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View Full Version : What would you bid per man hour?


Lawnworks
12-08-2004, 07:52 PM
What would you bid per man hour on a huge property. Lets say it is an average of 800 man hours per month for 12 months out of the year. Basically one crew of 4-6 people services a property 5 days a week. The job is 90% mowing. What would you charge per man hour? Would you do it for less than your regular rate?

Green Care
12-08-2004, 08:05 PM
I wish I can help you but I don't bid man hour on mowing only on cleanups and shrubs.

Lawnworks
12-08-2004, 08:39 PM
What would be a competitive profit percentage? 20-30%?

Kelly's Landscaping
12-08-2004, 08:47 PM
Id like 28-30 an hour for something that big but as low as that is the majors will come in for 20 and get the job.

Drew Gemma
12-08-2004, 08:48 PM
I would figure out all cost for the year roughly figure high. Then add a percent of error to that number. Then mark it up accordinly to achieve the profit margin you want.

Lawnworks
12-08-2004, 08:49 PM
Yeah I am thinking Brickman will probably bid pretty low. They are some bastards.

YardPro
12-08-2004, 10:07 PM
this is where you MUST know your per hour operating costs.

yes i would most definately charge less than full rate. You can bet the other bidders will as well.

since this will take an entire crew it will only add to the bottom line. It will not be pulling guys of more profitable work.

figure your per hour operating costs, then add your profit %
i'd do 20%

what we would do also is add at least 10% to the actual hours you think it will take.

unless you are bidding "per hour" and will recover any time you had not accounted for.

it's this exact scenerio that reinforces why it is so important to know your ourly operating costs, cuase you can bet that if any big boys are biddibg it, they know thiers.

Albemarle Lawn
12-08-2004, 10:23 PM
90% mowing: 720 hrs @ $60 = $43,200 monthly * 12 = $518,400
10 % manual/trimmer = 80 hrs @ $32 = $2,560 * 12 = $30,720

Total, annual = $549,120.00

Cheaper depending how bad you want it, how much you like pain, etc.


CROSS CHECK:

Costs, 5 employees full time including comp, etc = $125,000
Costs, manager, full time including comp, etc = $45,000
Costs, mower, 8,640 hrs @$18 = $155,520
Costs, trucks, 2, for 1 year = $28,000
Costs, overhead, lease, etc $22,000
Costs, other, insuance, etc. $40,000

Total: $415,520

Profit: $110,000 You can price between $440,000- $600,000

Major companies will probably still underbid. Their survival depends on it. There is no future in trying to run a large operation, just red tape, governmental oversight BS, and employee headaches.

Run a small, profitable business and pull profits out.

YardPro
12-08-2004, 10:32 PM
you'll never get the bid with that labor rate.

there is NO travel time at this site. there are no conveniencestore breaks, etc.

On this size job you should be basing it on a tigher margin.

also how important is the quality of the work?

Randy Scott
12-08-2004, 11:27 PM
No brainer, $60 a man hour. That's what EEEEEEEVERYBODY on this site says to bid at. Shucks, some even gross $70 to $80 an hour.

YardPro
12-08-2004, 11:35 PM
No brainer, $60 a man hour. That's what EEEEEEEVERYBODY on this site says to bid at. Shucks, some even gross $70 to $80 an hour.
lol
that's why EEEEEEEVERYBODY has 800 man hour/month accounts..

dvmcmrhp52
12-08-2004, 11:47 PM
Ask bobbygedd...............
He'll tell you not to worry about hourly rates.......................
:rolleyes: ;)

YardPro
12-09-2004, 12:45 AM
i'm not touching that one with a 10 foot pole, but it's soooo tempting

environment
12-09-2004, 01:10 AM
approximately $233,760.00 in total for the whole 12 months with 4 guys profit included

Lawnworks
12-09-2004, 06:43 AM
Good advise yardpro. 20% sounds competitive. Quality of work has to be good, so I can use the place as a reference.

YardPro
12-09-2004, 08:05 AM
the reason i asked is there are some LARGE accounts here that quality does not matter much.
we have an Marine corps axuillary landing area that is very large. as long as it's cut, that,p all that matters.

the same goes for the school contrace here, and the military bases.

the guy that does most of it has HUGE equipment, and has rock bottom prices. He hires minimum wage guys and has alot of turnover, but it doesn't matter if they are good. as long as they mow.

Good luck, and i hope you get it. sounds like that could be an opportunity to step up a level in your business.