Ep 629. Free Yourself

Develop a comprehensive budget using tools like LMN to account for all expenses, including labor, equipment, and overhead, to ensure accurate job costing and profitability.

Categorize expenses meticulously (e.g., field equipment fuel vs. overhead fuel, direct job equipment vs. shop overhead equipment) to understand true costs and recovery rates.

Proactively adjust your budget throughout the year based on changes in gross sales or significant contract wins/losses, as a budget is a living document.

Build in 'overhead recovery' for every hour worked; understand how small costs like tools, insurance, and utilities add up per man-hour to accurately price services.

Do not itemize pricing for residential clients; present a bulk or lump sum price to avoid client haggling and maintain perceived value.

Budget for long-term investments like facility mortgages by gradually increasing the 'rent' you charge your business, even before the actual expense hits.

Invest in employee training and development, budgeting for slower production times initially, as it ultimately benefits the client and team productivity.