Turning a welder into a profit maker - Getting the business cranked up Part2
A good way to get your name out there in the welding business is to start with junk jobs that no one else wants. This is something you probably have already figured out in your research, but it is worth discussing in further depth. Taking stuff on that other people refused because it wasn’t worth a big shop’s time is a good way to build customer loyalty as you grow. Customers remember the small things you do, and will give you more work if you meet their expectations. It also helps with cash flow. Taking on small jobs does not mean that you can’t turn a profit. Establishing a minimum price to do any job, regardless of size can help make doing the small job worth it, and give you extra incentive to give it your best. Charging a minimum half hour rate for a 10 minute job is still probably going to be lower than the large shop which may have a higher minimum charge, or one that gave a high estimate to “screen” out the small customer. You’ll also find that a lot of basic jobs bring the most potential profit. Though larger jobs seem to net more cash, profit margins generally drop once they reach large proportions. The smaller jobs offer opportunities to gain more experience at a faster rate as well. Never underestimate the different things you can learn even from completing a small job. Even if you are committed to making a certain product under contract, the small jobs can bring in the most money and keep cash flowing, even when the big jobs are few and far between. Guaranteed, even the big guys get slow from time to time, and those small jobs they passed up look pretty good when times are tough.