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  #11  
Old 11-17-2007, 11:25 PM
DuraCutter DuraCutter is offline
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Join Date: May 2006
Location: Alberta-Canada
Posts: 806
Quote:
Originally Posted by All Season Bill View Post
In our area we can charge $90 for deliveries and $90 for debris removal.
If it takes two trips than $180....etc.

Last year we decided to raise our hourly labor rates. It was a bold move and it even looked expensive to us but after one year of using that rate it just became second nature to us and found out that some companies are even more expensive, so it didn't make us feel so bad. Oh yeah...and we made some money this year!
Don't feel bad bill. 2 weeks ago, we poured a cement pad. It cost around $1,200 for materials and labor. I priced the pad according to what they could afford and a little bit more, not what I thought was fair, but WHAT THEY COULD AFFORD. So the final bill came to just over 7k. It was paid within 5 days without any complaints. Of course, this was a condo not "residential"... don't do those whiners.

Moral of the story, charge as much as you can keeping mind the customers expectations. Now this example is just to illustrate the sky is the limit, so don't be shy. A friend of mine has a granite business. They do countertops for home builders and other areas where granite is utilized.
Do you think he's shy about making about 15k a day in profit... no, he works hard and charges what the market will bear.

Lawncare makes peanuts for profits, so don't be afraid to charge!!!! as much as you can.

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  #12  
Old 11-18-2007, 10:10 AM
mikesturf's Avatar
mikesturf mikesturf is offline
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Join Date: Dec 2003
Location: Chicago, IL
Posts: 785
Quote:
Originally Posted by nemow View Post
That was and still is the hardest thing for me to do. We raised our mowing prices $5 a cut this year for the first time in four years. I thought we were going to get calls from our older customers complaing about the price. Not one customer batted an eye over it. (started thinking maybe it should have been $10) Fuel has gone up almost two dollars a gallon since we started, insurance goes up, employees need raises, and we can only eat so much of the over head and customers were very understanding. The way I see it is we do a really good job and we are a really nice company to deal with. I go out of my way to help customers and I do take into consideration older customers that are on a fixed income. You just have to remember that everyone even lco are on a fixed income. Their is always a company in your area that is a lower price and always a company that is higher. You just have to be the most reliable and back the work that you do.
I raise my prices every year. People have come to expect it, with inflation and gas going up. The people I may lose are replaced 10 fold.
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