# What are your most profitable projects in residential electrical?



## NJ Contractor (Nov 12, 2016)

I am a high-end residential remodeling contractor who also holds an electrical license and my employees are skilled in both carpentry and residential electrical work. In the past, I have given some thought to opening a separate electric only company under a different name, either alone or with a partner (current employee). And I am just curious as to what projects are your most profitable in residential electrical work. 

In the remodeling company, I have the opportunity to mark up larger ticket items such as cabinetry, subcontractors, etc...that I won't have on the electrical side. However, opening this company under a different name would allow us to do electrical subcontract work for other general contractors in the area who won't use us now because of the affiliation with the remodeling business.

Where I am located is built out and there is no new construction. The focus options seem to be service work, remodel work, services and generators. We could also slowly expand into light commercial but our current expertise lies in residential.


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## MechanicalDVR (Dec 29, 2007)

"What are your most profitable projects in residential electrical?"

The ones I avoided.


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## HackWork (Oct 2, 2009)

People are probably sick of seeing my list 50 times already lol.


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## nrp3 (Jan 24, 2009)

I am inclined to think I'd do better doing remodels and service than new construction.


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## Majewski (Jan 8, 2016)

I'd be rich if I could just do ceiling fan installs with a helper 5-10 times a day x7 days a week.


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## MechanicalDVR (Dec 29, 2007)

HackWork said:


> People are probably sick of seeing my list 50 times already lol.


Link the thread.


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## MechanicalDVR (Dec 29, 2007)

Majewski said:


> I'd be rich if I could just do ceiling fan installs with a helper 5-10 times a day x7 days a week.


Ten a day for a twenty hour work day with driving?


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## telsa (May 22, 2015)

NJ Contractor said:


> I am a high-end residential remodeling contractor who also holds an electrical license and my employees are skilled in both carpentry and residential electrical work. In the past, I have given some thought to opening a separate electric only company under a different name, either alone or with a partner (current employee). And I am just curious as to what projects are your most profitable in residential electrical work.
> 
> In the remodeling company, I have the opportunity to mark up larger ticket items such as cabinetry, subcontractors, etc...that I won't have on the electrical side*. However, opening this company under a different name would allow us to do electrical subcontract work for other general contractors in the area who won't use us now because of the affiliation with the remodeling business.
> *
> Where I am located is built out and there is no new construction. The focus options seem to be service work, remodel work, services and generators. We could also slowly expand into light commercial but our current expertise lies in residential.


Not going to happen. :no:

Nothing you touch will lack your touch. :thumbsup:

Your target audience of ( commercial ) GCs will not cross-train you in their art.


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## swimmer (Mar 19, 2011)

Troubleshooting power company problems. I'm in and out quickly, collect my fee from the homeowner and the power company does the work once I describe the problem to them. They are often called before me but they always tell the homeowner to call an electrician. Lucky me.


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## Kyrton (Feb 2, 2016)

> *What are your most profitable projects in residential electrical?*


Getting to know the home owner. Finding their needs and wants, then addressing them. 

The service call pays the bills, the up-sell creates profit. 

I would sell smoke/CO detectors, surge protectors and arc-fault breakers all day !


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## chicken steve (Mar 22, 2011)

New construction is almost non existent* vs.* pre '08 crash , as well as finding a dz or more bids *vs.* two or three of said era :no:

New construction always insists on solid #'s , reno's do not ,nobody has Xray eyes ...reno's are the new breadwinners , ironic that it used to be the other way 'round here....

~CS~


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## Southeast Power (Jan 18, 2009)

NJ Contractor said:


> I am a high-end residential remodeling contractor who also holds an electrical license and my employees are skilled in both carpentry and residential electrical work. In the past, I have given some thought to opening a separate electric only company under a different name, either alone or with a partner (current employee). And I am just curious as to what projects are your most profitable in residential electrical work.
> 
> In the remodeling company, I have the opportunity to mark up larger ticket items such as cabinetry, subcontractors, etc...that I won't have on the electrical side. However, opening this company under a different name would allow us to do electrical subcontract work for other general contractors in the area who won't use us now because of the affiliation with the remodeling business.
> 
> Where I am located is built out and there is no new construction. The focus options seem to be service work, remodel work, services and generators. We could also slowly expand into light commercial but our current expertise lies in residential.


I think you have answered your own question.
The GC work has higher margins with generally a lower cost per crew.
Electrical work will have a more expensive crew and therefore lower margins and more to manage.
It looks to me like you want to unhitch your electrical crew as full timers and split them with other GCs.
I think that's a good move. It's rare that a PM can manage both a carpenter crew and or an electrical/mechanical/plumbing crew at the same time. It just doesn't translate very well.


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## 99cents (Aug 20, 2012)

There's good money in renovation work to the right client. The right client is the one who has a fat bank account or has a good relationship with the bank. The wrong client is the one who has big ideas and a bank balance hovering around zero.


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## sbrn33 (Mar 15, 2007)

I think it might be kitchen remodels, at least the good ones. The thing is you better tell them how much it is up front. They are thinking $2K and the real life price is $7K. 
I think it is really hard to make good money on service unless you are really set up for it and can get 8 to 10 calls a day in. Definitely need a big population for that. 
Adding recessed fixtures is right up there also.


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## 99cents (Aug 20, 2012)

sbrn33 said:


> I think it might be kitchen remodels, at least the good ones. The thing is you better tell them how much it is up front. They are thinking $2K and the real life price is $7K.
> I think it is really hard to make good money on service unless you are really set up for it and can get 8 to 10 calls a day in. Definitely need a big population for that.
> Adding recessed fixtures is right up there also.


Agreed. Anybody who commits to a kitchen makeover is committed to spending dollars. Cabinetry, countertops, appliances, flooring and tile work add up to big bucks fast. The money has to be arranged before the job starts. There's no half way with a kitchen; the client has to be all in. We can make good money with kitchens.

I can knock off a kitchen pretty fast. It's a matter of being creative with existing circuitry, although arc faults have screwed that up a bit.


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## nrp3 (Jan 24, 2009)

The arc faults alone in a remodel add up. Under cabinet lighting, led trims. Used some of the wiremold pop up boxes on one of the last ones. USB receptacles. Night light receptacles. Extensive layout with the cabinet guys. Creative ways to fit that junction box in with the wall ovens. How to fit those cut in boxes into the end of an island or peninsula so it doesn't look like crap.


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## 99cents (Aug 20, 2012)

nrp3 said:


> The arc faults alone in a remodel add up. Under cabinet lighting, led trims. Used some of the wiremold pop up boxes on one of the last ones. USB receptacles. Night light receptacles. Extensive layout with the cabinet guys. Creative ways to fit that junction box in with the wall ovens. How to fit those cut in boxes into the end of an island or peninsula so it doesn't look like crap.


We are artistes  .


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## nrp3 (Jan 24, 2009)

That we are.


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## Majewski (Jan 8, 2016)

I do it while wearing a flashy uniform and honking nose.


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## flyboy (Jun 13, 2011)

99cents said:


> The wrong client is the one who has big ideas and a bank balance hovering around zero.


These are the ones (typically GC's) that like to fund their projects with your money. 

"What do you mean you don't have my progress payment?" 

"What does the owner not paying you got to do with you paying me?"

"What do you mean you didn't get paid because the paving contractor screwed up the parking lot?" 

"Whats the hell does that got to do with me?!"


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## nrp3 (Jan 24, 2009)

I have a select few I work for and they only work for the right people so most of that nonsense is weeded out.


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## NJ Contractor (Nov 12, 2016)

sbrn33 said:


> I think it is really hard to make good money on service unless you are really set up for it and can get 8 to 10 calls a day in.


Sounds like a logistical nightmare!


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## DesignerMan (Jun 13, 2008)

MechanicalDVR said:


> "What are your most profitable projects in residential electrical?"
> 
> The ones I avoided.


I agree with MechD- I got out of resi work about 2 yrs. ago because it just isn't as profitable as commercial/ industrial work where I'm located.


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## lightman (Oct 14, 2015)

Around here its things like hooking up mobile homes and more recently, generators. Once you are in business long enough to get a reputation you can make a decent living on service, with the occasional remodel, generator or mobile home hook-up. The best move I ever made was getting into agriculture work. Farm shops, grain bins, electric wells, areators, stuff like that. When you start working on things with voters, you have to start carrying more mechanic type tools.


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## telsa (May 22, 2015)

lightman said:


> Around here its things like hooking up mobile homes and more recently, generators. Once you are in business long enough to get a reputation you can make a decent living on service, with the occasional remodel, generator or mobile home hook-up. The best move I ever made was getting into agriculture work. Farm shops, grain bins, electric wells, areators, stuff like that. *When you start working on things with voters, you have to start carrying more mechanic type tools.*


So, you fix elections, too ?


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## drewsserviceco (Aug 1, 2014)

telsa said:


> So, you fix elections, too ?



Only if he is a republican or hails from Russia. lol


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## lightman (Oct 14, 2015)

I guess ya gotta love spellcheck! It looks like I can't edit it either!


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## drewsserviceco (Aug 1, 2014)

😁Nothing personal, I just saw an opening and took it. All the hot button political talks of late, and it's all I see.


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## lightman (Oct 14, 2015)

Its all good Bro!


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## chicken steve (Mar 22, 2011)

Not all resi jobs are_ created_ equal. :no:

Some of the high end ski bunny McMansions can include archy's ,lighting specialists, sound specialists, etc. :notworthy:

One can hear the rattle of loose currency as they walk thru job sites....

~CS~


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