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Video instructions and help with filling out and completing Subcontractor tax rate
Instructions and Help about Subcontractor tax rate
Say you know if you're looking for a to get some commercial cleaning cons you can always subcontract from another company so there's a lot of national companies out there that will go ahead and try to find local janitorial companies to fulfill their our service for their national client now some of them are you know they're good companies and they pay a pay fair split but there are many of them out there that are lowball or so be careful of that you know I know even if you're just getting started it's a tempting it's tempting to take any on take on any account that you can but you know don't do anything that if you're not gonna make money that's the whole reason your business you're in business to make a profit so if you do have anybody contact you and offer you a subcontracting job for various accounts could be retail office or whatever it is it doesn't matter it could be government government work whatever is if they offer you a price to clean X amount you know to clean a facility for X amount of dollars per month run your numbers and make sure that those numbers are gonna make you a profit you know that they're offering and you know if if not you've run your numbers and you see that well it's just that you're not gonna make any money at it or the margins are very very low that annoys Connor come back to them and let them know that well you know I can't do it for this price but I can do it for this price and that's a matter of you know and what your bottom number is to make a fair profit and you know if they don't take that and just say thanks for the opportunity but no thanks and move on to your next the next opportunity so I think that a good split is 80% goes to the to you the subcontractor and 20% to the to the general contractor because all they're doing they're just managing the account they're not doing a whole lot they're checking in with them and checking in with you once in a while they're just not doing a whole lot they're just managing the account you're the one out there actually fulfilling the fulfilling the service so that's why I think it's always that's a fair split now you're going to see companies out there that will for 50/50 60/40 70/30 you know 80/20 and you know ninety ten but if you run into some of these companies that are offering that little split you know the 50/50 60/40 70/30 again you can run your numbers and see if it's C if it's a price that you actually can make a fair profit at if not and again like I say just thank them for the time and tell them that you're not interested at this.