Pro-Rating Contracts (Kinda Related to the how many cuts thread)

Discussion in 'Starting a Lawn Care Business' started by PastyWhite, May 31, 2006.

  1. PastyWhite

    PastyWhite LawnSite Member
    from Jax, FL
    Messages: 56

    Do you guys pro-rate your contracts based on cuts left in the calendar year or if somebody signs a contract in June do you keep them in it until the next June?

    Example: You cut 4 times a month from March to October and 2 times a month from November to February. Someone starts a contract on June first. Do you bill them from June to December based on a total of 24 cuts or do you just bill them from June to June based on 40 cuts?

    Thanks in advance
  2. MarcSmith

    MarcSmith LawnSite Fanatic
    Messages: 7,157

    I always did mine pro rated until the end of the calendar year...all contract renewed at the same time...made it easier on keeping track of customers..

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