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4 man mowing crew per man hour rate?

Discussion in 'Business Operations' started by Ijustwantausername, Jun 16, 2020.

  1. Ijustwantausername

    Ijustwantausername LawnSite Silver Member
    Messages: 2,080

    I am having to figure out the numbers for a big account that will take 4 guys 2 days to do. I've never had to figure out the cost for a 4 man crew until now and I'm a little lost, here is what I have so far.

    Crew lead .....$17.5
    Member.........$17.1
    Member.........$16.5
    Member.........$16.5

    Total............$67.9
    Labor burden..10%

    Total...........................$74.69
    Gas/equipment..............$$$$
    Company profit per hour..10-15%??
    TOTAL............................?

    Not including gas and equipment and anything else I have omitted, we are already at $75/hr and that is in the negative.

    I've never gotten technical down to the cent what stuff costs me but I would love to learn as we are scaling and getting these larger all day jobs. Any help?
     
  2. andersman02

    andersman02 LawnSite Senior Member
    Messages: 846

    Wait so your saying your already in the negative on this account billing $75/hour by for 4 guys?
     
    ToddH likes this.
  3. notoriousSTV

    notoriousSTV LawnSite Member
    Messages: 32

    On a commercial maintenance contract that size our company would bid at $30 per man per hour. And in our market we rarely land those jobs unless we have an in with the property manager or are highly recommended.
    The market in our area is tough, the larger companies can do it cheaper, and we will be around 2.25 million this year in maintenance, and 6 million in landscape construction. Saying that our over head is already in place to handle an account that size....
    You would be more profitable running two crews with two people on residential or smaller accounts.
     
  4. OP
    OP
    Ijustwantausername

    Ijustwantausername LawnSite Silver Member
    Messages: 2,080

    No but we would be at that amount primarily due to labor cost for my 4. I'd be paying for the fuel, equipment expense etc.
     
  5. OP
    OP
    Ijustwantausername

    Ijustwantausername LawnSite Silver Member
    Messages: 2,080

    Yeah its honestly an account that I've wanted for a while, I pass by it everyday to work and its close to our shop. Out of the blue the VP on the board called me asking for a bid last week. I thought about throwing out a 2 year deal with them. Its already at 6 figures and the President on the board shared with me the current contract.

    I like the idea of pushing our residential side more, but this would be a game changer for us and we wouldn't have to hop all around town to make that money. Also there is opportunity for growth as they still have several phases still to build.

    So you would be billing at $120/hr for 4? That makes more sense to me, heck even at $110 that wouldn't be bad.
     
  6. kemco

    kemco LawnSite Gold Member
    Messages: 3,362

    Knew a guy here in town indirectly, few years back had one of the largest apartment complexes. It was 90% of his entire gross for the year. He got outbid by 5%. He went bankrupt. Company gone. Just saying.
     
  7. notoriousSTV

    notoriousSTV LawnSite Member
    Messages: 32

    Yes we can bill $120 hour for a 4 man crew.
    This sounds like you will be bidding a common areas for an HOA ? It will take alot of your personal time, and your crew learning the property. I dont know how long the current company has serviced that property. Most iof our hoa bids lately have been wanting to save money.....
     
    Ijustwantausername likes this.
  8. prezek

    prezek LawnSite Senior Member
    Messages: 805

    What is a 2 man crew grossing per day for you now? You’ll save a little fuel, but should be close to that number (obviously adjusted for 4 guys and 2 days) if you’re profitable each day...whenever I come across these bigger bids, I either pass or get grossly under bid. Brightview and a few others come in insanely low most of the time.
     
    Johnny79, Mark Oomkes, JFGLN and 4 others like this.
  9. OP
    OP
    Ijustwantausername

    Ijustwantausername LawnSite Silver Member
    Messages: 2,080

    Yep that’s what my weed/feed tech said in the truck the other day, not to put all of my eggs in one basket. Now granted I’ve been in the business since 2003 and I see lots of growth in this industry, but still certainly a good consideration.
     
  10. OP
    OP
    Ijustwantausername

    Ijustwantausername LawnSite Silver Member
    Messages: 2,080

    Yes definitely a learning curve and lots of common areas that are spread out. My personal time has already gone out the window this year as we’re in growth mode, but yes I see what you’re saying, my other big HOA is the same way, very needy. My quote will be steep for sure.
     

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