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Do lawn guys actually know what they are charging per cut when they charge a flat monthly rate?

Discussion in 'Florida Lawn Care Forum' started by williams lcm, Aug 22, 2018.

  1. TPendagast

    TPendagast LawnSite Fanatic
    Messages: 15,608

    Bankruptcy protection prevents the lawsuits unless they can prove their claims are nondischargable
    But if you simply are owed money and he filed bankruptcy you’re mostly sol
    Especially if you have no judgement yet
  2. Mow-Daddy.com

    Mow-Daddy.com LawnSite Fanatic
    Messages: 5,495

    He was installing septic systems without permits or license. Also sold all of his brand new equipment on CL,
    Most was still bank owned.
    He renewed annual contracts in Jan with discounts if paid up-front. Then skipped town in Feb.
    So yes lots of angry customers got de-frauded. Lots of commercial accounts also. Several of his workers were posting rants on FB how he sent out 1099s to them in Jan then split.
  3. TPendagast

    TPendagast LawnSite Fanatic
    Messages: 15,608

    That 1099 thing is super common

    What did the workers expect?
    They were getting straight checks for pay day or cash?
    Takes two to tango
    Everyone’s happy when they get all their money up front
    Those workers that get paid cash ever turn their employer in?
    But oh noes! Unfair when you 1099 me!

    If that guy had stayed in business and kept paying cash , how many angry employees would there have been?
    I know countless companies that do payroll that’s not legal.... employees complain? Nope
    Then finally they get rubber checks and THEN come apply for a job with me.
    Crying the woes of unfair pay practices.
    So you’re willing to go down to department of labor and tell them all
    About it?

    All of a sudden no one wants to “rat anyone out” or get involved.
    I don’t feel bad at all for employees get paid cash and continuing to receive it, they know what they’re doing , they’re just hoping it keeps going on.

    As far as prepay customers go?
    I dunno I’m not a bankruptcy expert
    It’s non dischargable if you can prove malice (like i keyed your car)
    Guy could say “my business failed”
    Companies cry fraud, guy says fail
    See saw.
    Equipment sold with Leins on it?
    I’m also not an expert on that,
    Guy still owes the money
    Bank still owns equipment
    Bank could still repo if they found it.
    New owner is defrauded ...

    It would be an interesting read to see what direction those court cases went in
  4. Mow-Daddy.com

    Mow-Daddy.com LawnSite Fanatic
    Messages: 5,495

    From what I've heard from employees, they got checks and had taxes supposedly withheld. Then at end of yr get 1099ed . So definitely was not on the up&up.
  5. TPendagast

    TPendagast LawnSite Fanatic
    Messages: 15,608

    Well neither way is on the up and up

    You can’t 1099 employees even if you tell them about it

    If you’re getting a “check” with no stub everybody period, that’s also illegal
  6. Mow-Daddy.com

    Mow-Daddy.com LawnSite Fanatic
    Messages: 5,495

  7. Patriot Services

    Patriot Services LawnSite Fanatic
    Messages: 15,848

    I stopped worrying about other guys a long time ago. Keep plugging and doing top notch work. I cant tell you how many cluster accounts we have. All started with one and after they see us week after week diligently doing what we do it spreads. We hit them with door hangers, brochures and even asking our current customers to refer us if they are close. We stick primarily to HOA communities that insist on tidy landscapes. When talking to many new customers we ask what did the last company NOT do that prompted a change. Number one answer was unreliable or sloppy, inconsistent work.
  8. justanotherlawnguy

    justanotherlawnguy LawnSite Bronze Member
    Messages: 1,324

    most lawn guys actually lose money on lawn service! they either dont know or dont care. if they would actually look at thier numbers, it doesnt take long to figure out theres no money in the lawn biz.
    MOST lawns do not require 42 cuts a year, many you can get away with 32-34, customer doesnt count but most lawn guys are to scared to skip lawns in the spring and fall. They feel compelled to go weekly from april through Nov!
    MOST do not charge exrtra for other services.

    You have to upsell everyone to make money.
    hort101 likes this.
  9. dkflipse

    dkflipse LawnSite Member
    Messages: 66

    I do 26 cuts a year no matter sun or rain, all year long. So I have an easy to follow A and B week. I do have a handful that ask for weekly in the summer. I oblige. These will sometimes ask for a discount but I don't offer it upfront. And at most i'll knock off $5.
  10. unkownfl

    unkownfl LawnSite Platinum Member
    Messages: 4,184

    You can't just assume guys have to pay taxes. Some can actually profit from taxes to some extent. I don't happen to play on the same field as a lot of guys and my rates are usually considerably cheaper than others. Why? I choose my clients for one. I don't see how anyone is mowing 42 visits on every lawn yearly. Even the most vigorous lawns can't be cut that much here. Unless, you're going straight by some program from a University and the fert/water program is too. I highly doubt those customers are hiring the 60-80 a month guys. I keep my cost down. I can find guys all day to cut grass cheaper than I could pay shops to fix and maintain my equipment. Don't pay interest and don't buy stuff with zero percent no such thing. The cost to cut a lawn here isn't more than maybe a 2 bucks for a solo guy.

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