Huge Commercial Pricing??? Need Help on this guys!

Discussion in 'Lawn Mowing' started by Skinnies LLC, Mar 10, 2003.

  1. Skinnies LLC

    Skinnies LLC LawnSite Member
    Posts: 30

    :confused: My partner and I have been in business for 3 years. We have now entered the world of complex bidding? I need some help. We are placing bids on jobs for condo's and apartment complexes that take days to complete. We have one bid that I have to submit tomorrow and I need some help. The property will take a crew of 8 guys and 1 leader. 4 on walk behinds, 2 on edgers, 2 on whips and will work for 4 straight days at 10 hours a day. The kicker here is all THE GRASS MUST BE BAGGED AND HAULED AWAY???? How would you price it. I need to bounce this off of you so I know my formula is right. Please help.....
     
  2. J&R

    J&R LawnSite Senior Member
    Posts: 835

    I would say the mim per cut price should be 9000.00
     
  3. Skinnies LLC

    Skinnies LLC LawnSite Member
    Posts: 30

    Thanks for the info. That happens to be around what I am at...
     
  4. P&J Lawncare

    P&J Lawncare LawnSite Senior Member
    Posts: 531

    How big is this place, I do large commercial accounts and the one thing that I have found is that it may look bigger than it really is. Why walkbehinds can you use zero turns because that would cut your time in half at least. 360 man hours is alot of hours for one account I cut and trim 200 acres in under 50 man hours so I wonder if it will take as long as you think.
     
  5. J&R

    J&R LawnSite Senior Member
    Posts: 835

    I came to that to give you about 47% profit
     
  6. Skinnies LLC

    Skinnies LLC LawnSite Member
    Posts: 30

    p&j
    This place is huge. The people are so miticulous that the mulch must be fluffed every month. No Riders, the past companies must have damaged the property. Must be inexperienced. Yes it is all walkers. Again all grass must be bagged and hauled as well. What would you do???
     
  7. P&J Lawncare

    P&J Lawncare LawnSite Senior Member
    Posts: 531

    I would make sure that you have someone who has done this kind of bidding help you bid this out. The size of the property is important but there is alot of other factors involved when you bid on something like this. I am in Toledo and I see that you are from Lower Michigan so if you want I could help you bid this property, I am very busy with my own accounts so you don't have to worry about me trying to steal the account from you but I can help you learn what is important when bidding on large commercial accounts. If you want my help PM me and I will give you my cell number.
     
  8. IBGreen

    IBGreen LawnSite Senior Member
    Posts: 726

    Whats wrong with about $35 an hour per man?
     
  9. P&J Lawncare

    P&J Lawncare LawnSite Senior Member
    Posts: 531

    nothing is wrong with $35 per man per hour but on a account of this size in his location he will not win the bid.
     
  10. Skinnies LLC

    Skinnies LLC LawnSite Member
    Posts: 30

    Everyone has great advice, but I want to know what your formulas are for calculating bids? Everyone must know what it cost them from minute to minute to operate thier business. I am still building and I am not that large yet. My guess after throwing mud on the wall would be as follows:

    X number of heads times X number of hours 60 minutes to convert the overall time.

    Then take answer and times it by a certain value of cost. Figure around 40% to 50% profit margin, is this right or what???? Hell maybe I am way out on a limb here. It just make sense to me?
     

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