The job takes three hours. The van drives ninety minutes.

In any business that sends people to customers, the thing you sell and the thing you actually run out of are not the same unit, and the gap decides the margin.

By Steve 4 min read
Abstract bridge artwork for The job takes three hours. The van drives ninety minutes.

Most field businesses cost the job. Labour hours on site, materials, a markup, a target margin. The quote comes out at a defensible number and the job, when it is done, delivers roughly what the quote said it would. Every job on the schedule looks profitable. And yet the van doesn’t. The vehicle, the crew, the insurance, the phone, the share of the office: those costs accrue by the day, not by the job. What the business actually sells is jobs. What it actually runs out of is van-days. The…

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Important: General information only. Rialto Bridge articles describe patterns and considerations that may apply to a business; they are not financial, legal, tax or accounting advice, and they take no account of your particular circumstances. Consider your own situation and seek advice from a qualified professional before acting.

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