Auto-Renew or New Agreement Every Year??

POWER STROKE

LawnSite Senior Member
Location
Grand Rapids, MI
I was wondering how everyone does their agreements/contracts, If you just have a "Auto Renew in yours, Or do you have your clients sign a new agreement every year.

Thanks inadvance for any help or replies.
 

tyler_mott85

LawnSite Senior Member
Location
Wichita, KS
I prefer sitting down and signing a new contract every year. Some contracts are basically easy money. Meaning I don't talk to the client very much all year. I do the work, send the bill, receive the check. I find it's nice to have at least those few minutes of talking time to catch up and develop a strong relationship. Also gives a good time for you to make suggestions to improvements to the property as well as them voice any concerns or ask questions to keep them happy.
 

idealscape

LawnSite Member
Here is the exact wording from our contract.


II. LENGTH OF CONTRACT

This Contract will be for a period of ______________year(s), commencing on _________________________201( ) and ending on_________________ 201( ) at which time this contract will become a month to month contract until cancelled by either party, with 30 days notice.
 

Darryl G

Inactive
New agreement every year here for maintenance. It gives me an opportunity to review the price and adjust it as necessary, as well as to tweak my terms and conditions as new situations arise that I'd like to adress across the board with all customers.
 

idealscape

LawnSite Member
We try and have all of our commercial clients sign a 2 year contract with an opportunity for a 1 year extension. Some have signed a 3 year with an opportunity for 2, 1 year extensions at a 3% increase for cost of living.

Our residential clients are written as I stated before.

Every contract we write has a "30 day termination" clause written into it for the benefit of our company as well as the client.
 

DA Quality Lawn & YS

LawnSite Fanatic
Location
Rochester, MN
I auto renew most of my business. Tried the 'sending out renewals looking for replies' thing and found that only half the people got back to me. Not doing that again. I have not had a single complaint in the last 2 seasons for the auto renew process.
 

Jimslawncareservice

LawnSite Platinum Member
Location
mn
Residentials are auto renew and commercial mostly are a year to year. All my residentials are on the snow route so I'm in contact with them year around. It gets annoying send crap out year after year, not to mention the time and postage. It they no longer want service they call and tell me not to come back and I leave it at that.
Posted via Mobile Device
 

FoghornLeghorn

LawnSite Senior Member
Location
Texas
3 year agreement. 3.5-3.56% inflation every year.

If someone asks for a 1 year contract, we bid it a little higher to compensate for the fact that we will probably have to devote more time/energy every year into getting them to renew.
 
OP
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POWER STROKE

LawnSite Senior Member
Location
Grand Rapids, MI
bump bump bump
 

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