What would you price this job (details)?

Discussion in 'Landscape Architecture and Design' started by bigpoppa85, Oct 15, 2013.

  1. bigpoppa85

    bigpoppa85 LawnSite Member
    Posts: 14

    I'm new to the business. I'm subcontracting right now. A guy designed the project, my crew and I do the dirty work.

    Here are the details:
    Materials (at WHOLESALE costs): $1,750.00
    Total Labor hours (including me): 66
    Extra expenses (gas to/from, equipment rentals):$490.00

    So...what would you guys say you would price it as? I'm not talking as a subcontractor, just overall price to hand to customer.
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  2. bigpoppa85

    bigpoppa85 LawnSite Member
    Posts: 14

    Here's what I'm figuring. You guys tell me where I'm off.
    I would say this is a $7,428.14 job. That breaks down as:
    Materials: 5,292.06 (wholesale times 3)
    Labor: 1,650 (66 hours x $25/hour)
    Extras: 486.08 (I rounded up to 490 earlier)

    Is wholesale times 3 reasonable? Btw, I wouldn't break down line items on a bid like this with the customer.
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  3. ReddensLawnCare

    ReddensLawnCare LawnSite Bronze Member
    Posts: 1,652

    300% markup seems high depending on what it is and your hourly rate seems low
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  4. AGLA

    AGLA LawnSite Bronze Member
    Posts: 1,740

    Try it and learn from it.

    1. were you able to get the job at that price
    2. did you estimate the right cost of materials
    3. did you estimate the right number of man hours
    4. was there enough money to pay you and your help and still cover the cost of your overhead and profit

    The less billable hours you have each year, the larger the amount of money you have to recover out of that hourly rate. That does not mean that people want to pay you more per hour to work, but it is a reality that you have to account for.
     
  5. Vecchio Lawn Care

    Vecchio Lawn Care LawnSite Senior Member
    Posts: 905

    I would make the markup 20% and then make your hourly wage $60. $25 is way too low, at least in my area
     
  6. andersman02

    andersman02 LawnSite Senior Member
    Posts: 503

    Id MU the material 100%, this would include regular markup and warranty, $50/MH + expenses brings me to 7300 ish
     
  7. alldayrj

    alldayrj LawnSite Gold Member
    Posts: 3,759

    You don't sell material, you provide it. You can mark up to cover hassle and delivery etc.

    Ypu sell labor hours. Charge for them.
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  8. whiffyspark

    whiffyspark LawnSite Fanatic
    Posts: 6,093

    What kind of job is it
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  9. bigpoppa85

    bigpoppa85 LawnSite Member
    Posts: 14


    The job includes putting in 2 beds, planting 3 small ten gallon crape myrtles, 3 5-8 ft blue atlas trees, 1 7-8 ft golden deodora, maiden grass all around, salvia plants and a few others. (Removal of sod, applying edging, hauling in 1 ton of top soil, landscaping fabric, plants, then adding 2 tons of 3"rock instead of mulch). Also includes delivering and installing five ~200 pound boulders.
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  10. bigpoppa85

    bigpoppa85 LawnSite Member
    Posts: 14

    I'm not covering much overhead at $25/hour. However, I am making it up by overcharging on the material. My logic is that, as a newbie, I am always going to be off on the time expected to complete the job (total man hours). I have been low everytime. So to balance that out, I gave myself the cushion of tripling wholesale prices. This gives me a balance where I know I'm not going to underbid hours tremendously.
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