What's needed in my opinion for this type of cabinet making company for small business owners like yourself is a well designed intake/bid sheet for the client to complete (with your assistance) to make your estimates very accurate and complete the first time and allow customers see where extra costs are incurred. Kind of like a pre flight check list for a pilot prior to takeoff. I.e. Paint or stain grade cabinets, materials to be used, type of finish clear, satin, or gloss, hand applied finishes and waxes, type of materials for space frames and carcasses door inset or euro so that you can price from a menu and so can some of your more knowledgeable clients with use can get a rough w/o even an initial consult. This price/bid strategy will amplify your ability to use your time productively while making sure that you advoid the overpriced or even worse the underpricing of bids. Best of all you will feel confident in your pricing and your customers will appreciate the ease which you can respond to their pricing needs. Ray
Until you have built custom cabinets you just can't imagine the amount of work and the customer can make the work or brake the work great video thanks Its very hard to explain because of the variables involved in custom work great job
When I'm bidding a large job, I have an internal price structure of material and labor combined that has individual prices for the cabinet box, each door (and door type), price per drawer box (and type), each drawer face, etc. All components broken down basically. I add a profit % onto that based on factors like difficulty of the job/customer, or whatever else might be relevant.
Just found your channel and really enjoying the content so far. Kind of binge watching your videos, but more to go. Thanks for the pricing info; very helpful. New subscriber here. Keep up the great work. Oh, quick question: why do you hire drawer making? Just curious.
Awesome!! Thanks for watching. I outsource dovetail drawers as I’m just not setup to make them and honestly I don’t really want to make them. I use a local shop that does a great job and prices are on point.
“Ballpark price “ for example, on a vanity I would say guaranteed to be less than $20,000.($2000 cabinet )I agree that people always remember that price. “8 to 9 thousand, “ customer hears “8 thousand. “ SMH
Pricing is always difficult. I had a lady tell me I was significantly more expensive than two other quotes. Then she reached out me to asking if I could come fix what the other guy messed up. You get what you pay for in most cases. I only do it part time but I’ve never gotten comfortable with a linear ft price. At least in my area materials are always changing cost and usually going up. Birch ply is $100/sheet. 4 years ago is was like $42.
do you have a contractors license or are you licensed at all? Do you have an LLC or SCorp? Have you had any issues with the amount of money you charge with legalities in your state?
25 years ago when I was building kitchens with my late dad, we were able to provide a lineal metre price because the options and materials were relatively simpler...now, it is IMPOSSIBLE to work based on such calculations.....individual materials can be astronomical in price, options the same so I usually work based on price of materials x2 as a rough base and then adjust based on quantity, distance, customer, payment terms etc
Just time yourself for each job see how long it takes and cost of materials. Eventually you can just look at a picture and guesstimate how mucu material will cost and how long it will take you. Then simply figure out what your hourly time is worth.
Thank you for the video ! I just don’t hv the shop space and enjoy smaller jobs? Reason is I hv an income from my prior career and the book keeper says if you go over this your paying Uncle Sammy this much? Sooooo ? But interesting!
@@NE_woodworks I just learned my lesson about building for friends (my immediate family no problem I eat it gladly) . I built 20 liner ft lowers 20’ uppers , sink box, mounted sink , all melamine (I hate melamine to heavy & chippy) . Flat crown w/shadow line ect.,. I charged material and $7500; total like $10,200. U would hv thought I asked for their 1st born? My buddy was cool but his wife double checked my receipts (materials) everything and found they owed me like $400. I told her no problem keep it. U work for friends and one half may be cool but the other? She helped run their flying business therefore she understood the building process & finish carpentry/cabinetry ???? Hv a good one buddy and God Bless u & yours !
Pricing is tough. I’ll share some details: We have a base lineal footage price like you for just lowers and uppers. We dot differentiate between the two. That includes the box, doors and adjustable shelves. Anything full depth between 3’-8’ feet, the footage is doubled. Anything over 8’ feet, the footage is tripled. We add on pricing for drawer boxes, specialty hardware and pullouts. We also have a design, drawing and administrative fee as we do all drawings in house. We outsource finishing as you know, so that’s also an added cost. Delivery and installation is an additional cost as well. We also stopped differentiating paint grade costs verse a clear coat on natural wood. Those footage prices are the same. Reason being is because our finishers charge more for paint than they do for clear coat. But on the other hand the material costs offset the opposite way: Paint grade sheet good and lumber materials are cheaper than say walnut or white oak for example. It’s always evolving and we are always updating our pricing strategies after each project by looking back and doing job costing exercises. Comparing what we estimated to what it actually cost us to produce including our time for labor. Things usually ALWAYS take longer than we think they will 😂
A lot of good info. I’m with you on the paint and natural wood cost being the same. I’m moving towards bringing my paintgrade cost up more to match as it’s way more work to paint than to clear. Any higher material cost for the natural wood will even out with painting labor. I think lol. I think folks always just assume paint grade is way cheaper.
Yea, exactly! Hahah. People are always trying to get two prices..1 for paint and one for stain grade. They are always surprised when they hear it’s the same cost. You’re right..they always assume paint grade is cheaper.
Ballpark? Yeah, my jobs range anywhere from $10,000 to $100,000.. depends how picky the boss is! Cost of Labor + Materials + Consumables + Overhead + Profit = Cost
Great Video. Videos about the business side of woodworking are just as important as technique. I'm enjoying your videos . thank you
Thanks for watching!
What's needed in my opinion for this type of cabinet making company for small business owners like yourself is a well designed intake/bid sheet for the client to complete (with your assistance) to make your estimates very accurate and complete the first time and allow customers see where extra costs are incurred. Kind of like a pre flight check list for a pilot prior to takeoff. I.e. Paint or stain grade cabinets, materials to be used, type of finish clear, satin, or gloss, hand applied finishes and waxes, type of materials for space frames and carcasses door inset or euro so that you can price from a menu and so can some of your more knowledgeable clients with use can get a rough w/o even an initial consult. This price/bid strategy will amplify your ability to use your time productively while making sure that you advoid the overpriced or even worse the underpricing of bids. Best of all you will feel confident in your pricing and your customers will appreciate the ease which you can respond to their pricing needs. Ray
Great ideas Ray. Thanks for the feedback
Until you have built custom cabinets you just can't imagine the amount of work and the customer can make the work or brake the work great video thanks Its very hard to explain because of the variables involved in custom work great job
Thanks for watching. There are sooo many variables
Thanks for the insight.
Thanks for watching
Thank you for doing this video, I needed it. Your work is beautifully done.
Thanks
I can't believe I stumbled upon this! Subscribed, and I'm already inspired! -- "Challenges pave the way for personal development.."
🙌
Cabinet shop life 🙌🏼 definitely can relate. I do the same thing for pricing though.
🤙
I agree 100% and I never give a "from the hip" price, it will alway bite you!
Yeah for sure
When I'm bidding a large job, I have an internal price structure of material and labor combined that has individual prices for the cabinet box, each door (and door type), price per drawer box (and type), each drawer face, etc. All components broken down basically. I add a profit % onto that based on factors like difficulty of the job/customer, or whatever else might be relevant.
That’s awesome. Sounds like you have a good system in place
Heya thanks for sharing great info. Curious how long the example job you shared about at the end took you from start to finish? Cheers
About 2 months
Never be known as the deal guy,competitive yes.
Exactly
Just found your channel and really enjoying the content so far. Kind of binge watching your videos, but more to go. Thanks for the pricing info; very helpful. New subscriber here. Keep up the great work. Oh, quick question: why do you hire drawer making? Just curious.
Awesome!! Thanks for watching.
I outsource dovetail drawers as I’m just not setup to make them and honestly I don’t really want to make them. I use a local shop that does a great job and prices are on point.
“Ballpark price “ for example, on a vanity I would say guaranteed to be less than $20,000.($2000 cabinet )I agree that people always remember that price. “8 to 9 thousand, “ customer hears “8 thousand. “ SMH
Hahaha. I like that. Under $20,000
VERY NICE JOBS, WHERE YOU LOCATEED
Thank you. I’m in Oregon
Pricing is always difficult. I had a lady tell me I was significantly more expensive than two other quotes. Then she reached out me to asking if I could come fix what the other guy messed up. You get what you pay for in most cases. I only do it part time but I’ve never gotten comfortable with a linear ft price. At least in my area materials are always changing cost and usually going up. Birch ply is $100/sheet. 4 years ago is was like $42.
Yeah the linear foot price is always changing.
do you have a contractors license or are you licensed at all? Do you have an LLC or SCorp? Have you had any issues with the amount of money you charge with legalities in your state?
Yes I have a contractors license. I’m an LLC
25 years ago when I was building kitchens with my late dad, we were able to provide a lineal metre price because the options and materials were relatively simpler...now, it is IMPOSSIBLE to work based on such calculations.....individual materials can be astronomical in price, options the same so I usually work based on price of materials x2 as a rough base and then adjust based on quantity, distance, customer, payment terms etc
Yeah pricing is definitely complicated with how many variables there are. Sounds like you have a good system. Thats awesome.
Just time yourself for each job see how long it takes and cost of materials. Eventually you can just look at a picture and guesstimate how mucu material will cost and how long it will take you. Then simply figure out what your hourly time is worth.
👍
Thank you for the video ! I just don’t hv the shop space and enjoy smaller jobs? Reason is I hv an income from my prior career and the book keeper says if you go over this your paying Uncle Sammy this much? Sooooo ? But interesting!
I enjoy the small jobs too. Sometimes the big projects are a pain
@@NE_woodworks I just learned my lesson about building for friends (my immediate family no problem I eat it gladly) . I built 20 liner ft lowers 20’ uppers , sink box, mounted sink , all melamine (I hate melamine to heavy & chippy) . Flat crown w/shadow line ect.,.
I charged material and $7500; total like $10,200. U would hv thought I asked for their 1st born?
My buddy was cool but his wife double checked my receipts (materials) everything and found they owed me like $400. I told her no problem keep it. U work for friends and one half may be cool but the other?
She helped run their flying business therefore she understood the building process & finish carpentry/cabinetry ????
Hv a good one buddy and God Bless u & yours !
Pricing is tough.
I’ll share some details:
We have a base lineal footage price like you for just lowers and uppers. We dot differentiate between the two. That includes the box, doors and adjustable shelves. Anything full depth between 3’-8’ feet, the footage is doubled. Anything over 8’ feet, the footage is tripled. We add on pricing for drawer boxes, specialty hardware and pullouts. We also have a design, drawing and administrative fee as we do all drawings in house. We outsource finishing as you know, so that’s also an added cost. Delivery and installation is an additional cost as well. We also stopped differentiating paint grade costs verse a clear coat on natural wood. Those footage prices are the same. Reason being is because our finishers charge more for paint than they do for clear coat. But on the other hand the material costs offset the opposite way: Paint grade sheet good and lumber materials are cheaper than say walnut or white oak for example. It’s always evolving and we are always updating our pricing strategies after each project by looking back and doing job costing exercises. Comparing what we estimated to what it actually cost us to produce including our time for labor. Things usually ALWAYS take longer than we think they will 😂
A lot of good info. I’m with you on the paint and natural wood cost being the same. I’m moving towards bringing my paintgrade cost up more to match as it’s way more work to paint than to clear. Any higher material cost for the natural wood will even out with painting labor. I think lol. I think folks always just assume paint grade is way cheaper.
Yea, exactly! Hahah. People are always trying to get two prices..1 for paint and one for stain grade. They are always surprised when they hear it’s the same cost. You’re right..they always assume paint grade is cheaper.
👍👍👍👍🥰
🤙
Ballpark? Yeah, my jobs range anywhere from $10,000 to $100,000.. depends how picky the boss is!
Cost of Labor + Materials + Consumables + Overhead + Profit = Cost
Hahaha. Yup. Exactly