Yet again the Americans, who have done it all before, offer up some good advice. From Hardwood Floors Magazine written by Scott Avery:
…Something I want to talk about with my peers: the scare of working for too little money. Everyone reading this post knows two things:
- Business goes up sometimes, and other weeks you have a little less business, particularly in wintertime.
- Every so often a floor has a callback or problem that could be minor issue to a very big issue.
I know A LOT of contractors who assume that after they pay their materials and employees, the rest is their money and they spend accordingly. So, here’s the golden question: What if you have to pay someone to go back and fix a floor?
Re-work that is not created by a homeowner or another contractor is your liability, and it does cost you money, even if you do the fix yourself as the owner. Fuel, screens, sandpaper, stain, finish, and applicator costs can add up. A secondary cost is that, as an owner, when you’re fixing problems you are not working on filling the pipeline of your business with new work. I have witnessed these two factors working like a cancer to destroy the operating cash flow of businesses in my area and even affect my own business years ago.