For Business Owners - System Logic Labs

Who This Applies To

Is this relevant for your business?

Ask yourself these questions. If several of them apply, a consultation is likely to be useful.

This is one of the most common situations we encounter. Pricing by reference to competitors is not necessarily wrong, but it means you have no way of knowing whether those prices cover your actual costs. Two businesses that look similar from the outside can have very different cost structures depending on their location, supplier relationships, and way of working.

Being busy and being profitable are different things. It is possible to have a full order book and still end the month with less money than you started with, particularly if some of your products or services are priced below their true cost. The only way to know for certain is to calculate the cost of each offering individually.

Most sole traders have never done this exercise. It is not something taught in trade school or included in the standard advice given when registering a business. Many business owners have a rough sense of their major costs but have never systematically listed every cost category and assigned a portion of each to each product or service type.

When one person does everything, the time spent on non-billable tasks is often invisible. The hours you spend ordering supplies, maintaining equipment, chasing payments, and doing administrative work are real hours that have a cost. They are rarely included in standard price calculations.

What We Look At

The cost categories we examine in every visit

Direct Materials

Raw materials per unit
Packaging and labelling
Consumables used in production
Waste and spoilage allowance

Space and Facilities

Rent or mortgage portion
Electricity and heating
Water and waste disposal
Space maintenance and cleaning

Equipment and Tools

Equipment depreciation
Maintenance and servicing
Replacement parts and consumables
Small tool replacement

Transport and Delivery

Fuel costs per job or route
Vehicle depreciation and insurance
Parking and tolls
Time cost of travel

Time and Labour

Direct production or service time
Setup and preparation time
Administrative and invoicing time
Purchasing and ordering time

Business Costs

Accountant fees (allocated per unit)
Insurance premiums
Professional memberships
Phone, internet, software

Simple cost model spreadsheet on a desk with a coffee cup and pen

The Output

What you receive at the end of a consultation

The output is intentionally simple. We do not produce a thick report with complex charts. We produce a clear, readable document that you can open and understand without our help.

A cost breakdown for each product or service type you offer
Total cost per unit, including all categories we identified
A suggested minimum price range based on your costs
Notes on which cost categories have the most impact
A simple template you can update yourself as costs change

One important note: The model shows you the cost side. What you charge is always your decision. Market conditions, client relationships, and competitive positioning all matter. Our job is to make sure you know the floor, not to set your ceiling.

Business Types

Examples of businesses we work with

Baker preparing bread in early morning bakery production

Food Production

Bakeries, pastry makers, catering operations, jam and preserve producers, small-scale food manufacturers. Material costs in food production are often underestimated when spoilage and preparation waste are not counted.

Mechanic inspecting a vehicle engine in a small independent auto repair workshop

Trade and Repair Services

Auto mechanics, electricians, plumbers, carpenters, upholsterers. Labour time is usually the dominant cost, but parts handling, tool maintenance, and travel time are frequently invisible.

Craft maker working on handmade items in a small studio with natural light

Craft and Creative Production

Jewellers, potters, woodworkers, tailors, florists, candle makers, leather workers. Creative businesses often undervalue the time component significantly, particularly when pieces take many hours to produce.

What to expect from a consultation