Hi Curtis I watched this video early January 2023 and I adopted your mark up matrix to my own HVAC business over here in the UK Came back here over a year later to thank you for the advice as it has increased my turn over significantly! Keep on truckin!
I wish you were in my area because I'd hire you to work on my HVAC. I've been a business owner for over 20 years, in a different field, but you understand what is needed to be successful and doing right for your customers.
Great advice from the heart of experience, Curtis! You touched on the difference between margin and markup, payroll costs, insurance, sub contracted labor, and I think you could do another half hour just on those. My suggestion to anyone thinking about starting a business is to work up a business plan. "Business Plans for Dummies" and "Cost Accounting for the Clueless" (names for illustration purposes) should be on the reading list. They won't turn someone into an experienced business owner immediately but then can help prospective owners identify places they lack information, experience, or background. Also the US Small Biz Administration has resources, and I think SCORE (Service Corps of Retired Executives) may still exist. It is not necessary for individuals to reinvent the squirrel cage fan. 🙂
Good info. I'm 8 years in. I work by myself also. Im always trying to figure out more efficient ways to take care of installations and repairs.Very good advice
Great video man, I really want that 2nd tech, I’m entering my 3rd year self employed and expecting my 3rd child in april. I could use the help and I need to be ok with the profit lose to get the help.
Happy New Year! Great advice for potential beginners. I prefer solo work also. All employees except one had serious issues...and that one left and took a big chunk of my business. Now it's just day help for extra muscle here and there.
Enjoyed that talk. Im doing about the same thing. A one man band. I work with another company and let them do the installs. I've done a few installs, but mostly just service. Zero debt makes it easier..
I am in the Military and retire in 3.5 years. I want to get into HVAC and eventually my own van/company. I did residential HVAC for right at 3 years so I already have some experience doing it. I always liked it.
Some very valuable information! Especially concerning a point of contact. Much better than the law showing up and breaking your door down for something totally stupid
Happy New Year! It is very rewarding to sacrifice for a few years to not have debt. Then it’s money in the bank, or a buffer if can’t work due to life circumstances.
I have been at it heating and electrical 20 years part time when I was a fultime firefighter and now it's full-time since I retired from there. Now I have pretty much been other same track as you. My biggest problem is working on Heat pumps since they are really taking off in the last few years.. not my strong suit but getting better at it.
Great small business advice from experience and from the heart. And I've gotta say, the last 5 minutes or so are probably the best things you could have spoken about. I'm glad you stopped and took the time to finish it up like that. It definitely takes a lot of sacrifice and desire even with help, but definitely doable if you're willing. Great content as always!
enjoyed your conversation didn't agree with everything but did pick up some ideas. I also am a 1 man show just completed my 9 months so far I've done about 160,000. hope I'll get up to 1 million. I am doing business in Florida. Keep up the good shows I enjoy your videos.
Happy new year. I wish you success, health and prosperity. I'm a new tech , been in the field for six months. Works for low blow company, but I'm holding to it. I'm learning from your videos a lot !!!. My plan is after four years, I will pass the exam and get my license. Appreciate the effort Sir
Desperté pensando en ¿qué hacer con mi idea de negocio? O sigo de empleado o me lanzo por mi cuenta. Como soy tu fiel seguidor, te busqué y este mensaje de hace 2 años lo escucho hoy y me ayuda a decidir me. Gracias por todo lo que haces. Se que hablas español. Thanks for sharing your experience.
This couldn't have come at a better time! Thanks for all the information and your time brother. Have a great new year, from just up the road in Columbus.
Thank you Curtis, i appreciate your honest and straight forward message, running a business is difficult in Australia also, it's so difficult here to employ people who want to work these days,to find a young person to work now has gone out the window, Why ? All the best for this new year and your family, and i know you will always have enough work. It was so nice to see your good friend there keeping a close eye on you, may be a extra bone tonight 😉 👍
I love watching you work. I just dont understand some of the terms you use. I watch your videos in hopes I can learn enough to keep my own system running up to par. Im getting old and cant afford to have someone fix everything that breaks....especially nowadays with lower quality everything.. Keep rocking brother!! :)
A friend of mine used to have his own lawn care business. He did yearly service contracts and kept his employees year round. Another lawn care business owner sold him his lawn care equipment and was getting out of the business. That guy didn't do yearly contracts
Great Video Curtis, thank you for your knowledge. This was a honest Video on how you do business and it has inspired me to do better with mine, over the pond. A good way to start the new year. Happy New Year to you and God bless.
Thank you for all the advice you have provided I had to here this video I really did. You are very knowledgeable thank you again I have a question on subcontracting how to hire them and how to pay them ? Is there a other way to contact you?
I often wondered if the solo guys could use a 3rd party billing service to handle the billing and going after the no pay events. Sure they would extract their fair share though.
Great talk. Very interesting story about your success and how you earned it. You are also a talented videographer. How do you keep the lens clean? I did have a question about your van. How do you keep the catalytic converter from getting stolen? You seem to leave your truck on the street often. Do you ever get broken into?
First I don’t live in a city. The only person to break in was a former employee. Now my shop is ringed with security. That won’t stop someone who is determined.
I’ve been in HVAC for 20 years and a service technician 15 of those years. The last 5 years I have been a estimator and sell 1.5-2 million a year making $180-$220 a year. No on call hours and a much better life with double the money.
Most folks would be astounded by how much gross revenues must increase for each employee hired. Also laws regarding work comp insurance can change depending on what state one is in. In my state, as owner I'm not required to have worker's comp on myself or any member of my immediate household that I employ, but the moment I bring in a "stranger", I have to have it. Similar situation for unemployment compensation if a sole proprietorship, Sub S corporation, or LLC the principals are not eligible for UC (in my state, others will be different). Right now the "experience" rating is 5.2% of gross wages, down from 7% last year. That's a lot of money that most people don't think about. I would not include your wages / salary in the assessment of profits, Curtis. The money you earn as technician would be due any tech you hire, including yourself. Profit is what is left after all expenses - your wages are an expense, not a return on your investment in your company. One of my old bosses founded the company but paid himself very little as president and technician. When he was unable to work for several months and had to hire a worker to replace himself, suddenly the company was not profitable. The reality was that it hadn't been profitable for some time and the owner was subsidizing the losses by not paying himself what his work was worth.
Hi guys , to calculate duct size ; cfm what do you guys use if there a website that you put in all the numbers and makes the plans ? Please some help or answer would be appreciated
So I’m 21 and am joining the union here in Knoxville. If I wanted to get my contractors license in the future I would need my contractors license? What if I wanted to leave the Union and they didn’t want to sign?
Another option is to be married to a working spouse. Also invest into rental property to provide income during slow times. The afore mentioned ideas allow for more control of your schedule. And more control of your life period.
Hey Curtis, great information. You pretty well addressed software/payments,etc. But do you take all payments or do you prefer card only or how do you personally want to get paid? I figure it gets hard to keep track of if say out of 6 calls 3 pay cash 2 pay with a check and 1 pays with a card. But with quickbooks i imagine it's pretty easy to plug in what customer paid you in what. One thing that my company does is we have like a small mobile printer so if a customer wants say a physical copy instead of a emailed one we can just shoot the invoice/estimate,etc over to the printer and it prints and worst case scenario if we're in a area with cell poor service we just print out the papers at the office and mail it to them.
Great video I am on my own for about 1yr 3 months and it’s been vary interesting. I would like to ask you how many client do you have to sustain a one man company? Thanks
In some instances, it may take a little more time than expected to locate and address the problem. How do you justify that when you're a one-man crew? I plan on making the leap very soon, and that sometimes worries me. Also, do you provide your own health insurance?
I'll give some advice. See how swamped your market is with HVAC companies. There's usually way too many which makes it hard to complete and make a living.. I wish we were closer, we could help each other out..
Did you ever do commercial work for property management companies? They seem to have a lot of work from what I’ve seen. Also do you still follow that same mark up list or no?
Happy New Years I'm here in Louisiana and I do Appliance, Electrical and Hvac and Hvacr. My problem is I have so much business and trying to do everything yourself is hard and taxing on you. Getting someone that you can trust to do the paper work in this area is hard. Because filing claims for appliance manufacturers can be completely different, than for hvac manufacturers and home warranty companies. Even the appliance rentals store's. My problem is being able to find techs that is able to do most of the work. Or a secretary that I truly trust. Because a secretary knows the companies secrets. Even your bank infor. So here I am a one man show. I really need someone to help. I have tried the trade schools ( sorry the technical college's) but that was a BIG JOKE. The Hvac and the electricians here still have to call me to work on their appliances. Some will complain about me around here. Because of all the customers I am getting . But I still have to go behind them to correct their mess-ups. And I am talking about the major electrical companies and HVAC companies here. Trying to find techs that can do appliance/Hvacr / Hvac and electrical in this area is virtually near to none. Most do not want to go back to school. Because in the appliance field you're always in school or I can't get them because they can't pass a drug or criminal test. People think there is no money on appliance repair. Boy are they wrong.
Bro, I was like you after getting rid of my employees. So, I raised my prices, and to this day I turn down enough work to keep someone else in business. Work less and make more.
Hey Curtis I came up with a question… You said you paid that guy 22/hr, so say 45K/yr and it cost you 70K/yr. Was he a tech in a truck or a helper? If I want to hire a 30/hr man, should I expect it to cost 90K/yr? I would need roughly 350K extra work to break even, is my line of thinking correct?
First you won’t break even. And second some of that cost is from the vehicle, insurance, and fuel. That cost won’t go up with wage increase. So, maybe not $90,000.
I'm 19 I'm really thinking about a trade school just not sure if I should go with hvac or welding I would like to know how much you put in to start your own ..
Sounds a lot of what I have been through, that said insurance can be a double edge. Two claims to close together and you get tossed into the pool for a year or two and your rate triples. So I would not put in for a claim unless it truly was my fault. Stock is a love hate item, I am getting close to the retirement years, seen to many loaded trucks tossed into a dumpster at the end, so I am cutting back on what I carry. That said I am a 15 min drive from multiple supply houses in my area.
I’m thinking about hiring sub contractors to help me also,were you just hiring other local Hvac companies to help?What percentage did you pay them?What paperwork do I need to hire a sub contractor?Thanks
Another larger company is willing to help me, and there’s a subber I like to use. With subcontractors you need proof of insurance for when you have insurance audits. If they have their own it won’t cause your rates to go up. And then at the end of the year you just need to send them a 1099
Any lawyer that handles service/repair business set ups. Same with accountants. Talk to both about the benefits and downsides of each type of ownership - single proprietor/partnership, LLC, Sub S corporation, or regular corporation. Don't be afraid to ask questions, especially of your accountant. Real story: (owner) I want to depreciate this new asset 100% in one year. (accountant) Okay, your asset qualifies, we'll do that. {3 years later} (owner) I'm selling that asset we got 3 years ago. (accountant) Okay, you'll be paying 20% capital gains taxes on that revenue. (owner) Why? (accountant) Because it has zero value on your books from depreciating it down to zero the first year. (owner) Why didn't you tell me that 3 years ago? (accountant) You didn't ask.
Your def right..theres too much dopamine releasing ..that blue collar jobs cannot tolerate..you have to stay physical and too stay physical you got to have a good mental state having a good mental state you have patiences and do your work better organized and finish on time..nothing worse is someone having to smoke weed during the day while they doing electrical work, plumbing or hvac digging up copper climbing in attics etc etc ..smoking cigs non stop..having anger issues cause they havent drank yet or cronic masterbators
100% no disagreement with you there. So then the question becomes, how do you grow the right people out of the wrong people? Because ultimately you can’t scale solo.
You're not paying enough. That's why. Don't be afraid to charge your customers enough to pay employees good enough to attract and keep good one's. Works for me.
State license and business license with insurance is the only legal way to work…at least here. If you’re doing work on the side without this, it is a huge risk, not just to your job, but legal and financial liability if something goes wrong.
@@HVACGUY yeah, definitely gonna get a contractor license first. But I thought it would be easier to start on the side doing repairs until I build up clientele. I’m saving up for the books and course for the license now
That part about an employee not being able to produce enough to pay their salary doesn't make sense to me. If just you can bill out $500k a year the employee should be able to do half of that with EASE if they are doing their job. Factor in the 35% profit margin at 250k and you are looking at $87,500. Something doesn't add up.
+1 to this fact. Employees just think owners are making the big bucks, but don't realize that there is risk/reward to entrepreneurship. Owners risk lawsuits, business and personal monetary/asset losses, health/mental issues, relationships, their credit, tax issues and a ton more. Lot's going on behind the scenes staff will never see or understand.
@@nosnim2207 lol. If you are a new business owner and you haven't done your research on tax liabilities or how to protect your personal assets against company assets then you shouldn't even be a business owner. I get the mental health issues but you need to have a different kind of mindset to be a business owner. Most don't make it and the ones that do have the fortitude and drive will. I've dealt with crappy business owners that don't even understand profit margins.
You sound like a very knowledgeable business owner.
Hi Curtis
I watched this video early January 2023 and I adopted your mark up matrix to my own HVAC business over here in the UK
Came back here over a year later to thank you for the advice as it has increased my turn over significantly!
Keep on truckin!
Thanks for the Eye Opening Talk of going Solo Vs. Hiring Employees. WOW, who would have figured $ 70k cost per employee ? Thanks for explaining. 👍🙏
I love Curtis.
You are 100 percent correct with your content!!!
God Bless Curtis.
Really like these style videos
I wish you were in my area because I'd hire you to work on my HVAC. I've been a business owner for over 20 years, in a different field, but you understand what is needed to be successful and doing right for your customers.
I can tell your a good guy, I see why your doing so well👍👍. Thanks for sharing!
Hello from Sweden!
Sad hear that there is very little integrity in people today to have in your business :(
I pray to God that my plan works.
good points, it's a struggle to balance everything sometimes
Great advice from the heart of experience, Curtis! You touched on the difference between margin and markup, payroll costs, insurance, sub contracted labor, and I think you could do another half hour just on those. My suggestion to anyone thinking about starting a business is to work up a business plan. "Business Plans for Dummies" and "Cost Accounting for the Clueless" (names for illustration purposes) should be on the reading list. They won't turn someone into an experienced business owner immediately but then can help prospective owners identify places they lack information, experience, or background. Also the US Small Biz Administration has resources, and I think SCORE (Service Corps of Retired Executives) may still exist. It is not necessary for individuals to reinvent the squirrel cage fan. 🙂
Hello Curtis! Wishing you and your Family, a Safe, Healthy and Happy New Year. 🎈🎊🎆
Good info. I'm 8 years in. I work by myself also. Im always trying to figure out more efficient ways to take care of installations and repairs.Very good advice
Great video man, I really want that 2nd tech, I’m entering my 3rd year self employed and expecting my 3rd child in april. I could use the help and I need to be ok with the profit lose to get the help.
Happy New Year! Great advice for potential beginners. I prefer solo work also. All employees except one had serious issues...and that one left and took a big chunk of my business. Now it's just day help for extra muscle here and there.
Very good information!!!
I’ve been in business for about 7years but keep learning from others
Enjoyed that talk. Im doing about the same thing. A one man band. I work with another company and let them do the installs. I've done a few installs, but mostly just service. Zero debt makes it easier..
Excellent video. Thanks for sharing your experience and your life with us!
never miss your videos, I'm long retired but I grunt and sweat when I see you in a crawl space or attic. Good luck in the new year your a great tech
I am in the Military and retire in 3.5 years. I want to get into HVAC and eventually my own van/company. I did residential HVAC for right at 3 years so I already have some experience doing it. I always liked it.
Some very valuable information! Especially concerning a point of contact. Much better than the law showing up and breaking your door down for something totally stupid
very interesting
Happy New Years Curtis from North Ga! Keep these talks coming, they’re good for seasoned and newbies alike. Thank you
Love this especially giving credit to your wife 🫡🔥‼️
Happy New Year! It is very rewarding to sacrifice for a few years to not have debt. Then it’s money in the bank, or a buffer if can’t work due to life circumstances.
I have been at it heating and electrical 20 years part time when I was a fultime firefighter and now it's full-time since I retired from there. Now I have pretty much been other same track as you. My biggest problem is working on Heat pumps since they are really taking off in the last few years.. not my strong suit but getting better at it.
Great small business advice from experience and from the heart. And I've gotta say, the last 5 minutes or so are probably the best things you could have spoken about. I'm glad you stopped and took the time to finish it up like that. It definitely takes a lot of sacrifice and desire even with help, but definitely doable if you're willing. Great content as always!
Thanks for all of the tips....I'm taking notes.....
Thanks for all what you do for us your videos are very helpful I have learn a lot from them thanks and happy new year from Arizona
enjoyed your conversation didn't agree with everything but did pick up some ideas. I also am a 1 man show just completed my 9 months so far I've done about 160,000. hope I'll get up to 1 million. I am doing business in Florida. Keep up the good shows I enjoy your videos.
Thanks for taking my question Curtis. Means a lot. Happy new year to you and your family. Keep the channel rockin’, I love watching 👍
Happy new year. I wish you success, health and prosperity. I'm a new tech , been in the field for six months. Works for low blow company, but I'm holding to it. I'm learning from your videos a lot !!!. My plan is after four years, I will pass the exam and get my license. Appreciate the effort Sir
Happy new year thank you for all of the videos I have learned a lot from you.
Your just a good old boy that worked hard and making it 👍👍
Thank you for this discussion.
Good video, a lot of truth.
Thanks for sharing your thoughts on your business.
Desperté pensando en ¿qué hacer con mi idea de negocio?
O sigo de empleado o me lanzo por mi cuenta.
Como soy tu fiel seguidor, te busqué y este mensaje de hace 2 años lo escucho hoy y me ayuda a decidir me. Gracias por todo lo que haces.
Se que hablas español.
Thanks for sharing your experience.
Thanks for sharing!!!
happy new year you are a grest mastro thanks a lot for your information and hvac video, i hope i will be a hvac tech as like you in the future !
Thanks for sharing your approach. You married well. Cheers.
This couldn't have come at a better time!
Thanks for all the information and your time brother.
Have a great new year, from just up the road in Columbus.
Happy New Year!!!!
Thank you Curtis, i appreciate your honest and straight forward message, running a business is difficult in Australia also, it's so difficult here to employ people who want to work these days,to find a young person to work now has gone out the window, Why ? All the best for this new year and your family, and i know you will always have enough work. It was so nice to see your good friend there keeping a close eye on you, may be a extra bone tonight 😉 👍
I’m about to start my company this year. This helps a lot thanks 🙏
Thanks for sharing sir
Great content
I love watching you work. I just dont understand some of the terms you use. I watch your videos in hopes I can learn enough to keep my own system running up to par. Im getting old and cant afford to have someone fix everything that breaks....especially nowadays with lower quality everything.. Keep rocking brother!! :)
A friend of mine used to have his own lawn care business. He did yearly service contracts and kept his employees year round. Another lawn care business owner sold him his lawn care equipment and was getting out of the business. That guy didn't do yearly contracts
Great input Curtis
Great job !!
6 thumbs up!
What a great video
Thank you
Tells it like it is.
Thanks for giving wealth of knowledge
Great Video Curtis, thank you for your knowledge. This was a honest Video on how you do business and it has inspired me to do better with mine, over the pond. A good way to start the new year. Happy New Year to you and God bless.
Glad you found it helpful
👍👍😊😊
You’re an inspiration
Great vid
Great Jobs.
What about filing a mechanics lien against the house/property of the non-payers?
Thank you for all the advice you have provided I had to here this video I really did. You are very knowledgeable thank you again
I have a question on subcontracting how to hire them and how to pay them ?
Is there a other way to contact you?
I often wondered if the solo guys could use a 3rd party billing service to handle the billing and going after the no pay events. Sure they would extract their fair share though.
Great talk. Very interesting story about your success and how you earned it. You are also a talented videographer. How do you keep the lens clean? I did have a question about your van. How do you keep the catalytic converter from getting stolen? You seem to leave your truck on the street often. Do you ever get broken into?
First I don’t live in a city. The only person to break in was a former employee. Now my shop is ringed with security. That won’t stop someone who is determined.
I’ve been in HVAC for 20 years and a service technician 15 of those years. The last 5 years I have been a estimator and sell 1.5-2 million a year making $180-$220 a year. No on call hours and a much better life with double the money.
Dang I make more than you in a half day.
He’s saying 180k - 220k
Most folks would be astounded by how much gross revenues must increase for each employee hired. Also laws regarding work comp insurance can change depending on what state one is in. In my state, as owner I'm not required to have worker's comp on myself or any member of my immediate household that I employ, but the moment I bring in a "stranger", I have to have it. Similar situation for unemployment compensation if a sole proprietorship, Sub S corporation, or LLC the principals are not eligible for UC (in my state, others will be different). Right now the "experience" rating is 5.2% of gross wages, down from 7% last year. That's a lot of money that most people don't think about.
I would not include your wages / salary in the assessment of profits, Curtis. The money you earn as technician would be due any tech you hire, including yourself. Profit is what is left after all expenses - your wages are an expense, not a return on your investment in your company. One of my old bosses founded the company but paid himself very little as president and technician. When he was unable to work for several months and had to hire a worker to replace himself, suddenly the company was not profitable. The reality was that it hadn't been profitable for some time and the owner was subsidizing the losses by not paying himself what his work was worth.
👍
Hi guys , to calculate duct size ; cfm what do you guys use if there a website that you put in all the numbers and makes the plans ? Please some help or answer would be appreciated
What age did you start in HVAC? Thanks for the video.
So I’m 21 and am joining the union here in Knoxville. If I wanted to get my contractors license in the future I would need my contractors license? What if I wanted to leave the Union and they didn’t want to sign?
Another option is to be married to a working spouse. Also invest into rental property to provide income during slow times. The afore mentioned ideas allow for more control of your schedule. And more control of your life period.
Hey Curtis, great information. You pretty well addressed software/payments,etc. But do you take all payments or do you prefer card only or how do you personally want to get paid? I figure it gets hard to keep track of if say out of 6 calls 3 pay cash 2 pay with a check and 1 pays with a card. But with quickbooks i imagine it's pretty easy to plug in what customer paid you in what.
One thing that my company does is we have like a small mobile printer so if a customer wants say a physical copy instead of a emailed one we can just shoot the invoice/estimate,etc over to the printer and it prints and worst case scenario if we're in a area with cell poor service we just print out the papers at the office and mail it to them.
I take credit cards, checks, cash, and Venmo. QuickBooks makes it all easy. If they need a paper receipt, I write it out on a paper invoice.
Great video I am on my own for about 1yr 3 months and it’s been vary interesting. I would like to ask you how many client do you have to sustain a one man company? Thanks
6 very large that include multiple 100+ apartments, or hundreds of rentals. Then probably 4000 homeowners
Hey curt,what is the penalty for getting caught not having a contractor license like say while doing a change out
In some instances, it may take a little more time than expected to locate and address the problem. How do you justify that when you're a one-man crew? I plan on making the leap very soon, and that sometimes worries me. Also, do you provide your own health insurance?
Do you offer financing to customers for installs? If so, what do you use?
I use a third party company to offer financing
Curious, when going out on a Job and you diagnose the problem do you charge a service charge even if the customer if they don't go for it ?
We operate the same way lol
I'll give some advice. See how swamped your market is with HVAC companies. There's usually way too many which makes it hard to complete and make a living.. I wish we were closer, we could help each other out..
Did you ever do commercial work for property management companies? They seem to have a lot of work from what I’ve seen. Also do you still follow that same mark up list or no?
Yes, I sometimes do commercial work. And no that list has changed…the higher prices
@@HVACGUY thank you for taking the time to respond to me. I love the work you do and the tips you share
Happy New Years
I'm here in Louisiana and I do Appliance, Electrical and Hvac and Hvacr. My problem is I have so much business and trying to do everything yourself is hard and taxing on you. Getting someone that you can trust to do the paper work in this area is hard. Because filing claims for appliance manufacturers can be completely different, than for hvac manufacturers and home warranty companies. Even the appliance rentals store's. My problem is being able to find techs that is able to do most of the work. Or a secretary that I truly trust. Because a secretary knows the companies secrets. Even your bank infor. So here I am a one man show.
I really need someone to help. I have tried the trade schools ( sorry the technical college's) but that was a BIG JOKE. The Hvac and the electricians here still have to call me to work on their appliances. Some will complain about me around here. Because of all the customers I am getting . But I still have to go behind them to correct their mess-ups. And I am talking about the major electrical companies and HVAC companies here. Trying to find techs that can do appliance/Hvacr / Hvac and electrical in this area is virtually near to none. Most do not want to go back to school. Because in the appliance field you're always in school or I can't get them because they can't pass a drug or criminal test.
People think there is no money on appliance repair. Boy are they wrong.
Bro, I was like you after getting rid of my employees. So, I raised my prices, and to this day I turn down enough work to keep someone else in business. Work less and make more.
I could help but I live too far away.
Hey Curtis I came up with a question…
You said you paid that guy 22/hr, so say 45K/yr and it cost you 70K/yr. Was he a tech in a truck or a helper? If I want to hire a 30/hr man, should I expect it to cost 90K/yr? I would need roughly 350K extra work to break even, is my line of thinking correct?
First you won’t break even. And second some of that cost is from the vehicle, insurance, and fuel. That cost won’t go up with wage increase. So, maybe not $90,000.
Bigger corporate companies don’t care about customers just money.
What percentage do you pay your installers?Thanks
Set fee
😎👍🏻🥃🥃🍺🍺🍺
I'm 19 I'm really thinking about a trade school just not sure if I should go with hvac or welding
I would like to know how much you put in to start your own ..
Welding is arguably the most overrated trade out there
Do you offer financing? If so who do you use am in Wisconsin.
Yes, sorta. I use a third party company that finances a small amounts
Sounds a lot of what I have been through, that said insurance can be a double edge. Two claims to close together and you get tossed into the pool for a year or two and your rate triples. So I would not put in for a claim unless it truly was my fault. Stock is a love hate item, I am getting close to the retirement years, seen to many loaded trucks tossed into a dumpster at the end, so I am cutting back on what I carry. That said I am a 15 min drive from multiple supply houses in my area.
Just curious if you're doing HVACR calls?
Yes, but I don’t do refrigeration
I’m thinking about hiring sub contractors to help me also,were you just hiring other local Hvac companies to help?What percentage did you pay them?What paperwork do I need to hire a sub contractor?Thanks
Another larger company is willing to help me, and there’s a subber I like to use. With subcontractors you need proof of insurance for when you have insurance audits. If they have their own it won’t cause your rates to go up. And then at the end of the year you just need to send them a 1099
@@HVACGUY how do you pay the larger company?Thanks
Did you ever have a job where you could not find and fix the problem yourself? What did you do?
What type of lawyer for an Hvac company?Thanks
Any lawyer that handles service/repair business set ups. Same with accountants. Talk to both about the benefits and downsides of each type of ownership - single proprietor/partnership, LLC, Sub S corporation, or regular corporation. Don't be afraid to ask questions, especially of your accountant. Real story: (owner) I want to depreciate this new asset 100% in one year. (accountant) Okay, your asset qualifies, we'll do that. {3 years later} (owner) I'm selling that asset we got 3 years ago. (accountant) Okay, you'll be paying 20% capital gains taxes on that revenue. (owner) Why? (accountant) Because it has zero value on your books from depreciating it down to zero the first year. (owner) Why didn't you tell me that 3 years ago? (accountant) You didn't ask.
@@raygunsforronnie847 thanks
I Can say what home warranty suck big time
210 hbw
Trying to find good employees in todays world is not worth the hassle, you’re better off solo.
Yup
Your def right..theres too much dopamine releasing ..that blue collar jobs cannot tolerate..you have to stay physical and too stay physical you got to have a good mental state having a good mental state you have patiences and do your work better organized and finish on time..nothing worse is someone having to smoke weed during the day while they doing electrical work, plumbing or hvac digging up copper climbing in attics etc etc ..smoking cigs non stop..having anger issues cause they havent drank yet or cronic masterbators
100% no disagreement with you there. So then the question becomes, how do you grow the right people out of the wrong people? Because ultimately you can’t scale solo.
It's especially difficult when your employees know that they are making 1% of their production.
You're not paying enough. That's why. Don't be afraid to charge your customers enough to pay employees good enough to attract and keep good one's. Works for me.
Sounds like Sears?! 😂
Would you recommend someone get their license and start doing side work. I’ve been doing this for 6 years
State license and business license with insurance is the only legal way to work…at least here. If you’re doing work on the side without this, it is a huge risk, not just to your job, but legal and financial liability if something goes wrong.
If you sub out installation work make sure they have proof of insurance from your subs. State policies vary! Cover self always!
@@HVACGUY yeah, definitely gonna get a contractor license first. But I thought it would be easier to start on the side doing repairs until I build up clientele. I’m saving up for the books and course for the license now
That part about an employee not being able to produce enough to pay their salary doesn't make sense to me. If just you can bill out $500k a year the employee should be able to do half of that with EASE if they are doing their job. Factor in the 35% profit margin at 250k and you are looking at $87,500. Something doesn't add up.
nobody realizes what benefits cost per employee.....the employee doesn't even realize it......
+1 to this fact. Employees just think owners are making the big bucks, but don't realize that there is risk/reward to entrepreneurship. Owners risk lawsuits, business and personal monetary/asset losses, health/mental issues, relationships, their credit, tax issues and a ton more. Lot's going on behind the scenes staff will never see or understand.
@@nosnim2207 lol. If you are a new business owner and you haven't done your research on tax liabilities or how to protect your personal assets against company assets then you shouldn't even be a business owner. I get the mental health issues but you need to have a different kind of mindset to be a business owner. Most don't make it and the ones that do have the fortitude and drive will. I've dealt with crappy business owners that don't even understand profit margins.
Home Warranties that Real Estate Companies Force a Seller into Offering on a piece of Property are a Waste. They Rarely Pay Much or Any $’s at all. 🤪👎