• General Sign Topics

  flat cut letters – markup help?

  Posted by Gary Davis on 9 February 2006 at 16:51

  Hi,

  could anyone give a rough idea of markup that is going rate for flat cut letters? would 60% price you out of the market? obviously plus the labour and design time

  thanks dtg

  Checkers replied 19 years, 10 months ago 1 Member · 1 Reply
• 1 Reply

• 

  Checkers

  Member

  9 February 2006 at 17:25

  I guess it would depend on the supplier. I normally buy my letters from a supplier who publishes retail prices in their catalog. I get a 40% discount off their retail. I would sell them at the retail price and add shipping costs too. Travel time, materials, installation, etc. would be additional too.
  Now if it was something custom that is not in their book, I would mark up my costs so I could still get that 40%. But, in order to achieve the 40% margin, I would have to mark up the materials by dividing my costs by .6. to achieve that 40% margin.
  As silly as it sounds, do the math. If my catalog price for some letters is $167, a 40% discount would be about $67 and the letters cost me about $100. However, If I bought something for $100 and only multiplied by .6 the retail would only be $160 and I’m out the $7.00.
  If this doesn’t make sense, please say so, it’s not as easy to explain as you think :lol1:

  Checkers

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