How Much Should Contractors Charge. - Ellen Rohr
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1h 1m
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Today, we’re welcoming industry legend Ellen Rohr to the show. We couldn’t be more excited.
She’s built and sold two companies. Written a slew of unbelievably helpful books including Where Did the Money Go? and How Much Should I Charge? She’s the founder and owner of Zoom Drain which now has over 50 locations.
This episode is all about pricing. AKA how much you should charge and why.
We cover:
Why price is the EASIEST and FIRST lever you should always pull when you’re trying to grow your top AND bottom line.
How to use psychology to help you or your sales team gain the confidence needed to own your value and charge what you need.
A simple equation for calculating your own selling price based on your own financial goals (spoiler alert: what your competition charges has nothing to do with it).
00:00 - Intro
01:57 - About the 2011 book: How Much Should I Charge?
08:45 - Why pricing as a passion?
12:36 - How most contractors decide what to charge
17:21 - The importance of value
21:34 - How to figure out what you should charge
29:05 - Importance of billable hours
34:22 - The best position to be in the market
39:19 - How to know when your price is too high
44:27 - How to train your sales team to "own their price"
53:39 - Pricing analysis and updates in an inflationary environment.
58:01 - Fun Hypothetical Question
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