lost first contract

Discussion in 'Lawn Mowing' started by mark lagasse, Sep 14, 2006.

  1. mark lagasse

    mark lagasse LawnSite Member
    Posts: 53

    As I am new in the business this is my first loss. I lost the bid this year for the subdivision I do. I bid 325.00 per month for the grass cutting, edging, weeding, weed eating, trimming, and trash pick up. 1.5 hrs per visit and a little more when the shrubs need trimming. 40 visits per year. winning bid basically all services the same but 52 visits per year 300.00 month. I figured 90hrs per year for them that equals $40 per hr. Mine figures at 60 hrs per year,that equals 65 per hr. I guess I am just letting off some dissapointment but I didn't want to lose the contract but I dont want to give my time away cheap. I will look for a better paying replacement. Bids were 285,300,325,485.
    Mark
     
  2. traman

    traman LawnSite Senior Member
    Posts: 712

    you didnt lose anything, you gained the knowledge not to under bid and stick to your price. star for you :clapping:
     
  3. Scotts' Yard Care

    Scotts' Yard Care LawnSite Senior Member
    Posts: 343

    Mark , don't feel too bad over this. My wife was surfing the net and came upon a winning bid put in by Senske for one of our local rest areas; complete full service of this rest stop and the winning bid was $1898.00 total for a full nine months. Mulch, fert and squirt, mowing, tree trimming, shrub work, trash pick-up etc.etc.etc. I still don't see how they can make a buck doing that for that price.
     
  4. WJW Lawn

    WJW Lawn LawnSite Bronze Member
    Posts: 1,330

    Yea dont feel bad...and remember the golden rule!! If you win every bid...then you're not charging enough! So don't sweat it.
     
  5. Tharrell

    Tharrell LawnSite Silver Member
    Posts: 2,964

    I'm just curious, was the 285 bid not qualified? Also, if you only lost it by $25 a month you were really close.
     
  6. mark lagasse

    mark lagasse LawnSite Member
    Posts: 53

    only lost by 25 but he is 52 visits mine was 40 so his per visit is quite a bit lower and so is hourly. What do you mean by not qualified?
     
  7. Thirdpete

    Thirdpete LawnSite Member
    from Chicago
    Posts: 236

    it doesnt matter if yours is for 40 or if his is for 52. 300*12=3600 since he's going to be there all year, and 325*9=2925 since you're only there for about 9 months. if you would have had a spec sheet then you could have bid for the same number of visits. He was at about 69.23/visit and you were at 73.13/visit, so you were very close. just make sure everyone is bidding apples to apples.
     
  8. Tharrell

    Tharrell LawnSite Silver Member
    Posts: 2,964

    What I meant was, did he not have insurance or a pesticide license or something else that might disqualify him?
    Why were you not on a 52 week bid like the other guy? Was there a prebid sheet or prospectus or anything that would let you guys know exactly what was required?
    Anyway, don't sweat it. You can't win them all as has been said before.
    Just try to learn from the ones you don't get.
     
  9. Bel Air Bob

    Bel Air Bob LawnSite Member
    Posts: 84

    When you say trash pick up, are you talking about picking up some trash in grass before cutting, or you talking about picking up garbage from cans and taking to the dump? Also, don't sell yourself short whatever you do. Some guys will get contracts pricing low, but then be out of business in the long run when they aren't charging enough to cover all their overhead.
     
  10. ed2hess

    ed2hess LawnSite Fanatic
    Posts: 13,142

    On commericial properties in our area a bid of $40 per hour would be high bid. The larger companies are going as low as $18/hour in some cases.
     

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