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Old 03-21-2013, 11:28 PM
bah1491 bah1491 is offline
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Location: Southeastern Ohio
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19.7 Acre Commercial Account. Whats Your Price?

Never though I'd do this, but I am just curious to see how my numbers compare to someone else's. Obviously rates vary from state to state, and region.

-My production rate for our 60" Exmark Lazer Z X series is right around 2 acres/ hour

-Production rate for our 60" Exmark Turf Tracer X Series is right around 1.5 acres/ hour

I have always been very confident in our pricing, and bidding systems, but this one just seems different.

19.7 Acres
Site is flat inside of the fenced in area, and has a large mound along the entire front of the property. Slight slope, nothing a zero turn couldn't handle.

What do you think?
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Old 03-21-2013, 11:48 PM
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APLUS LAWN CARE APLUS LAWN CARE is offline
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My price on this project (site unseen) would be around $1,000. It is hard to tell in the arial pictures how much trimming there is to do, so it actually might be more than $1,000.
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Old 03-21-2013, 11:53 PM
bah1491 bah1491 is offline
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I believe that one laborer could complete the string trimming in about 4 hours. its all asphalt, minimal edging, and very little obstacles. However their is a chain link fence bordering the entire property.
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Old 03-22-2013, 12:12 AM
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APLUS LAWN CARE APLUS LAWN CARE is offline
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I usually charge about $50 per acre on properties like these. So, based that there is only 4 hours of trimming I would still probably charge about $1,000. Commercial properties can be extremely competitive so that price may not be acceptable to them. If I was bidding on it, I would try to find ways I could save time and maybe come down on the price a little. I don't advise you to base your price off my price because we are in different regions but maybe it will give you a jumping off point.
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Old 03-22-2013, 12:45 AM
bah1491 bah1491 is offline
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these properties around here are usually so competitive..... a school I have been bidding on for 3 years has been contracted at $435 per week including 21 acres and about 5 hours of trimming. but they allow glyphosate applications on all fencelines.

I was thinking we could still be profitable around $700, but its hard to say.

heres where im at:
19.7 acres
858,000 SF

858,000SF of turf / 87,000 SF per 60" mower hour= 9.86 hours mowing
Trimming = 4 man hours
Blowing = 1 Man Hour
Drive Time= 25 minutes each way = 1 hour

10+4+1+1 =16 man hours

16 man hours x $35 per man hour = $560.00 !!

this is what screw me up, it looks like it SHOULD be around $700 - $1,000 per cut
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Old 03-22-2013, 01:02 AM
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Snyder's Lawn Inc Snyder's Lawn Inc is offline
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Quote:
Originally Posted by bah1491 View Post
these properties around here are usually so competitive..... a school I have been bidding on for 3 years has been contracted at $435 per week including 21 acres and about 5 hours of trimming. but they allow glyphosate applications on all fencelines.

I was thinking we could still be profitable around $700, but its hard to say.

heres where im at:
19.7 acres
858,000 SF

858,000SF of turf / 87,000 SF per 60" mower hour= 9.86 hours mowing
Trimming = 4 man hours
Blowing = 1 Man Hour
Drive Time= 25 minutes each way = 1 hour

10+4+1+1 =16 man hours

16 man hours x $35 per man hour = $560.00 !!

this is what screw me up, it looks like it SHOULD be around $700 - $1,000 per cut
I was going say around 600 with 8 man hrs with my set up in my area
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Old 03-22-2013, 01:05 AM
Sharps_lawn&landscaping Sharps_lawn&landscaping is offline
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19.7 Acre Commercial Account. Whats Your Price?

Pricing that way on mowing your man hours should be around 40 to 50. Mowing per man hour has to be figured in higher than just general labor because of the machinery you are using.
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Old 03-22-2013, 01:14 AM
bah1491 bah1491 is offline
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with my overhead and profit, we price at $35 per man hour, and on a competitive bid usually down to $33. i know for a fact that 10 mil. a year companies in NE ohio are pricing at $33 per man hour. obviously running a 3-5 % profit margin.

we are able to charge the $40-$50 on high end residential. however, we do not target ANY residential, only commercial. large Commercial is cut throat here....
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Old 03-22-2013, 01:24 AM
herler herler is offline
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I was just thinking that myself, I wouldn't go over 2 and they're going to call us lowballers but we're pricing $32.91 a man hour running 2.903 - 4.798% profit margins.
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Old 03-22-2013, 01:32 AM
bah1491 bah1491 is offline
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Location: Southeastern Ohio
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Exactly, to secure these large commercial contracts its seems you have to operate as a "lean bare bones EFFICIENT " business. We run brand new machines, brand new trucks, uniformed employees, but at the end of the year our profit is around 6-10%. Which I am very happy with, considering its part of my model to have all new, fleet maintained equipment.

Back to the $50 per machine/ man hour. Let me know when you win a 20 acre commercial at that rate. If you do, that business won't be in business much longer or they need to fire the person sending out the RFP's lol.
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