How to bid commercial accounts for real

Discussion in 'Business Operations' started by PROCUT1, Feb 22, 2011.

  1. dtart88

    dtart88 LawnSite Member
    Posts: 1

    i understand all the price stuff but when do commercial contracts run out what time of the year do you bid them this year has been my first year and i have done alot of residential but im ready to try some commercial
     
  2. gcbailey

    gcbailey LawnSite Silver Member
    from WV
    Posts: 2,552

    around here most stuff starts going out for bid around February. Start calling around to your potential suitors now or sending "professional" letters stating what you can do for them.

    Oh ya.... know what size commercial accounts you can honestly handle to begin with.
     
  3. GardnerLawn

    GardnerLawn LawnSite Member
    Posts: 86

    awesome thread thanks
     
  4. Giestimator

    Giestimator LawnSite Member
    Posts: 8

    The biggest thing with doing any bid is knowing what it actaully costar for you to do the work.. Then you figure your price. Ay other way you have too much of a chance to loose money..

    Mike
    Www.greenindustryestimator.com
     
  5. vtscaper

    vtscaper LawnSite Member
    Posts: 159

    great post
     
  6. C&C Landscaping

    C&C Landscaping LawnSite Member
    Posts: 57

    I like - Thanks
     
  7. SlaytonFarms

    SlaytonFarms LawnSite Member
    Posts: 13

    Great Thread..

    Needs a bump/sticky
     
  8. Stars & Stripes Landscaping

    Stars & Stripes Landscaping LawnSite Member
    from CT
    Posts: 246

    After doing some searching this is fantastic information to have while trying to start a business plan for 2014, thank you very much for this information ProCut!
     
  9. sapper1975

    sapper1975 LawnSite Member
    Posts: 3

    I could use some opinions or critique on my first commercial bid. I have only done residential business for a year and a half. Buddy of mine convinced me to expand to commercial accounts. The account has 15 acres with very little obstacles. Trimming would consist of 561 feet (used measuring wheel). Has 2 flower beds that are a combined 500 sq. ft. I can get mulch for $22 cu. yd. And has 18 bushes to trim. Mulch has to be done once a year, bushes 3-4 times. Also has 11 acres that need bush hogged. My plan is to use a 4 man crew when the flower bed need done and 2 man for the mowing/trim. My price break down is this:

    Bush Hogging will take roughly 3 hours with 15 ft batwing price $500 ($125 per hour)
    Mowing should take 3.5-4 hours with 2 machines running price= $420 ($56 per hour)
    Trimming with 2 units working will take 4 hours price= $180 ($45 per hour)
    Trim Bushes with a crew of 2 will take 3 hours price= $108 ($36 per hour)
    Mulching with a crew of 4 will take about 5 hours (mulch will cost $3670) price= $4320 first time pricing this service, am I close? My total bid for the job is $24,752. Breaks down to 1x charge of $5528, 3x charge of $1208, and 26x charge of $600. This sounds high to me, but like I said it is my first commercial bid. Any suggestions would be greatly appreciated.
     
  10. GreenGuysLC

    GreenGuysLC LawnSite Senior Member
    Posts: 325

    I have no idea of what the property consist of or its layout, but a few things stand out.... 2 trimmers takes 4 hrs to go 561ft ?? Trimming 18 bushes with two guys will take 3 hrs? And the biggie... Mulching 500 sq ft will cost HOW MUCH??? Or was that suppose to be 5000?? if it is 500 ... you don't need 4 men... and better not take 5 hrs. I don't know what mowers you run, but you need to follow procuts model and understand how much acreage your mower can cover in an hr. And finally .. your breakdown .... "Breaks down to 1x charge of $5528, 3x charge of $1208, and 26x charge of $600." completely lost me... Sorry I cant be more help.... but your numbers aren't adding up and I think your estimating may be off.... hard to say.
     

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