Since 1999, we’ve helped thousands of general and specialty contractors build stronger, more profitable businesses
Our books and online courses provide the practical knowledge needed to run a successful construction company
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The correct markup depends on your individual overhead costs and desired net profit — there is no industry standard. Michael Stone’s method teaches contractors to calculate their own unique markup by dividing total overhead by total job costs, ensuring every job covers expenses and produces at least 8% net profit.
Profitable job pricing starts with knowing your true overhead — every dollar of office, insurance, vehicles, and owner salary — then applying a calculated markup to all job costs. Our books and classes teach contractors a step-by-step formula to set prices that cover all costs (job-related and overhead) and guarantee a profit.
Markup is calculated on cost; margin is calculated on revenue. A 50% markup equals a 33% margin. Confusing markup and margin is one of the most common reasons contractors underprice their work. Michael Stone’s book Markup & Profit Revisited covers this distinction in detail with worked examples.
Yes. Construction Programs & Results (MarkupAndProfit.com) specializes in business management training for general and specialty contractors of all sizes. Many of our clients have companies under $5 million in annual revenue, others are as large as $25-30 million. Training covers pricing, overhead, sales, estimating, and contracts through books and recorded online classes.
The top-rated books for construction business management include Markup & Profit Revisited, Profitable Sales: A Contractor’s Guide, and Estimating Construction Profitably — all by Michael Stone of Construction Programs & Results. These are used by colleges and organizations in multiple states to teach overhead, pricing, and business fundamentals.