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How do I get payed

Discussion in 'Landscape Architecture and Design' started by cutthegrass, Feb 13, 2007.

  1. cutthegrass

    cutthegrass LawnSite Member
    Messages: 3

    When you are doing a large size job and the final cost is around $30,000 do you ask for half up front and half at the end. Or what would be the best way to ask for money up front to help cover the cost of materials. Do the contractors ever expect the pay for materials in advance.
  2. MarcSmith

    MarcSmith LawnSite Fanatic
    Messages: 7,157

    on larger jobs, getting the cost of material up front is not un heard of, and then insome cases, when 1/2 the work is complete, 1/2 of the remaining baance to be paid and the then upon approval of copmletion the remaining paid...

    It also depends on your vendors. if you have terms with your vendors, you mightnot see their bill for 30 days, buton something that big, I'd at least make sure that no matter how you go about I'd want to be paid in full upon completion.

    I guess it also depends on how big of a company you are and how much "short term" debt you can handle.

    I have a company doing a 60K paver and wall isntall right now. They get their money when the job is done...They did not ask for up front money....so I guess it dpends on what you feel comfortable asking for...
  3. cutthegrass

    cutthegrass LawnSite Member
    Messages: 3

    If you were doing a job of this size would you show the cost of the plants marked up of course and the cost of labor in a seperate column or what would you reccommend? Do you always show what each specific part of the job cost and then give the total at the bottom?
  4. Duekster

    Duekster LawnSite Fanatic
    from DFW, TX
    Messages: 7,961

    I would show as little as possible because all that is more work on me.

    Unless they want to assume the risk and offer you a cost plus contract why show them anything?
  5. Scagguy

    Scagguy LawnSite Bronze Member
    Messages: 1,522

    If it's a job for a new client I get 50% up front. Doesn't matter if it's a $500 or $5000 job. I never deviate from that. At 50% I have most if not all my hard costs covered.
  6. tthomass

    tthomass LawnSite Gold Member
    from N. VA
    Messages: 3,497

    How long will it take you to do the job is very important.

    You've got a $30k job that takes 5 days. Okay, now that job won't take place for a month. Get 25% deposit then the additional 25% upon beginning the the job. Additional 50% upon completion.

    Now if that job takes 15 days. 1/3 beginning, 1/3 at 50% complete 1/3 at complete..............I just stick to the 50/50 or 25/25/50......we're landscapers not commercial building contractors taking a year + to present the final product.

    Job cost
    Time to complete job
    When the job will begin
    Factors for determining payment method.
  7. tthomass

    tthomass LawnSite Gold Member
    from N. VA
    Messages: 3,497

    I prefer not to break apart a job. If they ask for that it means they're cheap and looking to say you're high and charge too much for this or that.


    I will say "this" work will cost you "this" and "that" will cost you "that". Example: $30k job......$22k = hardscape and $8k = landscape.......in detail but not broken down to $x for this wall or tree etc
  8. cpel2004

    cpel2004 LawnSite Bronze Member
    Messages: 1,415

    We get paid in thirds, so one-third is due upfront, one-third half way and one-third on completion. It works for us, the more detailed your contract the better it is for you, I never had to contest a contract but just in case everything is in writing. Write out before the job the time line so it is a clear understanding when and how you should get paid. I will never chase another customers for money. We bill one month in advanced for maintenace. This thing of ours, is to tough of work, to chase money or keep repairing inferior equipment.
  9. tthomass

    tthomass LawnSite Gold Member
    from N. VA
    Messages: 3,497

    Also, if you want to be certain.......refer to your state requirements for complete legit contracts. I know of multi million dollar landscape companies here who's contracts are not totally legit.

    VA has lots of regulations. Will you lose in court if major bases are covered.....prob not. There is always that curve ball though that you have to watch for and a little research can save you thousands. Not to mention a respectanle customer will be impressed to see how organized and legit you are.......your seriousness and commitment.
  10. start2finish

    start2finish LawnSite Senior Member
    Messages: 497

    sometimes on commercial work there is 10% retainage. They will drag this out as long as possible. You will need to know this before your last check is 10% short. been there done that, years ago.

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