Opportunity is missed by most people because it is dressed in overalls and looks like work. - Thomas Edison
Quote from: Mark @ Hurricane Printing on July 29, 2013, 09:15:43 AMQuote from: Socalfmf on July 29, 2013, 08:26:37 AMMarkhow the hell do you run a business without knowing what it costs you? If you don't know how do you know your prices are too high?this is simple business and economics 101.time to start figuring out why you are failing.I am using the cost matrix of the guy that mentored me. When I got back up and running we worked a deal where I would move my press into his existing commercial location shop..he wanted to expand to two presses and I needed a place to set up...so I set up there and the trade off was he used my press and I had access to his shop with no rent to pay.He shared his price structure with me and thats what I have been using. When he closed his shop and I opened up my own shop and carried over his price matrix with me. Once I closed my shop and set up in my garage I am kept the same structure.So I am using a calculated price matrix for my area which is right down the middle and comparable to other businesses that run manuals.Once again, I agree with Sam but not with his delivery. But seriously... don't you see a theme going on here?He used his prices, closed shop. You used his prices, closed shop.I also agree with Frog and tpitman... you have to at least "pretend" you have or will have some over head even if you don't really have much. You are leaving yourself no room for growth if you don't (tpitman, pretty much summed it up).
Quote from: Socalfmf on July 29, 2013, 08:26:37 AMMarkhow the hell do you run a business without knowing what it costs you? If you don't know how do you know your prices are too high?this is simple business and economics 101.time to start figuring out why you are failing.I am using the cost matrix of the guy that mentored me. When I got back up and running we worked a deal where I would move my press into his existing commercial location shop..he wanted to expand to two presses and I needed a place to set up...so I set up there and the trade off was he used my press and I had access to his shop with no rent to pay.He shared his price structure with me and thats what I have been using. When he closed his shop and I opened up my own shop and carried over his price matrix with me. Once I closed my shop and set up in my garage I am kept the same structure.So I am using a calculated price matrix for my area which is right down the middle and comparable to other businesses that run manuals.
Markhow the hell do you run a business without knowing what it costs you? If you don't know how do you know your prices are too high?this is simple business and economics 101.time to start figuring out why you are failing.
Markso is this a business or a hobby? if you work a full time job is this "going" to be your full time job soon? or what? People make fun of me ( Gilligan ) because I get my pricing down to scotch tape. but I know what EVERYTHING in my shop is costing me.that is the point. just because he matrix worked for him does not mean it will work for you. And do you know if he was really supporting his family? did his wife work and he had a business that never made money? there is a lot of unknowns out there and you have to know EVERYTHING to run your business and make money
I'd also suggest looking at some of Greg Kitson's writing. Go to Mind's Eye Graphics and you should find a number of helpful articles. A very wise man, indeed.