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100 bucks an hour?

Discussion in 'Commercial Snow Removal' started by dieselboy, Mar 19, 2007.

  1. dieselboy

    dieselboy Member
    Messages: 43

    When pricing a new driveway what do you charge by? i use 100 dollars an hour as a rule of thumb. i plow it see how long it takes me and charge accordingly. is this too much? oh and im plowing with a truck in the adirondacks.
     
  2. Mick

    Mick PlowSite.com Veteran
    from Maine
    Messages: 5,546

    No, I use $125/hr as a base with $35 minimum. You've also got to consider travel time. Since I've got some accounts that only take about five minutes, you could say I'm making $420/hr.
     
  3. BSDeality

    BSDeality Senior Member
    Messages: 736

    Hi Larry? Think that's you up there across from OP's.

    There is never 'too much' if you find the right person. The problem is your area, you're competing against b. hayes. He's been doing this since the stone age and has the market from what I can tell. I wouldn't be able to stay in business up there against him with the prices he charges. Good luck.
     
  4. DeereFarmer

    DeereFarmer PlowSite Veteran
    Messages: 3,296

    I always use a $40 minimum just to drop the blade. I usually run about $50 per drive per push. Length and time are a major factor as well as how hard the driveway is. It usually takes me about 10 minutes to do a really good job on an average driveway (about 60 feet or so). Right now I have a really tight route because I use a tractor, but I have a lot of long drives with a few private roads. With my truck the route was a little looser, so I was making about $175 an hour or so. Travel time from account to account is a factor. I always give a discount to a person if they can get a few neighbors to hire me as well. I'll knock off $10 per push if they can get another 2 or 3 houses locally for me. Helps them out and makes me more money. Right now I plow 5 driveways in a row.
     
  5. Blazin

    Blazin Senior Member
    Messages: 185

    It all depends on what part of the country your in too. Most guys around here have a $15 or $20 minimum. $20 drive around here is a 50 footer or so. I have one driveway that is about a 1/4 mile long Its almost flat I get $75 for it. Got one thats about 150 yards but steep and curved I get $125 for it. been plowing it since the house was built, on its second owner. These are per storm prices, but if it snows over 10" I charge for two storms. I charge the same for sanding as plowing with the exception of two customers that have been using me since 90 and 91 back when I started out. I give the elderly a deal, half what I would normally charge for that driveway. I am not the cheapest guy in town but not the most expensive either.
     
  6. Flipper

    Flipper PlowSite.com Addict
    from CT
    Messages: 1,180

    $100 per hour would be really low for me. My trucks end up making about $800-1000 per hour. 20-25 drives at an average of $40 per. Some here go over $100 because of hills and length but still don't take more then 5-7 minutes. Routes are packed real tight. All plowing is withing a 2-3 mile radius of the shop.

    Pricing is extremly regional though. Some will say to do all this calculation to see what it costs you, expenses, labor, etc, but the bottom line is price. You have to be within what eveyone else is charging in your area to be competitive.
     
  7. Blazin

    Blazin Senior Member
    Messages: 185

    The way I figure it a small storm 3' to 8" I mkae about $200 to $250 pr. hr. if I divde the total profit by the time spent to plow all my drive ways. Over 10" is billed as two storms but takes me three time as long and might have to go back the day after storm stops to clean up a handful as the town or state fill the ends of them back in. On these storms it more like $120 to $150 pr. hr. My route span about an 8 mile stretch on the state road, and some of the side roads along that distance have 1 to 5 driveways on them.
     
  8. AbsoluteH&L

    AbsoluteH&L Senior Member
    Messages: 573

    Flipper, I would have to say you are not the norm. I could only dream of that.
    It is all based on location and local economics. I get from $15 to $35 per trip or 195 to 350 for a season contract(15 trip max w/ discounted trip rate after) Thats normal for around me. I hate when you get people that shove some flyer in your face and say " this guy will do it for $12" great go sign with him. That was a early season discount and it's now December. I'm not the cheapest or most expensive.
     
  9. Grn Mtn

    Grn Mtn PlowSite.com Addict
    Messages: 1,644

    As others have stated:
    1. In snow removal, there is never TOO MUCH.
    2. You can only charge what the going rate is in your area (if your swamped your too little, if your dead your too high)
    3. For a truck and an 8' plow $125 is what you want to shoot for.