I Keep Getting Underbid

Discussion in 'Starting a Lawn Care Business' started by LBOperator, Jun 21, 2013.

  1. kingbenny

    kingbenny LawnSite Member
    Posts: 3

    32_ where are you on LI
  2. grass-scapes

    grass-scapes LawnSite Bronze Member
    Posts: 1,552

    Until you factor in the time between properties that you can't bill for. Fuel, mix oil, repair, maintenance.

    Prices are low here, but if they were at that level, I'd be exploring other opportunities.

    And how do you figure 10 of those size is an acre. My idea of a postage stamp lawn is 2, maybe 3 thousand square feet.

    An acre is 43.5 thousand.....Youd need 15 to 20 to make an acre.....
  3. Will P.C.

    Will P.C. LawnSite Senior Member
    Posts: 965

    Good post mate. Volume as a solo guy sounds like a good way to burnout quickly. When you look at the companies focusing on volume, they have employees doing the work with complex systems in place.
  4. jrs.landscaping

    jrs.landscaping LawnSite Silver Member
    from Maine
    Posts: 2,717

    Hypothetically say there were enough of these lawns in a tight area to support the "volume" of an 8 hour work day.

    6 lawns per hour for eight hours, take away 1.5 hours for travel load/unload

    $780 per day for a one man crew, some guys don't hit those goals with a two man crew. I know this is strictly hypothetical and it would be tough to land 40 "postage stamp" lawns in a tight enough area but if it could be done the numbers really don't look that bad..........
  5. cpllawncare

    cpllawncare LawnSite Silver Member
    Posts: 2,659

    Realistically, your probably looking at 4/hr that's 15 mins a lawn, you'll need time for other stuff and other stuff WILL come up, don't think you'll be cutting every min of every hour either so I wouldn't over budget my time. There will be days when 4/hr will be hard to get, we always shoot for 10/day but realistically we usually hit 7-8, lately we're lucky to get 5-6 because of the rain, actually we're lucky to even get a day in, LOL!
  6. Utah Lawn Care

    Utah Lawn Care LawnSite Bronze Member
    Posts: 1,412

    There will be a group of potential customers that all they care about is price. Most people want a great service though. It's possible to not be the cheapest guy in town and get business. You do that buy helping people understand what value you provide over the other options they have in your market. Do you take credit cards? Do you have customized plans? Do you not require contracts? Do you hire legal labor? Do you have insurance? Do you have a 15 step checklist at every visit? Do you have a no risk guarantee? Think about these things and make sure you get the point across that you're better than the competition. People are often willing to pay a bit more, but they need to know why.
  7. TPendagast

    TPendagast LawnSite Fanatic
    Posts: 7,670

    I dunno, you say you been doing this 20 years….you can't be doing too much wrong…. so you get underbid… oh well. Happens to us all daily. Keep doing what you been doing.
  8. PLW

    PLW LawnSite Senior Member
    Posts: 802

    Tell them you would like to see the estimate that the person gave them. If they can't find it then stick to your $40 price. However, of they can provide it to you then look at the overall area and see if you can get more accounts in that area. I know that you most likely don't want to cut a lawn for $35, but if you gain that account and then market to the other properties after you're done cutting then you could make it worth while.

    Some might not agree, but if you aren't able to land jobs at your current $40 price, then you might need to rrthink your pricing structure.

    Posted via Mobile Device
  9. chefj

    chefj LawnSite Senior Member
    Posts: 557

    What search were you doing that brought back an almost 2 year old thread?
  10. cpllawncare

    cpllawncare LawnSite Silver Member
    Posts: 2,659

    I hope that's $7.50 per sq ft if not your in big trouble my friend.

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