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raising prices because of gas (Groundskeeper pro)

Discussion in 'Business Operations' started by smarino21, May 30, 2007.

  1. smarino21

    smarino21 LawnSite Senior Member
    Messages: 345

    I was wondering i have ground keeper pro and i do not think there is a way to ad a fuel ser charge on there. Is there a way to do so? I have not found any way besides adding a charge for someone every week. Let me kno if there is other wise




    i sent a letter this month that states all prices are going up 5% for maintenance accounts. I cannot afford it with gas prices any more and everythingt else. do any of you have a copy of this type of letter or what would you say??
     
  2. Mark in MD

    Mark in MD LawnSite Senior Member
    Messages: 322

    I'm not familiar with your billing system.

    The reality is, the high cost of gas has caused me to pay about an extra $15 every four work days that I wouldn't have to pay if gas was down around $2.50. That works out to about 25 cents to 40 cents per customer depending on the week, which is actually only about 1% of my revenue, or maybe slightly more. I bet if you analyze your gas expenses, you'll see that 5% is excessive, especially mid-season.

    I personally am going to tough it out until next year, then hike it based on general inflation, plus maybe a percent or two for gas.
     
  3. craigs lawncare

    craigs lawncare LawnSite Senior Member
    Messages: 307

    Here in Michigan the economy is so bad, the fly by night lawn care operations have come out of the wood work. One company in particular, I had two accounts with and lost them both to low ballers. I had mowed for them for 10 years. I learned a long time ago, there was no loyalty in this business. When the bid was chosen, the owner personally called me and told me that he was going to take on a new mower that came in at less than half my price. The lawns were $100 and $85 so we are not talking about some $35 lawn that someone is mowing for 15 or 20 bucks. He said normally they receive about 5 or 6 bids every year. This year they received 18!!
    When the bids were accepted, gas was about $2.40 per gallon. Now, here in MI, it hovers around $3.60+ for regular unleaded. :D
    The owner of the dealership where I bought my mowers several years ago, said they sold more mowing equipment last winter than they ever had.
    So, I have mixed emotions when I pull up to the gas pump.
    Part of me is angered at the blatant gouging that is going on, but then I quickly come to realize that gas... soon to be $4 per gallon will be a wonderful thing!!
    I say, bring on the $4+ gas.
    In fact, I hope gas hits $4.50 and even $5 per gallon this summer.
    This will thin the heard from a good portion of those fly by night lawn guys that have sprung up all over my area.

    A toast... to high gas prices!!! :drinkup:

    Craig
     

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