View Full Version : New money
08-17-2008, 12:37 AM
I need to make more money on this end of the business NOW!
As of today I am applying granular Lesco fertilizer every 3 months and only charging once every 3 months.
I would like to move my residential base to paying me monthly; say $19 per month for me to put down fertilizer or every 3 months. Do you think customers are willing to pay monthly for a quarterly service?
*at this price Iím estimating that I will be making $98 extra per customer per year, but this is not really a pricing question as much as it is a billing question.
08-17-2008, 04:16 AM
My program and fees are set up a little different from normal. Payment is due at the end of the month. What I am offering is an intensive health management program for both the lawn and landscape. Shrubs and ornamentals are included. My fees start at $150 per month for a typical 5000 sq ft lot and they go up past $400 per month for a 1/2 acre lot. There are no hidden charges or "grub control will cost you extra." That is all covered. I do not need to do much grub control, however much of my applications involve soil injecton of trees and shrubs with Merit or Safari insecticide. For a client on my program, there is no additional charge. Someone who calls me for a one time treatment pays a steep list price for materials and time.
I also liquid feed both the lawn and landscape monthly. I am on a given property up to 4 times per month. If you are thinking this is expensive and time consuming, you are right. However, I only deal with a highly select clientele who is not looking for fast or cheap.
08-17-2008, 07:17 AM
How ironic that I follow a post from a guy in Hawaii as I am listening to the theme song from Hawaii five-O.
Anyway, Bravehart, can I presume that your cost per application every three months is $57.00 for this particular client? If so, I say absolutely, because that is what I do.
I take the total annual cost and bill out 9 months. In most cases, this is a program where I will be on the lawn 5-6 times a season. I also have some that pay per application. In that case I bill them at the end of month service was provided. Some pay in full for the season, and I offer a 5% (use to offer 10%) discount. I do this in January when I send out my contracts, and in order to receive the discount they must pay by the end of February- gives them an incentive and deadline.
I have been doing it this way for many years with great success.
Not sure how you would make an extra $98 per customer. You would just be getting your money in a more timely fashion.
08-18-2008, 03:54 PM
We offer a "budget plan" as a option for our clients.(annual cost divided by 10 months)
I have to say very few takers though.
08-18-2008, 04:23 PM
They might pay monthly for quarterly, but it's easier to just set up all future accounts that way. If you're all set on accounts, it couldn't hurt to just tell them you've restructured how payments are received and that they won't be paying more, they'll just be breaking it down.
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