I work for an interior finish trades contractor--drywall, metal studs, acoustical ceilings, etc. I try to mark up between 18 and 20%. But hard times bring everyone out of the woodwork. A small munciple office renovation has 13 general contractors bidding, each with their own favorite sub. What are your odds?
The market should be wherever you can make the most money and still get the job. Companies that take work too cheap ruin it for everyone. My boss is a fool. He'll bid a job at 2-5% knowing they'll retain 10% until the job is finished. Those margins just aren't enough cushion if something goes wrong or material prices increase.
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Today's Featured Article - Seeing an Old Friend - by Joe Evans. Dad had a concrete contracting business starting in 1960. One of his first pieces of equipment was a Ferguson TO-35 with a Davis loader. Dad replaced the TO-35 with a MF 202 Workbull, essentially an industrialized Ferguson 35 I am told. Dad bought the 202 new in 1962, and I recall quite clearly going to the dealer with him to sign for it.
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