Fuel Prices

Discussion in 'Lawn Mowing' started by Stihl036pro, Nov 6, 2007.

  1. Stihl036pro

    Stihl036pro LawnSite Member
    Posts: 232

    I just watched the news tonight and the fuel prices are not going down anytime soon. How are other LCO's dealing with the rising cost of doing business? I got to tell you every time I go to the gas station and drop $200 bucks I feel like I'm getting robbed by the oil companies. Does anyone no why the oil prices are jumping like this. Nobody seems to have a good answer. Its a shame that the rising cost of doing business makes me feel like sometimes there is going to be no business for me in the future. My prices are competitive with other legit companies around my area. Next year I want to put a fuel surcharge in my contracts for the year. I have been adjusting my prices as i go. It does'nt seem like i've adjusted my prices enough. Don't forget it not just fuel thats going up in price it everything else also. Thanks a lot.
  2. Frue

    Frue LawnSite Bronze Member
    Posts: 1,472

    We are in a catch 22 see we roll around in new trucks, new zss and make it look easy. This atracks people who thinks it is easy then they get in with no Idea about pricing and then it happens the new guy is knocking on your door with a lower price....... Customers are feeling the pinch too and we are expendable!!!!

    See we are buying oil from people who hate us so they say screw you we are not going to open the pumps screw you from good al saudi arabia.
  3. mattfromNY

    mattfromNY LawnSite Bronze Member
    Posts: 1,581

    Its called supply and demand. The big oil companies have something that we NEED, and they dont give it away. Unfortunately, like Frue said, the services we offer are expendable, and it is not rocket science. we get it from all angles, be it gas prices, insurance, lowballers, etc.
    Personally, I put on all my snow removal contracts this year 'A 5% fuel surcharge will apply for all months that the fuel price is $4.00 per gallon or higher for more than 25% of the days in such month'. Wording is a little screwy, I got it from a standardized contract I was looking at. I didnt lose any accounts over it, and picked up a few new accounts that also signed on the dotted line. I anticipate putting the same thing onto my maint. contracts in the spring. This will obviously not solve all my problems, but every little bit will help.
  4. Juan_Deere

    Juan_Deere LawnSite Senior Member
    Posts: 301

    We only get about 18% of our oil from the Arab nations, and they aren't the ones that drive the price up. Speculators that operate on "Wall Street" are the ones that are driving the prices up. They are basically getting caught up in bidding wars, based on world events and rumors that happen to be ocurring that day.
  5. PlatinumLandCon

    PlatinumLandCon LawnSite Bronze Member
    Posts: 1,315

    Rumours kill us. Oil prices are so inflated becasue everyone tihnks the supply will be cut by something uncontrollable. Canada is making a killing though:canadaflag:
  6. TXNSLighting

    TXNSLighting LawnSite Fanatic
    from DFW, TX
    Posts: 6,462

    we are getting way raped by the oil companies, and of course we cant do a dam thing about it. it really ticks me off. and they cry when they only made 10 billion dollars this last quarter...cry me an f'in river!
  7. lovdasnow

    lovdasnow LawnSite Member
    Posts: 91

    supply and demand ryan, you charge as much as you can get for mowing. if there were only 4 people in the US mowing grass your prices would be higher, and you would like it.

    i do believe that there were a decent amount of years in the 80's where the oil company's weren't hardly making a profit. so make hay while the sun shines I guess. don't get me wrong, I don't like paying this much for gas, but I don't blame them at all.
  8. Keith

    Keith LawnSite Gold Member
    Posts: 3,977

    Pay attention to what's going on. The dollar is falling apart. A Canadian dollar is worth about $1.10 as of now. You could pick one up for 63 cents five years ago. You can get a Euro for about $1.45, if you hurry. Next up, the Australian dollar, which will likely reach parity with the USD in a matter of weeks.
  9. Stihl036pro

    Stihl036pro LawnSite Member
    Posts: 232

    We all feel useless when it comes to the rising cost of fuel. There is not a dam thing we can do about it. The oil companies don't care if they put people out of business. It would not bother me so much if I could do something to help the situation. I never seen fuel so high before. So many people speculates why the fuel prices are like this. You have to wonder why the government or the president does not speak up and try to put a cap on it or a least try to get some good reasons for the American public why this has happen. All of us should be able to eat and fuel prices are not helping one bit!
  10. WJW Lawn

    WJW Lawn LawnSite Bronze Member
    Posts: 1,330

    You're wondering why our "GREAT" President doesnt speak up?? hahaha You do know who our President is right?? lol As Bush would likely say..."The Oil companies are overchargalating."

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