Hiring contractors - who sets the hourly rate?

[gnubler]

I hire independent contractors for installs. When a job comes up, I call around to see who's available, state the hourly pay, and the job gets done. Most of my installers are paid $30-50/hour depending on the nature of the job, and I usually throw in drinks/snacks. I recently found someone experienced in vehicle wraps. A quote request came in for a truck wrap, so I sent him pictures and specs and asked for an estimated time for removal & install. He responded with a time estimate and also a pay rate of $100/hr. That's my shop rate, I can't pay someone that much. How would you handle this?

 

[unclebun]

Tell him it's too much and offer him what you think it should be. If he refuses, find someone else, do it yourself, or pass on the job. Or take his rate and mark it up and offer that to the customer.

 

[BigNate]

get an estimate from another installer - you can keep getting estimates from this one, and maybe he will see that you keep going elsewhere with the work, maybe he will go out of business. If he is truly charging 2-3 times the going rate, he either is VERY good, VERY cocky, or about price himself out of business.... does his time estimate look like 1/2 to 1/3 as long as it takes other installers? if so, then he is good, and has a right to be cocky and pricey....

 

[jfiscus]

I would try to do a "per job" rate instead of hourly with contract installers. If you estimate 10 hours and would like to pay $50/hr, tell them the project budget is $500. They can take as many hours, just make less per hour.

 

[gnubler]

I would try to do a "per job" rate instead of hourly with contract installers. If you estimate 10 hours and would like to pay $50/hr, tell them the project budget is $500. They can take as many hours, just make less per hour.

I like this idea. I once hired a guy who brought along his buddy, they had all the tools and ladders. I quoted an hourly rate, and after a few hours it seemed like they were really milking it. I think for jobs where I can estimate the time fairly accurately I'll offer a 'per job' rate.

 

[Johnny Best]

Just tell him you have a budget and tell him you really want him to do it and will have a lot of work for him. What happens if he messes up a panel. Does he subtract that time. Just get one price from him and he will work faster to get the job accomplished.

 

[mkmie]

We pay by square foot. I don't care how long a job takes the installer. That is their choice, work efficiently and move on to the next job or sit around bs-ing. Different applications have different rates. Easy windows, flat surface no ladders needed is one s/f price, walls at another rate, vehicles with compound curves at another rate, box truck another rate, and so on.

 

[ColorCrest]

We pay by square foot. I don't care how long a job takes the installer. That is their choice, work efficiently and move on to the next job or sit around bs-ing. Different applications have different rates. Easy windows, flat surface no ladders needed is one s/f price, walls at another rate, vehicles with compound curves at another rate, box truck another rate, and so on.

Exactly. The installation price for wraps are included in the overall product / service and not necessarily revealed separately in the line item on the quote. The installation is based upon a degree of complexity, time, and overall value (temporary vs permanent, etc.) Using those parameters, it’s easy to explain to a customer why a flat box truck surface can be less costly than a wrapping a round VW Beetle, etc.

 

[signheremd]

Vehicle wrap is a specialized skill and I would expect such an installer to be paid what they are worth. That said, I think I would be more concerned with total cost of the job as you quote it and as he quotes you - pay him by the job and let him work out the hours. Your normal rate might be low when you tally the whole job together to quote the customer. Last thought, I would rather pay the guy $100 an hour for 5 hours than pay another guy $50 an hour for 10 hours... likely the first guy will do a better job.

 

[Boudica]

Just tell him you have a budget and tell him you really want him to do it and will have a lot of work for him. What happens if he messes up a panel. Does he subtract that time. Just get one price from him and he will work faster to get the job accomplished.

If he messes up a panel, she's screwed because she can't reprint it.
I second (or third?) the Price-Per-Job policy. Unless you've a lot of experience with this installer, they may take forever if they are getting paid hourly. One set price, and they will get it done with a quickness.

 

[DL Signs]

If he's experienced he should be handing you a flat price to wrap it to add to your quote, and if it's too much... No thanks.
We sub out some wraps to a guy down the road who doesn't print if we can't fit em' in our schedule. Every one he gives us a firm flat price, and will even negotiate so we can get the printed jobs and all stay busy. That's how a professional works.

 

[MikePro]

seems like a wrap contract should just be a flat-rate, with a deadline. take it, counter, or leave it.
we recently got $10k for a wrap that was due in a week, and I worked 15hr days to make it happen. Heard through the grapevine that a handful of shops passed-up on the job because a week to design&produce&wrap a winnebago was unrealistic, but it feels good to be a hero AND make money.

 

[Gino]

The subcontractor always sets the price, unless they are willing to work for you and that's a different story altogether. However, your shop rate might be good for you on simple signs and pay the overhead, but when you are specializing in something such as a wrap, your design time changes, your conference times change and your shop rate changes, if this is outta your league. Again, I'm not a proponent of making a customer pay for your learning experiences, You're still responsible for a top notch professional job.

 

[2B]

Installation of vinyl, (Wall, building, vehicle, ETC) is typically done by the SQFT.
experienced installers will know / charge more for difficult installs

* Flat surface - EASY & LESS $
* VW Beatle - TOTAL PITA & HIGH $$$

 

[gnubler]

The project I was bidding on is a 16ft food truck. Mostly flat panels with rivets, a curved ridge running halfway down the entire length of the truck, concession opening on passenger side. Full removal of what looks like pretty old vinyl followed by a full wrap on both sides.

 

[Boudica]

The project I was bidding on is a 16ft food truck. Mostly flat panels with rivets, a curved ridge running halfway down the entire length of the truck, concession opening on passenger side. Full removal of what looks like pretty old vinyl followed by a full wrap on both sides.

Does this Food truck happen to be stationary? ...And in Post Falls? ...just curious/asking for a friend.

 

[netsol]

Vehicle wrap is a specialized skill and I would expect such an installer to be paid what they are worth. That said, I think I would be more concerned with total cost of the job as you quote it and as he quotes you - pay him by the job and let him work out the hours. Your normal rate might be low when you tally the whole job together to quote the customer. Last thought, I would rather pay the guy $100 an hour for 5 hours than pay another guy $50 an hour for 10 hours... likely the first guy will do a better job.

perhaps the answer is to have a "shop rate and a "wrap rate

law firms charge more for senior partners, hospitals charge more for cardio thoracic surgeons.

 

[Gino]

We charge more if ya wanna stay and watch or make dumb comments.

 

[unclebun]

The project I was bidding on is a 16ft food truck. Mostly flat panels with rivets, a curved ridge running halfway down the entire length of the truck, concession opening on passenger side. Full removal of what looks like pretty old vinyl followed by a full wrap on both sides.

If I were providing a quote on a job that included removal of a too-old wrap I'd bid it really high too.

 

[ColorCrest]

He responded with a time estimate and also a pay rate of $100/hr.

This rate includes the installer's helper person to un-wrap and re-wrap the food truck, right?