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new guy;pricing confusion

Discussion in 'Starting a Lawn Care Business' started by stumpjumper, Mar 1, 2006.

  1. stumpjumper

    stumpjumper LawnSite Member
    Messages: 183

    i"m a new guy to this business, gonna retire next year at 55 and plan to start lawncare for other people this year. already have 2 trailors ,a pickup,a hustler 1742,2 cheap trimmers and a blower. i"v been visiting this site for about 6 weeks trying to fiquire out how to price. i don'have any overhead, but i want my prices to be in line with other operators in this area i.e. central oklahoma. any help from some in this area.
  2. Precision Lawns

    Precision Lawns LawnSite Senior Member
    Messages: 283

    You don't have ANY overhead? You don't have to pay for gas? Insurance? Telephone? I find it highly unlikely that you have a cost of doing business of $0.
  3. stumpjumper

    stumpjumper LawnSite Member
    Messages: 183

    i consider gas as a business expense. as for my telephone, i,m always gonna pay a phone bill whether i mow or not. and yes, everything else is paid for.i have been doing tractor work as a sideline for about 10 years and i had overhead when i still owed money on equipment.
  4. daveintoledo

    daveintoledo LawnSite Silver Member
    Messages: 2,587

    you need to do some research on the cost of doing business, you have the same expenses everyone else has... what about your liability insurance you have to have, you have to factor in the cost of your equipment, paid for or not, and the replacement cost of the equipment, the homeowners equipment you have wont last the season , that will have to be replaced, and then figuring in the lifespan of the new commercial equipment and its replacement cost...depreciation on vehicles....advertising, licensing, on and on...the price of gas is overhead, a business expense is overhead.... the telephone.... doesnt matter if you already have it, ALL business costs must be figured in order to charge the proper amount....
  5. stumpjumper

    stumpjumper LawnSite Member
    Messages: 183

    i pay insurance on everything already,i carry personal liability already because im a land owner.i know every penny i cleared on tractor work and my farm and ranch operation. do you have any advice on pricing or do just wnt to argue?
  6. daveintoledo

    daveintoledo LawnSite Silver Member
    Messages: 2,587

    you must already know everthing there is to know, thats why you came here asking questions right, because you already know the answers........

    point is ,until you figure your true overhead, you cant figure out what to charge....

    i know what to charge, do you....
    good luck:)
  7. stumpjumper

    stumpjumper LawnSite Member
    Messages: 183

    you boys play a little rough for us coutry folk. think i might otta get out of dodge
  8. daveintoledo

    daveintoledo LawnSite Silver Member
    Messages: 2,587

    you will get lots of opinions here some good some bad, point is, you may not like all the answers you get, but they will be honest.... take them of leave them.... but dont leave and give up..... stay a while and check it all out..


    i try and charge aroung one dolar a minute, that may work in some areas of the county and not in others... it may be enough for some to make a profit and not for others....
  9. All_Clear

    All_Clear LawnSite Senior Member
    Messages: 443

    LoL yeah and he's the kinder and gentler dave :hammerhead:

    Your asking a question that everyone new asks here and basicly will get the same answer, as they all do.

    What i charge and what everyone else on this site ligit or not charge will be different, we all have different business expenses, personal bills ect...

    Don't give up... As dave said $1 is a good starting point of you don't know your exact expenses.

    Try doing a search for knowing your expenses, finding your hourly rate, things that fall in those catagories.

  10. stumpjumper

    stumpjumper LawnSite Member
    Messages: 183

    didn't mean to brag or be a know it all. been in the electrical business and know what you guys are up against with lowballers. i love making lawns look good and will need some income after i retire. appears to be some money in the business. appreciate your help.

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