How to make money during the economic slump
BLOOMINGTON, INDWhile the Federal Reserve cuts interest rates to prevent the onslaught of a full-fledged recession, many Americans are becoming more conscious of their financial standing.
A new book by contractor and job shop consultant Leo Goss explains how to increase and expand the profits. The PH System: How to Make More Money in a Job ShopEvery Job, Every Time (available from 1stBooks Library) describes PH, a system of job pricing and control based on direct labor hours that is intended to increase job profitability, while providing contractors with greater control.
Direct labor hours are the key to improving and expanding job profits, Goss said. Why? Because your job shop is just like you when you worked by the hour. The more you made per hour worked, the more money you had to take home at the end of the pay period.
Because Gosss moneymaking plan focuses on job shops, the book specifically assists construction contractors, tool and die makers, mold makers, machine shops, screw machine shops, foundries, fabricators or any other job shop that does work on a custom basis.
The book details how direct labor hours can work for you and how percentages work against you. Every chapter is firmly established on direct labor hours and one fundamental formula called PH, which stands for Profit per Hour.
The more a job shop makes per direct labor hour worked, the more profit at the end of the job and the accounting period, Goss said. The principles are sound and have increased job profits dramatically in all kinds of job shops since 1981.
Written in a workbook format using everyday terms, the book is easy to understand. In fact, a 14-page executive summary called Quik-Tour can be read and understood in only 60 to 90 minutes.
You can put PH to work on your own jobs in less than 60 minutes, said Goss. You will learn lucrative pricing with PH and then learn how to take control of your pricing to keep those profits on an upward climb.
According to Goss, PH does not change the work that contractors do. Instead, it builds and improves on what they already do.