Per Cut, Monthly, Yearly...What's your take on it?

Discussion in 'Lawn Mowing' started by MDLawn, Dec 3, 2012.

  1. Landscape Poet

    Landscape Poet LawnSite Gold Member
    Posts: 3,638

    SSSSHHHHHHHHHH, Chris do not get them all worked up. They are up there praying for snow to push so there kids can have a Christmas. Do not get them all fired up and having them loading up U-Haul trucks to move here thinking they will strike it rich and be Millionaires . There will be 16 trailers at every intersection next year instead of 14 like normal :)
     
  2. Jimslawncareservice

    Jimslawncareservice LawnSite Platinum Member
    from mn
    Posts: 4,145

    Who said residential customer own the business I or anyone mows? Commercials you deal with managers or management companies. It's not thier money. Now those managers go home and now thier own lawn because its cheaper. Most businesses around here are corporate. Private owned are down town with no lawns or in strip malls that are controlled by a management company.
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  3. Landscape Poet

    Landscape Poet LawnSite Gold Member
    Posts: 3,638

    Whatever you guys do....DO NOT ...I repeat...DO NOT THINK OUTSIDE THE BOX.....please just continue to make excuses of "that is the way it always has been" and "no customer would ever go for that". Yet kick back and wonder why you have commercial guys working year round ...but not on residential.

    Some businesses understand that making their services more affordable to the consumer - well "perceived more affordable" - helps bring them business. They understand extending credit gets them more business especially from those that could not afford the service unless it was made more affordable over the long term. Why would lawn care be any different up there????????? IF and this is a big IF....IF you could afford to lower the perceived payment for the customer while making more per cut....would you do it? It is with that approach I think you guys could have luck....keep it simple for you and the homeowner. The issue is as we all know - most lawn boys do not have enough cash to take care of what they need too .....let alone extend credit to others, Hence why almost every mower company has a finance plan....because lawn boys can not manage money and the mower companies understand they can sell more mowers at a higher price if they give you credit........correct? Tell me where I am wrong here.

    The key for all of you up there I think is to bankroll all their projects...mulch once a year, fertilizaiton, leaf clean up, x amount of estimated mows at a premium prices for you...into 12 equal monthly payments to them. They enjoy the lower level payment and know if that is within there budget ....you of course get more work as more people can afford your "monthly rate" and you are making interest on your investment by charging more for each service ....but the customer sees that monthly payment....that is all they care about....they know they can afford that $ amount. Which is why you see everyone from car dealers to big box retailers advertising items not in TOTAL COST.....but rather monthly payments.
     
  4. Landscape Poet

    Landscape Poet LawnSite Gold Member
    Posts: 3,638

    Again so standards are just different?????? No matter if it is the property mgr or the business owner who lives next to you owns that property....they see that their is work to be done and are willing to pay for it...according to you at their business......but they do not have the same standards for their home.....most likely their largest investment they own?
     
  5. Jimslawncareservice

    Jimslawncareservice LawnSite Platinum Member
    from mn
    Posts: 4,145

    That's the way it is now a days. Maybe with high end residentials it may be different. But living in a rural area we dont really have any that require services. Most up keep thier home not thier grass. To most its just a pain in thier tail.
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  6. grandview (2006)

    grandview (2006) LawnSite Gold Member
    Posts: 3,466

    This how I picked up a lot of my customers who don't like that idea. They may pay for snowplowing for a seasonal contract,but during the summer they think they are being ripped off if you don't cut every week and bill them.
     
  7. yardguy28

    yardguy28 LawnSite Platinum Member
    Posts: 4,464

    I'm always surprised at the opinions of how to bill clients. and to me what seems simple seems to be complicated to others.

    I have always done the work for the month and invoiced for the work performed at the end of the month. if I only cut grass twice that month for $32 per cut then they receive a $64 invoice. if I did 4 cuts plus pruned shrubs for an hour at $35 per man hour then they receive an invoice for $163. if no work was done no invoice is sent.

    guess it gets into how you manage your money in my opinion. I have enough saved up at all times and manage it where I don't need to actually be receiving checks every month of the year. I don't need a certain amount of money coming to me 12 months out of the year. the amount is the same whether it comes to me in 6 months, 9 months or 12 months. I still receive the same end total.

    in the end I personally will take payment any way I can get it. I have some clients who are actually home and pay me when I'm done each week. most pay me on a monthly basis after I send them an invoice.

    I have yet to have anyone pay a whole year up front or ask for a 12 month payment plan.
     
  8. MDLawn

    MDLawn LawnSite Bronze Member
    Posts: 1,284

    Since you're in my general area you're only billing on a per cut basis for lawn mowing then? Snow is an "emergency" service and people can't get anywhere if it's not taken care of so they want that insurance/security. Missing a mowing isn't keeping them from anything.
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  9. larryinalabama

    larryinalabama LawnSite Fanatic
    Posts: 17,338

    I charge by the week, alaways have alaways will.

    Some months you will cut 5 times, I dont want to spend 2 0r 3 days working for free.

    I guess if you can charge for work that doesnt get done more power to you.
     
  10. grandview (2006)

    grandview (2006) LawnSite Gold Member
    Posts: 3,466

    For some reason they feel ripped off if you charge them for not cutting. But total opposite for snow,if we don't get any all season they feel like it was worth it for just in case.
     

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