09/03/2026
Throughout the years I have tried my best to develop some footage formula to make bidding jobs faster and more efficient, but I gave up because I just couldn’t find a way for the calculation to benefit both parties.
In custom residential tiling, the variables are plentiful and the skills required to execute some of the installs are high, so understanding how to price a job is critical.
The last thing you want to do is throw a dart at the board and hope it works out.
When it was just me working alone, it was much easier to absorb a pricing mistake, although I wasn’t able to take on jobs of any scale without a team.
Back then, I would just figure how long I thought it would take me, base an hourly rate, and go from there.
I would often times hear of other guys pricing by the square ft and I would compare how that would work with my pricing and it would either be way below my rate or astronomical comparatively speaking, so I just couldnt wrap my head around it.
Once I decided to hire and build a team so that I could expand my job scope capabilities, I then began to learn and understand how some of those competitors were pricing and why.
Some of them were (and are) operating illegally in a sense that they pay their guys cash (1099) so they avoid payroll taxes, workers comp, employee burden, and overhead. That strategy certainly gives them a leg up on the pricing as their overall costs are much lower. (MUCH LOWER) but from my perspective, a very dangerous way of operating.
I knew I couldn’t do anything about that, but at least I understood why they were lower. That model typically served much lower quality as well (my opinion)
The others that were astronomical, I never could figure out, so I just didn’t worry about it. lol.
I wanted to operate my business in a clean manner. Professional, proper, by the book…a real business. So with that in mind, my pricing needed to match that.
For me, the metrics are simple.
Men (Cost) +
Burden (all the proper expenses for an employee) +
Overhead (The cost of doing business) +
Profit (The reason a business operates)
=
Price
This is what works for me