Ever wondered why a simple call out by a plumber cost so much?
CapeTalk's Kieno Kammies speaks to Steve Brown, Operations manager at IOPSA (The Institute of Plumbing South Africa) to explain how the costing is decided and who decides it.
Brown says there's a lot to be considered when costing a plumbing service like product liability insurances, equipment costs as well as workmanship.
The work is basically based on time. Just like a standard business, time lost in terms of travel needs to be recoverable in order to build a sustainable business.— Steve Brown, Operations manager at IOPSA
There is variance in terms of how the guys charge for service.— Steve Brown, Operations manager at IOPSA
According to Brown the business makes a loss on time spend on traveling daily, being stuck in traffic, and that should form part and parcel of the service cost.
An average set up cost of a plumbing business is between 75 000 and 100 000 a month which includes staff salaries. This is according to Brown.
To hear more on operations of a plumbing business: