Calculate the minimum roof price
Calculate a minimum sell price using break-even and gross margin logic.
You are pricing a 21-square shingle replacement with clean access. A competitor is rumored to be around $11,900, but your direct cost estimate is $7,850. Break-even thinking plus gross margin: direct cost must be covered, and gross profit must fund overhead and target profit. The common trap is to ask, "Will this cover materials and labor?" That ignores the overhead contribution every roof must make. Step 1 Estimate direct job cost: materials $3,950 + labor burden $2,700 + dump and delivery $540 + permit and admin job fees $210 + sales commission $450 = $7,850. Direct cost is the cost…
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