Configure your company default margins. Margins by default start at the company level. You may optionally apply margins at the estimate level as well as the task level.
Margins are used to help you maintain profitability on your projects and during the estimation process. Remodel Cloud uses Profit Margins to calculate the price of each line item. The profit margin is defined as:
Profit Margin = (price - cost) / price
For example, lets examine assume that your cost for painting a room is $2000.00 and the price for the customer is $2700.00. Your profit margin would be 26%. Running your business with the understaning of your margins and allowing Remodel Cloud to calculate pricing will save you time while ensuring you are running in the black.
Margins are applied to each cost item as they are added to the estimate. Estimate margin rates are initialized to the default company margins when the estimate is created. Cost items will use the estimate margins when added to the esitmate. You may optionally update the individual estimate line item margins at any time. Changing the estimate margins will update the margins for any estimates items currently included in the estimate. The estimate prices as well as line item prices will refelect the specified margin.