price per 1000 sq ft on yearly fert contract

Discussion in 'Business Operations' started by alexschultz1, Feb 28, 2011.

  1. alexschultz1

    alexschultz1 LawnSite Bronze Member
    Posts: 1,555

    what do you guys charge for a yearly fert contract on Bermuda for each 1000 sq feet. My schedule is as follows:

    feb 1st- 0-0-7 stonewall
    march 15th- 25-0-10 30% ppscu n + dimension
    may 1st- 32-5-7 50% ppscu n
    june 15th- 24-2-11 40% ppscu +6% FE
    august 1st- 24-2-11 40% ppscu +6% FE
    september 15th- 10-0-20 50% ppscu n + dimension
    november 1st- lime
     
  2. CLS LLC

    CLS LLC LawnSite Senior Member
    Posts: 487

    Well considering your program is going to be different from just about everyone's and your cost on fert will very as well. The only way to give you a legitimate answer is if you posted your cost/per 1000 of each of these products.

    Example: if the bag costs $15 and it covers 15,000 sq/ft it costs you $1 per 1000 sqft for that product. If you do that for each of your products I could tell you what I would charge.

    For me personally my products for the entire season add up to between $10 and $11 per 1000 sqft. So I use that information and then depending on the size of the property I adjust my charging price. But I range from $40 per 1000 sqft down to $15 per 1000 sqft. Small properties (5000sqft and less) are in the $40 range and larger properties (2 acres or more) are in the $15 range. Everything else is somewhere in between.
     
  3. alexschultz1

    alexschultz1 LawnSite Bronze Member
    Posts: 1,555

    yeah i was just about to head to lesco and run some numbers. i guess a better question would have been how much gross profit you make off of every 1000 sq feet.
     
  4. CLS LLC

    CLS LLC LawnSite Senior Member
    Posts: 487

    Well I do from $5 to $30 per 1000 per season depending on the size of the property. But keep in mind I only do 5 applications. If I were to do 7 like you I would have to raise those numbers a bit.
    Posted via Mobile Device
     
  5. alexschultz1

    alexschultz1 LawnSite Bronze Member
    Posts: 1,555

    Prices per 1000 sq ft for fert alone.

    $3.50 feb 1st- 0-0-7 stonewall
    $4.00 march 15th- 25-0-10 30% ppscu n + dimension
    $1.50 may 1st- 32-5-7 50% ppscu n
    $2.00 june 15th- 24-2-11 40% ppscu +6% FE
    $2.00 august 1st- 24-2-11 40% ppscu +6% FE
    $2.00 september 15th- 10-0-20 50% ppscu n + dimension
    $5 a bag november 1st- lime
     
  6. CLS LLC

    CLS LLC LawnSite Senior Member
    Posts: 487

    WOW your fert is expensive. You scared me, I even called Lesco to make sure my pricing hasn't changed much since last year. My cost on a 50# bag of 19-0-6 Dimension is $16.60 and if I recall the coverage rate of a bag is 16,000 sqft so my cost is just over $1 per app for granular and that's about what all my granular's come out to. I have liquid herbicide that I use as well and that's how it ends up being about $10 per 1000/per year for 5 applications.

    Either way. I'm going to assume that you spread 1/5 of the bag of lime per 1000 (I don't know if that's right I don't use lime at all) so that will cost you $1 per 1000. That being said your cost for the year is $16 per 1000/per season.

    Do you spread any liquid's at all? or is it all granular? If it's all granular that makes figuring it out much easier.

    Now we need to figure out how long it takes to spread fertilizer on 1000 sqft of turf. So lets assume you spreader has a 12 foot spread width. If we take 1000 sqft and divide by 12 you will have the number of feet you have to push the spreader to cover 1000 sqft.

    1000/12=83.33 feet

    Now since you should be overlapping your passes by 50% we need to double that number:
    83.33*2=166.7 (we'll round to 167)

    So lets assume you walk at 4 mph while spreading. So we need to figure out how many feet you will travel in 1 hour:

    4*5280= 21120

    So now divide the number of feet you travel to cover 1000 sqft by the number of feet you travel in 1 hour:

    167/21120= 0.0079

    So it takes you 0.0079 of 1 hour to walk 167 feet at 4 mph. To convert that into minutes we'll multiply it by 60 (60 minutes in an hour):

    0.0079*60= .474

    Now finally to convert that into seconds we need to multiply by 60 (60 seconds in a minute)

    .474*60= 28.4 seconds

    SO Now we know that if you were walking in a straight line it would take you 28 seconds to cover 1000 sqft. Unfortunately you won't generally be walking in a straight line. So on smaller properties it will probably take you 45-60 seconds to cover 1000 sqft (due to more turns) and on larger properties it will take you about 35 seconds.

    So now you just need to figure out how much you want to make an hour. Lets say you want to make $100 per hour (just an example) for billable time(not including drive time). Lets use a 10,000 sqft property as an example and lets say you will be covering 1000 sqft in 45 seconds.

    10,000*45= 450 seconds

    To turn that to minutes we'll divide by 60:

    450/60=7.5 minutes

    So it should take you 7.5 minutes each time you fertilize that property. Lets add 1 minute for filling the spreader so we have 8.5 minutes of billable time. We can multiply that by your 7 applications:

    8.5*7=59.5

    So it will have 59.5 billable minutes per year. Now we need to change that to hours (since we want to make 100 per hour) so we'll divide it by 60:

    59.5/60= .991

    Since we want to make $100 per hour we need to multiply that by 100:

    .991*100=$99.10

    So we need to charge 99.10 for the time we spend on the property. Now we need to figure in product costs. It is $16 per 1000/per season so we'll multiply that by 10 (due to it being 10,000 sqft):

    16*10= 160

    So our product cost is $160 and our billable time is $99.10 so when we add those together we come up with the total amount we need to charge:

    160+99.1=259.1

    So to make $100 per hour we should charge $259.10.

    Hope this all wasn't too confusing.
     
  7. alexschultz1

    alexschultz1 LawnSite Bronze Member
    Posts: 1,555

    SWEEET thanks so much man
     
  8. CLS LLC

    CLS LLC LawnSite Senior Member
    Posts: 487

    If that all made sense you can change the $100 to any number you want. Also keep in mind if you are doing larger properties you will have to change the 45 seconds to something smaller like 40 or 35 depending on how large. Same goes for smaller properties. I would use something closer to 60 seconds for a 5000 sqft property.
     
  9. dishboy

    dishboy LawnSite Platinum Member
    from zone 6
    Posts: 4,165

    What does this have to do with Mowing?
     
  10. bmac1996acc

    bmac1996acc LawnSite Member
    from in GA
    Posts: 147

    99.10 to show up somewhere 7 times in a year sure is cheap.
     

Share This Page