2 Jun 23

Are You Struggling To Get Good Tradesmen?

2 min

Read time

Rating

688

Reads

I want to talk about one of the key reasons why you might be struggling to hire.

Are you like a lot of Plumbers and Electricians out there who are desperate to hire some good tradespeople but you are just finding it hard to get the right people?

I want to start with a story it’s about the property market and an experience that my wife Bronwyn and I had over a 12-18 month period.

We were looking for a new house – we have got three boys and a young girl so we needed some more space.

We tried to buy three or four times and each time we got rejected for not paying enough.

The prices paid were quite a lot more than we thought we needed to pay.

Now, the same thing’s happening in the market for tradespeople, for qualified Plumbers and Electricians.

What you used to pay just doesn’t cut it anymore.

If you are thinking about hiring and you’re not getting any bites, well you probably need to look at what you’re offering; because the market is competitive and you really need to be paying top dollar to get the right people.

And here is the other thing to think about, I know it is scary to pay more, but if you get a tradesperson how much extra money are they going to make you?

The potential is, if your margins are where they should be, you could get $80-100K worth of gross profit out of each tradesperson.

If you need to pay $4-5k more to get to them does it make sense?

Well of course it does, You’re still going to be up, even though you’re paying a bit more.

And the other side of the coin is, because there’s a lot of demand out there for services, it’s time for us to actually increase our rates, and get our margins up so we can take our cut and pass it on to our team members as well.

So the lesson is this, there is a lot of demand for tradespeople and what you need to pay has really moved on; so if you if you are not getting the results you want, look at what you’re offering and super-size it!

Happy hiring!

150K increase in profit from doing one check. Heath and Adrian were struggling with Poor cash flow, Compounding overdues, Late on tax payments. With one check they found the issue and fixed it leading to an increase in Gross Profit Margin from 22% to 37%. Find out what that check was here.

Financials Systems

Normally when you think about your margin you think about profit. You wouldn’t think about its effect on building your team. Your margin is a major driver behind building your crew for 5 reasons. A weak margin means... 1. You can't afford to pay high wages. Read about the other 4 drivers here

Team

$200k in profit. 2 paths... Path 1: Doing 38 Jobs a month. Path 2: Doing 50 jobs a month. Which would you rather? The 38 jobs, right? It’s the same outcome, but an easier path. But HOW... Well, it all comes down to Profit Margin. Read to find out how it all works.

Sales

If you haven’t experienced cash flow issues then it's likely you will eventually, it’s just part of business. But there’s one mistake to avoid when they hit, and that’s the “I can just do more work” mistake. That’s because cash flow issues aren’t problems on their own, they’re symptoms of other problems in the business. In an attempt to build up some cash you try to do more work but...

Sales Systems

Putting a price on a job is easy, but putting the RIGHT price on is hard. That’s because as a Plumbing, Electrical or similar business owner, you’ll get in your own way leading you to talk yourself down before sending a quote or bid off. You don’t stop yourself because it’s easy to underestimate the damage lower pricing has on your business and the industry. As a result, you run into problems caused by...

Sales Systems

If you've been frustrated by the work ethic of your people, entitlement mentality, the lack of commitment, and the addiction to their smartphones, then this will be helpful. There's a name for these young people, and that's millennials. I’m going to look at some of the reasons why millennials can be different to manage and hire plus some strategies of how to best engage them and fulfil their needs in...

Team

Not every Plumbing, Electrical and similar trades, subcontracting or construction business owner has had experience with business coaching. They often think the chaos is normal and is just part of business, this usually stems from working for a boss who also didn’t know any better. So we host Workshops to give owners a taste of coaching and help them see what their business can do for them.

Events

Auckland set the stage for the first Bootcamp of 2023 with over 100 business owners pouring into the Aotea Centre ready for actionable insights, invaluable networking, and a healthy dose of motivation to keep them on track with their business improvement journey.

Events

From sunny Surfers Paradise in Australia, we once again felt the energy and drive that only our community can bring. Over 150 of our dedicated members joined us for an unforgettable two-day Bootcamp.

Events

Look, a couple of days ago we finished a one day training for our million-dollar plumber clients and there was a massive lesson there that was really helpful for you to grow your business, so stay tuned. Now if you're like a lot of the plumbers and tradies that we work with, you’ll be flat-out busy and from time to time you are going to struggle to actually make the...

Uncategorized

Are You Struggling To Get Good Tradesmen?

Read More

Find Out How We Can Help Your Business