WISDOM

The High Cost of Paying Too Little

John Ruskin had a thought on costs and quality which is as appropriate to our industry now as it was in the 1800’s. He wrote:

It’s unwise to pay too much, but it’s worse to pay too little.

When you pay too much, you lose a little money - that is all. When you pay too little, you sometimes lose everything...because the thing you bought was incapable of doing the thing it was bought to do. The common law of business balance prohibits paying a little and getting a lot - it can’t be done.

If you deal with the lowest bidder, it is well to add something for the risk you run, and if you do that you will have enough to pay for something better.