Credit crunch- how you doing ?

[Chri5]

Just a casual question on work, jobs and the impact that the builders free fall and credit crunch are having on you.

So has your work load and/or work value suffered because of the money troubles or because builders are putting jobs on hold or cancelling projects?

I'm a 1 man band and tend to only work p/t but I've chased a few conversion projects up that had been in the 'design' stage only to find they have been cancelled.

A couple of mates that have JIB and the tax cards used to move about and never had lulls- both are sitting in the pub this week and only the spec of a start next month.

How you getting on ?

 

[ban-all-sheds]

Can't give any personal experience, not being a tradesman of any sort, but...

From what I hear if you're a self-employed builder/electrician/joiner/plumber etc in the "private domestic" field then ATM work is picking up because of all the people who can't move deciding to extend instead. But that is in what were already pretty affluent areas.

The problem is that there's increasing competition for the work because of all the contractors and employees being unloaded by the big commercial concerns. How long before your two mates in the pub are going after the same domestic jobs as you?

I'm going to need a builder next year, so would be interested to know if/when it becomes a "buyer's market"

 

[FingRinal]

I think the next 2 years will see more 'cash' and fewer certs/notifying..

On the plus side, all the customers who have little jobs like a light fitting change, broken socket etc. will probably get a look in from proper electricians for £20 cash no questions asked.

Good thing, bad thing or just reality?

A lot of small businesses with any kind of loan/HP and going to find it very hard.

 

[FingRinal]

BAS,

I would advise against taking advantage of the 'cusp' of seller's to buyer's market.

You need to let reality become the norm before getting a good deal. If you don't wait, all you'll get are builders cutting corners to maintain their usual levels of take home.

It takes time to change the mind set.

And if anything, I'd drill down on payment intervals rather than the total price.

 

[comms]

As a one man band the van all paid for no overheads apart from niceic/insurance etc payments, I'm doing ok & seem to be weathering the current climate, as bas has said most of the work seems to be extensions/loft conversions at the moment rather than new build's.
Have noticed that customers no longer offer payment straight away, but wait for the invoice unless they are cash payers.
Had a couple of customers wait a month & waited for the reminder before paying, so I've lowered my payment due by date to 14 days before sending the reminder.
More do seem to be offering cash & want a deal in return, no deals from me & always a cert on completion but cash is ok.

Have noticed a steady increase in sparks/builders now turning up at wholesalers in cars, having just set up on their own after been laid off by larger companies.
Also getting more flyers through the door, latest is for a company calling themselves Transform Property Maintenance & offer;
joinery
plastering
plumbing
electrical
roofing
flooring
All general building work undertaken
fully insured free estimates & advice given
(might call & see what advise i get on a cu change)
Have picked up a few jobs recently where sparks/odd jobs have cocked up & not returned, so making a nice little earner there & the name gets passed on as a quality sparks that can be relied on
Amazes me how many customers reffer to us (electricians) as "my electrician" when talking to neighbours etc .

As for the larger companies I think they are all playing safe example;
There is a new estate (40 - 50 builds) near me that looks from the outside that all the properties are completed, but the place is like a ghost town & when you take a look through any window in any property they are all bare. No first fix no plaster no flooring no plasterboard, just screed floors joists & roof trusses, you can see right the way up from ground level to the felt. The site security said everybody has been laid off untill the market picks up.

 

[Pensdown]

I'm going to need a builder next year, so would be interested to know if/when it becomes a "buyer's market"

Most good contractors rates never come down, but the waiting list does gets shorter.

 

[chappers]

I'm not going to drop my rates after all I need to live too.
Things seem to be holding up well here in Oxford. i have just started a loft have another one and a timber frame 1st floor extension to do plus a few od jobs built in wardrobes, etc (which i do on weekedns)and just priced 2 more lofts and an extension. Booked in work should take me through to around March/April

 

[WoodYouLike]

Good quality, good service will always be needed. Prospects do take a bit longer to make the final decision, but our books for supply and install are filling up pretty well, DIY-ers/developers still knocking at our door for supply only.

Agree with the sentiment: don't move - improve. Some who had thought of 'climbing' the property ladder are staying put and improve their living circumstances (extensions, knocking through walls etc). And besides that: many already live in their dream home

 

[jbonding]

New work is getting bad, last year i could ring ten firms and have a choice of which one to go with, its different now, but i have been getting a few calls for domestic stuff so i am gonna sack the site work and get back into private more money and more satisfaction. Site work, you turn up with your tools and away you go but now it will take you all day to find the gear coz some tosser as hidden it, and everyones racing to get in the next gaff and the rates are dropping so fast.

 

[2scoops0406]

The credit crunch hasn't severely hit the "real" economy yet, unless of course you are unfortunate to have been laid off. Certainly new builds have been hit, and this definitely is an effect of large companies being unable to secure funds for new property when they have firstly probably overpaid for the land, and secondly, will be unsure of the sale value of the completed property.

Work may become thinner on the ground for a while, but long term it's not worth sacrificing your reputation for a quick buck. Better times will return, and I dread to say, boom times will return in about 5 - 8 years, after the frailty of human memory has taken over.

BTW, I reckon the bailout of AIG was a very very bad mistake. It's worrying, but I hope my fears are not realised.

 

[^neo^]

Flat out here at them moment (welding / engineering), and it's still coming in.
Plenty of cash jobs coming in too which is nice.
Alot of our work is access equipment so with H&S being what it is, we seem to have a good stream of work most of the year.

 

[chr15]

Not quite as hectic as it usually is for me at this time of year but not far off, but a couple of calls here and there and I'm really busy again, doesn't take much when you're on your own to be busy.

Work is coming in at a nice steady rate so as long as it stays the same I'll be happy.

 

[possum_jenkins]

What credit crunch?

Never made more money, clearing a grand a week!

Mind you i have had to move into the building services sector and get my hands a bit dirtier than i would like!

 

[2scoops0406]

Oh dear, just got crunched with no redundancy brush up CV and brush off suit, job market here we come, fortunately my industry not too badly hit, so hopefully won't take long.

 

[rampump]

Credit crunch

Wish we had 48 hour days !