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The 3C MENTOR/Calculator- 10.04 Margin Structure Calculator
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Calculator- 10.04 Margin Structure Calculator

Understanding how your margins are built up is a key to any successful business. This template allows you to see what your margins should be.
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Product Description

The ‘Margin Structure’ sheet is designed to be used to set selling prices for projects or for creating a sales price list for standard designs. Either way it shows how the margin structure is applied to each job and what amounts from the margin are contributed to each area of the business. 

The ‘Margin Structure’ would be used either by the Accountant or the Estimating Manager in the business to show to the Owner or senior management how and what the sales margins should be.

Preview

A quick look at some of the contents of this document to gauge its application and format.

FAQs

Why would I use a Margin Structure?

The Margin Structure Calculator is designed to calculate what sales margin you should be applying to the building projects you undertake. Experience has shown that most builders apply a margin using a figure that is discovered by ‘trial and error’ or they have used one that the builder they previously worked for used. There has been no analysis to work out what is the ideal margin for your business.
 
This calculator uses the overheads and other data to establish the ideal margin for your business based upon your circumstances. The example used in the calculator is ‘derived’ to reach a nice round figure. Yours maybe different. Only by entering your data will you find out what yours should be.

Builders often confuse ‘margin’ with a ‘mark-up’. If you think you are using a ‘margin’ but it is a ‘mark-up’, then you could be cutting yourself out of profits.

Resource

10.04 Margin Structure Calculator V1 230620.xlsx
  • 20.5 KB

The 3C MENTOR

Bruce Robb  

Managing Director-The 3C Mentor


I am a Consultant-Counsellor-Cheerleader.
My purpose is to help people be the best they can be. 
I get the most satisfaction from helping and mentoring people.  With over 40 years experience gained from working with some of Australia's most prominent builders and developers as well as smaller boutique builders, I can see the 'nuances' other business coaches can't see.
I  want to see your business succeed.

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