Phil Pascoe":bjph8lgx said:
An acquaintance did a job for someone (living in an area where people tend to have more money than sense). He had a quote for part of the job from a (rather up market) timber supplier of £800 then got the wood on line for £500. She accepted the original price, and this was what he charged her (the rest of the job was an good earner, so he didn't have to compensate for anything).
I would have been uncomfortable with this, but that's probably one reason I'm poor.
Here in the states, it's not typical for someone to go to the trouble of getting the materials without a markup. the bid is the legal document. The details on it, unless they are conflicting (like the terms say that the lumber is purchased and sold at cost), don't really matter too much - they're just an itemization.
As far as car repair goes here - at the authorized dealers, there's usually a parts guy. He's a separate part of the business vs. the service counter. if you are a mechanic, you go to the parts guy and buy parts. Prices are generally OK (not the cheapest, but not too bad). The service counter gets the parts from the parts guy. They mark them up -depending on what they are - 50-300%, and they go on the repair bill like that. If you're OK with their parts markup, that's fine.
I always thought it was interesting on warranty work that the parts guy would sell me an ignition coil for $42, but it was $120 on the bill from service - on top of shop fees, diagnostic and labor. That would've been the service price - warranty work knocked it back. For anyone with a car with coil over plug ignition, it takes about 15 minutes to diagnose and change (if you go through confirming it's the coil). I always wondered what it cost to get that done as service - if you were lucky and the dealer didn't find something else that "the mechanic strongly recommends" you get done the same day.
Instead of buying those coils for $42 at the parts counter, i now just get a set of four on ebay for $70, OEM and for a car that may use 4 of them over 10 years, I just skip the diagnostic. I'm not a mechanic. If it ever is something else, I'll address it later when the misfire code comes up in the same cylinder (it never has).
At any rate, most of the folks who don't charge more for supplies (but fetch them, and eat that time and pay for overhead) are either one man operations near retirement (guys who know they're on their last truck and who are comfortable seem to stop charging what it will cost to get the next one, etc) or they'll be working for someone else soon.
Of course, most of those folks will also tell the customer if they can't find supplies for less than $1000 that they need to make an adjustment "Because the lumber can't be found for less than $1150".