I am glad i brought that up
And as pointed out before, for any business to be viable in terms of actually being a healthy business, you need to take the direct cost of the hourly rate and x 2.2-2.4 depending on the scale and industry type of the operation.
That becomes your TRUE cost, before you add any profit margin. So even at $100/hr + GST the LAME shop is not rolling in it.
Apply this to electrical contractors where the sparkies are charged out for virtually all the working hours a day, and you get $85-95, but in an industry where the staff are often required to do a lot of research, education or other necessary but not necessarily direct customer work, then you can see why it is not hard to get $150+GST. I charge my engineers out at that. If it is a 2-3 hour job on site the rate is $175, because of all the odd jobs surround that that they have to do.
Makes the LAME costs not so bad.
I saw an article in the USA recently and their rates were not much different to ours and in some states of the USA they were the same. In some states it could be the A&P's are all work from their truck guys and have lower costs, so apples and oranges comes to mind.
Have a good week y'all
