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  #1  
Old 04-03-2013, 07:37 PM
Isenberg Lawn Care Isenberg Lawn Care is offline
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Subcontracting

So I'm talkin to a local company that does lawn maintenance as part of his Business. The individual that does all his clients lots is being moved into the landscape part of the business. The owner of the company has someone lined up as a replacement but the owner explained he isn't sure about him, long story short he is talking to me about subcontracting the jobs to me. I was with him and drove to every property on the spreadsheet. Now I have to work out a bid for each one. Anybody and everybody please give me your thoughts. Seems as a great start to 2013 to me but I don't want to overlook anything. All the jobs (~25) are just spring cleanups followed by mow trim and blow. My problem is that I am really in need of taking some measurements of some of the properties so I can give a proper bid without shorting myself. Although with gates in driveways and such I can't gain access. Annnnd I'm not so sure what a homeowner would say if I ask if I can take measurements since I am being considered to subcontract their property. My head is spinning.
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  #2  
Old 04-03-2013, 09:12 PM
alldayrj's Avatar
alldayrj alldayrj is online now
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Use google maps
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  #3  
Old 04-03-2013, 09:50 PM
TFLE TFLE is offline
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I would work with the guy your subbing off of. If you take on 25 accounts you guys will sort of be a partner ship, and he knows what the lawns go for better than anybody. I would have him work with you on the prices. If it's a temporary thing I would just charge him what he would charge the customers normally until he gets his guy in place. If it's more long term and he wants to make money off you see what a 10-15%-ish margin would be for him and see where that leaves you. No sense screwing yourself to get the work by pricing low when you could just work with the guy and pond out an agreement that makes everyone happy and no one gets screwed.
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Old 04-03-2013, 09:54 PM
ztman ztman is online now
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Quote:
Originally Posted by TFLE View Post
I would work with the guy your subbing off of. If you take on 25 accounts you guys will sort of be a partner ship, and he knows what the lawns go for better than anybody. I would have him work with you on the prices. If it's a temporary thing I would just charge him what he would charge the customers normally until he gets his guy in place. If it's more long term and he wants to make money off you see what a 10-15%-ish margin would be for him and see where that leaves you. No sense screwing yourself to get the work by pricing low when you could just work with the guy and pond out an agreement that makes everyone happy and no one gets screwed.
Great recommendation. Why waste time an roll the dice on 25 bids. Ask the fellow what the totals are for all 25. If you are satisfied with the price give him a bid less 15% and let him deal with collecting the fees from the clients
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Old 04-03-2013, 10:07 PM
Isenberg Lawn Care Isenberg Lawn Care is offline
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I wont know how much he will really wants to work on prices until I turn in my bids. I know since it is subbing he will obviously pay me less so he still makes a profit off these jobs. But i definately wont work for nothing. The jobs will need to cover my costs involved, helper for a few, and entail a profit for me as well. Im just wondering percentage wise what he thinks he will pay me. Some of the jobs are high end jobs and Im certain he gets compensated very very well for them. So saying that, I want to make sure I dont short myself. Been there done that, but its different shorting yourself from a job thats $30 compared to $130. I will definately check out google maps. Imstressing out, mostly because this opportunity kind of fell in my lap, and I dont want toscrew it up. Im sure if I overbid on some jobs, he will sit down with me and try to work it out, hopefully.
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  #6  
Old 04-03-2013, 10:11 PM
Isenberg Lawn Care Isenberg Lawn Care is offline
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Originally Posted by ztman View Post
Great recommendation. Why waste time an roll the dice on 25 bids. Ask the fellow what the totals are for all 25. If you are satisfied with the price give him a bid less 15% and let him deal with collecting the fees from the clients
This is what I wanted to do originally, do the work and cut the percentage. Ill get with him about that hopefully tomorrow. Clients will still be paying him and he will cut me a check each week.
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Isenberg
Owner/Operator/Mechanic

2011 Silvy Crew Cab 4x4
2010 5x8 Utility
Couple mow-ers
-2007 Wright Stander RH 48"
-2010 Crapsman 22"
-1998 Lawnboy 21"
Couple Trimmerz
and more!
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  #7  
Old 04-03-2013, 10:14 PM
Isenberg Lawn Care Isenberg Lawn Care is offline
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Originally Posted by TFLE View Post
I would work with the guy your subbing off of. If you take on 25 accounts you guys will sort of be a partner ship, and he knows what the lawns go for better than anybody. I would have him work with you on the prices. If it's a temporary thing I would just charge him what he would charge the customers normally until he gets his guy in place. If it's more long term and he wants to make money off you see what a 10-15%-ish margin would be for him and see where that leaves you. No sense screwing yourself to get the work by pricing low when you could just work with the guy and pond out an agreement that makes everyone happy and no one gets screwed.
10%-15% margin sounds good to me
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Isenberg
Owner/Operator/Mechanic

2011 Silvy Crew Cab 4x4
2010 5x8 Utility
Couple mow-ers
-2007 Wright Stander RH 48"
-2010 Crapsman 22"
-1998 Lawnboy 21"
Couple Trimmerz
and more!
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  #8  
Old 04-03-2013, 10:22 PM
Isenberg Lawn Care Isenberg Lawn Care is offline
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Lets just clear this up, as a simple misunderstanding could be very very bad...not to be a total dummie but when we say 10% margin, that means on a $100 job, I would get $90 and he get $10? Surely not the other way around..But being realistic here, I doubt he would go for a 10-15% margin. If anyone on here ever had to sub out, what % would you consider?
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Isenberg
Owner/Operator/Mechanic

2011 Silvy Crew Cab 4x4
2010 5x8 Utility
Couple mow-ers
-2007 Wright Stander RH 48"
-2010 Crapsman 22"
-1998 Lawnboy 21"
Couple Trimmerz
and more!
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  #9  
Old 04-03-2013, 11:17 PM
TFLE TFLE is offline
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I have no idea what would be acceptable... no it doesn't sound high but that guy is never going to make money off you subbing the work out. Look at a 40 dollar lawn. 15% of 40 is 6 so you would be doing a 40 dollar lawn for 34 bucks, I don't think you can go much lower than that and still make decent money. So yes you make $85 for every 100. He makes some money, you make your cut, he doesn't loose all the business by not having someone in place. Everybody wins. Don't drive your prices low to worry about him and what he's going to make there will be no meet left on the bone and you will end up getting screwed.
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  #10  
Old 04-03-2013, 11:20 PM
herler herler is offline
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No, no, no.

He provides the clients.
You do the work.
I get paid.

Thank you.
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