Budgeting The Painting Contract

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Paint Contractors

Business Manual

By Kevin McGeer

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Budgeting The Contract

Planning a paint contract involves many items, but the main one is doing a financial budget. Did you make a profit or loss? You may have many different types of contracts on the go at the same time. Is sprayiung roofs making more money than painting floors?

With this type of information, you can steer your business into profitable areas, by changing things like marketing, the type of equipment you see and the type of labour you hire.

Budget

Lay out a budget for the contract, which includes labour, paint, incidentals and hire expenses.

Budget Costing Example

No	Description	Qty	Unit	Rate	Sub- Total	Total	Actual Costs	Variance %
A	PAINT
1	Primer	2	20 litre	$100	$200
2	Acrylic	6	20 litre	$150	$900	$1100
B	LABOUR
1	Preparation	4	Man days	$100	$400
2	Primer	2	Man days	$100	$200
3	1st Coat	2	Man days	$100	$200
4	2nd Coat	2	Man days	$100	$200	$1000
C	INCIDENTALS
	5% Paint Costs				$55	$55
D	HIRING COSTS
	Scaffolding	1	3m tower	$800	$800	$800
E	SUB- TOTAL					$2955
F	SALE					$5000
G	PROFIT					$2045

monitor the actual expenses(B 2) and compare them to the budgets. This is one of the most crucial exercises to do, while running a successful paint contracting company. This information will give you the edge, when at a moments notice you may have to negotiate a potential contract.

Check List When Starting a Contract B6 you may have more items that you want to add.

No	Description	Tick
1	Specification on site
2	Contract in place and signed
3	Guarantee in place- paint supplier
4	Paint supplier technical contacted
5	Site register
6	Budget done
7	Quality documents
8	Production schedule
9	Client regular meetings set up
10	Site storage organised
11	Signs outside the site for marketing
12	Toilet facilities organized for the laborers
13	water access
14	Electricity access
15	Wages negotiated if necessary
16	Bonuses negotiated if necessary
17	Safety system in place
18	safety officer appointed in writing
19	Scaffolding permits in writing
20	Trash bins for rubbish organized
21	necessary small tools on site
22	Step ladders on site
23	Staff uniforms handed out

Check List When Completing a Contract B7

You may have more items that you want to add.

No	Description	Tick
1	Guarantee in place
2	Site cleaned
3	Actual costing up to date with variances
4	Quality documents completed and filed
5	Signs outside premises removed
6	Toilet facilities removed
7	Rubbish bins removed
8	Ladders, scaffolding and tools removed
9	Final invoices in place

Please attain more information from “Washington House Painters”

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