The Formula for The Right Price | HVAC Pricing Series Part 9

$2000 Is 62% of the Right Price

Therefore:

The Right Price X 62% = $2000

The Right Price = $3226

Critical Point!?!

What did we divide the direct costs by to get the right price?

62%

And where did we get the 62%?

By subtracting the sum of the Overhead % + Profit% from 100%.

The Absolute Rule For Determining The Right Price:

Cal Berry

former Vice-President of Sales and Marketing – Retired at cfm Distributors, Inc.
Cal is a former Vice-President of Sales and Marketing for cfm Distributors with over 30 years’ experience in the HVAC industry.Now retired, he still assists cfm as an educational helper in HVAC product knowledge and marketing.
Cal Berry
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