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Old 03-04-2011, 02:18 PM
dmk395 dmk395 is offline
LawnSite Senior Member
 
Join Date: Sep 2000
Location: Ma
Posts: 972
Long time customers and price increases

I have a 3 man operation, been in business for almost 15 yrs. I have quite a few clients who have been with me for 7+ years. Some lawn mowing jobs are still at 2003 numbers. Nonetheless I'm still doing well with these accounts. I usually don't raise prices until I absolutely have too, when looking at my margins, and here is why. I have a lot of $40 lawns. Takes 2 men 20 minutes each to complete. I can clear $800 with my 2 man mowing crew with lawns like these in 8-9 hrs no problem. Margin still seems good. However am I making a mistake by not going up a few bucks? I don't have so many accounts I need to hire more people, and figure I can really only lose by doing this. New accounts are priced more in line of course, and the ones that are a PITA are put at a premium. Just wondering what some of you others do in these situations?
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