As part of Housecall Pro's new flat rate pricing feature that allows you to calculate your service pricing based off your business inputs, one critical step is customizing your material mark ups.
Where to set up material mark ups?
Step 1. Navigate to your Price Book and then choose the 'Material markups' tab on the bottom left side
Step 2. Click 'Edit' to edit the material mark up defaults set we have provided to help get you started.
You can adjust the cost range, and then select the percent mark up you'd like to apply for us to calculate the profit percent on each one of your material mark up tiers.
Step 3. You are able to add, remove or split mark up tiers as needed if you'd like to customize the defaults.
To add more mark up tiers, click '+ Markup' in the bottom left corner when you're in 'Edit' mode
To split or merge rows, click into the 3 stacked dots on the right hand side and choose either option
Important: Once you've made your edits, you will see that any materials in your Price Book that you have turned on to 'use material markups' will have the price automatically calculated based off the material mark up tier so you don't have to do the math!
Mark Up Example
If you mark up a material by 100% that costs your business $10 but you charge $20 for then the break down would look something like this:
Price for customers | $20.00 |
Cost of materials | $10.00 |
Profit | $10.00 |
Profit margin | 50% |