As usual, Sophie goes through accounts payables on Fridays and sends payments to all subcontractors and suppliers. When she processes the payment for their biggest supplier, an error message occurs stating there are not enough funds in the bank account. Panicked, she immediately calls Ron, the president of the small […]
Finance
15 posts
A few weeks after having received and paid her updated invoice with a new lower toilet, Shelly receives a new invoice. She opens it, looks at the prices, and calls Mark directly again. As soon as Mark picked up, and without even waiting for a greeting, Shelly impatiently initiates with […]
In part 1 were provided all the non-financial influences for pricing in a small service business. In part 2, the financial aspect will be discussed starting with how to include costs in pricing. Account for Fixed/Indirect Costs Within a company large enough to have overhead staff (i.e. administration, dispatching, accounting, etc.), […]
Every once and a while at the Zion plumbing, a customer calls with a complaint on an invoice that was sent to them. This time, Mark, the president of Zion, is called directly. “Good morning, this is Mark,” he answers casually. “Morning Mark, this is Shelly from Eclectic Construction. Wanted […]
It’s Friday late afternoon and Richard, the dispatcher, is about to send Jake, a plumber, on a last-minute service call. He calls Jake, who immediately answers. “Hey Rick, what’s up?” “Jake,” replies Richard dryly, “I have a job for you. It needs to get done as soon as possible. Milkyway […]