Question about money

by **Pickalock Anylock** » 26 Jan 2006 0:42

Hello, I am new to all of this. I recently became interested in becoming a locksmith. I know i have a lot to learn and from reading the posts and responces on this forum I am impressed by the willingness people here have to help and answer questions. I was wondering if anybody could give me a general idea on average how much money a locksmith makes and what would be ideally the highest paying branch of locksmithing etc, etc. I have no clue what the general income looks like. Of course this is not my main concern but it does have importance. Thank you for your responces and advice.

-Brandon

by **Raccoon** » 26 Jan 2006 7:43

I created a thread in the Locksmithing Business Info forum to get an idea of rates locksmiths charge for emergency lock-out service.

viewtopic.php?t=10716

While these rates vary wildly from area to area--as low as $20 and as high as $99 to let someone back into their car or home--I would have to say that the highest paying "branch" of locksmithing for a low budget business is handling lock-out calls. One doesn't have to keep an inventory stock of locks or key blanks, or need a fully stocked van decked out with 10 grand of hardware. I've stated, and still defend, that such a business could start up with as little as a $500 investment.

by **Raccoon** » 26 Jan 2006 7:54

PS. Talk to zeke79 about the logistics of becoming a locksmith in Chicago. Illinois created a board that regulates everything from security guards to locksmiths. It's one of the only states that requires licensing to become a locksmith--which like all-things Illinois, comes with an obligatory licensing fee.

by **vector40** » 26 Jan 2006 8:32

Highest PROFIT would be more accurate.

by **Omikron** » 26 Jan 2006 12:19

vector40 wrote:Highest PROFIT would be more accurate.

VOLUME is important too, ya know. ;-)

Given a cost of $1, it does you no good to sell 1 widget at $10 when you can sell 50 of them at $5...

by **vector40** » 26 Jan 2006 17:36

Yes, but that's not really how lockout businesses work.

by **Raccoon** » 26 Jan 2006 17:59

Unless there is a significant amount of competition, and you have among the highest rates in town. Then it's possible to halve your rates and quadruple your income.

by **vector40** » 26 Jan 2006 19:53

Four times as much work? How many hours are in your day? You need to take the call, get to the site, do the job, and get home, and there's nothing to say that they're going to neatly space themselves throughout the day. (In fact they will almost certainly be bunched in the same high-traffic periods of time.)

Nice way to piss off the local businesses, too...

by **Raccoon** » 26 Jan 2006 20:17

I'm refering strictly to abstract business scenerios. If you're charging $80 while everyone else charges $35 to $50, you can expect a lot less business and a lot of free time on your hands. Even charging a dollar less than your competition is enough to steal 10% of their customers in some business models.

So, in a situation where you're getting only 3 calls a day, and it's directly related to the price you're charging in relation to the price of your immediate competition, then reducing your price can double or quadruple your business. This is, of course, an extreme case. Every situation varies, "I'm just saying."

by **vector40** » 26 Jan 2006 22:37

Ah. Well. I'm talking about reality.

by **Raccoon** » 29 Jan 2006 6:36

My abstract is someone's reality.

Question about money

Question about money

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