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Year round contract questions.

Discussion in 'Starting a Lawn Care Business' started by stevenf, Jan 11, 2008.

  1. stevenf

    stevenf LawnSite Bronze Member
    Posts: 1,612

    I know with bigger commercial property, lots of businesses charge the same rate year round even when they arent doing hardly any work during the winter. Is this the same for small, one man owned businesses? I wouldnt think so, but would like yalls opinions anyway.
    I plan on working my a$$ off for any possible commercial property and I have found a really busy highway with tons of small businesses which would be good advertisment to passing cars. Just curious if yall set them up with contracts or agreements?
  2. lawnman_scott

    lawnman_scott LawnSite Fanatic
    Posts: 7,547

    yes, here it is the same for everyone. Flat monthly rate for all.
  3. ponyboy

    ponyboy LawnSite Bronze Member
    from ny
    Posts: 1,415

    thats the best way steady money through ouy the year, not the highs of the summer and lows in the winter good luck
  4. stevenf

    stevenf LawnSite Bronze Member
    Posts: 1,612

    Ok, Well, it doesnt snow here, and there are no trees anywhere near the businesses so leaves arent a problem either. What would you suggest doing during the winter? I would have to atleast show up.......
  5. SpudsM15

    SpudsM15 LawnSite Senior Member
    Posts: 627

    About 95% of our maintenance work is contracted. Set prices for everything equal monthly payments. This is the first season I'm adding surcharges for gas,disposal, & fertilizer. into the contracts. Commercial snow depends on the storm, res drives set price on those... So far everything has worked out for us this year we had a mini-droughts in the spring and fall so that saved alot of time on the grass cutting but i don't think we did any clean ups with dry leaves. So all in all I average a pretty steady rate per hour worth of work over the course of 10 months....
  6. stevenf

    stevenf LawnSite Bronze Member
    Posts: 1,612

    Rather then charging weekly all year round, has anyone thought of this....
    Charge weekly for the 7 months of the year, then charge bi-weekly for the other 5. Add all of it together and divide it into 12 monthly payments. So a 12 month contract at $100.00 a service, would be $3,800.00 for the year and $316.66 a month.
    Is this how yall do it or do yall charge a set weekly price even when your only there bi-weekly during the winter?
  7. grass_cuttin_fool

    grass_cuttin_fool LawnSite Gold Member
    Posts: 3,503

    I have found out its easier to sell more upsells....fert...mulch and other stuff when you give a contract price and then divide it out by 12 months....just seems like less money to the customer which helps to sell more.....at least it does for me. True it takes longer to get my money ...but I may get some money that I might not otherwise

  8. ed2hess

    ed2hess LawnSite Fanatic
    Posts: 13,200

    As grass cutting fool described is the best way......you want these customers to get into a habit of paying each month and eventually they will do some autopay method. And yes we show up almost every week at commerical sites to blow off leaves and pick up any trash. Sometimes need to watch flowers and irrigation.
  9. stevenf

    stevenf LawnSite Bronze Member
    Posts: 1,612

    How often do yall add mulch to the flowerbeds?
  10. grass_cuttin_fool

    grass_cuttin_fool LawnSite Gold Member
    Posts: 3,503

    Usually once a year...if it gets to looking ratty...I will turn it which seems to freshen it up some


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