FIBER · $1M–$5M

The months stopped being random once the books were right

A fiber splicing subcontractor had skilled crews and carrier clients, and a bank account that never settled into a rhythm.

JANUARY 2026
$141,000 cost against $144,000 revenue
TIME AND MATERIAL RATE
rebuilt on full-year utilization
REPORTING
monthly, by job
REVENUE MIX
structured cabling being added
WHERE IT STARTED

What it looked like from the owner's chair

Some months looked great. Some were a disaster. No rhythm to it, and no way to predict which kind of month was coming. His wife was handling the books after hours, and that isn't carelessness, subcontractor accounting is genuinely hard and it comes with no manual. Costs weren't going to the right places, so the real picture was invisible.

THE CAUSE

What was actually happening

THE MECHANISM

Once the books were clean, the volatility made sense. Time and material fiber work comes in bursts and overhead doesn't pause between them, so a slow month still has a full month of cost against a fraction of the revenue. On top of that the rates being charged were built on busy-month assumptions, not on honest utilization across a full year. January 2026 is the clearest example: $141,000 of project costs against $144,000 of revenue, which leaves almost nothing before overhead hits.

This is a known failure and it has a page of its own, with what it costs and how to size it in your business.

WHAT HAPPENED

The result

He sees his numbers every month now, knows which months are structurally profitable and which ones consume margin, and knows what his time and material rate actually has to be. He is deliberately building structured cabling work, which bills on contract and on a predictable schedule, to run alongside the time and material side and flatten the curve. Decisions come off what the business is doing, not off what it feels like it's doing.

QUESTIONS

What owners ask about this one

What was actually wrong?

Once the books were clean, the volatility made sense. Time and material fiber work comes in bursts and overhead doesn't pause between them, so a slow month still has a full month of cost against a fraction of the revenue. On top of that the rates being charged were built on busy-month assumptions, not on honest utilization across a full year. January 2026 is the clearest example: $141,000 of project costs against $144,000 of revenue, which leaves almost nothing before overhead hits.

What did you change?

We rebuilt the books so costs go where they belong, then set the time and material rate against real utilization across the year rather than the months when everybody is busy. The monthly cadence puts the numbers in front of him on a schedule, which is what turns those swings into something you can plan around.

How long did it take?

The business didn't record a timeframe for this one, so this page doesn't claim one. What it did record is the change, which is above.

Which part of the system did it?

step 01, job cost structure, step 04, estimating system, step 05, software and bookkeeping alignment, 1 more. Installed in dependency order, which is the same order every client gets, because a step that reads from a number the one before it never established produces output that looks finished and isn't.

Do these figures apply to every fiber contractor?

No. This is one company at $1M–$5M and the numbers are its own. What generalizes is the mechanism, not the magnitude. The published fiber benchmarks across all 7 revenue bands are on its trade page, and those are the figures to measure yourself against.

AUTHOR
Josh Luebker
JOSH LUEBKER
MASTER ELECTRICIAN · 150+ PROJECTS · $2.1B+ MANAGED

Wrote CONTROL, the 8 step system behind these figures. More about the author.

8 Steps 60 Days

CONTROL is the full system, written for commercial subcontractors from under $1M to $100M. It's out now. 8 steps, 6 working templates, and the order they install in. $9.99 ebook, $24.99 paperback.