@officialchadpeterman: If your direct labor is running over 20-23%, you’re leaking profit without even realizing it. That number is companywide, across every trade line you run. Some trades will sit lower, some higher, but the blended total across the whole business is what matters. Get labor and materials right and you land around 50% gross margin, the number that actually tells you if you’re healthy.
these numbers are off. factoring in fully burdened labor and overhead (including owner salary) you're not still pulling 50% gross margin after that. more like 15% if completely employee run or 25% if owner involved.
2026-09-21 15:04:01
0
adamrosshochhauser :
How do you reduce your direct labor cost without paying your employees less?
2026-09-18 23:22:22
2
To see more videos from user @officialchadpeterman, please go to the Tikwm
homepage.