comment this email

Discussion in 'Hardscaping' started by DVS Hardscaper, Sep 24, 2012.

  1. DVS Hardscaper

    DVS Hardscaper LawnSite Fanatic
    Posts: 6,405


    I attended a Vanderkoi (sp) seminar a few years ago and we went around the room and each contractor shared their net profit on a per job basis. The average was 18 to 22% (again, per job).

    And that's about where we are with our hardscapes, sometimes 25%, sometimes 30%, but most of the time 18-22%.


    LOL - so this guy claiming "30%" is just hilarious!!!!! It would be cheaper for me to not do the work at all (which we're not) and take the guy golfing for a day.


    .
     
  2. Mark Oomkes

    Mark Oomkes LawnSite Fanatic
    Posts: 11,804

    Good ole Ben, so very eloquent. And to the point.
     
  3. Duekster

    Duekster LawnSite Fanatic
    from DFW, TX
    Posts: 7,961

    Vander Koi is a great! Everyone needs to go listen to him.
     
  4. TriCountyLawn

    TriCountyLawn LawnSite Bronze Member
    Posts: 1,517

    You should send him a bill for wasting your time reading and placing that in the trash can. Who would even mess with that..
     
  5. knox gsl

    knox gsl LawnSite Platinum Member
    Posts: 4,848

    Got 2 options raise your price 30% more for him so he can have his little discount or tell him to kiss your a$$.
     
  6. xtreem3d

    xtreem3d LawnSite Senior Member
    Posts: 801

    If he's the general on the job then he's the bank too. Sounds like he's trying to make sure he has positive cash flow. At one job I work at the standard mark up is 5-6%. I may have to general an irrigation system and that would be about 9-10% because I will have to outlay quite a bit of money.
    Steve
     
  7. alldayrj

    alldayrj LawnSite Gold Member
    Posts: 3,759

    But i bet he has so much work that he can keep you busy non stop and you will make more money than ever. SARCASM
    Posted via Mobile Device
     
  8. PaperCutter

    PaperCutter LawnSite Bronze Member
    Posts: 1,938

    Clearly someone thinks they're a baller. When I worked sales in a different industry, we'd always have big accounts sending out letters stating "in light of these challenging economic times all vendors will institute an immediate 5% price reduction or we will terminate their contracts." You'd be amazed how many companies (like the piece o' crap I worked for) would fall in line.
     
  9. DVS Hardscaper

    DVS Hardscaper LawnSite Fanatic
    Posts: 6,405

    There is a difference between a
    Sub-contractor and a contractor. I am a contractor, who also does general contracting of small jobs.

    I have a friend that owns a concrete business. He
    Works for a couple home builders and he does alotta concrete work for one pool builder. My friend does not know the first thing about marketing. He does not know anything about writing a contract. he has no experience with working with the public. He has never had to sit down and design a job. All He does is report to lot number 29 and pours concrete. he doesn't even have a website, he doesn't need one.

    So a bonefide sub contractor can work for much less money than a true Contractor.

    This job at hand the pool company knows nothing about the logistics. I have to coordinate the materials, I have to coordinate with the home owner havin vehicles moved, and very possibly have to work with the adjacent property owner to allow us to drive our loader over a portion of their lawn. See, a true sub-contractor usually does not have to obtain materials, the GC supplies the materials.

    Also, this guy is not aware of the required permit and what's involved with the county!

    .
    Posted via Mobile Device
     
  10. PaperCutter

    PaperCutter LawnSite Bronze Member
    Posts: 1,938

    Out west I worked for a landscape co that dealt directly with the homeowner but had to give a 10-15% kickback to the pool co. We obviously just marked our prices up by that much. It's where I learned to sell - if your pricing is that out of line with the market you better be able to close or you're going hungry.
     

Share This Page