Starting your own business

[Ryooo]

Hi everyone. I just wanted to give a wee update. I basically took the plunge in February. Circumstances lead me to starting earlier than I expected but I guess when I have an idea in my head I'm like a hamster at a wheel.

Basically I was wanting to say what I've done since then and then maybe you guys could advise so I'm not currently doing anything wrong in your opinion or missing a very important part in the wheel so to speak. So here goes. I've also got some questions to ask at the end that I will post separate. Ps I just want to say the past 2 months have been an absolute blast. I wake up everyday rarring to go.

1. Leave the worst plumbing contractor in Scotland.

2.Go Self Employed through HRMC that night.

3. Name my company RCA Plumbing & Heating Services

4. Get work as a sub contractor on a new build site in Edinburgh. This is my comfort blanket. Enough work to keep me going 6 days a week. Mortgage covered.

5. Trade in my car for a van. Car was pcp and I always had a company van.

6. Get Gas Safe Registered. Buy public liability insurance.

7. Joined rated people. Seems its quite good up here.

8. My typical week is site Monday to Friday 8am to 3pm. Monday, Wednesday, Friday I've been doing private work after work. 2to3 hour jobs mostly. Saturday shift on site or private. Rest Sunday.

Now here comes my questions....

1. how to upscale it so I'm doing 5 days a week my private work and using my contractor as back up for quiet weeks.

2. Gas Inspection is 14th of June. What to expect.

3. I need a new FGA, what would you recommend?

4. Since I've started I've not done any bookkeeping whatsoever. Where do I fit this in? I don't why but it scares me and I'll do anything else to avoid it.

5. Pricing. I guess this is all personal and specific for where we live but I've solely used rated people for all my private work. Earning around £300.00 per week. I've had a 5 star review for every job and when I give a price the usual reply is that's very reasonable. My price list:

£30 per hour. 1st hour £30 per hour
£45 per hour call out charge
Disconnect gas hob £30
Connect Gas hob £60
Outside tap £80
Bathroom suite £450
10% Mark up on materials.

Thanks for reading. Any advice is greatly appreciated. Ryan

 

[Murdoch]

^^ book keeping is a necessary evil, ignore it and you won’t have a clue what you are earning or how to fill out your tax return. Do it daily.

Don’t forget to save for your tax and class 4 NI

 

[Millsy 82]

1 it takes time, but it also takes advertising. I find local magazines parish magazines etc to be fairly cheap and productive.

2 they are not there to catch you out. Most of them are there to help.if your unsure ask them. Make sure you have things like pads warning notices etc.

3 I like kane myself. Same as boilers though everybody has their favourites.

4 even if you keep something basic it helps. But then you need to employ an accountant at the end of the year.
I just keep a tally of jobs then at the end of the month tally up Amy fuel advertising costs van repairs direct debits etc so you know where your money is going I also like to write how much I get off each job how much I spent on that job etc so I can keep a track on if my pricing is going.
For each job I write invoice date, 1st line address, invoice number, how they paid cash cheque etc, total invoice, materials, total- materials.

5 each to their own with pricing but what you will find is £30 for your first hour is too cheap, you lose a lot of time driving between each job so charge more for first hour then work your pricing from that.

 

[Ryooo]

Thanks, just while you touched on the topic charging more for your first hour, do you still charge a full hour for Sat a 10 minute job? What's your thoughts on deposits?

 

[Ryooo]

Sat is meant to say say

 

[Millsy 82]

I charge £60 for first hour £35 after that what I found was I was doing 4/5 paid jobs then quoting etc for the rest of the day so working all day for £120-£150 now if I do the same its £240-£300.

Big jobs I take minimum 50% deposit i used to take materials plus 10% but now it's just generally 50% unless i dont trust them. Be honest with people say your a 1 man band and that you cant afford to lose a grand on the job. Most people understand if they dont dont worry too much.

 

[Rob Foster]

You could train your mrs to do the book keeping and claim her pay against tax and part of the house and bills, her phone also.
If you want to hide how much you are making from her dont do this, your father might be a good choice...teach whoever well and you will never look back. Fixed price outside tap adverts is a good seasonal lark
....subject to survey. We used to do 'red hot deals' in August and September for central heating servicing. Sounds like you are well suited to self employment
some fellas just are not.
centralheatking

 

[Inverness]

Your rates are cheap! don't under rate yourself if you don't charge the correct rate others will.

 

[Ryooo]

Your rates are cheap! don't under rate yourself if you don't charge the correct rate others will.

Thanks mate, what's the average hourly rate in Inverness?

 

[Inverness]

£30 -£40 per hour depending on the job and how busy you are. The way I look at it handyman are charging £20 per hour and tilers are charging £30 per hour.
We are recognised trade with qualifications and experience, and there's no two jobs that are the same.

 

[Rob Foster]

£30 -£40 per hour depending on the job and how busy you are. The way I look at it handyman are charging £20 per hour and tilers are charging £30 per hour.
We are recognised trade with qualifications and experience, and there's no two jobs that are the same.

Just to put this into the mix
in central london Pimlico Plumbers charge £125.00
per call plus vat for the first hour...that is inside M25 circle
outside is worse...Scott and his Father have done well I wish I had done it ...Rob Foster aka
centralheatking

 

[Ryooo]

Hi guys off topic but when do you lose your new member tag haha?

 

[Ryooo]

Hi guys! I know it's not in revelent topic but I've got the Gas Safe Inspection next Friday. What should I expect and have equipment wise. I'm stocked up on warning labels, ID tape etc but is there anything else I should prepare for? Thanks again for all your advice.

 

[ShaunCorbs]

bonding meter clamps eg for removing meters
ldf
fga etc

 

[iljoosk]

Greetings, I am now observing how the plumbing business is growing with the https://www.managemart.com/plumbing, recently I have discovered intuitively understandable business management software. I have not yet understood everything, can anyone help. Could anyone teach how to manage my own content, orders, payments, personal calendar and customer support through their application? I want to completely take control over the business. Does anyone already use this software?

 

[Rob Foster]

Hi guys! I know it's not in revelent topic but I've got the Gas Safe Inspection next Friday. What should I expect and have equipment wise. I'm stocked up on warning labels, ID tape etc but is there anything else I should prepare for? Thanks again for all your advice.

How did you get on ?

 

[Ryooo]

How did you get on ?

Hi Rob, he cancelled on the day of the appointment. Said he was really struggling with a cold. I was a bit Soded off at the time but these things happen.

I got on letter on Friday from gas safe saying I had passed my prohibition period. Result.

Cheers

 

[Ryooo]

Hi guys. I was wondering if anyone had any advice on marketing? I was thinking of flier drop but I've still do get the van sign writing done, I've not got a website, no social media interaction or going round letting agents etc. Most of my work has came from rated people, I get the first job done and they have more work to be done

I need to gain more sales and not sure where to invest. My last month or two, I've spent close to 2k on tools and plant. I just wish I knew where to put some savings into? Maybe you guys could advice from experience?

 

[Murdoch]

A website these days is a vital investment, so many people do searches for local tradesmen, so you need to be on the web. Even if you can only afford a single page!

You also need decent quality business cards and logo ed clothing. First impressions really count , so time keeping matters.

Don’t turn down small jobs, customers will often try people with small jobs first. The small jobs can be a pain, but the more clients you get, that are happy, spreads the word and your name

 

[Rob Foster]

Hi guys. I was wondering if anyone had any advice on marketing? I was thinking of flier drop but I've still do get the van sign writing done, I've not got a website, no social media interaction or going round letting agents etc. Most of my work has came from rated people, I get the first job done and they have more work to be done

I need to gain more sales and not sure where to invest. My last month or two, I've spent close to 2k on tools and plant. I just wish I knew where to put some savings into? Maybe you guys could advice from experience?

never sign write your van, nobody expects it nowadays because some low life will steal all your stuff...just get some magnetics and stick them on just before you turn up and take off after...and over the weekend stick them on your car.
Small companies sell large ones market there is a significant difference...leaflets are good, internet takes time, go get an hotel or a nursing home and build off that base. Local stuff like newsagents etc is poor but
we used to do the odd church magazine ...they were ace well healed folk own own gaff and want someone they can trust
let us know how you get on
Rob Foster aka centralheatking

 

[Ryooo]

Thanks Rob, great advice. Most of the local companies have their vans sign written up here. Van theft is thankfully low.

Great idea for the local church. Definitely going to look into that further.

Cheers mate

never sign write your van, nobody expects it nowadays because some low life will steal all your stuff...just get some magnetics and stick them on just before you turn up and take off after...and over the weekend stick them on your car.
Small companies sell large ones market there is a significant difference...leaflets are good, internet takes time, go get an hotel or a nursing home and build off that base. Local stuff like newsagents etc is poor but
we used to do the odd church magazine ...they were ace well healed folk own own gaff and want someone they can trust
let us know how you get on
Rob Foster aka centralheatking

 

[Ryooo]

Thanks Murdoch. Definitely agree that first impressions count.

A website these days is a vital investment, so many people do searches for local tradesmen, so you need to be on the web. Even if you can only afford a single page!

You also need decent quality business cards and logo ed clothing. First impressions really count , so time keeping matters.

Don’t turn down small jobs, customers will often try people with small jobs first. The small jobs can be a pain, but the more clients you get, that are happy, spreads the word and your name

 

[Ryooo]

On a secondary note, what advantages are there for being an improved installer with a chosen boiler manufacturer? Most of the companies round here a Worcester Bosch. Should you try and offer something different or not tie yourself with any? Cheers Ryan

 

[Welder]

A website these days is a vital investment, so many people do searches for local tradesmen, so you need to be on the web. Even if you can only afford a single page!

You also need decent quality business cards and logo ed clothing. First impressions really count , so time keeping matters.

Don’t turn down small jobs, customers will often try people with small jobs first. The small jobs can be a pain, but the more clients you get, that are happy, spreads the word and your name

Please don't think me rude Murdoch, but I disagree.

In my experience THE most important aspect of being self employed is understanding what makes YOU stand out from the crowd. It's whats different about you that people choose, not what's the same.

Finding and feeling what diffentiates you isn't always easy. Often it can be something as daft as enjoying, for example, old people's stories, or the fact you hate being late. Turn those idiosyncrasies into something positive in your advert.

The reason I disagreed with Murdoch was because until you KNOW what makes you different, and by extension who your customers will be, you cannot know how they like to be approached or what matters to them. Taking that even further, if you spend money on stuff that isnt going to target your customers its simply a waste...

 

[Justice League]

From the perspective of a customer. If they call you, you cannot pickup then have a nice message for them to leave a voice mail.

After that call back everyone even if you are not interested in the job. The obvious ones are turn up on time, invest in some app or software to help you with dealing with admin, quotes, invoicing etc.

Be clear on pricing over the phone if possible, it will save you a wasted journey which you could spend marketing or brushing up on your skills.