RATIO OF HOURS OF CUTTING TO PRICE
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Tough to say Bob, I am a small one man LCO in bus for 6 years and each job has different requirements. Your example is for 8 man hours at 31.25 per hour. Not bad but it depends on different variables. I personally do not bid on a per hour basis but I do have a minimum charge of 20.00 as some of my customers lawns take me 20 minutes and some take 2 hours but the variables are the key. What I mean by variables is , is the job a job that you want, will the job get you other jobs, will you be able to sell additional services, can you easily fit the job into your route, and do you know what your costs of business are amongst other variables.
Each area of the map is a little different as to what the market dictates so I can't give you specifics on price but I can tell you not to bid mowing on a per hour basis to the customer. Measure each property and look carefully there may be lots of trimming or special requirements that can sink you. Communication with the customer is a great part of your bid. Figure out your cost of business and from there you can get started.
There are many more wiser than I here and I highly recommend reading many opinions. Good Luck - welcome to Lawnsite.
Each area of the map is a little different as to what the market dictates so I can't give you specifics on price but I can tell you not to bid mowing on a per hour basis to the customer. Measure each property and look carefully there may be lots of trimming or special requirements that can sink you. Communication with the customer is a great part of your bid. Figure out your cost of business and from there you can get started.
There are many more wiser than I here and I highly recommend reading many opinions. Good Luck - welcome to Lawnsite.
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If your labor cost with burden is $15, and $5 for your mower (equipment), and another $5 for the rest of the overhead of doing business your basic costs are $25/hour.
$25 at 30% gross profit margin is $35.71
35% $38.64
40% $41.66
45% $45.45
$25 at 30% gross profit margin is $35.71
35% $38.64
40% $41.66
45% $45.45
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"Your example is for 8 man hours at 31.25 per hour. Not bad but it depends on different variables."
Well one variable is that Bob is most likely referring to CAN $ which would be more like $21USmh Where I am from crews are figured at $45USmh minimum.
Well one variable is that Bob is most likely referring to CAN $ which would be more like $21USmh Where I am from crews are figured at $45USmh minimum.
My pricing works out to between $30 to $40 hour Can. for mow and go. Never any edge trimming here in the sticks, some string trimmer work and round up around everything else. We aren't full time yet but will be soon. Most of the properties are 1/2 to 4 acres in size. Very few go for any extras other than spraying and fertilizing on some.
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Variables that are included in what makes up someone's charge per man hour would be market value. Higher market areas are able and need to get more due to higher price of living and other variables due to region and area. So someone's $30 charge per man hour can be equal to another's $50 charge per man hour. So saying someone needs to get this or that to stay in business may not be true. We each have our own numbers due to overhead and other expenses, so you really need to look at profit margin and the rate that it is.
[Edited by LoneStarLawn on 01-23-2001 at 10:17 PM]
[Edited by LoneStarLawn on 01-23-2001 at 10:17 PM]
From talking to people in my area the going rate is around $40.00 per hour per person. I do believe that the price also depends on what equipment to have to use and the property you are mowing. For example if a property is more difficult to cut than another but takes the same amount of time then I would charge more.
Thanks for all your info.
I`ll have to really sit down and sifen through the info
Any help i can get is muchly appreciated.If yous have some detailed info on these variables and how to analize the potential customers it would be very helpful . I`m from small market between london and windsor and an hour and a half drive from detroit. thanks for all your help .
I`ll have to really sit down and sifen through the info
Any help i can get is muchly appreciated.If yous have some detailed info on these variables and how to analize the potential customers it would be very helpful . I`m from small market between london and windsor and an hour and a half drive from detroit. thanks for all your help .
Mine are Can. $ I live in the sticks, over 100 miles from Toronto. Local tractor dealer gives a new riding lawn tractor with purchase of farm tractor. Tough to compete with everyone cutting their own lawns. Spraying gets me some new customers and this year we are really going to target seniors and professional people who own cottages here.
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