Understanding the Bid..!!!

Discussion in 'Starting a Lawn Care Business' started by Turf Commando, Dec 12, 2007.

  1. Turf Commando

    Turf Commando LawnSite Bronze Member
    Messages: 1,186

    Since spring is when I'm after residential lawns.

    Should I charge by the hr or buy the acre...?
    Which way is more profitable...?
  2. shane mapes

    shane mapes LawnSite Senior Member
    Messages: 537

    what i do is i charge by the job.. what i do is figure out how long it will take to do the job and then i add a little time to be safe..just make sure your hourly rate covers all your overhead and you still make a profit.. also make sure you don;t tell the customer what your rate is. it will cause problems with some of your customers .. just tell them this job be be $$$ don't tell them it will take x amount of time because if you get done early they want a cut on the price because you got down so early ... good luck... it will get easier over time.
  3. topsites

    topsites LawnSite Fanatic
    Messages: 21,653

    As for the the hourly rate, the money I earn for my business is an internal mechanism because it is my problem to get it done in short enough order to earn what appears to be a decent rate. Reveal this rate to your customers and you're as doomed as doing it for free, you want to do things, as was said, by the amount of work.

    So to answer the question, price it per acreage, then you worry about how long it takes, the result of how long it took over how much you got paid determines your hourly rate but the price for the customer remains the same from day to day, is how it works.
  4. Sundancekid74

    Sundancekid74 LawnSite Member
    Messages: 46

    Expert, admirable advice!! I as well charge by the job; be it mowing or mulching. Thing is I wanted the community to know I was the most reasonable, hardest working lawn care company in the county. The first year, I lowballed; increasing my prices per mow per yard (not per hour) for the 2008 season. I knew my customer relations were in good standing and I felt certain I could ascertain these clients (from competitors) and forgo these relations in years to come based on my work ethic and job performance. So, what I'm saying has a lot to do with your reputation. The price per acre can give you a rough estimate (say over the phone) but I typically charge more by the job when it comes to half and three-quarter acre residential lots. Once you get into 3 or more acres, the per acre estimate should suffice. Consider the most bang for your buck: small residential vs. upscale larger yards. Good luck.:dancing:

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