31.00 a month per unit?

Discussion in 'Starting a Lawn Care Business' started by Perfect Turf, Sep 8, 2006.

  1. Perfect Turf

    Perfect Turf LawnSite Member
    Messages: 6

    I have my first meeting tonight to land a commercial residential contract. The previous company was charging 31.00 a unit at 18 units per month. They included everything, ferlizing, cutter cleanouts, aerating, tree protection, spray for bee hives and nests, grass edging on all sidewalks, etc. To me it seems like the company could not have made a lot of money, but again we are new to the business. This also includes the snow plowing as well. Salting and sanding, shoveling, plowing etc. All for 567.00 a month. Does this seem right to you guys? I really wanna land the account, but need some imput here. Let me know what you think. We're not dealing with a lot of turf, but seems like it includes a lot of extras for the buck. Also, for irrigation, they are only getting charged about 25.00 per head replacement no labor!
    Much Thanks.
  2. Total.Lawn.Care

    Total.Lawn.Care LawnSite Senior Member
    Messages: 840

    I cannot speak of the Snow Plaowign and such as we do not get snow down here in South Georgia. However, depending on the size of the units, the $31 per month for all services included seems like it would be a good venture. I offer my clients a Fertilizing (with insect control), Pre/Post Emergence treatment for $550 annually. That includes 5 applications at about $110 each and that is for up to a 1/2 acre yard. So it looks like (as I said depending on the amount of turf) that is well covered at $31 per unit.
  3. fulano

    fulano LawnSite Senior Member
    Messages: 319

    What happened to the previous company?

    I'm new to all of this. But here is what I think. How long does it take per week to do the property? How much do the materials cost?

    In my mind here is how I compare it. $567 /mo for 18 units mow trim gutter cleaning pest control fertilizer etc = 6 regular residential customers getting a bi-weekly $47.25 mow trim and blow 18-24 hrs tops.

    Doesn't sound like much but from what I have read around here most commercial jobs do not pay well.
  4. i_plant_art

    i_plant_art LawnSite Senior Member
    Messages: 558

    how many sq ft are we talking about here. 18 units at 100sq ft per unit or 18 units at 1000 sq feet per unit or 18 unites at 10000 sq ft per unit. big difference here. cant comment on $$ until we know the sq footage otherwise your shooting in the wind.
  5. evergreenedmond

    evergreenedmond LawnSite Senior Member
    Messages: 310

    If you can ballpark the sq. ft. of the lawn for each unit it would be helpfull.
  6. Perfect Turf

    Perfect Turf LawnSite Member
    Messages: 6

    Thanks for the replys. We're talking maybe 100 sq feet per yard then you take the 8 bulidings that go across ( 18 townhomes total.) and there is turf that covers the back of the buildings. Not a lot of turf really. What about the snow plowing? 31 a month per unit doesn't seem like a good deal. what happens if it snows like mad all season?
  7. newbomb

    newbomb LawnSite Senior Member
    Messages: 391

    It sounds like $7.50 per week per unit. I think it stinks and sounds to me like someone wants you to work for nothing. RUNNNNN. $125 per unit per month for 12 months maybe. A little mulch and fertilzer no plowing for that price. If your going to do much mulch and fetilizer ( like a full program) I would say $150 per month per house minimum and that might not be enough.
  8. FSully

    FSully LawnSite Member
    Messages: 81

    You bid the job, so that you cover your cost and make a profit. You Never have the customer dictate what they are going to pay.

    Have you actually seen the contract that states $31.00 per month?
  9. Perfect Turf

    Perfect Turf LawnSite Member
    Messages: 6

    I bid 31.00 a week per unit. And the guy is willing to talk to me tonight and do a walk thru. But he said I was very very high compared to the other companies. So I wanna know what a resonable price is.
  10. ed2hess

    ed2hess LawnSite Fanatic
    Messages: 14,692

    I want their irrigation repair work.....$25 per head isn't bad. Don't want any of the rest. Keep in mind that many residential contracts are considerably more than $31/mo and that usually only includes mow/trim/blow and a little weed spray in beds.

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