BUSINESS AND TRAINING 13
Financial management 101 for plumbers: the number every plumbing business should follow
By
Craig Lourens, ActionCOACH Business Coach
Do you have business-related questions? Coach Craig is a professional business coach who is keen to answer your queries. Email your business questions to megan @ interactmedia. co. za, with the subject line‘ Ask Coach Craig’.
In the plumbing world, tools, trucks and talented technicians often get all the attention. But if you want a sustainable and profitable business – not just a job with overheads – then financial management deserves a seat at the head of the table. Understanding and tracking your numbers isn’ t about becoming a bean counter. It’ s about making smart decisions that keep cash flowing, your team busy, and your future secure.
So, where do you start? With KPIs – key performance indicators.
KPIs are the numbers that tell the story of your business. The good news? You don’ t need an accounting degree to track them. You just need the discipline to check them regularly and the willingness to make changes based on what you see.
Daily KPIs: stay on the pulse |
1. |
Number of jobs booked today |
2. |
Revenue invoiced |
3. |
Money collected |
4. |
Job completion rate |
Monthly KPIs: steer the ship |
1. |
Gross profit margin |
2. |
Net profit margin |
3. |
Aged debtors |
4. |
Cash flow forecast |
5. |
Cost per lead and lead |
conversion rate |
6. |
Vehicle and tool maintenance |
costs |
Financial management isn’ t just for Craig Lourens, business coach.‘ big businesses’. Whether you’ re a solo operator or run a team of 10 vans, your numbers will either build your empire or quietly drain it dry.
The best plumbers track their numbers with the same precision they use to level a pipe or test a pressure valve. So, block off 10 minutes a day, 30 minutes a week, and one hour a month to review your KPIs. Your bank account and your sanity will thank you. PA
Coach Craig
© Plumbing Africa
Tip: A whiteboard in your office or a simple daily dashboard in Excel or Google Sheets can help you visualise this at a glance.
Weekly KPIs: spot trends early |
1. |
Total revenue generated |
2. |
Number of quotes sent and approved |
3. |
Labour utilisation rate |
4. |
Customer satisfaction score or feedback |
5. |
Job profitability sample |
“ The best plumbers track their numbers with the same precision they use to level a pipe or test a pressure valve.”
If you want a sustainable and profitable business, financial management is key.
Craig Lourens is a certified ActionCOACH business coach who helps plumbers and tradespeople across South Africa build businesses that are profitable, scalable and sustainable. jakubzerdzicki | Unsplash
January 2026 Volume 31 I Number 11 www. plumbingafrica. co. za