How Do You Get A Shop Rate? - Secrets of Metal Fabrication - Part 1 of 3 Pricing
Video from Hero Machine Company. Watch on YouTube.
What you'll get
A metal fabrication shop, Hero Machine Company, shows how to build an hourly shop rate from your own books, with chapters on wages, overtime, payroll taxes, health insurance, consumables, utilities, rent and liability insurance, then on total cost, markup and setting the final rate; its description adds that it covers why small shops undercharge. It is aimed at welding, fabrication and CNC shops, so use it as the base for any quote on contract or custom work.
Do this week
Fill in a shop rate sheet using your own numbers for each cost the video lists, then compare the rate it gives you with the hourly rate your last quote implied.