This story is based on real events.
Once upon a time, in a state near you, a subdivision was being built. One of the new homeowners — let’s call him Phil — thought his new residence was wonderful, but something was missing. Phil wanted to build a concrete patio on his newly purchased home for his daughter’s trampoline.
Budgeting Construction Work for the Patio
- Cost of concrete: $500, but…
- Cost of delivering concrete: $400!
Phil was obviously dismayed while budgeting construction work. He realized that the cost of simply delivering the concrete was a crushing 80% of the cost of the concrete itself.
The company he contacted explained that there were significant costs on their end associated with delivering material. The nature of the business was large-volume orders that justified delivery costs.
Budgeting Construction Work in a Group
Phil, a resourceful businessman, was struck with an idea. There were probably other homeowners in the new subdivision that were considering construction work too. If he could organize a group of buyers, budgeting construction work would become a lot easier for everybody.
Phil spoke to several homeowners in his neighborhood and asked if they wanted to have any concrete work done. After substantial door-knocking, phone calls, and emails, Phil found 4 homeowners that agreed to purchase concrete with him.
Happily Every After
3 other homeowners went in on the concrete group buy with Phil. This reduced the cost of delivery by 1/4. However, because the size of the order had quadrupled, the company dropped the cost of the concrete by 10%. As a group, budgeting construction work became a piece of cake.
You can find Phil’s daughter, Haley, working the trampoline on weekends.
Budgeting Construction Work on LetsPool!
Phil saved about $300 on his patio project. Now that’s three heavy-weighing Benjamins in your wallet! LetsPool! would have been a perfect platform for them to stream line their operations.
- First, Phil would need to sign up and create a pool for the concrete purchase.
- Phil could negotiate with the contracting company, and set the prices and details in the pool.
- Next, Phil would simply need to email the folks in his neighborhood. He could also share the pool directly to social networks like Facebook and Twitter from LetsPool!
- Phil would then just need to sit back and wait for the interested neighbors to join the pool.
- Once all the money for the pool purchase was deposited into a secure holding account, Phil could arrange for the transfer to be made to the contractor.
- Finally, Phil would get his concrete (along with everybody else) and watch Haley jump up and down in joy. After all, isn’t that what being a good parent is all about!
Want to learn how to make effective group buys — not the commercial ones — so that important things like budgeting construction work can be easier for you? Download our free Group Buying Guide and get started now.