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Standard practice on "terms"

Discussion in 'Starting a Lawn Care Business' started by JeffW0011, Apr 11, 2007.

  1. JeffW0011

    JeffW0011 LawnSite Member
    Messages: 182

    I just got done bidding a huge job (by my standards, first year) It breaks down basically like this. It's a fairly major spring cleaning, a sizable mulching job...i estimated 25 yards and probably should have went a few more, some odds and ends minor repairs, and a one time catch up cut on a big ass property. At any rate, I probably over bid and won't get the job anyway, but if i do, what do you guys do on deals like this. The job is roughly $750 in parts/materials/contract services and some other variable costs. The labor end has me making about $1300. First off, as a ball park how does my costs versus profit ratio look?? Most important...should I ask for 50% upfront, should I get at least the job costs upfront or should I foot the bill and present it all upon completion.

    Thanks for your help,
    Jeff
     
  2. grandview (2006)

    grandview (2006) LawnSite Gold Member
    Messages: 3,465

    For myself I have them sign the contract and get paid at the end of the job.I never ask for money upfront.
     
  3. JeffW0011

    JeffW0011 LawnSite Member
    Messages: 182

    The cost of the mulch she wanted was just under $20/yd delivered. In my proposal I charged her $50/per yard applied. Was this about right? high? low?
    I know costs may vary a bit from region to region but what do you think?
     
  4. grandview (2006)

    grandview (2006) LawnSite Gold Member
    Messages: 3,465

    My cost is 19.00per yd and I'll charge any where from 65-80 installed just depends where it has to go .If it's in the back yard a little more or if i have to monkey around under bushes stuff like that.
     
  5. HOOLIE

    HOOLIE LawnSite Gold Member
    Messages: 3,981

    I always get 50% upfront for any job requiring materials. Especially if you have to shell out $750. To NOT get any money in advance is foolish. Most of the time everything's fine but every once in awhile...well you don't want to have to eat it :cry:
     
  6. D&M Lawn Service

    D&M Lawn Service LawnSite Member
    Messages: 5

    in my first year.... I am getting $80 a yard installed and have had a ton of mulch jobs. Like has already been said I charge a little more if its tough to install and will take longer to put down.
     

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