Upholstery Chair Logo
Sign up for PayPal and start accepting credit card payments instantly
  Professional Upholstery & Soft Furnishings Group: The premier website for Modern and Antique Furniture Upholsters, Marine Canvas Fabricators, Automotive Upholstery, Draperies, Slipcovers, and Awnings. Join our online network and improve your business!
Professional Upholstery & Soft Furnishings Group: The premier website for Modern and Antique Furniture Upholsters, Marine Canvas Fabricators, Automotive Upholstery, Draperies, Slipcovers, and Awnings. Join our online network and improve your business! Professional Upholstery & Soft Furnishings Group: The premier website for Modern and Antique Furniture Upholsters, Marine Canvas Fabricators, Automotive Upholstery, Draperies, Slipcovers, and Awnings. Join our online network and improve your business! Our typical member is a small business, either home based or with an outside shop. Professional members enjoy the use of an extensive forum, private chat room, newsletters, photo gallery, free listing, discounted web hosting, and access to a database of suppliers.    
Professional Upholsterers & Soft Furnishings Group Forum Login

Search Site


Results per page:

Match: any search words all search words

click on menu heading
Who's Online
14 Guests, 0 Users
 
Click Here for a printable version.


Overhead/Expense Worksheet

The following worksheet is for members and business owner to develope good universal business practices. Money expended in the promotion of any business must be recaptured through the sale of your product and its pricing. It offers the following data. Fill in the blanks to get teh cost to run your business for each operating hour. This cost added to direct labor should be your minimum shop rate. Since profits on raw materials are widely variable with each job, it is ignored in this cost analysis.

STEP 1. Insert your cost per year At 40 operating hours per week, 2 weeks paidvacation and 5 paid holidays, you actually are open for business 49 weeks or 1960 hours per year. (If you are open 6 days a week, compute those hours.)

Costs Exluding Labor

Mortgage/Rent _______________
Utilities-Heat, water, etc. _______________
Office Supplies-Postage, etc. _______________
Bank Loans (not mortgage) _______________
STEP 2. Divide by 1960 hours
(or your calculated hours)

Insurance _______________
Worker's Compensation _______________
Accounting Fees _______________
Association Dues (business) _______________
Labor Travel Expenses'/trade shows _______________
Employee wages/salary _______________
Employer's contribution for FICA (Social Security) _______________
Health Insureance _______________
Worker's Compensation _______________
Vacation Pay _______________
Holiday pay _______________
Jury duty/military reserve _______________
Sick pay _______________
Daily coffee break _______________
Uniforms/aprons _______________
Unlisted expenses _______________
15% unproductive labor between jobs _______________
Yearly bonuses _______________
Commissions over labor _______________

Total Labor Per year _______________
Divided by calculated hours _______________
Total Labor per hour _______________
Fed.,state, local bus. taxes _______________
Owners: Salary _______________
Retirement funding _______________
Health Insurance _______________
Personal Medical _______________
Saving funds: tool Replacement _______________
Bad Debts _______________
Insurance, benefits _______________
Travel expenses _______________
Business vehicles/payments _______________
Depreciation _______________
Insurance _______________
Maintenance/repairs _______________
Gas, oil, wash, tags _______________
Advertising-all Medias _______________
Contributions/Donations _______________
Unlisted specific expenses _______________
Total yearly cost less Labor _______________
Divided by Calculated hours _______________
Total hourly cost less Labor _______________


Now add your hourly shop costs to your hourly labor charge and you will have the bottom line figure you need to produce in order for your business to 'just' survive and retain a living wage.

Hourly shop Costs per Hour _______________
Hourly Labor Costs per Hour + _______________
TOTAL Hourly Work Charge = _______________



WARNING:
The calculations you have assembled through this data sheet will indicate only your absolute cost of your business operation. It allows you your wages and the return of your business expenditures, to maintain your business. It is now imparative that you add at least 7% 12 % profit margin onto your minimum hourly shop rate to achieve your proper return on your investment. This added percentage is a separate margin from whatever other margins you may receive from fabric, raw materials, or other merchandise your business may offer.


This How-to is Credited to:

Barnard's Upholstery & Auto Trim
24 Tallwood Trail
Palmyra, Virginia 22963
www.barnardsupholsteryshop.com
Staceys Email

  Contact Webmaster
© Copyright 1998 - 2014   Carrs Corner ©
vocational