Register free!
Search
 
     

The Green Industry's Resource Center


Click for Weather
Reply
 
Thread Tools Display Modes
  #1  
Old 03-16-2008, 06:50 PM
Lawn Tech LLC's Avatar
Lawn Tech LLC Lawn Tech LLC is offline
LawnSite Member
 
Join Date: Jan 2008
Location: St. Charles County Missouri
Posts: 69
Fuel surcharge?

I, like alot of you, have my commercial contracts for the 08 season all signed back in October of last year not knowing that fuel would be at or near $4.00 per gallon. Has anyone figured out a surcharge price that is enough to cover costs but not make the client start shopping around for a new contractor?
Most companies understand a surcharge but there is a point that they think you are taking advantage of them.

Thanks

LT
Reply With Quote
  #2  
Old 03-16-2008, 07:24 PM
Atlantic Lawn Atlantic Lawn is online now
LawnSite Senior Member
 
Join Date: Feb 2001
Location: Outer Banks NC
Posts: 769
That's not an easy sell and that's the reason why contracts are put in writing, protects You and the Client. How much do you estimate you will lose with a base fuel price of $4.00 ?
__________________
Steve
Reply With Quote
  #3  
Old 03-17-2008, 12:10 AM
Lawn Tech LLC's Avatar
Lawn Tech LLC Lawn Tech LLC is offline
LawnSite Member
 
Join Date: Jan 2008
Location: St. Charles County Missouri
Posts: 69
My bids were based on a price ceiling of $ 3.90. Not a good thing since our fuel prices are $ 3.85 for diesel and $ 3.10 for unleaded already. I will need to go up about 5% at $ 4.00 but I do not think it will stop going up until after the election. If I am lucky enough to get a surcharge 5% will not cut it by This summer.

LT
Reply With Quote
  #4  
Old 03-17-2008, 01:47 PM
pinto n mwr pinto n mwr is offline
LawnSite Senior Member
 
Join Date: Mar 2008
Location: gr8, mn
Posts: 422
yet another thread on fuel costs.....
KNOW your costs.....
5%, come on, I thought the oil companies were the only ones profiting on rising prices...
Yeh, fuel is increasing all around us, and yes our price will need to be increase at some point, but not yet. I will not get into this in great detail because I have a headache from people not knowing their costs. To put it shortly, for every dollar gas may increase it would ONLY mean a 1% increase in total expense. This is just my example though.
Reply With Quote
  #5  
Old 03-18-2008, 08:19 PM
Lawn Tech LLC's Avatar
Lawn Tech LLC Lawn Tech LLC is offline
LawnSite Member
 
Join Date: Jan 2008
Location: St. Charles County Missouri
Posts: 69
Whats your problem.

I asked a question to see what everyone else was thinking. I nor anyone else needs to listen to a guy who has nothing important or relevant to say other than coming down on someone who is not as perfect as you. You are the reason alot of guys will not ask the questions they need answers to because people like you do not have the understanding that all of us are not perfect. I thought this web site was to help each other out, even if it is a Stupid question, not to try to prove that you know it all and have all the answers. Next time you see a stupid question, just don't reply to it. Nobody wants to hear what you think anyway.

LT
Reply With Quote
  #6  
Old 03-19-2008, 02:02 PM
ffemt1271's Avatar
ffemt1271 ffemt1271 is offline
LawnSite Bronze Member
 
Join Date: Apr 2003
Location: Shreveport, La.
Posts: 1,250
Amen!!!!!!
__________________
Deep South Lawn Service
www.deepsouthlawn.com
2003 dodge 2500/ cummins
20' landscape trailer - 6.5x12 landscape trailer
5x10 utility trailer
'03 lazer 23/60 ,'05 lazer xs 31/72, 2010 lazer 29/60
'02 metro 14/36
15 shindaiwa handhelds, 3 echo saws
2 stihl fs100rx's, 1 stihl br600 magnum
'92 long 2360/6'king kutter w/7.5x18 trailer


lawn sprinklers save your grass, fire sprinklers save your -----
Reply With Quote
  #7  
Old 03-19-2008, 02:07 PM
pinto n mwr pinto n mwr is offline
LawnSite Senior Member
 
Join Date: Mar 2008
Location: gr8, mn
Posts: 422
nobody wants to hear what I say? I suppose this is a free counry and all, but if someday the garage at your house gets a little tight and expansion of business is in the future then maybe you might want to listen.
Reply With Quote
  #8  
Old 03-20-2008, 06:05 PM
Lawn Tech LLC's Avatar
Lawn Tech LLC Lawn Tech LLC is offline
LawnSite Member
 
Join Date: Jan 2008
Location: St. Charles County Missouri
Posts: 69
Well lets see. I have been in business since 1984 and have not worked out of my garage since 1986. I have raised 4 kids doing this and 1 is in college and 1 starting next year. This history lesson is just to let you know that we all do not have to cut others down to make us feel high and mighty. I am happy to help others out without making them feel like they should kneel down and be thankful that I talked to them. In the future if someone needs help and you want to give them your wisdom leave the sarcasium out of it and just help if you can. By the way my "garage" is 75'x75" and 18' tall and paid off so I do not need your advise.

LT
Reply With Quote
  #9  
Old 03-20-2008, 06:08 PM
POPO4995's Avatar
POPO4995 POPO4995 is offline
LawnSite Bronze Member
 
Join Date: Nov 2005
Location: Northwest Illinois
Posts: 1,164
Wow, that was good. I have adjusted only a few accounts that needed to catch up to the others and all balance out. Thats about it. I will revisit the issue next year...
__________________
2008 Dodge Ram 2500 Cummins Quad
2002 GMC 2500HD Ext. Cab Duramax
2003 Chevy C4500 Duramax Dump
2008 Chevy Express 3500 Van
2000 Dodge Ram 2500 Reg. Cab
07 Deere 737 (60" 7 IRON)
07 Deere 757 (60" 7 IRON)
06 Deere 757 (60" 7 IRON)
06 Deere 757 (60" 7 IRON)
11 Deere 326D Skid Loader
07 Deere G15 (Commercial 36")
12 Deere Z920 (60" 7 IRON PRO)
01 Deere 455 (60")
12 Deere 825i Gator
11 Haulmark 8.5x22 Enclosed
11 PJ 20' Equipment Trailer
Reply With Quote
  #10  
Old 03-20-2008, 06:14 PM
Lawn Tech LLC's Avatar
Lawn Tech LLC Lawn Tech LLC is offline
LawnSite Member
 
Join Date: Jan 2008
Location: St. Charles County Missouri
Posts: 69
Popo4995

Sorry about the rant. What are your fuel prices up there and how many miles on average do you run a week?


LT
Reply With Quote
Reply

Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off

Forum Jump





Powered by vBulletin® Version 3.8.6
Copyright ©2000 - 2014, Jelsoft Enterprises Ltd.
Copyright ©1998 - 2012, LawnSite.comô - Moose River Media
All times are GMT -4. The time now is 04:25 PM.

Page generated in 0.09748 seconds with 7 queries