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Florida pricing..per month or per week?

Discussion in 'Lawn Mowing' started by DennisF, May 25, 2005.

  1. DennisF

    DennisF LawnSite Bronze Member
    from Florida
    Posts: 1,381

    I 've been operating in Florida for about 3 years and after working in the business in Michigan for 30 years, I've determined that per week pricing works best in both states for my business.

    However...I'm open to advice from other Florida LCO's.

    What is the best way to price?

    Per week or per month?

    We have a much longer mowing season (in Florida) so.... I'm beginning to think that per week pricing is contributing to low prices overall.

    How do you price...and do you think it really makes a difference.
  2. lawnman_scott

    lawnman_scott LawnSite Fanatic
    Posts: 7,547

    I do it per month. Im not trying to be a ___________ but your the only one around that charges per cut that I can think of. I realize why, if they cancell after doing it all summer....... But you have been around a while and can probably weed out most of the people who just want summer service. I do get a couple here and there that slip by, but it works for me. Besides there are always at least one or two skips during the winter/beginning of summer schedule. There are still some I skipped this week. If you have a questionable one that you want to charge $100 a month tell them for the 1st year its 150 for summer and 50 for winter, after that 100 a month. This past year there was only 1 that cancelled, so i wasnt too concerend about it.
  3. TJLC

    TJLC LawnSite Bronze Member
    Posts: 1,308

    I used to do ONLY per month mowing but found I was missing out on some business because some people were scared away by the thought of a monthly account, even after you tried to explain it to them. So this year I just let the customer decide how they want to pay, monthly or per cut and it seems to be working fine so far. I tell them how much per mow and how much per month and they decide. I think whatever works for you is fine. You have been in this business for a good while, so you must be doing something right. Good luck.
  4. South Florida Lawns

    South Florida Lawns LawnSite Platinum Member
    from usa
    Posts: 4,785

    Its just easier for me when it comes time to9 send out the bills at the end of the month.
  5. Fantasy Lawns

    Fantasy Lawns LawnSite Bronze Member
    Posts: 1,913

    Monthly billing Only .... no per cuts .... we only take on yearly clients

    Fore me if I need $30 per cut the monthly billing is $105 each month .... year round (30x42/12) BUT also very well explain the concepts of monthly billing & have a clause

    "Upon Cancellation Compensation for All Services will be pro-rated in conjunction with the work performed between First & Last Day of Service Agreement adjustments submitted with final bill."

    I don't do renters, if I have a problem with a customer (2 late payment in 1 year) they go on pre pay .... house comes up for sale it goes to pre pay ... sure I've be "bitten" but I've learned to spot em

    The billing is much easier n I get much needed income in the Winter .... in fact these are my 'profit" months
  6. Del9175

    Del9175 LawnSite Senior Member
    Posts: 352

    I currently service around 50 homes. 29 pay but the month with the rest paying per cut. Of those 29 that pay by the month, about half of them include shrub trimming and the rest are mow only. I love the pay by the month mow only customers. Easy work and steady pay. Next I like the per cut customers. All though the full maintenance customers pay the best, I just hate trimming shrubs anymore. All though its included in their price, I just don't feel as if I'm getting paid.
  7. Precision

    Precision LawnSite Silver Member
    Posts: 2,995

    I only accept monthly payers. TOO much hassle for weekly billing, invoicing, check cashing. TIME is money.

    Before I got better at eyeballing lawns I used to figure what I wanted weekly then add $3 then multiply by 42 and divide by 12. I had a little built in cushion. And like Steve I explain to them exactly what they are getting.

    If they complain I say, well this way you can pay me $100 per month regardless of having 4 or 5 mows per month in the summer when grass is growing like crazy and I am dying in the heat and you are blissful in the AC. Then in the winter, I get to mow half as often and in some decent temperatures for the same $100.


    I could charge you what I need to make it worth my while in the summer. $40 per cut or $160 - $200 monthly and you can pay me $30 per cut in the winter or $60 monthly. But remember there are 8 months of summer and 4 months of winter.

    Now aside from making my cashflow easier, it save you money so that is how I do it and why. Signature here please.

    And all my people pay me one month ahead. PERIOD.
  8. MTR

    MTR LawnSite Bronze Member
    from Florida
    Posts: 1,280

    Monthly invoicing only (what job or service included in the monthly account outright explained)...I used to take per-cut customers when I started back in 02, but I don't anymore, just one account left for per- cut cause they are the ones started me on this biz.
    Monthly invoicing is the best for me and customers, they all like cause they don't have to worry about lawn when it cut if they fly out for biz or something, some gone for months. After 4th cut of the month, I send invoice and they mail me the payment, no miscommunication or understanding.
    I like how I collect monthly and do my expense, overhead, profit calculation.

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