per application pricing

Discussion in 'Pesticide & Herbicide Application' started by trophytkr, Jan 19, 2003.

  1. trophytkr

    trophytkr LawnSite Member
    Posts: 73

    Last year was my first year doing this part time. I am trying to build up to do only this full time. Last year I primarily did mowing programs and some land scaping. I also had a hand full of customers for weed control/pesticide programs. This year I am going at this part of the business hot and heavy. Buying a z spray unit and a second truck. Will hire a couple of part timers, guys i work with in my other job to do the mowing so i can concentrate on spraying and bidding new jobs. This is what I was thinking of chargeing per application see what you guys think.
    10,000 sq ft or smaller $40.00
    20,000 sq ft or smaller $65.00
    30,000 sq ft or smaller $95.00
    up to an acre $125.00
    I thing on the 10,000 sq ft yard I'll make around 24 bucks per application after costs of material.
    Program is 5 apps first is crabgrass second is liquid broad leaf and granular nitrogen third is granular nitrogen forth is another broadleaf and granular nitrogen and 5 is a winterizer>
    What do you think? ball park or too low? I think chem lawn in our area is around 47 dollars per ap for a 10,000 sq ft property. So I'll be a little under them in pricing. Oh yea I'm in wisconsin so our growing season isn't as long as some of you southern guys so 5 applications should give my customers a quality lawn.
    Rick A-Z Lawn Care
     
  2. f350

    f350 Banned
    from mi
    Posts: 424

    your have the right idea, the prices that are listed are close to my jobber prices for sub-work. one thing you really need to do is drill down on material cost, maybe you have already but thats a head's up. make sure thats done before you make up prices.
     
  3. bobbygedd

    bobbygedd LawnSite Fanatic
    from NJ
    Posts: 10,178

    can someone please tell me how u can make money at these prices. are we talking mass production here? when i think about the fuel, trips to pick up materials, time loading/mixing, cleaning afterwards, the cost of protective clothing, cost of licenses and ins. , and time spent measuring and record keeping, the cost of taking courses for those "bonus " points to keep your license valid, etc, etc, youre lucky to scrape out $2 an hour for your pay.
     
  4. f350

    f350 Banned
    from mi
    Posts: 424

    it's allot easier than you think bobby, thats what makes applications the most profitable area of our industry. once all the cost are drilled down you can get a clear picture. my jobber prices are lower because i pick up blocks of 50-100 at a time, marketing time is reduced as is billing etc: i don't think you have a firm hold on what your cost are, giving the information from your previous post on application prices..

    there is always room for ya at the $2 plate bobby!!
     
  5. trophytkr

    trophytkr LawnSite Member
    Posts: 73

    I have all of my product pricing from my supplier for 2003 already.
    I know on a 10,000 sq ft property my product cost is going to be 16.30 so the profit is 23.70. Of coarse if the yard is 5000 sq ft I'm still charging 40 bucks so my profit goes up 8.15. Also my supplier brings the supplys by semi right to my garage and stores the stuff for me. So all I have to do is load up every day and go.
     
  6. bobbygedd

    bobbygedd LawnSite Fanatic
    from NJ
    Posts: 10,178

    ok, as i thought, u guys r talking mass production. we only do 20-30 props, whole different ball game
     
  7. HBFOXJr

    HBFOXJr LawnSite Bronze Member
    Posts: 1,712

    Your not "making" the numbers your talking. You don 't have the volume for the best pricing. Your gonna have all the equipment, labor and other costs Bobby is talking about. What about office expenses, estimating and sales time, advertising. Think of all the hours and all the costs it takes to produce that job.

    Thje pricing structure is to simple and you'll get creamed and wonder why. Who's gonna buy 5K for $40 when they can get it good somewhere else for less. You'll be stuck with the upper end of each 5k segment because it is underpriced and you'll be making the fewest dollars you can.

    Think about it.
     
  8. f350

    f350 Banned
    from mi
    Posts: 424

    your material cost is $16.30 on a 10,000sqft property!!!! better redo the math guy... my material cost on the high side is around $7.10
     
  9. Turfdude

    Turfdude LawnSite Bronze Member
    Posts: 1,900

    I think Fox has hit it on the nose. you should break down the square footage into smaller increments. We actually round up to the nearest 250 sq.ft. Minimal price is based on 3k sqft lawn for $30.00 per app!
    And yes, it is possible for the materials on a 10,000 sq ft prop to cost mid $16's (if its a good pre-M as Dimension & if you're also spraying a lot of sq ft), but then again at 10k sqft, we get mid $60's per app as opposed to only $40.

    Bob
     
  10. It was but at the rate it's going it will soon be like mowing.

    LCO's that are less than TGCL are working them selves out of biz.
     

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