Pricing

[scottb]

Ok maybe you guys can help with some advice, Just getting started. I have a Toro Proline 48" cut walkbehind. I have a figure of 30.00$ an hour. Basicaly I have been told by others around here( Mooresville NC) that I cant afford to unload the mower for less than 30.00$. How do I price for basic mowing triming. Any advice will be greatly appreciated. This is also a booming area Resideatial and Commerical. How do I break down my pricing to my customers.
Thanks in advance for any advice.
Scott Brumley

[KirbysLawn]

Scott, welcome to the forum. I live near Monroe, NC. Email me your phone number and I can give you a call. Can you drive to local meetings once a month in Charlotte? http://www.thecgma.com

ray@kirbycuttin.com

Ray Kirby

[thelawnguy]

"Basicaly I have been told by others around here( Mooresville NC) that I cant afford to unload the mower for less than 30.00$"

Just because the competition has high overhead, doesnt mean you do too. Once you know what your real costs are (I mean everything, unless you are sure the New Truck Fairy will leave something under your pillow every few years) add that amount to whatever you decide you need or want to make for a draw and profit.

I think the others really said THEY wouldnt unload for that.

[plymouthvaliant73]

Always price by the job, not by the hour. Do not tell your customers what you get by the hour. Do not break down your pricing, one price for everything. In addition to your hourly rate you've got to add for your overhead and profit. Figure out a minimum charge for small jobs. Add a percentage to your estimates to cover yourself for mistakes and the unexpected. You will make some mistakes and learn from them, pretty soon you can look at a job and price it accurately.

[scottb]

Thanks for the advice guys,and lawnguy that is what they said ( not less than 30.00$)but I think I can do most jobs for less. Was just hoping you could send me in the right direction on how to price and why. For now this is part time but I hope to take it to full time in a couple of years.

[jrblawncare]

Welcome Sottb,just want to add to the above,please don't give your services away just to get work....It hurts all of us in the long run!!

[Charles]

Scott, you cant do jobs for less than that and make a good living. You can think about it all you want. But you can't do it. You can even dream about it. 30$ is even low. You want to live in poverty just go ahead and try it to do it for less. Now I say this assuming you are going to run a legal professional operation. I am familiar with the NC season and climate. I don't care what you cost are. You have to make a mininum per hour per day to make a good living. Even if yourcost are at a minimum. Even if you are living in a trailor park

[scottb]

Thanks again guys,I need all the help I can get. From talking to friends there is plenty of work for all around here. When I think of what I would charge to mow my lawn I wouldnt do it for less than 80.00$ and it takes an hour and 15 minutes wth my Toro. 2.5 hours on my 38" Lowes. So I guess 30.00$ isnt a bad starting point.

[syzer]

Yeah I'm in the same boat difficulty charging, just came back from my first estimate yesterday. After i left I thought i was way high. Today went back talked to the customer, got home and got a message on the machine that i got the account. $55.00 a week for a 9060 sf lawn. Upper to middle class neighborhood. Good luck, and stay high.

[LoneStarLawn]

If all LCOs had high or reasonable rates (no lowballing) then the market would be higher for our work. The better off we all will be. Always base your rates on what you deserve...take in advice for pricing but the final decision is yours. Go gett'em.

[Vandora Lawn & Landscape]

I'm cutting an entirely flat 42,0000 sq feet lawn with maybe 20 large trees. I'm charging $60 to cut it using a 36" walk behind? Is my price reasonable?

[LoneStarLawn]

Are the trees the only obstacles? Do you need to edge? Alot of trimming? What do you think...Do you think your too low? Questioning yourself makes me believe so. I have a feeling you might be low....but need to see the property to know for sure...but sounds like you might be. Though if its making you money and not costing you money then...thats up to you. Remember some accounts that make you money now might not be when you get larger.

[Doug406]

If it an average lot with a edged drive and normal trimming, blowing, we would do an acre for $50. But we would be using 62" z's. 3 guys would do a quality job in 20 minutes. 1 total man hour.

[Vandora Lawn & Landscape]

It seems to me that I could be more profitable on this account with bigger equipment. Its a very new lawn in a very woodsy area. The outside edges of the lawn just end and brush/woods start. Easy as pie there. The beds are just trimmed quickly so prevent the grass from creeping in. Very simple lawn just lots of it.

[Currier]

With my pricing for next year I have decided it is either time to put up or shut down! I have looked over my accounts and ran the numbers and it seems to me that I am killing myself for very little money. I am pretty sure that I will raise all prices by app.35%.

In the past I have sent letters in the spring and waited...and waited...This year the letter goes out in October for a commitment to next year. The new prices and a reply date will be included.

My longwinded point...start off right.For awhile you will be thrilled to make money doing this, then you may wonder where the money (and the thrill) has gone, and eventually, if you are not making (and keeping) enough, you will get sick of it. Take the steps early on to ensure that your business will thrive!

[Scag48]

A wise man once told me to price the job just to mow, then tell them the trimming is free, that way they think they are getting a good deal by getting charged just to mow when you actually incoporate the trimming in the bid. Suckering people seems illegal but I think it might work. By the way, that wise man was Acute Cut, my North Western buddy.:)

[Charles]

That is very true Currier. This is the only business. I think where some actually avocate charging less money. I sure can't figure out what the advantage would be to the advocate of such a thing. Is it smart business to urge your competition to charge less money just to get the jobs? I think not. This is not a walmart type of business. I don't think their are any billionaires among us. Charge under the going rate in your town or city and you will just be working your ass off for peanuts. And sooner or later you will realize that and either get out or raise your prices once the excitment wears off of owning a lawn business and you start looking at the big picture. How much money am I actually putting in my pocket? How hard am I working for that money? Is my equipment staying in the shop more often than it is on the job site? Some get into it think "well I will raise my prices later on". Well if you jump up too fast your customers may have a different idea. So if you go up slowly inflation will keep up with you. When you realize you are not making as much as you could have on a job you will think about that and hate it everytime you do it.