I’m in the process of creating a yearly operating cost projection for my inspection company. Where does your money go (that I might be missing)?
-GL/E&O
-Vehicle Insurance
-Meals
-Phone
-Internet
-Advertising
-Marketing Materials
-Website Hosting
-Nachi Dues
-Realtor Assn. Dues
-Equipment replacement (broken/lost tools, computers)
-Bookkeeping
Annual license fees, Tolls, Continuing Ed
Jeff
Lab fees, payroll, office supplies, work clothes
Gas
Vehicle replacement cost
Vehicle maintenance
Taxes
Tax prep
Lawyer
Office expenses
Software (one time purchase)
Software (annual license renewal)
Hardware (general, cables, adaptors, etc.)
Hardware (external HD storage, mirror image, etc.)
Hardware (printers, scanners, modem, etc.)
Vehicle maintenance (weekly- fluids, etc.)
Vehicle maintenance (monthly- oil changes, etc.)
Vehicle maintenance (quarterly- bi-annual, annual- transmission and differential services, tire rotations, alignments, air filters, brake repairs, a/c recharge, etc.)
Vehicle maintenance (longterm- tire replacement, exhaust repairs, shocks/struts, etc.)
Retirement
Health insurance
Disability insurance
With all that we have listed it reminds my of what Juan said. He mentioned that his costs per inspection are about $38 dollars. He is obviously not counting all of his true costs.
Depends on the type of day I’ve had…
Good day- 4 beers
Mediocre day- 3 beers, 1 glass of red wine
Bad Day- 6 beers, 3 glasses of wine,
Horrible day- 12 pack, 2 shots Wild Turkey, Bottle of wine
Dealt with Real Estate Agent- 4 bullets in my .38 to play solitary Russian Roulette…
Exactly why from time to time I post comments regarding the true cost of business. I maintain my guesstimate that over 60% of the average home inspector has NO CLUE the true costs of operating a business, which explains why there are so many lowballers, and why there is a three year fallout/failure window… (that is how long their saving accounts and credit cards can carry them)!
Scary thought that arriving at a cost per inspection could be a difficult task. I come from the dining industry where food cost percentages need to be calculated per menu item, per party, etc and these costs are in constant fluctuation.