I don't get greedy or stupid then I'm in good shape on their jobs.  I'm on one of them right now.  Unfortunately, I'm not yet in the position to fill my schedule with these guys... I've got 2, maybe 3, guys like that who throw me a couple of large jobs each year.   The rest of the time I'm playing the game like everyone else.... and it sucks.  I'm maybe 50/50 right now with the good guys and the 'shoppers'. 

        Two years ago I was maybe 15/85 so it's getting better.  I do know guys in my area who work for 'the good guys' 100% of the time doing nothing but one of a kind custom stuff and make a great living doing it.... boats, vacation houses, regular hours etc.  I'm just waiting for a few of 'em to retire!View Image

        1. frammer52 | May 14, 2008 03:01am | #42

          don't worry they will show up!

          I framed for years out in syracuse and the fellow I worked for never had to hustle jobs.  Last I talked to him, 2 weeks ago he had 23 guys and looking for more.  Not many houses this year, mostly apartments.

          I think he told me somewhere around 500 units.

          Hang in there, good gys will retire or move on.

  18. DougU | May 12, 2008 05:12am | #25

    Reread this post!

    104441.16 I think that says it all.

    Doug

  19. cargin | May 12, 2008 05:44am | #27

    Cooper

    When I give people a bid they get a description of the work, some materials (walls to be 2x6 ect.).

    Then a materials price and a labor price. Sometimes a landfill fee or equipment rental if it's something big.

    I think you're better off without a client like this. I would forget about and consider it a bullet dodged.

    That being said. I've been told numerous times how wonderful I am, but the few times I have been attacked are the jobs that you remeber for years. A thousand positive comments are wiped out by one negative comment.

    Remember that when you deal with your employees. There are always lessons to be learned through our trials.

    Rich

     

    1. Marson | May 12, 2008 05:56am | #28

      I agree. F*** em. Do you go into a grocery store and ask how much the markup is on a bag of peas? Or the lumberyard, hardware store, car dealership, doctors office..... Of course not. Why then should a contractor show his profit line?

  20. MarkMc | May 12, 2008 05:26pm | #30

    Coop.......

    Why on earth did you spend the time to respond to this gouger?

    Take a little knowledge and use it to beat down the lesser guy. That is, after all, what he made you feel like, right. Why else would you go into a paragraph about your degree, time spent on w/ the crew, taxes.......all that sh!t. He won, you lost. He could care less about you as a person.......why should he? You came to him selling a product. The product was the total package! Labor, material, knowledge & service!

    You took it personally.........he just wants the product for less. That make his cheap, or savy, or careful.........doesn't matter.........he wanted the product.

     Now if he's a real sadist, he'll hire you and sit there eating truffles while you sweat!

    All the advice has been great.............cherry pick what works for you and put it to work. Always use HALT when dealing with customers. (am I hungery, angery, lonely, tired?) I treat e-mail like a certified letter.........

    Better to write a one line response.......     

     

    1. User avater
      Huck | May 12, 2008 06:16pm | #31

      Good reply.  It all applies to me, too.  Got a lot to learn, which is why I hang out here!View Image â€œGood work costs much more than poor imitation or factory product” – Charles GreeneCaliforniaRemodelingContractor.com

    2. MikeSmith | May 12, 2008 08:04pm | #32

      mark... we gonna see you and yours at Doud's in August ?Mike Smith Rhode Island : Design / Build / Repair / Restore

      1. wallyo | May 12, 2008 08:18pm | #33

        Cooper What is the outcome you get an e-mail or phone call back yet?Wallyo

        1. Cooper | May 13, 2008 03:25am | #37

          It's Monday night around 8PM. No response yet...Thanks to everyone for all the great advice. That's why I hang out here too...so much to learn from people who have lived through it all....

          1. wallyo | May 13, 2008 07:46am | #38

            Cooper Keep us informed, I like knowing how things like this turn out, Its all part of the learning.Wallyo

          2. Cooper | May 15, 2008 01:36pm | #45

            Still no word....I think I must have pissed the client off....I should have taken Jim Allen's advice and waited to send the email. Thanks to everyone for replying

      2. Shep | May 12, 2008 10:13pm | #35

        More importantly-

        does he play golf?

  21. JohnT8 | May 13, 2008 06:25pm | #40

    Cooper, I'm not a construction pro, but i hire subs to help out on the houses I renovate.  With the exception of a few subs that I use automatically, I typically get 3 bids on any job.  I like the bids to show me what is covered, but I don't need to know how much the nails will cost.  Too much information.  The multiple bids tells me what ballpark I'm in.

    Seems like you may be giving your clients too much information.  If you think you're using a superior product/technique than competing bids, then mention that on the bid.  But if you break it down into micro detail you're just asking for trouble.

     

    jt8

    My advice to you is not to inquire why or whither, but just enjoy your ice cream while it's on your plate-- Thornton Wilder

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