"Just won a big one" comes to an end...

[Herrick]

Originally Posted by lawnkingforever

Bid jobs you are set up to do.
Posted via Mobile Device

This says it all...

I have to chuckle to myself a little when I see guys on here in the same situation I was in a few years ago. I just though what great advertising, what a way to make a name for myself! There was no talking me out of it at the time. I feel so much wiser now... Or maybe that's just old...

[Herrick]

Originally Posted by 4 seasons lawn&land

Did they show you the bid?

No, and looking back that was a HUGE mistake. Who knows if we were even bidding the same work? Never again. At the time I was more worried about keeping the work than $500.

[TriCityLawnCareLLC]

I commend you though, for coming on here and admitting a mistake that we can all learn from.

[hackitdown]

Originally Posted by Herrick

it took a three man crew 2.5 days in average growing conditions...

Sounds like 60 man/hrs per week. So 60 hrs multiplied by $50 per hr would be $3K per week. If you are doing 30 weeks of service, that is a $90K bid. Or at $40/hr it is $72K.

Was signing the contract at under $40K profitable?

[TriCountyLawn]

I like a good follow up and someone who isn't afraid to admit the situation. New guys should read thru these.

[Herrick]

Originally Posted by hackitdown

Sounds like 60 man/hrs per week. So 60 hrs multiplied by $50 per hr would be $3K per week. If you are doing 30 weeks of service, that is a $90K bid. Or at $40/hr it is $72K.

Was signing the contract at under $40K profitable?

I averaged 24 cuts a year, about 45-50 hours a week. Price should have been more, but it's a bid, so you cut corners to try and get it, or keep it.

[Herrick]

Originally Posted by TriCountyLawn

I like a good follow up and someone who isn't afraid to admit the situation. New guys should read thru these.

Main reason I did it. Hopefully it will help someone, although I'm sure many it will go in one ear and out the other. It was an expensive lesson, but knowledge is priceless...

[KeystoneLawn&Landscaping]

Originally Posted by larryinalabama

Another case for being debt free. It happens over and over. Ive been called dumb, white trash and a lot of other unkind things for recomonding people run their business debt free.

Debt free is the best way. If you can't go totally debt free, then you should keep your total debt payments to under 10% of your net.

[herler]

Most folks don't understand, they come in here and ask for advice and you get these guys who have ten and twenty years under their belts but when I try and tell the folks that it's not a good idea all I ever catch is attitudes, like I don't know what I'm talking about... Now some folks got seriously lucky those people were not out to take advantage of anyone because with a contract they could have took the contractor to the cleaners, inexperience will do this, folks take on way more than they can chew, the red flags were everywhere but maybe this time the lesson stuck.

[AI Inc]

Originally Posted by jrs.landscaping

I might be missing something, but four full time employees to make 30k? A 3 man crew should have been able to knock that place out in 1.5 days MAX.

wondered about that myself.