How Do I Quote Jobs Accurately in Powder Coating?

Accurate quoting is one of the most important skills for running a successful powder coating business. Price too high, and you risk losing the customer to competitors. Price too low, and you cut into your profits or worse, end up working at a loss. By breaking down the process into clear, measurable steps, you can create quotes that are fair, competitive, and profitable.

Below are seven key steps to help you quote jobs accurately.

1. Powder Usage and Cost

The first step is estimating how much powder you’ll need. Powder usage depends on:

• The size and shape of the item being coated

• The type of powder used (some powders have higher coverage efficiency)

• Transfer efficiency of your equipment (usually 50–70%)

Once you calculate the estimated square footage to be coated, apply the manufacturer’s coverage rate per pound to determine usage. Multiply by your cost per pound of powder to get the material cost. Always account for a margin of waste to avoid underestimating.

2. Labor Time and Cost

Labor is often your biggest expense. Accurately estimate:

• Prep time (stripping, blasting, masking, cleaning)

• Spray time (including color changes, which add downtime)

• Curing and handling time

Track how long each process typically takes in your shop, then multiply by your labor rate (hourly wage plus payroll costs). Over time, you will build accurate benchmarks to streamline quoting.

3. Overhead Costs

Overhead includes all indirect costs of running your shop like utilities, rent, insurance, equipment maintenance, and administrative expenses. A common way to cover overhead is to add a percentage markup to labor or square footage. For example, if your overhead runs about 20% of total costs, apply that factor consistently in your quotes.

4. Material Costs

In addition to powder, don't forget other consumables and supplies such as:

• Masking tape, plugs, and hooks

• Cleaning chemicals and blasting media

• Packaging for finished parts

These "hidden" costs add up quickly, so always include them in your estimates.

5. Profit Margin

Profit margin ensures your business remains sustainable and growing. Most powder coating shops aim for a margin between 20-40%, depending on competition and market demand. Set a standard margin for consistency, and don't be tempted to undercut yourself.

Your time and expertise have value.

6. Market Rates

Research your local competition to understand what the going rates are. While you shouldn't base your pricing solely on competitors, knowing the market helps you stay competitive. If your prices are significantly higher, highlight your quality, turnaround time, or customer service as differentiators.

7. Pricing Strategy

Finally, decide how you want to structure your quotes:

• Per part (common for repeat jobs and small items)

• Per square foot (helpful for larger surfaces like gates, panels, or railings)

• Flat rate per project (simple for customers, but requires careful cost tracking)

A clear, consistent pricing strategy makes your quotes easier to understand and builds trust with clients.

Accurate quoting is both an art and a science. By carefully tracking powder usage, labor, overhead, materials, profit, and market rates, you’ll develop a system that works for your shop. Over time, this consistency not only helps you stay profitable but also strengthens customer confidence in your business.

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