hoe many of you charge for a "stop charge" when you do applications. how much? is the charge hidden in the price? what is the purpose? if so how do you charge for the application? thanks anthony
A "stop charge" would be the amount of fixed cost assigned to the service. Then you would add a proportional charge for the goods supplied and the time to effect the service. Grossly simplified example: you have determined that, over the year, each time you stop for an application the cost (from fixed business costs) is $11.87. You apply 40# of product that you will charge the customer $18.50 for, and you spend 15 minutes at $100/hr (=$25). So your charge for the stop is $ 55.37. If you are a big business, and just work on averages, you can charge $XX per thousand. On some you will lose money, on most you will make money, and on a few you will make a killing. If you prefer to know that each job is profitable, then you need to work with the numbers, or hire someone to do it for you.
Lets say you have a 10,000 sq ft lawn you want to set up w/ a 5 round application. We look at what ouur cost per/1000 to purchase the product is. Say round one costs us $1.01 per 1,000 we 3'x our cost to $3.03. Then we subtract 3,000 from the original 10,000 sq. feet and factor in $29.95 which is our stop charge and multiply $3.03 times 7,000 -the remaining sq. feet. So we have $21.21 (approx) and the stop charge of $29.95 so we add the two so the total cost before tax is $51.16 for the application of round one. No hidden cahrges just business
