On January 24, 2019 at 18:12, Ernie Gilman said...
I didn't say it, but that person could be allowed to see the invoice from me to the client, and that's all.
And being they are use to working with trades that have a MUCH higher profit than us (very little material cost, huge markup on it, and large labor)....
Cabinet guys bill $50K with $30K profit, they get a check for $6K.
Landscape guy bills $50K with $35K profit, they get a check for about $6K.
We bill the client for $50K and after all our expenses, change orders, overhead, and go backs; we profit $10K. They get a check for $2K. They are not going to be happy and call foul. Because they doesn't understand this business, it is not a simple contractor job. And since I'm not showing them my books, they will be mad and probably feel tricked. Become an enemy rather than an ally, despite the initial good intention.
% of the project profits, is just a bad way to go in my opinion.
