?LCO'S with revenues of 250,000 and up

Discussion in 'Lawn Mowing' started by J Hisch, Jan 21, 2006.

  1. J Hisch

    J Hisch LawnSite Senior Member
    Posts: 952

    I was reading an article online form walker talk. It was about pricing from about 400 different contractor across the US. Check it out at walkermowers.com vol. 21 "The price is right"

    Anyway my question is am I way out of the ballpark? We win about 25% of all our bids and keep most of our clients long term. However, I am charging 50-57dollars per man hr for maintenance services. the median average was 37.00 per man hr. I couldnt beleive it. We do both residental and commercial and charge the same rate or average the same rate per man hour on each crew. what's your take on this?
     
  2. green_mark

    green_mark LawnSite Senior Member
    Posts: 494

    The other companies know what their worth!

    If you set your expectations low enough it's hard to come up short.
     
  3. cleancutccl

    cleancutccl LawnSite Senior Member
    Posts: 698

    those prices are also averaged with the southern prices with are generally lower than northern states. If you're still getting 25% of your jobs what are you worried about? If you have work don't change it, when you start to need extra work then you might want to take your price down a little. Most importantly you need to find out what you have to make on an hourly basis to stay profitable, then you will see if you are overcharging or not. You can never base your price on what someone else is charging and hope your making money.
     
  4. lawnman_scott

    lawnman_scott LawnSite Fanatic
    Posts: 7,547

    My take is that some people want to be "respected" so the numbers are artificially inflated. Do you really beleive some people are making $150.00, and if you do, is this time on a property or time started to time finished with all drive and stop time included?

    $150 hour for a solo in a northern area (best money area in theory)

    $150x50 hours a week=$7500x30weeks=$225,000

    Snowplowing say 5 hours per week for 8 weeks, 40 hours total for the season (im in florida so this is a guess). 40 hours x$450 (snow pays about 3 times as much as lawns so we hear)= $18,000
    Total gross pay for solo $243,000

    Yes sure I beleive it, who wouldnt?
     

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