View Full Version : sample contracts for fertilization/seeding contracts
I KNEW THAT THE DAY WAS GOING TO COME,BUT NOT SO SOON.I LIVE IN A TOWN THAT HAS 44,000 RES.IN IT,AND ALL THE FARMS ARE SOLD TO DELV. THERE IS ONLY ONE FARM THAT IS PROTECTED FROM BEING SOLD,AND I LIVE ON IT.THIS YEAR MY FERTILIZATION BUSINESS GREW 40%. BECAUSE OF ALL THE BUILDING IN THE TOWN MOST ALL OF MY JOBS ARE NEW CONST. WITH MY FERT. BUSINESS I REQUIRE NO CONTRACTS FOR THE YEARLY MAINT. (4-6-8 STEP PROGRAM) I AM HAVEING A PROBLEM WITH LATE PAYERS,FOKES CANCEL SERVICE AFTER THE CRAB GRASS OR BROADLEAF WEED CONTROL WAS APPLIED. NOT BECAUSE OF MY SERVICE BUT BECAUSE THEY THINK THEY ARE GOOD TILL THE FALL,AND THEY WILL CONTACT SOME OTHER LAWN SERVICE IN THE FALL AND HAVE THEM TILL NEXT SPRING. 5+% ARE NOT AMERICAN PEOPLE. I WAS WORNED A FEW YEARS AGO ABOUT THIS,BUT IT GETTING WORSE EVERY YEAR. I KNOW MOST OF THE OLDER LAWN SERVICES IN TOWN , WE WORK CLOSE TOGETHER AND I SEEMS THAT THEY CALL LAWN SERVICE TO LAWN SERVICE.<br>THE LAWN MAINT CO. THAT I FERT. FOR HAS THE SAME TYPE OF PROBLEM WITH MOWING THEY GET RID OF THEM THE FIRST FEW CUTS IN MAY WHEN MOST NEEDED IT EARLY APRIL LATE MARCH. AND THEY TRY TO SWITCH CUTTING TO EVERY 3 WEEKS.IF HE TRYES TO GIVE THEM THE BOOT. MY QUESTION IS THERE ANY LAWN MAINT CO. WILLING TO E-MAIL OR SEND ME A SAMPLE OF THERE LAWN MAIMT/SEEDING CONTRACTS AND I WILL BE WILLING TO SHARE WHAT LETTERS/CONTRACTS I'VE BEEN USEING THE PAST FEW YEARS. <br>THANK YOU ANTHONY GRELLI CGM,INC.
06-01-2000, 12:49 AM
My new accounts sign up 7-14 day mowing service as weather dictates. They also HAVE<br>to buy a 5 step fert/pest app program or<br>they can find someone else. <p>Since they (new customers)pay as they go I have given them or myself an out with the words "either party my cancel with a 30 day written notice".<br>
thanks<p><br><p><font size="1">Edited by: anthonygrelli
06-03-2000, 03:05 PM
Have you tried doing a pre-season discount off invoice, thus locking some of them into the entire season because they would have paid up front and get a discount? My experience shows about 20% or so will do the preseason discount deal.<p>Phil Nilsson<br>Nilsson Associates<br>Green Industry Consultants
thanks steve i e-mailed you my fax #<br>anthony
The best advice I can give is to go full service. Grass cutting, fert., shrubs, mulch, install etc.. Most people aren't going to ax you when you do everything for them. Either that or get them to sign an agreement on the fert.
phil: i tryed a 10% pre-pay in jan-feb of this year and some responed. i should offer it to the new customers that i pick up in the late season. 20%seems like a lot of $ <br>thanks anthony
10-21-2001, 09:27 PM
Bad idea I can't see it. Why give a discount for up front money.
I belive the only time you should ask for money up front is with a new customer. Get your frist 4 cuttings at the day of signing a yearly contract. Why lose money or give a discount for prepayment does make $cents. Barow the money its so cheap to barow money today if your having a tough time getting threw the winter. Season short enough I'm not a fan of giving away huge discounts wake up guys your insurance company doesnt give us a discount in the winter months or when fuel goes up!!!!!
This should be one the most profitable busniess out there But there are some guys who so cheap or just for a days pay!!!!
10-22-2001, 12:32 AM
Most all businesses give a prepay season discount. This also helps with that pre-season dry spell for buying supplies and chemicals. An idea I had to safeguard against those customers who say they want a full program, and just use you for the preM and the postM, was to coordinate your pricing schedule so your pesticide apps are more expensive than the fert. apps. How it's explained to the customer, though, is how much cheaper the fert. apps. are to the herbicide apps.. This way, it's incentive to them to just go ahead with the fert. apps. too.
10-22-2001, 08:36 AM
Actually 5% is enough to get the job done.
10-22-2001, 10:11 AM
Originally posted by Geroge Peterson
... This should be one the most profitable busniess out there But there are some guys who so cheap or just for a days pay!!!! Them boys got your blood boiling so bad you cant even speak -LOL!!! :laugh:
There are many who will give a 5% discount if the client is willing to pre-pay for the season. Many will take this money and use it as start up collateral in the beginning of the season because they are living hand to mouth.
Personally I know of many who when they discount a $450 program down to $427.50 for the pre-pay they add that other $22.50 onto other services such as hedges or clean-ups. I dont think anyone really ever rides for free anyhow.
Whats that old saying: Gas, Grass or -LOL!!! :D
10-22-2001, 11:34 AM
we bill both fert treatments and plowing up front. no discounting, and surprisingly few complaints.
i dont consider my firm one that lives from check to check but the pre payment $ coming in the spring is welcome. my guys start some time in early april. i usually receive first check for cutting in early june, for the may invoice. can be 7-9 weeks that i need to pay the guys before significant cash starts flowing in. factor all the other spring costs and cash flow is really stressed at that time.
havent had much success billing cutting up front, but i try with each customer i sign on.
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