Subscribe to our newsletter
2 mins customer stories

Finding That Profit Sweet Spot

Katherine

Content Producer

“Which jobs are our most profitable?”

That’s the question operations manager Rick Jones and the team at Malady Electrical wanted to answer six months ago.

They’d been busy, tackling everything from residential call-outs to million-dollar electrical projects in and around Warragul, Victoria, and now it was time to get smart.

Time to figure out if it was the big or small jobs, or something in between, where they were nailing their profit margin.

To get some answers, Rick turned to Fergus smart job management software. The business had already been using Fergus for two years to quote, schedule and invoice all their jobs, but this was the first time they’d dived into the financial reporting.

Straight away, Rick could see the total profit made on each and every job. He could also track which costs, like labour hours and materials, were billed straight to the customer.

We could immediately identify areas where our margins were great and not so great. We could tell that at a glance in Fergus.

Rick says it’s that insight that’s given his team a better idea of the jobs to chase and the jobs to turn down.

Find out how Fergus has also helped Malady Electrical manage their jobs easier and smarter here.

Top tips for picking and choosing the most profitable jobs

Like many other trades businesses in Australia, demand for electrical services is expected to grow another 2% next year, according to figures by research firm IBISWorld.

To get prepared for another bumper year, Rick has some top tips to help you figure out how to pick and choose the best jobs for your business.

  1. First up, take some time to learn how to read and understand your financial summary report. Some job management software systems like Fergus will automatically compile these reports for you.
  2. Once a month, or at the end of your invoicing cycle, use the report to take stock of a few completed jobs.
  3. Make a list of the high and low-margin jobs. Make a note of who in your team quoted the job, who got the job done on site, and the customer. It’s also a good idea to make a note of whether or not it was a charge-up and the category the job falls under (for example, maintenance, domestic or commercial).

You should start to get an idea of which jobs your business is best at. Profit margin is the big one, but it’s also important to see which staff are most efficient and where you could adjust your quoting methods.

To get a hand figuring out the profit sweet spot in your business, sign up now for a free trial of Fergus smart trade business software.

Job management
software built to grow

All the tools you need. All in one place

Start Free Trial

Real people. Here to help

Setting up software shouldn't be hard, we make it a walk in the park.

Free live support

If you've hit a roadblock,
just give us a call.

Get in touch
Lifetime data access

Your data is protected and
owned by you, we just store it.

Learn more
Free training

We have dedicated staff to help
you and your team upskill.

Get Support

Growth tips from our trades experts straight to your inbox

Enter your email address below

Welcome aboard!

Stay posted for our expert trade tips straight to your inbox.

Profit & Loss Calculator

Fill out the form below to receive the calculator.

Yahoo!

Our P&L Calculator is on it's way to your inbox. Get started with a Free Trial if you'd like to try the real thing.
Start Free Trial

Grab our Buyer's Guide

Use the Job Management Software Buyer's Guide to help you compare features for different job management solutions.

Pawfect! It's on its way

Our Buyer's Guide is on it's way to your inbox right now. If you like, get started with a Free Trial and take a test drive too.
Start Free Trial