If you’ve watched the training video I talk about which is better to operate in, Residential or Commercial.
Here is the breakdown which is best:
Commercial:
- Difficult, hard, and complex
- Wasting hours estimating, tendering, phone calls to clients, and endless bureaucracy (unbillable time)
- High dollar value but low-profit margins. (when you look at how many hours you put into the project, you’ll realise there’s little left over for you as the business owner.
- Not recession-proof. Your business relies on the success of other businesses.
- How many small to medium-sized businesses shut down during lockdown or have suffered economic hardship. Lots!
- Bad cash flow (you get paid, 14, 30, 60, 90 days later) and you also have to waste time and chase up unpaid, late invoices all the time.
Residential:
- It’s quick, easy, and stress-free.
- High-profit margins (if done correctly)
- Great for cash flow (you get paid as soon as the job is done. Would you like to pay via cash or card?
- Lots of small jobs = lots of money
- More fulfilling and rewarding (Mrs. Jones writes you a testimonial about how awesome you are and how she’s going to tell all her friends and family about you.
- Every hour on site is billable time.
- Recession-proof. There’s always a Mrs Jones who needs some electrical work done around her home even during Lockdown.
In a nutshell, If you’re wondering how the best and most profitable electrical businesses win and keep winning, it’s because 80% or more of their revenue comes from the residential service and maintenance sector because of the above reasons.
P.S. If you’re serious about taking your life and electrical business to the next level watch the free training video here if you haven’t already. Click here To Watch The Video
If you want to learn more, schedule a free consultation call with us – Click here to apply
