Monthly Package Pricing for Landscape Maintenance Clients

[ct-vt lawnguy]

we have been doing this for the past 20 years and is the only way we work. The only difference is we use a 9 month contract that runs from mar 15 through dec 15. For us it has been very sucsessful and we have found when our clients know what they are paying for the season they tend to add extra services on when they have extra money for enhancements around the property.

[Florida Gardener]

It's the only way we roll in Florida. BUT, it's bc we work year-round. So instead of high payments in the summer and low payments in the winter, we average it out. There are guys here that do per cut, but I refuse to do that. Bad customers.
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[Lux Lawn]

I love the 12 month contracts, wish they all would sign up for that. I just like the fact that there is more money coming in during the winter months. Less snow to plow that way.

[cpllawncare]

Trust me, I love it to, it's just getting the customers to love it, I think it hampered my growth a bit last year by only offering service this way, It will be an option this year not mandatory. EOW accounts are being taken off the option list this year. All service will be weekly, either seasonal or year round, even around here we can service most accounts 10 months out of the year

[Florida Gardener]

Originally Posted by cpllawncare

Trust me, I love it to, it's just getting the customers to love it, I think it hampered my growth a bit last year by only offering service this way, It will be an option this year not mandatory. EOW accounts are being taken off the option list this year. All service will be weekly, either seasonal or year round, even around here we can service most accounts 10 months out of the year

If you don't deal with snow, you need to figure out what you can do on the property when grass doesn't need cutting. That can be your selling point for the 12 month agreement. Could be raking up leaves, lightly pruning, pot care, etc. I don't know what a SC winter looks like, so maybe I'm talking out of my rear.
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[Above Par Lawns]

Originally Posted by cpllawncare

I think it hampered my growth a bit last year by only offering service this way

This will be my first year in business and I'm going to chance it by only accepting payments this way. I have 15 full maintenance accounts (mow,trim, fert, seed, aerate, 2 cleanups) lined up that have agreed to the 12 month payments. I just have to get the contracts written up by March 1. I'm even making the 3 family members sign the papers! I think this is the only way to go. I have a full time job working grounds crew for a Country Club but it's seasonal as well so I'm trying to make sure I still have enough money coming in during the winter. I can't be relying on snow. I bought a 2 stage snow blower this fall and haven't even got to put gas in it yet.

[cpllawncare]

To be quite honest, by the time dec rolled around I was ready for a break but now that we're in the middle of Jan I'm chomping at the bit to get going again, Florida, it has been in the lower 70's here for the last week or so but raining almost everyday knocking out any chance to get anything done. I think our avg winter temp here is around 60, but the rain kills any chance to get any work done.

[yardguy28]

Originally Posted by grandview (2006)

What your saying is people are paying themselves more then they should based on how much the company is making.

I don't know that I'm necessarily saying that.

what I'm trying to say is let's use $100,000 as an example number. lets say you gross $100,000 a year. you gross that same amount whether clients pay it to you up front in one payment, over the course of season, 6, 9, or 12 months. when the year is said and done you still gross $100,000.

so if you receive all of that $100,000 by let's say august for example how can you still have to stretch your money the remaining months? the money should be sitting in the bank ready and available.

[grandview (2006)]

In that case they may mean stretch their money by making sure they have the money sitting there to pay the bills for the next yr.If that was the case you pay up anything you owe for a year in advance.

[Will P.C.]

Originally Posted by yardguy28

I don't know that I'm necessarily saying that.

what I'm trying to say is let's use $100,000 as an example number. lets say you gross $100,000 a year. you gross that same amount whether clients pay it to you up front in one payment, over the course of season, 6, 9, or 12 months. when the year is said and done you still gross $100,000.

so if you receive all of that $100,000 by let's say august for example how can you still have to stretch your money the remaining months? the money should be sitting in the bank ready and available.

The more money you have coming in, the more you spend. This allows you to make do with what you have.