# Bill-pay spread

A term used when buying security guard.

What a guard hour bills at, minus what the guard fully costs once every burden is counted.

The spread is the entire margin and it is often in single digits, which means a wage increase the company cannot pass through erases the profit rather than trimming it. Ask when bill rates last moved and what the contracts say about adjusting them, because a multi-year contract at a fixed rate in a rising wage market is a loss with a schedule. Overtime and turnover both sit inside this number too.

Part of: Buying a Security Guard Business (https://searchspheresource.com/guides/buying-a-security-guard-business)

Source: https://searchspheresource.com/guides/buying-a-security-guard-business/terms/bill-pay-spread