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Bustus
03-26-2009, 11:35 AM
Hello,

This is my first commercial bid of this size and wanted some help. I have done a lot of searching around the site but was hoping for some specific input.

Its a local company that wants biweekly cutting including the usual garbage cleanup, trimming, and cutting and a spring and fall clean-up. The contract would be for about 4 months so it would be about 8 cuttings and the 2 clean-ups.

I have included a picture of the property, which has a main field that I measured to be about 6 acres, although he said its 5. The field is my main concern. Besides about 20ft from the street, the bulk of it doesn't appear to have been cut very often, and it is quite uneven. I would either have to use my 36 walk-behind or purchase another used machine if I won the bid, the reason being it is very uneven.

The property manager told me that last years price was around $7500 Canadian last year, but it was hard for me to tell if this was accurate, or just a low ball price to motivate a lower bid. Does this seem accurate?

Any input would be greatly appreciated.

Mimowerman
03-26-2009, 11:42 AM
uhhh 5-6 acres with a 36" WB and only 8 cuts per season??? I would bid this at 175/cut and minimum of 10 cuts per year two 60"Z's and be done in about a hour

Bustus
03-26-2009, 11:45 AM
I'd be buying another machine, but probably nothing bigger than a 50. There would be 3 of us working and I wouldn't mind if it took a few hours as I have room in my schedule for it right now.

Thanks for the reply!

Bustus
03-26-2009, 11:50 AM
Sorry, just realized I saved it as a .psd file.

ambersLawnmowing
03-26-2009, 12:21 PM
That seems really low. I get $160 (american) an acre here. I did some rough math and figured you at less then $100 an acre. I would be over $10,500 (candian) if i bid that for what you have there for duties. I am no math expert but seems really low.

Bustus
03-26-2009, 01:00 PM
Well I just spoke to the property manager and he said that the contract is actually for 6 months, not 4 as he initially said, therefore I'd be looking at about 12 cuts plus the 2 cleanups, lol.

Now I'm really starting to think that $7500 is quite low.

Assuming a $200 clean up * 2 = $400 (ballpark guess)

That leave about $7100 divided by 12 cuts = about $590/cut or just under $100/acre.

Looks like your math is right ambersLawnmowing. Thanks for the help.

kaferhaus
03-26-2009, 01:07 PM
Yep, Amber's price looks close to me too.

GracesLandscaping
03-26-2009, 01:20 PM
Well I just spoke to the property manager and he said that the contract is actually for 6 months, not 4 as he initially said, therefore I'd be looking at about 12 cuts plus the 2 cleanups, lol.

Now I'm really starting to think that $7500 is quite low.

Assuming a $200 clean up * 2 = $400 (ballpark guess)

That leave about $7100 divided by 12 cuts = about $590/cut or just under $100/acre.

Looks like your math is right ambersLawnmowing. Thanks for the help.

I think this would be a fair price!

ambersLawnmowing
03-26-2009, 04:02 PM
I think this would be a fair price!

How is that fair? 1 acre ='s 43560 Square feet.
Now i get
$40 or more to mow #10,000 square feet so that ='s $160 an acre
Now you have 6 acres to mow so you take $160 x 6 ='s $960 x's 12 cuts ='s $11,500 plus clean-ups x's 2.... more like $13,000 total..

I shouldnt give out my numbers but i dont want to see anyone get screwed or called out for being a lowballer. I think my price is fair/average...

One thing you have to keep in mind while he is doing his math is that the U.S dollar is worth less then the canidian dollar. So his $7500 ='s $6082.72 american.. That is a lowballer. He would be $5417.28 under me. I hate it when i get beat by $500... Bets of luck to you bustus.

mattfromNY
03-26-2009, 04:13 PM
It also depends on where you're located. Around here, I'd get laughed off the property for a $13K quote on 6 acres, only 12 cuts per year, plus cleanups. Obviously we dont know how involved the cleanups are, but around here that bid would go for +- $7000 for the season. With lowball bids in the 3-4K range.





How is that fair? 1 acre ='s 43560 Square feet.
Now i get
$40 or more to mow #10,000 square feet so that ='s $160 an acre
Now you have 6 acres to mow so you take $160 x 6 ='s $960 x's 12 cuts ='s $11,500 plus clean-ups x's 2.... more like $13,000 total..

I shouldnt give out my numbers but i dont want to see anyone get screwed or called out for being a lowballer. I think my price is fair/average...

One thing you have to keep in mind while he is doing his math is that the U.S dollar is worth less then the canidian dollar. So his $7500 ='s $6082.72 american.. That is a lowballer. He would be $5417.28 under me. I hate it when i get beat by $500... Bets of luck to you bustus.

Bustus
03-26-2009, 04:42 PM
Well I'm not confident that $100/acre would be good for me, all I did say was that based on the "actual" contract price for last year, (which I think is bs) that's what I would get.

I just came back from meeting with the manager and am really weary. It seems like the only information I'm getting from him is whatever I fish for.
For example:
1) the main 5 acres area he said is more than 6 according to Google earth
2) He told me today that there is more land around the warehouse which is hidden unless you drive to it. All in all it adds just over an acre of "grass", bringing the total to 7.3 acres.
3) He said it was cut biweekly last year until September but there's grass up to my waist in some areas.

I was leaning at least to your estimate ambersLawnmowing in the $14,000-$16,000 Canadian based on the extra land, and getting a good look at the inclines some of the area has.

The one point I'd like to clarify, however, is that it isn't quite accurate to simply multiply price per acre for every job. What I mean by this is $40 per 10,000sqft is a lot different than doing 43,560 sqft for $160. Due to economies of scale, you cant use the same formula.

Its like going to the store and a small bottle of ketchup is $1 and the one double the size is $1.80. There is a discount for purchasing more. Same principle applies to lawn care.

Either way I have some serious thinking to do because the last think I want is to low ball this and get overwhelmed.

Thanks!

Bustus
03-26-2009, 04:57 PM
It also depends on where you're located. Around here, I'd get laughed off the property for a $13K quote on 6 acres, only 12 cuts per year, plus cleanups. Obviously we dont know how involved the cleanups are, but around here that bid would go for +- $7000 for the season. With lowball bids in the 3-4K range.

Yes it does depend on the location for price. That is one thing I quickly learned on this site.

The property does have a lot of trash. Looks like either a lot accumulated over the winter or someone didn't do a good job in the fall. Since there's a lot of vehicles coming through, a lot of empty bottle of auto fluids, coffee cups, etc. Id say about 1.5 acres of the total area is in need of the cleanup.