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Discussion in 'Business Operations' started by erhager, Apr 18, 2006.

  1. erhager

    erhager LawnSite Member
    Messages: 104

    I plan on starting my spraying business next year and was wondering how you determine how much to charge. I pay my sprayer $37 each time and he comes five times a year. How much does he pocket, how much goes towards insurance, how much goes toward equipment and so forth? Is there a good formula for this or does he just pocket everything and pay insurance and for herbicides when he needs to?
  2. bullethead

    bullethead LawnSite Senior Member
    from Texas
    Messages: 273

    Do you have any experience in this field? Regardless - you have to figure out what you are going to do specifically, how you are going to do it and determine all of the associated costs. Once you know your cost, then you can set your sales price. What other guys charge and make is useful information, but at the end of the day it all about what your costs are to do business and whether or not you can charge enough to cover them. It's a p.i.t.a. to figure this all out, but if it was easy.....
  3. work_it

    work_it LawnSite Senior Member
    Messages: 976

    You need to learn your market and find out what all the other companies are charging. Whatever CL/TG is charging...throw that right out the window. They're usually the cheapest or among the cheapest in town.

    Next question: do you have any experience in the field or are you going to hire experienced people to run the operation?

    Do you have proper storage facilities approved by the EPA?

    How much experience do you have running a business or are you going to hire people for that part of the operation too?

    How much money are you planning on investing to start up your business? You need to buy truck/s, spray and spreader equipment, advertising, chemicals, possible employees, office supplies, insurance, licenses, possible lawyers fees, CPA fees, etc...

    That should give you a starting point to work off of. Now it's time for you to do your homework and find out if this is really the business for you. There's a lot of good information on the internet and this site which will help you with your research. Good luck.

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