How Do You Measure Success in Construction?

By Michael Stone

Our goal is to help contractors build more profitable businesses, but how do you measure success? How do you know your pricing will result in a profit?


Charging a Fair Price

By Michael Stone

You can be the most ethical person in the world and if you aren’t charging enough for your work, you stand a good chance of cheating someone else.


Cost Plus Contracts

By Michael Stone

Why cost plus and time & material contracts should be avoided, for both contractors and building owners.


When Business Returns

By Michael Stone

At some point this health crisis will slow down and go away. When it does, there’s a good chance we’ll be doing some things differently. But some things won’t change.


Unclear Change Work Orders

By Michael Stone

Pricing changes for a change work order isn’t easy when the scope of work isn’t clear.


Let’s Discuss an Acceptable Hourly Rate . . .

By Michael Stone

This note is a painfully perfect example of why you shouldn’t provide details on your pricing.


About Your Exorbitant Markup . . .

By Michael Stone

From a contractor: “I am definitely going to do a better job in pre-selecting my clients after this one.”


Overhead Differences: New Homes and Remodeling

By Michael Stone

A construction company building both new homes and remodeling needs to calculate a separate markup for each type of work.


Taxes and Profit and Markup

By Michael Stone

Michael addresses a few different questions we’ve heard recently, primarily dealing with taxes and profit and calculating your markup.


When Success Looks Impossible

By Michael Stone

After reading our books and trying to do things right, why is he still not making any money?


Contract Language That Puts You at Risk

By Michael Stone

Over the years, I’ve seen contract language evolve, shifting more and more responsibility to general and specialty contractors.


Transparency and Partnerships

By Michael Stone

What do you do when your partner is listening to someone who knows nothing about construction, but still thinks they knows what’s best?


How to Calculate Markup

By Michael Stone

When I teach a class or webinar, sometimes I wonder if my listeners understand what I’m trying to say. After reading some of the questions that came in during a recent webinar, I realized I missed the mark.


Pricing Mistakes

By Michael Stone

Everyone, and I do mean everyone, who has ever compiled an estimate has made a math error that put knots in their stomach once it was realized.


Overhead and Profit on Change Orders

By Michael Stone

You shouldn’t sign a contract that stipulates what you can charge, even if it’s just on the change orders.


Breaking Down Price Detail

By Michael Stone

Since the end goal for both the architect and the contractor is a satisfied client, how about working together from the beginning?


Profit and Loss and Markup

By Michael Stone

When your books are set up properly, it’s easy to calculate your markup, and it’s also easy to compare your actual results to your estimates.


Lower Your Price, Gain Exposure

By Michael Stone

Should you take every opportunity to increase exposure for your business? 


Pricing Handyman and Service Work

By Michael Stone

There are two schools of thought on pricing handyman projects and service work: T&M or flat rate pricing. They both have advantages and disadvantages.


Justifying Your Price

By Michael Stone

If your lawyer believes you have to justify your pricing just because someone doesn’t want to pay their bill, it’s time to find another lawyer.


Transparency – Or Maybe Not

By Michael Stone

Is transparency the way to go when selling? Be careful who you listen to.


Markup or Margin: Be Logical

By Michael Stone

If they tell you the formula to use will make you more profit, that’s baloney. It’s the numbers you use that determines your profit.


A Minimum Price

By Michael Stone

Being profitable doesn’t mean getting rich off your clients.


Can You Be Both Competitive and Profitable?

By Michael Stone

You can’t lower your price and expect to make up for it by selling more, because there is a limit to how much you can produce. Every job needs to be profitable.


Pricing Without Plans

By Michael Stone

It’s important to remember you aren’t in business to drive around and give out numbers. If you’re a specialty contractor, you also aren’t in business to provide numbers to architects or general contractors.


I Don’t Need Any Leads!

By Michael Stone

“I have more work than I can do. I tell new leads to call me after the first of the year.”


Pricing Small Jobs

By Michael Stone

It’s hard to remember what you’re worth, especially if you’re spending time on jobs that cost you money.


Construction Allowances and Your Pricing

By Michael Stone

There isn’t one right way to handle allowance items that works for all contractors and all clients. Plan A may work for most clients, but then you meet Mrs. Oddball who seems to work at being difficult. So you derive Plan B and hope it works.


Sales Issues: We Want the Lowest Bid

By Michael Stone

Some clients want the lowest bid for their project, and nothing else matters. It’s your job to try to educate them.


Markup Worries

By Michael Stone

Remember, you’re in business to provide a service and make a profit doing it.


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