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bobbygedd
08-26-2005, 06:01 PM
in speaking with an aquaintance, who is in a different line of work, he said, "you overcharge your customers, i don't believe in overcharging." i said, "scuse me, what, is overcharging?" he said, "you told me you shoot for $75 an hour minimum for shrub trimming, that, is overcharging." so who determines what exactly overcharging is? what does it mean to "overcharge?" who, or what organization , decides what someone in our line of work should be charging? is there such a thing, as, "overcharging?"

PMLAWN
08-26-2005, 06:05 PM
$15.00 for a case of beer is overcharging, right?

Brianslawn
08-26-2005, 06:06 PM
if you charge them for 10 plants but only give them 9, or charge for a mowing that you didnt do. those would be overcharging. otherwise youre just more expensive than the others.

PMLAWN
08-26-2005, 06:06 PM
And yet $2.00 a beer in a bar is OK? (2x24 = 48 for a case worth)

It's all market driven.

Brianslawn
08-26-2005, 06:07 PM
$15.00 for a case of beer is overcharging, right?

$2.75 a gal. of gas is definately overcharging. i might have to start overcharging just to cover it.

JB1
08-26-2005, 06:13 PM
Wait till they tack a fuel surcharge to the case of beer.

HometownLawn
08-26-2005, 06:15 PM
Customers are the same in any business. Everyone wants something for nothing and if they have to pull money out of their wallet its an 'outrageous price'

PMLAWN
08-26-2005, 06:23 PM
Wait till they tack a fuel surcharge to the case of beer.
If it is 80* out I will need 2 cold beers after work-- 90* and it will be 4- And if it hits 100* The surcharge will be way overcharging.

Brianslawn
08-26-2005, 06:23 PM
here its $3.50 for a beer at a restaurant. might have to add a beer surgcharge to the price of mowing, too. :drinkup:

AL Inc
08-26-2005, 06:24 PM
That's true Hometown. Everyone thinks everyone else makes too much money. I've learned to let those comments go.

jtrice11
08-26-2005, 06:30 PM
if you charge them for 10 plants but only give them 9, or charge for a mowing that you didnt do. those would be overcharging. otherwise youre just more expensive than the others.

what he said.

rodfather
08-26-2005, 06:31 PM
in speaking with an aquaintance, who is in a different line of work, he said, "you overcharge your customers, i don't believe in overcharging."

He obviously was not a doctor or lawyer for sure. :rolleyes:

daveyo
08-26-2005, 06:48 PM
Why did you tell him your goal charge of $75 min an hour? I don't charge by the hour I'll never make what the job is really worth that way, I always charge by the job, even with trimming. What I think the job is worth, if they dont like it hire someone else who thinks they can trim a $275 over grown "ummm i think it used to be a spiral." If they think you, me or who ever is over charging then they're definitely not worth your expertise in the field.

O'Donnell Landscaping

PMLAWN
08-26-2005, 06:53 PM
The cost of any service or idem is only what the seller and buyer agree to and nothing else. If you charge and they pay than there was no overcharging.

wbw
08-26-2005, 07:02 PM
is there such a thing, as, "overcharging?"

Not if you do the work. It's kind of like having "extra" money. WTF is extra money anyway?

Richard Martin
08-26-2005, 07:31 PM
Your State's Attorney will let you know if you are overcharging. Overcharging is like tripling the price of a gallon of water or a sheet of plywood when a hurricane is forecast for your area.

sheshovel
08-26-2005, 07:42 PM
I'd say overcharging is like,
charging a lot more than you normally would charge because a customer mentions that they just got back from a trip to Tahiti or because there is a Porsch and a Jag parked in their driveway or because they have a nice home in a nice neighborhood.

I'd say overcharging is when you just had an unexpected expense come-up at home and you need to pay for it right away so the next job you look at you bump up the charges to help you to cover that expense right away,but go back to your reasonable rate for other potential jobs after that is paid.

I'd say overcharging is when your conscience
(If you have one when it comes to money matters)
tells you that you are gouging the customer and you feel guilty for charging them so much for something easily done by you.

These are examples of what I would say overcharging is
What brianslawn said is an example of cheating not overcharging

bobbygedd
08-26-2005, 07:46 PM
how bout this- in my area, city code says your leaves MUST BE CLEANED by 12/x/05, or, you recieve a fine for having a fire hazard. now, someone calls me for a leaf cleanup, and says it's a dire emergency, the township is on thier butt. is it ok to charge 3 times the regular rate? this is called "emergency service", aint it?

sheshovel
08-26-2005, 08:17 PM
.If you have like NO notice and they need you to rearrange your schedual to accomodate them then YES that would be double the rate... triple the rate would be overcharging

bobbygedd
08-26-2005, 08:20 PM
what if i'm done for the season, and i decide, that for me to get off the couch and accomodate them, i'd like tripple the normal rate. that is overcharging? NOBODY FORCED THEM TO use me. they had a choice

trying 2b organic
08-26-2005, 08:22 PM
This one drives me nuts. Here is the beauty of capitalism, basically, there is no such thing as overcharging. im not talking about taking advantage of an old lady, im talking about your eg. My friends who choose to work for $20-30 dollars per hr figure I overcharge for just about everything. Rediculus, the proper price is what the market will bare. Thats what I charge, the market will tell me when I overcharge by not patronizing my various services.

People who make this accusation feel bad about themselves for being unable or uninterested in making more money. I usually don't bother to tell other LCO's how I charge or how much money I make when they brag about thier standard charge of $30.00 per hr for anything the customer wants. I tried in the past and instead of taking good advise they just get jelous and defensive. Its not good for our business that there are many terrible buisness people in it.

Nosmo
08-26-2005, 08:34 PM
In the case of a hurricane when lumber and sheetrock prices go almost what the market will bear is what an Attorney General would call "price gouging" not just a simple overcharge.

Now if you get a customer who wants shrubs and hedges trimmed
and say for instance 9 foot tall crepe myrtles trimmed would it be overcharging him at $75.00 per hour if your mowing rate is $60.00 per hour ?

Keep in mind this is gonna involve getting a ladder out or go get one
to work on while cutting back those tall crepe myrtles. Looks like to me this is a little more on the labor side than riding a ZTR mowing the lawn. Manual labor is also involved in the shrubs and hedges.

Nosmo

yrdandgardenhandyman
08-26-2005, 10:34 PM
here its $3.50 for a beer at a restaurant. might have to add a beer surgcharge to the price of mowing, too. :drinkup:



I call it a "cost of living adjustment".

HometownLawn
08-26-2005, 10:38 PM
Your State's Attorney will let you know if you are overcharging. Overcharging is like tripling the price of a gallon of water or a sheet of plywood when a hurricane is forecast for your area.

that would be gouging. gouging doesnt apply to lawn services as a lawn service isnt a 'need' such as water or even plywood after a big storm. You cant gouge someone on a price when there are 150 other people offering the same service in the area

yrdandgardenhandyman
08-26-2005, 10:50 PM
in speaking with an aquaintance, who is in a different line of work, he said, "you overcharge your customers, i don't believe in overcharging." i said, "scuse me, what, is overcharging?" he said, "you told me you shoot for $75 an hour minimum for shrub trimming, that, is overcharging." so who determines what exactly overcharging is? what does it mean to "overcharge?" who, or what organization , decides what someone in our line of work should be charging? is there such a thing, as, "overcharging?"



What I get sick of is the people who tell me my price is too high, then proceed to tell me how their cousin or brother had a lawn care biz but dropped it because he just couldn't make any money at it. :dizzy:
My wife met a man the other day who told her that he has seen our truck around town. He then proceeded to brag about how he mows for $10.00. My wife asked him how he affords to pay taxes and insurance and gas while mowing for $10.00. He then said he had to drop some of his customers because he couldn't figure out how to make money. Then he said, "Why would you pay taxes and insurance on a lawn mowing job?" She said, "Because it's the law. I guess you are one of those scrubs my husband talks about." He told her he was insulted and that she had hurt his feelings. ;)
I've seen a couple of his yards and it's easy to see why he's so cheap. I would turn his clients down at most any price. Crappy yards, overgrown in some parts, scalped in others and weedy as heck. The guy claims he is saving for a hip operation. I say, RAISE YOUR PRICES FOOL, and do a quality job and you will get the better rate and better customers. This guy had no interest in taking any advice at all.

yrdandgardenhandyman
08-26-2005, 11:03 PM
that would be gouging. gouging doesnt apply to lawn services as a lawn service isnt a 'need' such as water or even plywood after a big storm. You cant gouge someone on a price when there are 150 other people offering the same service in the area



As HometownLawn just stated, a lawn service is a luxury. I am going to make an analogy (albeit a bad one ). Some can afford a new Cadillac so they buy it. Some can only afford a Chevy so that's what they buy. Then there's the soul who can only afford that old crappy, beat up, blowin' the blues Toyota, so that's what they get. And, some can't afford that, so they walk. What get's me is the person who should be walking wants a Cadillac at an old crappy, beat up, blowin' the blues Toyota price. Worse yet is the person with more money in their wallet than we'll ever see, who wants a Cadillac at an old crappy, beat up, blowin' the blues Toyota price then bitches because color isn't exactly the right shade of blue.

RBP
08-26-2005, 11:22 PM
This is an interesting question.Ive often wondered myself who decides what overgharging is and who sets standard on prices.This past spring I gave an estimate to a lady who later called me back to tell me that she had just received an estimate from another company that was half the price I gave her,and she wanted an explanation as to why my price was so much higher.I basically told her that each individual company has to set their price to where they can make a profit and that price is different from one company to another.She didnt seem to buy my explanation and I did not get the job.Next time i was servicing her neighbors property I waved at her and she gave me a very dirty look and did not return the wave.Obviously she thinks I was trying to over charge her and was offended.Gave an estimate to a guy for leaf clean up last fall,large yard lots of trees.I tell him right around 350.00 he says what in the world ,last guy only charged me 75 bucks.Its kind of hard to say what is a fair price and what is overgharging especially in a business where to many people are not charging enough for their services becuase they dont know what their operating costs are and what they need to charge to make a profit.To some 20.00 dollars an hour is 20.00 an hour and dont seem to understand that after expenses theyd be better off working for someone else.I am running a business.For my investment and my risk I expect to be compensated accordingly,meaning enough to cover expenses and provide me with an above average income.Just becuse someone else is cheaper doesnt mean im overcharging.There is a nice restaurant down the street from my house,they charge 6 bucks for a cheeseburger.The Mcdonalds across the street from them charges 1.00 .

topsites
08-26-2005, 11:38 PM
if you charge them for 10 plants but only give them 9, or charge for a mowing that you didnt do. those would be overcharging. otherwise youre just more expensive than the others.

IF he IS even more expensive, maybe he isn't...dunno...
Way I see it, if too many say yes, the price is too low...
Too many say no, the price is too high...
You can let the people determine the price and STILL I can hardly put a squelch on the demand at $45 / hour oh but that's grass-cutting!
You say hedge-trimming? That's $45 / tank of fuel on the HS-45 which lasts 20 minutes at WOT thou it does include cleanup and everything else there is no further charge beyond the $45 / fuel as I found this to work best for me, so it works out to $60+/hour as well, sometimes more - Hedge trimming is NOT easy.

But yeah, overcharging is charging for something you don't actually do or provide but also it would be dirty if you quote / estimate $400 but then time comes to collect your money and suddenly the bill is $420 without good reason <- THAT's overcharging.

Far as how much you earn / hour, you quote the customer $200,000.00 / hour for all I care, if they're willing to pay it then more power to you, tell your friend he runs his business and you run yours.

I mean, my mechanic charges $75 / hour labor to work on my car and THAT is CHEAP! And I don't want to hear this crap about anybody can cut grass because I'll start the crap about anybody can change oil + filter...

topsites
08-26-2005, 11:40 PM
Wait till they tack a fuel surcharge to the case of beer.

And a beer 'delivery surcharge' back on the fuel.

Brianslawn
08-26-2005, 11:43 PM
she shovel.... isnt overcharging a form of cheating?

also giving bids and then averaging $100 an hour cause your faster and more skilled than other people isnt overcharging. thats your reward from hard work. i used to do a lot of weed pulling in flower beds. id give customer flat price reguardless how long it took me. prices were in hundreds of $$$. most acccept the price, cause no one wants to pull weeds here whether they have money or not. had one rich couple decline and said theyll just do it themselves. after spending half their saturday on their hands and knees in the dirt, and only getting 20% done, they called back and had decided that my price had started sounding better and better as the day went on. i finished in a couple hours for a couple hundred bucks. payup

basicly, when there's several other bizs that customers can or have called, and they call you requesting a service cause they heard you were good. you give them a higher price than what everyone else charges and they accept and agree to pay it. that is not overcharging. that is what the overcharging lawyers call a legal and binding contract. they dont have to have the cadiliac, all they need is a basic car, but they want the best and theyll pay more for it to increase their status in society.

PS. thats why bobby gedd make such a vast fortune with his pooper scooper biz.... cause he is the best when it comes to sh*t

topsites
08-26-2005, 11:44 PM
how bout this- in my area, city code says your leaves MUST BE CLEANED by 12/x/05, or, you recieve a fine for having a fire hazard. now, someone calls me for a leaf cleanup, and says it's a dire emergency, the township is on thier butt. is it ok to charge 3 times the regular rate? this is called "emergency service", aint it?

Well hell how about the fahkers like to call ME in APRIL to come clean up their leaves, how you think I feel about THAT when I charge them DOUBLE because it's primetime MOWING season and my LEAF equipment has already been put up for the YEAR oh you should see their face but what really gets me is half the time they don't even MENTION anything ABOUT the leaves on the phone so am I supposed to feel guilty? Because somehow, I don't.

topsites
08-26-2005, 11:56 PM
.If you have like NO notice and they need you to rearrange your schedual to accomodate them then YES that would be double the rate... triple the rate would be overcharging

No I am sorry that might be OVER-estimating but nobody has done anything to gouge this customer per se as in this particular situation it's just another one of those procastinating 'I-Put-it-off-for-the-VERY-last-minute' and OH now I have an emergency well it's $1,200 / hour at the Hospital for an emergency so don't mind this here $100 / hour because THEIR emergency does NOT allow them to come step right in FRONT of the line with ALL my regular customers patiently waiting and how would you feel if you were one of my regulars and YOU have to wait one more day because yes I PROMISED it would be today but see here this NEW person can't wait, yeah...

I've lost regular customers because of emergency double-rate jobs before and the $100 or whatever extra I made was NEVER worth the loss of a regular and still isn't today. To be honest I usually don't GET emergency jobs, for one is because I REFUSE to let people step in front of the line, NOBODY gets in front so if they want to pay extra that's fine by me but there's still the customary wait so they might as well pay regular rate and tyvm.

And once I get this way, they might as well call someone else... Most do.

lol

yrdandgardenhandyman
08-27-2005, 12:01 AM
Gave an estimate to a guy for leaf clean up last fall,large yard lots of trees.I tell him right around 350.00 he says what in the world ,last guy only charged me 75 bucks.


What I don't understand is where is that $75.00 guy? He's probably out of business because of not enough profit for the amount of time and work. If I was satisfied with $15.00/hr, I'd keep my factory job. Why would we put up with the headaches of owning a small business if not for the money?
I've gotten a few jobs because they couldn't find last years $75.00 guy. They were always happy that they didn't after they see my quality. I may have already told this story but here goes. I had a lady call me for an estimate for a yard cleanup. I don't recall the exact numbers but we'll say I bid $100.00. She tells me she just got a bid of $50.00 from another guy. I thanked her for calling and went on my way. I got a call the next day, from her, stating that the $50.00 guy came over, raked for about 10 minutes, then just loaded up his mini van and disappeared. She called his house and his wife told her he decided he didn't want the job anymore. So she has a big pile of leaves right in front of her back door. She asked if I would be interested in finishing the job. I said, sure. for $150.00 and I could get to it next thursday (I was booked solid at that point). First she wanted to know why I couldn't do it for the $50.00 the other guy priced and why my bid increased by 50%. I told her that this was because I would now have to work her in and besides I had no idea what kind of mess the other guy left. She felt my price should have come down simply because the other guy already started the job. Now I don't know if any of you have tried to pick up where one of these clueless weekend warriors left off but a lot of times it turns out to be more work than if you started from scratch. She really started to squawk so I told her I'm not interested anymore. She then got really abusive and started to accuse me of being in cahoots with this other guy with intent to defraud her. :dizzy: She then threatened to call the state Atty Gen. I never heard any more from her. :)