CNC plasma pricing

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I don't know where else to post this so I figured here was as good as any.Here goes. I had a guy looking to have work done. And gave him a quote. I priced the job at cost for materials. And 30 cents a pierce, and 25cents an inch cut. The part was going to require 40 square inches of meterial, required 4 pierces and 39 inches of cuttingThe total for one part came to $21.59 and he wanted 16 parts. Seeing how I'm still new at this I'm not charging for design time. Or anything else. I even rounded down to $21 each. (because it's just easier) and the total would have been $336 The response I got was that the local steel yard quoted 118 for all 16. Does my price seem too high? the steel yard is at $7.37 per part. I can't even cover meterial cost for that. Anyway just looking for input frpm those of you who may have purchased parts or those that run a table. Thanks in advance.Offering CNC Plasma cutting and welding projects.Follow me on facebook https://www.facebook.com/nobigdeal.fabSupport those that support WW.
Reply:what are you trying to make? what is your profit margin? what supplier here do you use? who was going to burn the parts?Miller Pro 300 SS w/ cat Miller Bobcat 250Miller Diversion 165 Miller 211Miller Xtreme 375Miller 12vsMiller Dynasty 200 DX Miller Passport Plus w/ Spool GunMiller 30a spoolmaticLincoln AC225 Buzz Box VictorMathey Dearman - H&M
Reply:They are brackets for a truck a guy is building. (the bracket is an L shape and the short side is contored to match a tube, then it has 3 holes in the long leg) My steel came from southwest steel off of deer valley. And I quoted to do the job, but he said he could have them done by the steel yard at 1/3 the cost as what I was charging. My profit margin was small. As all I'm doing is the cutting. After paying for steel, consumables and electricity. But you gotta account for the fact that I have $12,000 in a machine and about 4-6 weeks of learning to use it. That also needs to be accounted for. I honestly thought that $21 a part was reasonable. As I'm in it for over $10 each in steel.Offering CNC Plasma cutting and welding projects.Follow me on facebook https://www.facebook.com/nobigdeal.fabSupport those that support WW.
Reply:How much cad time did you have into drawing the part?I would not lower your price. I dont cut anything unless I can make something on it.It the job is more work than $$, i just pass on it.Last edited by snoeproe; 07-23-2012 at 11:25 PM.JasonLincoln Idealarc 250 stick/tigThermal Dynamics Cutmaster 52Miller Bobcat 250Torchmate CNC tableThermal Arc Hefty 2Ironworkers Local 720
Reply:Maybe you should PM JimcoltHe has done CNC cutting for many years on all his machines he could give you some infoBacked my CATMA over your CARMA oops clusmy me  What would SATAN do ?? Miller Trailblazer 302 AirPakMiller Digital Elite  Optrel Welding HatArcair K4000Suitcase 12RC / 12 VSHypertherm PM-45Rage 3 sawRusty old Truck
Reply:Originally Posted by snoeproeHow much cad time did you have into drawing the part?I would not lower your price. I dont cut anything unless I can make something on it.It the job is more work than $$, i just pass on it.
Reply:Maybe I'm just over thinking things a bit. And the guy just wanted a deal I don't know. I have been paying on this thing for 6 months now and it has not made a dime. And I think I'm starting to get a little flustered. I need to take a step back relax and just keep doing my thing and soon enough the work will come in I'm sure.Getting ready to hit up a few offroad and fabrication places next week and drop off a few small tabs and some cards and see how that goes.Offering CNC Plasma cutting and welding projects.Follow me on facebook https://www.facebook.com/nobigdeal.fabSupport those that support WW.
Reply:do you get bent over for retail steel at $.80 lb or whatever it's at now?of course you can't make a profit like that.   and that is just the way the local steel company wants it.  they own a burn table that's long been paid for, and they stock a wharehouse of sheet at their cost anyway.Unless you can find a way to buy steel more efficiently then I think your business model is sunk.
Reply:Actually I looked at the numbers again last night and I screwed myself on the deal. My $10 for materials was calculated wrong. It should have been $2. I devided the total sheet by the cost instead of the cost be the sheet. And it was .50 a square inch when it should have been .05 so at that mark up I would never get any work. I totaled up the cost again and I should have quoted $207 instead of $336Oops. I screwed up on that one. It won't happen again.Offering CNC Plasma cutting and welding projects.Follow me on facebook https://www.facebook.com/nobigdeal.fabSupport those that support WW.
Reply:I still don't think you were unreasonable at $21.  I've spent hours cutting out and grinding simple brackets by hand.  To me, that $21 could have been worth it for all the brackets to match.For pricing, you might be better off figuring by the hour.  Doing a dry run on your cutting software should give you a time estimate.  Figure it on the safe side and if you are getting good results, bump up the speed a bit and pocket the difference.My name's not Jim....
Reply:Originally Posted by BoostinjdmI still don't think you were unreasonable at $21.  I've spent hours cutting out and grinding simple brackets by hand.  To me, that $21 could have been worth it for all the brackets to match.For pricing, you might be better off figuring by the hour.  Doing a dry run on your cutting software should give you a time estimate.  Figure it on the safe side and if you are getting good results, bump up the speed a bit and pocket the difference.
Reply:sounds like you need a simple spreadsheet to plug numbers in.   then you wont make those silly math errors because the math relationships  will remain constant you just type in new numbers.could speed up and formalize your quotes.I agree that $/inch looks cheaper and easier to (not have to) justify.however.  your still at    $207 vs steel yards $118     I.E.   still well and truly screwed.try workign backwards from the steel yards price.   how many inches per minute would you need to cut to make that price?   how close can your machine come to doing that?  can you buy steel cheaper and stock it?  what other ways can you reduce your costs?Last edited by dsergison; 07-24-2012 at 02:18 PM.
Reply:Originally Posted by dsergisonhowever.  your still at    $207 vs steel yards $118     I.E.   still well and truly screwed.
Reply:Originally Posted by BoostinjdmI still don't think you were unreasonable at $21.  I've spent hours cutting out and grinding simple brackets by hand.  To me, that $21 could have been worth it for all the brackets to match.For pricing, you might be better off figuring by the hour.  Doing a dry run on your cutting software should give you a time estimate.  Figure it on the safe side and if you are getting good results, bump up the speed a bit and pocket the difference.
Reply:that's cool. respect your enthusiasm,   but YOU said that you still have not made any money on the machine.   and how many littel ol ladies think of NoBigDeal Fab?you need to start marketing then to the "hobbiest, and average homeowner"  by making it real easy for them to find you.that, and your target market is known for being cheaper than cheap.  like no-way-can-you-survive cheap. As in "I can buy a new bbq pit at lowes for $100, so you should be able to make me one for $50" cheap.you seem to have confused the people who want it TODAY, (your time is their money) with those who have all the time in the world to shop around or want cheap decorative work.i hope im wrong.  sorry im in a grumpy tone.  dont mean to rain on your parade.  just trying to push you in another more profitable direction.   I hope you find lots of rich doctors wanting expensive bbq grills made on sunday evening.Last edited by dsergison; 07-24-2012 at 03:42 PM.
Reply:Originally Posted by NoBigDeal Fab it took all of 15 min of cutting time to have 4 matching sides.
Reply:hello i am also new at the cnc plasma cutting  the way i charge is .35 an inch and .15 a pierce how u figure the pricing is this (cut inches x .35=$ x thickness of the steel= $so 100 cut inches on .125 material will =$ 4.375hope that helps.and are u on plasmaspider.com? if not go there they will help youjakeLast edited by coffinscreekcustoms; 07-28-2012 at 11:36 PM.Reason: for got something
Reply:$4.37 seems cheep for 100" of cut.  You must be givin' stuff away.
Reply:Leave out multiplying by the thickness. So it's 100 x .35 = $35 then add in the pierce so $35.15.If you notice I screwed up and figured the cost of steel incorrect. That was my screwup, and the reason for the thread, as I thought it was correct until I looked at it further.Offering CNC Plasma cutting and welding projects.Follow me on facebook https://www.facebook.com/nobigdeal.fabSupport those that support WW.
Reply:Originally Posted by Mick120I just did a quote for my steel supplier, to cut 8 X 600mm discs from 8mm plate plus, a 500mm square from the same material.....(material supplied)I quoted 1.25 hours, giving me ample time for load/unload....cost, $180 or, $20 per piece.The reason I work on cut time, instead of pierces & length is, working out is quick and easy.....something you also tend to forget.$144 also takes into account, power, consumables etc.....altho the way Hypertherm Duramax consumables last, it's almost a moot point.Working on Nobigdealfab's method, it works out at $169.65.....so, not a lot of difference.
Reply:Yeah still beig new, i gotta figure out a way to shoot from the hip and not get burned too badly. I took today off, but i really need to get back to it tomorrow. its been 10 days non stop cutting, grinding, and welding i needed a break. that and since its a side business for me right now one day off will not kill me. (espically since i have nothing major going on with any deadlines to meet.)Offering CNC Plasma cutting and welding projects.Follow me on facebook https://www.facebook.com/nobigdeal.fabSupport those that support WW.
Reply:Yeah on thick stuff hourly is the way to go, but on thin stuff by the inch seems better. But if your going back and fourth between the two, it all ends up the same.Offering CNC Plasma cutting and welding projects.Follow me on facebook https://www.facebook.com/nobigdeal.fabSupport those that support WW.
Reply:How do you like the down draft? Ever compared it to a water table? I'm debating a switch. Due to water consumsion here in the desert. My table looses about 50-60 gal a week.Offering CNC Plasma cutting and welding projects.Follow me on facebook https://www.facebook.com/nobigdeal.fabSupport those that support WW.