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From the way it is written, it sounds like you cannot do any electrical work yourself unless you are a licensed electrician. A permit is required for the electrical work, and you can bet that with this law in place, they will not issue a permit unless it is issued to a licensed electrician.
Are electrical shops profitable? Ans- Yes. Depending on your location, and monthly sales average you can earn a handsome profit of around 10%. Generally, people cover their investments in the business within 2 years of operation and tend to generate a steady cash flow with occasional profits.
Electricians usually charge between $50 to $100 per hour. Most homeowners pay a typical range between $162 and $522 for an electrician to visit their home and complete electrical repairs. Both hourly and project rates vary depending on the type of project, license and experience of the service provider.
Across the electrical and mechanical construction industry, gross margins were up almost 2 percent in 2017, but overall profitability decreased by 1 percent to 4.1 percent of revenue.
Our latest figures for 2018 show the average annual taxable income for an electrical contractor is $91,788.
According to the Construction Financial Management Association (www.cfma.org), the average pre-tax net profit for general contractors is between 1.4 and 2.4 percent and for subcontractors between 2.2 to 3.5 percent.
The average pay for an Electrician is ZAR 256,121 a year and ZAR 123 an hour in South Africa.
A general rule for supplies is to mark them up anywhere from 2 percent to 4 percent before taxes to cover price hikes. Mark up your supplies up between 7 and 15 percent to cover your overhead. Bid each electrician and helper to cover hourly wages, worker's compensation, and any additional benefits you may offer.
For electrical contractors, overhead generally runs at between 13% and 20% of total sales. The smallest contractors generally have the highest percentages of overhead, and very large contractors have the lowest percentages.
