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#1
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Landscaping Quotes (Material + Equipment Costs)
When quoting customers, I use a "Material + Equipment" & "Labor" expenses as the two categories in calculating the final costs.
"Material + Equipment" being plants/flowers/trees/edging/tarp/gas/etc + a bit of cushion to cover unexepected expences.. Is it pretty standard to collect the "Material + Equipment" expense before beginning work? As in basically collecting a deposit to purchase the plants/flowers/equipment needed in the landscaping installation... Reason I ask is that the initial "Material + Equipment" cost could be a pretty large sum, and could turn them off just by the large number that is expected before work is done.. Thanks in advance for the input, LS
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LaneScapes OKC Metro Area |
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#2
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ALWAYS get at least 50% up front. I will not start a job without that.
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#3
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I am with you on that. I also require a second payment of 25% oonce I show up with the materials this way all materials and labor are pretty much paid for.
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#4
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Quote:
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#5
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Good deal -- just wanted to hear from other companies!
'preciate it..
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LaneScapes OKC Metro Area |
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#6
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Check your state laws. Some do not allow such a deposit.
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#7
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For larger projects I try to get 50% up front.
Generally though, between accounts with my suppliers and my own cash reserves, 75% of my jobs don't require a deposit. ...
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White Gardens On Facebook.......WG Thread......Greencare For Troops......... mywhitegardens.com(under construction) 2005- Completion of University of Illinois Master Gardner's Program. |
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#8
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projects over 10k with standard materials the terms are 50% the day I show up , 25% at the half way point and 25% the day Im done
Projects under 10k but greater than 3k 50% the day I show up 50% the day I am done Projects Under 3k 100% due the day Im done and I tell the customers that I dont want to have to ask for the checks. Typicaly they give them to me earlier than I would have had to ask. |
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#9
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Check with your local state licensing board before you go demanding 50%. I know here in CA we can only ask for 10% or $1000 whichever is less.
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#10
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Try this formula...
E-equpment
L-labor M-material O-overhead S-sub contractor C-contingency P-profit This way you bid for profit... Lets say you use shovels and wheel barows... your E will be 10% purchase cost to a few of your hand tools. Give your slef a few dollars to replace things that don't last forever. Also, include rentals here. Labor... how much will you owe in labor and labor insurance and taxes for people that help you? Don't include your self here. Materials... Include delivery, taxes, and cost for materials. Charge what is necessary for a mark up to pick it up and shop for it. Overhead... Fuel, insurance, veichiles, owned equipment, your pay, etc. You won't last in business if you don't know this. Sub contractor... I usually add 15% to what I'm charged Contengency.. Usually I add 5-15% to my bid for OOPS we broke something or ordered too much materials. I refund some of this if the job goes well. Profit... 20-30% is what I use in my bids.
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Landscape management, design, and installation
Horticulturalist with Specialization in Landscape Management 24 years old 6 years in business ownership |
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