Guys who do sub work.

Discussion in 'Pesticide & Herbicide Application' started by turf hokie, Apr 11, 2005.

  1. turf hokie

    turf hokie LawnSite Silver Member
    Posts: 2,744

    I am working on an estimate for multiple residential sites for a landscaper. All my other contractors go with 5 apps.

    I normally do 5 applicaitions all priced the same based on a year contract. This Landscaper wants to do the winterizer himself (the most profitable round of the year) making the contract 4 apps

    I don't need to know your pricing just how you would bill 4 rounds vs. 5 rounds.

    My question is this.
    Do you bump up your price per sq ft to make up for losing the last round profit? Essentially creating the same profit you would make on 5 rounds but now on 4?
     
  2. Enviro Green

    Enviro Green LawnSite Senior Member
    Posts: 324

    Problem is, if you go up on the price on the four, then he won't be making the profit he wants on the fifth one, and then you might not get the contract. Are you making enough to be happy with on the four and making him happy and getting some good exposure? If so, just roll with it, otherwise, you will have to up the price on the four, and then it could be messy. Or you could just drop the price a little and tell him you want all five since your name is on it and help him out.

    EG
     
  3. jajwrigh

    jajwrigh LawnSite Bronze Member
    Male, from Martinsville, IN
    Posts: 1,405

    Just charge for 4! Consider the extra money you make from subbing a bonus even if it doesn't fit into your program like your regular customers...
     
  4. turf hokie

    turf hokie LawnSite Silver Member
    Posts: 2,744

    I was looking to submit it for the same price per app based on 4 rounds as I would for 5. A couple of reasons. 30 houses -- all 15k plus sq ft -- all 2 million dollar plus homes -- in NJ with no notification laws.

    I think I just answered my question. I was analyzing GP and all sorts of stuff to closely.
     
  5. turf hokie

    turf hokie LawnSite Silver Member
    Posts: 2,744

    Thanks. I guess I look at needing to extra money from the 5th app. Where as it really is a bonus if you sell the rest the right way.
    The learning curve continues. Hopefully, it is getting smaller. I don't know right now. Too much going on to think straight.
     
  6. Enviro Green

    Enviro Green LawnSite Senior Member
    Posts: 324

    Ummm, you should be making money on every app.

    EG
     
  7. turf hokie

    turf hokie LawnSite Silver Member
    Posts: 2,744

    I thought that is what I meant. Too tired tonite.

    I just look at the apps like this. If I get $100 per app 5 times then that last app is huge profit. I was just looking at losing that last round to hard.

    I am making good money on all the other rounds. Just overthinking a new scenario to hard. He basically wants to do the last round with the final fall cleanup.
     
  8. Enviro Green

    Enviro Green LawnSite Senior Member
    Posts: 324

    Ah, rest up, it's all good, besides, I know you aren't pushing, you are riding, and that makes it all the sweeter....

    Later!

    EG
     
  9. teeca

    teeca LawnSite Bronze Member
    Posts: 1,202

    do you know this landscaper? do you think that he might be using you just to get his feet in the door? and another thing, what and how much is he going to put down for the winter app? are you responsable for disease? if he dumps 2-3# of N in the fall, are you going to have to take care of the desease in the spring? is he going to tell you to skip R1 because the grass is green in the spring from all the N he put down in the fall? just some things that come to my mind when somebody wants a half-a** service. since R1 and R5 might just be the most important rounds of the year.
     
  10. LonniesLawns

    LonniesLawns LawnSite Senior Member
    from KS
    Posts: 317

    Well, here is how I would haveto do it -- I know what each application costs me -- I would add up my first four applications cost plus my mark-up and then divide even;ly by four.

    Now -- my 5th app is not my cheapest -- my 2nd application is ... by far -- and I only do four apps. SO if I pick up a new customer in AUgust before rds 3 and 4 they ahve a different price for that first year since my rd 3rd application nearly quadruple the cost for me than for my 2nd application.

    I would work the numbers and give him that price -- it might not be much different -- but atleast you'll know you are gettign paid the same for those yards as you are the others -- that makes everythign easier on the last yard of the day -- rather than thinking -- am I getting paid enough?
     

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