Well this is a weird problem...

Discussion in 'Business Operations' started by Kkane97, Aug 25, 2012.

  1. Kkane97

    Kkane97 LawnSite Senior Member
    Posts: 676

    I got a call today from my sign in my front yard for some bed maint. It is 3 beds 225 square feet roughly full of weeds, along with hostas. I figured 2 hours work at the going rate of $25 an hour + materials (bags) $50 when all said and done. So I rode up and she asked me what to I'll charge her, and I said lets walk around and you show me what you want to be done, she agreed and walked with my, I do that to run the number quickly in my head without saying ummmmmmm let me thing haha. It is 3 beds 225 square feet roughly full of weeds, along with hostas. I figured 2 hours work at the going rate of $25 an hour + materials (bags) $50 when all said and done. So I told her $50 would be fine with me, easy job I have nothing else to be done today I'll just relax and do so. So she says, no thats way to low, how $100.

    WHAT??????

    Double my quote, I am very honest and said "thats very generous, but I cant take that much. I think $50 is very fair and a good price." So she says, " I'll give you $100 because you are such a hard worker." So I finally had to accept and not argue with and adult to be disrespectful, but I told her that if she needs anything done, just give me a call and I will figure out a way to help her.



    Did I do good? I am not a scammer with crazy high pricing or anything the area I live in is a $30-$35 cut per yard and my general work hourly rate is 25-35 depending on the jobs. Weird situation lol :waving:
     
  2. ReddensLawnCare

    ReddensLawnCare LawnSite Bronze Member
    Posts: 1,652

    As you get older and develop your business, you will realize that 25 per hour is extremely cheap. Right now, with no overhead, you can make good money, but as cost go up, your price will need to as well. So my advice to you know is to charge nor if you an BC most customers are not like that and once you give them a price of 25/hr, that is what they will expect
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  3. Kkane97

    Kkane97 LawnSite Senior Member
    Posts: 676

    I am suprised you think thats cheap. My neighbor ( next block) just moved in front a town over and I talked with him one day for an hour about some tips advice ect and his rate insured and licesned was $30 an hour general work. For mulching ect harder labor ill go up to $60 per hour
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  4. ReddensLawnCare

    ReddensLawnCare LawnSite Bronze Member
    Posts: 1,652

    Really? Well we are in different areas, and your neighbor must not have much overhead. Also, sometimes people will tell you how much they charge per hour for their employees time not theirs. Like me, I charge 85-90/hr for gm for 2 people but 60 is for me and the business expenses and the 25-30 is for him and the expenses associated with his COL and other expenses figured into that price. I need to make money off of him as well. Does that make sense?
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  5. FoghornLeghorn

    FoghornLeghorn LawnSite Senior Member
    from Texas
    Posts: 751

    $25/hour? Are you kidding me? We charge anywhere from $65-200/man hour.

    Once your overhead goes up, you'll be wishing your clients didn't expect you to work for $25/hour.

    Raise those rates, man!!!
     
  6. Kkane97

    Kkane97 LawnSite Senior Member
    Posts: 676

    Once again maybe I am wrong but after checking with retired lawn maint for general labor not labor intensive work like mulching 30-35 an hour. He had no employees just licensed and insured. It ended up being less work than I initially quoted so I ended up making 100 per hour she just wanted the one bed done but I mis understood her for all 3. One hours work and I ended up being done. When I do mulch pea gravel ect ill will jump to 60 but I havent gone higher than that though
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  7. Greg78

    Greg78 LawnSite Silver Member
    Posts: 2,010

    You ask "Did I do good?" and then argue with everyone that is giving advice you about you hourly rate. So you really just wanted everybody to pat you on the back and give high fives???
     
  8. Kkane97

    Kkane97 LawnSite Senior Member
    Posts: 676

    I didnt mean on how she gave me extra I get it ok?
    I took their advice on my rate and will use it
     
  9. cpllawncare

    cpllawncare LawnSite Silver Member
    Posts: 2,659

    I learned early on don't leave money on the table, even though I admit i have for some stupid reason, One thing that I quit doing is giving quote's off the top of my head, always go sit in the truck and think through the job and write down everything and then come up with a number based off time, size, difficulty etc etc. You definetly need to up your hourly rate to more like 60 per man hr.
     
  10. easy-lift guy

    easy-lift guy LawnSite Gold Member
    Posts: 3,376

    Don't look a gift horse, "Customer" in the mouth. If she offered you that amount she feels your labor is worth it.
    easy-lift guy
     

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