How much should I charge for building a PC for somebody?

[Andrew Neal]

I'm looking into building computers for people, because I like to do it, and I could use the money for a new one myself. But if I build a computer where hardware, OS, and all cost $500, what percentage should I charge for labor, i.e., 500+10%= $550? What gets the best business with you all who do this already? Thanks in advance.

P.S. This is my first thread on this site, so I hope this is in the correct category.

 

[Andrew Neal]

$25 is all you're likely to achieve from a 'budget't build, absolutely. But the question is, if the build is $475, and you need to make $25 to make it worth your while (debatable)..... why would a "cheapo" buy from you opposed to Walmart et al?

Your 'warranty' idea is a little flawed. Cover your human error within a specified time, absolutely. But don't get involved in components. Either you have to be prepared to replace (out of pocket) a defective component, or you distance yourself fully from the components. It's a slippery slope.

Think about it...
You'd replace a (say) $10 wifi adapter? Seems fine, right? No big deal.
What about a $20 HDD? Still pretty cheap.
A $30 CPU cooler? Still pretty cheap, if you'll cover $20, $30 isn't too much of a stretch.
What about a $40 RAM kit?
What about a $75 CPU (in a budget build?)
$100 motherboard/GPU?

See where I'm going with that?

While the manufacturer's warranty should replace any defects, there's downtime. Something you don't necessarily have from a 'big box' store. A retailers warranty in a lot of situations would replace the product entirely in the event there is a defect, and they would handle it with the manufacturer.

Your proposal would see your customer without their product for X number of weeks while an RMA is completed.....
And at no point did you save them any money. That's a tough sell.

Sure, the higher end builds would net you more money. They'd also be to buyers who may appreciate the RMA aspect a little mor.e................. but the majority of people in that space, can/would build their own.

I would have a $25 coverage limit with $5 tolerance. I see where you're going with the manufacturer warranty, I'm thinking I cover motherboard, gpu, cpu, and psu under manufacturer warranty for 30 days, since those are the most crucial parts. But the cheapo will go to Walmart, while I sell to the guy who wants quality assured. This is a side/hobby business, I saw an opportunity to make some cash doing what I have interest in doing, and this is a good way for me to do that. Even the marketing seems to be a fun-ish part.
RAM can be covered in some situations, if the manufacturer has warranty on it, I can take care of it. But use of warranties are occasional, as most builds don't fail, it's just a 30 day protection period in case of premature failure.

 

[USAFRet]

For ALL new parts, there is a warranty.
The question is, how soon can you replace the part? Do you have an inventory of extra RAM to stick in there this afternoon?

But, whatever....do try this.
Let us know how it goes.

We're not saying don't do it, or trying to rain on your parade.
Just pointing out the actual issues of trying to sell PC's for an actual profit.

 

[Barty1884]

Totally agree with USAFRet here.

By all means, try it out.

Realize though, you're probably doing it for enjoyment & experience over any profit.....at least initially.

Definitely look into upgrades/repairs as a way to get your name out there. Start with friends/family, then friends of. With some reputation behind you, you'll stand a better chance. To begin with you're just "some guy off of *insert name of website used*", with no reputation or reason to be trusted (from a customer point if view at least)

 

[Andrew Neal]

Totally agree with USAFRet here.

By all means, try it out.

Realize though, you're probably doing it for enjoyment & experience over any profit.....at least initially.

Definitely look into upgrades/repairs as a way to get your name out there. Start with friends/family, then friends of. With some reputation behind you, you'll stand a better chance. To begin with you're just "some guy off of *insert name of website used*", with no reputation or reason to be trusted (from a customer point if view at least)

Yeah man, I'll definitely do upgrade and repair services, mostly for systems I sold, but could help with others' problems if they can explain what they were doing, any smells, etc..

 

[Barty1884]

Honestly, you're looking at it backwards.

You'll need to start with systems you didn't build - simple repair jobs & upgrades for friends/family. Then repair/upgrades for friends or friends. Then work your way up to builds.
You're not going to get a bunch of orders for builds without some form of reputation locally.

If you only accept repairs for builds you put together, that likely won't generate much work - assuming you build properly.
If it generates a bunch of repair work, then you probably shouldn't be building. Once that reputation (build needs frequent repairs) gets out, you can guarantee won't be building for long.

Realize any repairs are going to involve you troubleshooting quite substantially. Not everyone can tell you exactly what they were doing when X happened. You'll be dealing with a lot of "it's slow" or "it doesn't work", with not a lot of detail to go on.

It's tough work, with a lot of troubleshooting - but it'll build your reputation.

 

[Andrew Neal]

Honestly, you're looking at it backwards.

You'll need to start with systems you didn't build - simple repair jobs & upgrades for friends/family. Then repair/upgrades for friends or friends. Then work your way up to builds.
You're not going to get a bunch of orders for builds without some form of reputation locally.

If you only accept repairs for builds you put together, that likely won't generate much work - assuming you build properly.
If it generates a bunch of repair work, then you probably shouldn't be building. Once that reputation (build needs frequent repairs) gets out, you can guarantee won't be building for long.

Realize any repairs are going to involve you troubleshooting quite substantially. Not everyone can tell you exactly what they were doing when X happened. You'll be dealing with a lot of "it's slow" or "it doesn't work", with not a lot of detail to go on.

It's tough work, with a lot of troubleshooting - but it'll build your reputation.

Alright, thanks man, for all the help.