Another Pricing Thread

Discussion in 'Pesticide & Herbicide Application' started by lawntennis, Dec 20, 2008.

  1. lawntennis

    lawntennis LawnSite Senior Member
    Posts: 415

    I have a fert business with about 600 clients. I am going to start mowing this year and had a pricing question. I would like to give all of my customers an APPROXIMATE bid based on their per app price when I send out the prepay. I know their are many variables for mowing but was wondering if any of you know an approximate percentage their mowing price would be to their fert price. I don't want a large route so I don't want to come in to low.
     
  2. ICT Bill

    ICT Bill LawnSite Platinum Member
    Posts: 4,115

    Square feet + Fertilizer cost + Labor + over head (insurance, fuel, maintenance, etc) = cost.

    Cost + Profit = cost for entire route

    cost for entire route/ sq ft of customers = average cost per sq ft

    no such thing, it has to be based on cost. you may have 600 mow & blow customers and only 200 fert customers, there is no way to do the math

    You must base it on cost and you must put a profit figure in there in order to stay in business
     
  3. lawntennis

    lawntennis LawnSite Senior Member
    Posts: 415

    We've been in business for quite awhile so I understand how to stay in business but I still bid my fert jobs with a simple formula. Since I have never done any mowing it is difficult to know my costs. Anyone?
     
  4. ICT Bill

    ICT Bill LawnSite Platinum Member
    Posts: 4,115

    Apologies, I thought it was the other way around
     
  5. ted putnam

    ted putnam LawnSite Platinum Member
    Posts: 4,533

    Mow guys around here try to make 40-50 bucks an hour. with usually a minimum of 35-40 bucks per stop. Better/faster equip means you make more money. Better/faster equipment costs more money...many variables. Where material cost/k is the main concern in spraying lawns, Time will be the major factor in mowing (at least that's my thought). You need to be able to figure approx times by looking at a lawn... I do not mow nor do I want the hassle of crews ,equipment upkeep,etc... but If I were going to, this would be how I would do it. I probably didn't help you much.
     
  6. LIBERTYLANDSCAPING

    LIBERTYLANDSCAPING LawnSite Bronze Member
    from Indiana
    Posts: 1,283

    It's going to be a little tough for you to bid mowing. There is a learning curve:laugh: It definitely takes some experience around commercial mowing to be able to put a definite time on how long a weekly mow will take. As Ted says, larger & quicker equipment=better production rate, but cost more. It will come down to the equipment that YOU are going to use. Mowing equipment & all the ancillary crap that goes with it can cost you a fortune!
     
  7. LIBERTYLANDSCAPING

    LIBERTYLANDSCAPING LawnSite Bronze Member
    from Indiana
    Posts: 1,283

    It's going to be a little tough for you to bid mowing. There is a learning curve:laugh: It definitely takes some experience around commercial mowing to be able to put a definite time on how long a weekly mow will take. As Ted says, larger & quicker equipment=better production rate, but cost more. It will come down to the equipment that YOU are going to use. Mowing equipment & all the ancillary crap that goes with it can cost you a fortune!

    Oh yea, Mowing is the lead in "drug" that gets you in the door for all the high profit landscape maint. work like mulch, bush trimming, spring & fall cleanups, leaf haulaway, annual color, etc.:clapping:
     
  8. lawntennis

    lawntennis LawnSite Senior Member
    Posts: 415

    Thanks for the replies. I want to concentrate on residential at first. I figure if I mess up on a bid I can't lose too much. I've purchased a 36 inch quick dually and a 21 in honda. Anyone have any idea of time per 10,000 square feet with similar equipment. I know if varies depending on garden beds, edging, etc but I have no idea. You don't want me coming in too low.
     
  9. tlg

    tlg LawnSite Senior Member
    Posts: 645

    You need to know all your cost in order to price things right. We all know the normal cost. Labor, insurance, fuel, size, overhead and on and on. The other factors you must include are job difficulty, location, future business potential and collect-ability. Obviously a job with a lot of obstructions would cost more to do than a lawn with none ( speed is of the essence of profitability), several jobs located together or close by are better than one 20 miles away, a job with future business potential could be a high visibility residential or commercial property that being see on could generate other inquires to your service. Collect -ability or terms of the account should always be part of your pricing... do you have to wait for your money... 30 days, 60, 90.These can all be variables in any pricing strategy Not to get off topic but your lawn fertilizing biz generally has better margins than mowing. What compelled you to add mowing to your service?
     
  10. RLC12065

    RLC12065 LawnSite Member
    Posts: 179

    i mow 130 lawns a week and fert about 250 properties. there is no corrilation between mowing and fertilizing. mowing depends alot on how much trimming needs to be done. you base your price on how long it takes to mow, trim and blow a house. we average about $45 per man hour mowing lawn including all travel and prep time. we mow at a $54 per man hour if you take out travel time. 2 guys, 2 50" ztr's. you stated you bought a 36" and a 21" mower to use. unless you have very small properties its gonna take a while to mow each lawn reducing the amount of money you can make. it might take 15 minutes for 2 guys to mow with 2 50"ztr's and take 30 minutes for 2 guys to mow the same property with a 36" and 21" mowers. the amount charged is the same.
     

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