Tune in as Kyle Hunt, host of Remodelers On The Rise, interviews Steve Tankersley, the owner of Tankersley Construction on his journey into the remodeling industry. After working in commercial construction, he decided to start his own remodeling business in 2018. Steve emphasizes the importance of the fundamentals in running a successful business, such as responsiveness and reliability. He also values the freedom and flexibility that owning a business provides, allowing him to spend more time with his family. Steve discusses his transition from fixed-price contracts to cost-plus contracts, which offer more transparency and build trust with clients. He provides insights into his cost-plus approach, including setting goals for net profit, accurately estimating project costs, and itemizing direct costs.  ----- Visit RemodelerRetreat.com and sign-up to join Kyle and his wife Sarah for the Remodel Your Marriage, Life, and Business Retreat, October 2nd-4th, 2024  ----- Takeaways The fundamentals of responsiveness and reliability are crucial in running a successful remodeling business. Owning a business provides the freedom and flexibility to spend more time with family. Transitioning from fixed-price contracts to cost-plus contracts can build trust and provide transparency with clients. Setting goals for net profit and accurately estimating project costs are essential in a cost-plus approach. Itemizing direct costs, such as insurance and software, can help reduce the markup in cost-plus contracts. The cost-plus pricing model allows for open and frequent communication with clients without the fear of racking up hourly bills. Delivering value to clients is crucial when using the cost-plus pricing model. Knowing your numbers and having a robust accounting and project management system is essential for success. Self-performed labor rates can contribute to higher margins in cost-plus projects. Using contingencies can help manage unexpected costs and build trust with clients. Cloud-based software and coaching can be valuable tools for remodeling contractors. Chapters 00:00 - Introduction and Background 01:45 - Approaching Pricing in the Remodeling Business 04:10 - Transitioning to Residential Construction 08:50 - Achieving Dreams and Balancing Family Life 10:46 - Recognizing Success and Reflecting on the Journey 12:58 - Unpacking the Cost-Plus Approach 16:28 - Setting Goals and Estimating Project Costs 19:42 - Reducing Markup in Cost-Plus Contracts 22:09 - The Benefits of Cost-Plus Pricing 23:35 - Delivering Value and Accountability 26:06 - Knowing Your Numbers and Having a Robust System 27:06 - Maximizing Margins with Self-Performed Labor 31:41 - Managing Unexpected Costs with Contingencies 39:28 - The Value of Cloud-Based Software and Coaching