Raising prices

Discussion in 'Lawn Mowing' started by Lazer Cut, Sep 23, 2009.

  1. jeffslawnservice

    jeffslawnservice LawnSite Senior Member
    Posts: 830

    I'm in the same boat as you. i have a few lawns that are low (prices) and I need to get them higher. I'm waiting till next season and sending out a not that there is a price increase by $3 due to the cost of running a business (operating costs) and if they don't like it fine i don't want them. If a customer complains about the price i don't want them.
  2. dvog

    dvog LawnSite Member
    Posts: 91

    Is your 25 dollars per lawn profit or do you still have to pay for gas,insurance,truck payment,mower payment,lunch,maintanance,health insurance,motor oil ect... if its 25 per lawn profit its not much but its exceptable.If your making 25 per lawn and still have to pay all your bills then there is a serious problem.
  3. Lazer Cut

    Lazer Cut LawnSite Senior Member
    Posts: 906

    yes... I have 29 accounts but picked up 3 through a bank so 32 now. I work for two banks so i get accounts here and there. I have one account at $50 which is way under priced I think- 1.5 acres but about 50 trees to weed it and a fence as long as the property. I think $65-75 next year is a minimum or they can find somebody else. Yes I have I have around 10 accounts at $25. Two of them I am ok at $25 but the other 8 want me next year but its gonna put me outta business cause other people have heard about how "cheap" i am but I am comparable in quality of a big LCO. So multiple people want me next year at $25 also and I am stuck because I love the work but not the low price... anybody see my delima? I am picking up more higher priced customers.. 35-40 range past few weeks for next year. Just the current people that are low price i'd like to raise. also, anybody has a good budget plan let me know or pm it to me... need some business advise on budgeting.
  4. Lazer Cut

    Lazer Cut LawnSite Senior Member
    Posts: 906

    I do not blow my money, I am very frugal actually. My problem seems that this is my first year so most of my money went to getting started... next year i'm set so i'll be making money... that's how i'm thinking or is it flawed? I am not fly by the pants bob either i am in this for the long haul.

    Advice and constructive criticism is always great, destructive criticism is not.

    CAROLINALAWNMAN1 LawnSite Member
    Posts: 68

    I think i agree with this poster. it is harder and more expensive to get new clients. if u r way off then go ahead and raise it up. i usually wait until the next season after i have built up a relationship. but if i come in a little low on a property it is with the belief that that customer is willing and able to give me their extra work(fert/pesticides/mulch/tree work/aeration/plantings/etc) if i came in low and misread the situation the i politely give them 30 days notice and tell them i can't do their service anymore due to a big new job. it is like buying a car, they sell u a car cheap to get u back for the service..there is good money in the extras and i will come in a little low if i think i can get the extras
  6. THC

    THC LawnSite Silver Member
    Posts: 2,020

    Your yards taking 45 min with a 52" stander? and you only want to charge $35?

    It takes me an hour and sometimes a bit more to do a half acre with a 36 and I walk behind it, no velke. I charge $65 so... exactly how big are your yards? Something is off here.
  7. JohnnyCuts

    JohnnyCuts LawnSite Senior Member
    from iowa
    Posts: 256

    Take a real good look at all your costs. Do a search here to find hidden costs that are real but you may not have thought of. Then do a search here on pricing and read every thread.

    If you dont want to do all that work $1 per minute is a decent rule of thumb for solo's with low overhead and accounts reasonalbly close together...
  8. topsites

    topsites LawnSite Fanatic
    Posts: 21,653

    This might not fix your problem, but I know this feeling LOL

    So, then...

    Economically speaking it is a little bit too soon, I think, to start raising prices aggressively, the key word here is aggressive...
    Meaning you can ask, but I dare say at least for the time being it is the customer's choice.

    Now, seeing how we got some time...
    For what you're speaking of to work, you might concentrate on increasing your customer base.
    Last edited: Sep 23, 2009
  9. Lazer Cut

    Lazer Cut LawnSite Senior Member
    Posts: 906

    I just got the grandstand about a month ago... I took another look at my log book... My $25 lawns are taking 30-45 minutes by myself. Some are I believe around give or take some 50x90 and 60x100... My grandstand I bought about a month ago because I work at a lawn and garden place and they are raising prices on the grandstand. I bought a new one (listed in the sig) w/ lifetime no down time warranty with it also and few other nice things since I work there for the price that they are asking for a new one... I thought it was a great deal and I have searched long and hard, also studying prices and different things and found that this was the mower I wanted... I used to use either a 52" Proline but the clutch went out on it so i just fixed it a bit ago ($550). I used a 36" exmark for most properties the other one I used for back up. Now I have a reliable 52" Proline that is very good condition but I would like to sell to have extra money for equipment- 36" mower- my exmark the engine went out... and also some back up money just in case. I just think I am doing something wrong when I run the numbers... I am going to do 17 properties this sat. and I am only going to gross $500. 10 properties are going to be my 25 yards and the other is two $35, $50, two $65... my $25 lawns are bi-weekly yes... so these properties all want me next year along with other people in the neighborhood that hear i cut 10 properties in the neighborhood for $25.. i'd like $30 out of them or even $28... how can I tell them that yes i know your neighbors yard is the same size but I am going to charge you $28-30 lol I just need to figure out my costs for everything and then start charging what I am worth and try not to please everybody... I think that is part of my problem too... doing something cheaper to please the customer but I am going to sink if I do this... I am pretty avid business man I believe very aggressive and going to college for business.. I can convince most of my customers to get fert, mulch when they didn't want it to begin with
  10. Lazer Cut

    Lazer Cut LawnSite Senior Member
    Posts: 906

    also i am going hopefully be a lot bigger next year and my friends are getting out of the business so hopefully their customers will use me seeing that i help them sometimes...

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