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Discussion in 'Starting a Lawn Care Business' started by mwalz, Feb 26, 2014.
whats the average rate you pay your crew members?
you figure 30 cuts a season there, yes?
$10-17 and usually it's 26-28 cuts
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If I could use their dumpster Id bag the whole thing and pick up most of the litter that way. Course the price would be jumping to about 175 a cut but still that isn't a bad price for the amount of work.
As you can see though there are a few CT guys here and we have the 4th highest gas prices in the country and one of the highest cost of living. So we really do need to make more then 60 an hour mowing per man at the minimum. Most of ours are now 70-90 an hour and a few generate as much as 100-120 a man hour. So take that into effect when you figure your price for the bid.
I started doing this back in 03 when I turned 16 and it's amazing to see how much this industry has changed cost wise. You really do need to be making the price range we talk about here to maintain a legitimate profit making business in this state and it's not gonna get any easier. I wish it snowed year round that's where the real money is.
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Your on the coast as well I'm sure you start off dreaming of 30 cuts and some years it does happen. But it can also be as low as 24 on a bad spring summer drought early fall year. Like you I had bunch of 16.50 -17.50 an hour guys last season. But thats just base pay add in all the FU charges and thats 20% more then over time and all of a sudden they are at 30-31 an hour and that is just the direct labor cost here.
No its not getting any easier its the reason I decided to drop all employees starting this year the cost of them is just to high. Now the gov has jumped on the Obama band wagon demanding 10.10 an hour as if 9 or so min wage isn't enough. What that will do is push the low end guys for us to 15 and hour and the vets past 20 and thats just for workers. And then the dumb people that voted for this can't figure out what our prices keep creeping up.
Seriously where IS this efficiency guy at?
4th height gas prices?
Our Diesel is $4.19 reg gas is $3.59
Mowing prices are generally $58-60 here.
Typical wage is $12-$15 but you do see some 17-18 in a few companies (veteran guys)
CT doesn't compare to cost of living when factoring in Alaska or Hawaii.
I don't know how anyone makes a living in hawaii
I tried to figure it out, I was going to move there, but my research showed me I would be living in a dumpster..popping where I also ate.
Everyone there apparently has 3 $9/hr jobs and lives with a family member or has a union job they were born into.
I left CT in 2005, I havet priced checked that state in a long time, all but one of the guys I have formerly consulted with there are all doing fine
one guy just went out of business
Tree company, lack of work, too much competition, went to work for one of the big guys
I helped him liquidate some equipment.
Are you guys getting $80-100/hr on commercial work?
Or is that just residential?
It's crazy isn't it, and they all think there worth a million bucks
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Our diesel is about $4.60 atm and gas is now $3.75 you still want to pretend our 2 states are alike.
Ok, ill provide my reasoning to why I chose the numbers I suggested, but as is said all over this site....only the person doing the mowing KNOWS what his costs will be. But, here is how I came up with the suggested 200 bucks per cut:
His current equipment is a 36 inch, and mowing the estimated 2.5 acres which he mentioned in the original post (split into 3 smaller areas) would take at least 2 hours if he can maintain approximately 4 MPH. That doesn't include any time to pick up trash, trimming, edging, or travel. although all the small lslands within the parking lot do not need to be done, I am assuming there will be some trimming necessary, and edging curbs if necessary also.
Because he mentioned that he drove by it to take a peek, I am making the assumption that he doesn't have to travel to far to get to the location. If he is using his current mower set up, the job would take at least 2.5 hours in my opinion, and maybe 3.5 BASED on the info he provided, and the equipment he is using. If it took him 3.5 hours, @ 200 he would gross about 57 an hour. At 100 bucks, thats going to be 35 an hour, and that's why I suggested he do the INTRO bid for 100, but also mention that he is thinking the bid will be 200. He can then find out how fast the ACTUAL job will take, and at 100 bucks, he wont loose too much on the first cut. He then gains the info he needs to make an accurate bid, which I believe will fall higher than his initial posted amount, which he thought should be 100 bucks. After doing it, if he finds 100 or 125 is feasible, the customer will be happy he came in under 200, and its a win/win.
The op asked for our help, so I just provided some input. Not trying to say im right or wrong, or my numbers are spot on. The intent of my posting was to give the customer the into rate of 100, and then get the dirt time to provide an accurate bid based on his actual numbers, and expenses which could be figured better AFTER doing the job with his equipment one time.
Good luck to everyone this year, hope we all have a great season!
And ot the OP who started the post, good luck and let us know how it turns out.