per acre or per hour

Discussion in 'Lawn Mowing' started by clncut, Mar 24, 2007.

  1. clncut

    clncut LawnSite Member
    Posts: 94

    I have the opportunity to bid a property of 20 acres. The largest property I maintain at this time is 6 acres so this is new territory for me. Ive been searching on here and cant decide on how to bid this.

    Ive read to figure estimate how long this prop would take and add my hourly rate. Bidding by the hour seems Id be leaving a lot of money on the table. Some say to bid by the acre. Im just trying to figure which way most use. Currently on all my props are bid by the hour and not a per acre price.

    Any help would be great. Thanks

    John
     
  2. TNT LawnCare Inc.

    TNT LawnCare Inc. LawnSite Bronze Member
    Posts: 1,157

    What will you be using to get the job done ??
     
  3. Albery's Lawn & Tractor

    Albery's Lawn & Tractor LawnSite Bronze Member
    Posts: 1,675

    Bid by hour. Thats what we do.
     
  4. clncut

    clncut LawnSite Member
    Posts: 94

    Two ztr, a 52" exmark and a 60" Dixie.
     
  5. TNT LawnCare Inc.

    TNT LawnCare Inc. LawnSite Bronze Member
    Posts: 1,157

    I'd bid by the acre. How long do you think it will take you to knock that. IF it takes 5 hours and you price it at 50 an hour thats only 250. If you bid bye the acre and its wide open mowing you can charge 35 - 40 an acre and make three time thee amount .
     
  6. Albery's Lawn & Tractor

    Albery's Lawn & Tractor LawnSite Bronze Member
    Posts: 1,675

    If you go with a high amount there gonna take another bid over yours. If it takes you 6 hours charge $360 ($60 pr hr). Yeah $30-40 per acre sounds great when it totals $600-$800 but unless your customer isn't very smart you will get out bid.
     
  7. TNT LawnCare Inc.

    TNT LawnCare Inc. LawnSite Bronze Member
    Posts: 1,157

    He didnt say if he was worried about being out bid and i'am not sure ?? how bad he needs this account. Iam in business to make money not accounts. Iam not sure also how big his company is, or what he prefers to make in a single day. If bidding hourly works for you thats fine. I like bidding by the acre and it always works for me cause most peolpe over bid thinking they can charge 50-60 an acre. Just my thaughts
     
  8. Albery's Lawn & Tractor

    Albery's Lawn & Tractor LawnSite Bronze Member
    Posts: 1,675

    If it works for you then cool. I guess its really just different markets. Around here I'd me laughed out of town bidding that way. I'm not saying its better to have 100's of cheap accounts, but you need accounts for $$$ but you have to be fair on bidding. We've been in business long enough to how things work. Just my 2 cents though, run your business the best you can good luck.
     
  9. clncut

    clncut LawnSite Member
    Posts: 94

    Thanks for the replies. To answer some of the questions asked, my company is small, myself and a helper. I do this part time and am not to worried about if I dont get the account. Dont get me wrong, I would like to win this if possible buy wont lose any sleep if I dont. I was thinking 5 hours to complete this job and bidding by the hour seems more reasonable. I dont think the prop owners would go for it if I bid it by the acre even if I dropped the bid to 30 per acre. I would love to bid by the acre because 20 acres means more chedder.

    Oh by the way, did I mention this is a bid for a church? ;)
     
  10. TNT LawnCare Inc.

    TNT LawnCare Inc. LawnSite Bronze Member
    Posts: 1,157

    You could possibly bid somwhere in the middle?? 400. would be resonable and still somewhat profitable. I understand where Alberys Lawn and Tractor is coming from,but only you know your costumer ..
     

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