Fuel Surcharge Wording

Discussion in 'Lawn Mowing' started by Jason Pallas, Mar 15, 2003.

  1. Jason Pallas

    Jason Pallas LawnSite Bronze Member
    Posts: 1,325

    I've already done a couple searches on this - found lots of info/discussion BUT I'm interested in exactly HOW LCOs are wording these fuel surcharge increases and WHAT are the conditions.

    "I.E There will be a 5% fuel surcharge added for any week in which gas stabilizes over $1.85/gallon."

    Not looking for a discussion on if there should be a surcharge - just wondering how LCOs are implementing them and wording them in contract / notices to customers. Much Thanks in advance.
     
  2. BRIAN GALLO

    BRIAN GALLO LawnSite Senior Member
    Posts: 282

    I did it almost exactly how you have it written, but put an actual dollar amount in rather than a %. Ex: Due to an increase in the costs for me to do business, the price for your routine lawn maintenance will increase by $1.00 per cut when fuel rises above $1.85 per gallon.
     
  3. LawnsRUsInc.

    LawnsRUsInc. LawnSite Senior Member
    from midwest
    Posts: 916

    Notice should fuel prices rise above $2.00 we will appropriate the price to the correct services.
    I have it somthing along those lines i dont have one here right now
    Jason
     
  4. Highpoint

    Highpoint LawnSite Member
    Posts: 153

    Due to recent worldwide events, rising costs for Liability Insurance, Workman's Comp fees and fuel, This years service will be: $________. Thank you for your patronage with our company and we look forward to working with you again this season.

    This is in our contracts. NO body has called to complain. We've gotten back all accounts from last year and a few new ones.

    Make it easy on yourselves. Just raise your prices up a doller or so to cover expenses. We all know that fuel will not remain the same for ever. We are so use to it being what it is now. Some day $3 bucks a gallon will be the norm and we'll complain about it going to $3.50! :eek:
     
  5. Jason Pallas

    Jason Pallas LawnSite Bronze Member
    Posts: 1,325

    Highpoint - I agree. I raised a lot of people (some are still very low/competitively though). I'm still going to add a fuel surcharge on top of the 3-4% price increase - just because some of these prices I have to quote to stay in business (with all the scrubs around here) are still so low that I'll get eaten alive if I don't increase for gas as well.
    Thanks for the input.
     

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