Thread: Raising prices
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Old 09-23-2009, 12:43 PM
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pflasch pflasch is offline
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Join Date: Sep 2008
Location: VA
Posts: 294
$35.00 minimum charge! This is for lawns that would take less than 30 minutes to complete.
If longer, you could figure $1.00 / minute... and that's "ramp down to ramp up" time!

Depending on your area, you may have to adjust this number slightly.

You should also figure in travel time to get there. i.e., if it's 10 minutes away from your last stop, figure in an add'l $5.00 - $8.00.

There are several "Lawn Care Calculators" out there.
You measure the property perimeter, how many obstacles (trees, swingset etc.) and the calculators give you (based on what you told it was your per/hour rate was) a price to quote.
If you don't know what your "hourly rate" is... (based on ALL of your costs) you need to go back to the basics of business!
You NEED to know this BEFORE you quote anything... otherwise you are guessing, and probably going broke doing it!!

I'm going to guess that your main competition (I'm talking companies that have been around for more than 5 years... and not the "lowballers" in your area) might be charging $45 - $65 for the SAME property probably know what their costs are... and are making a good profit... and have nicer equipment... and will probably be around next year!!

BTW, your numbers are WAY OFF!!!
You say that you averaged $25.00 / lawn... but you had some properties that you charged $65 - $85? The question that I would have is "how long, in minutes, did those accounts take you"?
AND, after EXPENSES, what did you actually put in the bank $$$$????... and don't forget about depreciation, gas, insurance (I hope that you do have insurance, don't you??? Truck, medical, workers comp etc) trimmer string etc.

At this point, I'm guessing that McDonald's would have probably paid you more than what you may have taken home after ALL expenses?

Do yourself a big favor... figure out EXACTLY what you need to charge for your TIME to be profitable!!!
If you loose 1/2 of your $25.00 or less properties, so be it, because you will work less hard, and make more on the other properties that you end up with... THEN, as you get new clients, charge the CORRECT rate for their property, and grow your business that way!

Good luck to you!!
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