Knowing how to calculate the true profit on a vehicle wrap job is one of the most important skills you can develop as a wrapping business owner.
A customer pays £2,000 for a colour change, the vinyl costs £500 and it can be tempting to think you’ve made £1,500. Unfortunately, there are installers to pay, workshop costs, marketing, payment fees, wasted material and dozens of smaller expenses sitting between revenue and actual profit.
This is where busy vehicle wrapping companies can get caught out. The diary is full, plenty of money is coming through the business and turnover continues increasing, yet surprisingly little remains at the end of the month.
At Wrap Network, we believe generating more work only makes sense when the work itself is commercially worthwhile. Wrap Network focuses on helping vehicle wrapping companies create a stronger pipeline of opportunities, but more enquiries and more jobs won’t automatically create a more profitable business.
Understanding what each vehicle wrap really makes allows you to price more accurately, identify your strongest services and stop accepting work that keeps everybody busy without properly contributing to the company.