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Brexit

Has Brexit affected your business, ??For me it has customers are on edge and purchases of tools machinery has increased overnight.I'm thinking of making things more efficient, and I'm nervous of passing these extra costs on with a price increase.Any views would be greatly appreciated,

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  • PRO
    How does being more efficient create a need for price rises?
    If you become more efficient surely you could if you wanted to drop prices?
    • Think we all need to find ways of making us more efficient, and adding a better service , costs are always rising Richard.
      Cost of living etc I would be interested how many on here religiously increase there prices Year on Year. ?
      • PRO

        Maybe, I'm not seeing much rising if I'm honest, fuels gone up a bit as has food other than that not sure really.

        I have bought this years diesel back in October to lock a price for the year. That's only any good if you can store it and pay upfront.

        As for price rises if the client is worth keeping they will accept if not move on there is plenty of work (around here at any rate).

        Aiming at the right clientele in the first place helps as those with money will always be around it's the middle and lower end that will struggle.

        Just my thoughts

        • PRO

          I have to agree Richard, I think everywhere above Birmingham already has it bad, so we wont see much difference. It's the south that will feel the pain mostly.

    • Sorry not very well worded
  • PRO

    The Brexit vote was the catalyst that (or the result which I correctly predicted  :) ) saw me starting my company and departing PAYE land,... and here in the SW I have already got a 3 month lead time on orders and am thinking of upping my prices and/or employing a helper.

    That said I am still on a few of the old job sites looking at the sort of job I used to do, the salaries are now lower, AND there are far far fewer of them...... So taking this forward there will be less people able to pay for our services in a few years, unless we aim only for commercial, or retired final salary clients.

    We all are recognising that prices of anything imported will rise between 10 and 20% in the next year, that will include things from the EU - the £ has been devalued so much before Brexit, but even more since, and even if our leaders manage to pull a rabbit out of the hat, which I doubt  (How successful was Cameron at "renegotiating the terms? and that was before we voted "out"?).

    All this said I think much of the above is a macro level - we do not deal at that level, many of us have multiple clients with different levels of financial stability so we are spreading our risk. Without doubt all things from abroad (Stihl, Echo, et al) will increase in price - inflation will also rise, it is the only way the government can pay down their ever-rising borrowings. This means wages for all will increase, but so will costs - and that must include our rates.... but I'm not sure all will accept that quite yet - the catch is when it is acceptable, everyone from Asda through to the window cleaner will be upping their prices as well...... :(

    I think we have got to up the prices to ensure margins are not eroded..... but as is always the case some clients will not tolerate it - and you will lose them. I am tentatively increasing rates on new clients/jobs - and am having some success.... but not 100%

    • Great words Adam the efficiency will only help me, recoup some rises, and not make me more profitable.
      But I do think we have nip choice but to increase prices and look for more profitable work.
      In my view it's tuff times ahead hope I'm proved wrong.
      • PRO
        Agreed....though I think.others will have it tougher.....the only way things will really improve is if another big country leaves the EU, but it will take years to feed through
        • By the time Brexit is sorted every English company will be snapped up by foreign investors, its allready happening, believe me. I bet they can't believe there luck.
          • PRO
            Yep....
            I also foresee (this after red wine), that the government will award big contracts to overseas companies rather than UK based ones to "kick'start" trade deals.
            But this will not affect us.....other than by putting more UK tax payers out of work....i.e. my customers
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