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Am I Overcharging?

Discussion in 'Bidding & Estimating' started by red2500, Jan 3, 2008.

  1. red2500

    red2500 Junior Member
    Messages: 23

    First photo is:
    1-6 inches $175
    6-12 inches +$100
    Sand/salt $75 each time
    Notes: Busy highway and busy commercial plaza with limited parking and inside corner
    that snow MUST be removed completely from.
    4-6 inches takes about 45 minutes to and hour depending on lot traffic.

    Second photo is:
    1-6 inches $135
    6-12 inches +$100
    Customer requests no sanding
    Notes: Never any cars or traffic, only one tenant who is never there.

    caperoad.JPG

    weststreet.JPG
     
  2. Camden

    Camden PlowSite Fanatic
    Messages: 6,598

    I can't away with charging $175 for 45 minutes but I'm in a different market than you. Congrats on having a couple of real money makers payup
     
  3. red2500

    red2500 Junior Member
    Messages: 23

    The first one can be a real hassle at times. Slow paying (some times 30-45 days)and very picky. Has to be kept clear at all times for Domino's Pizza. I also do some light shoveling on the handicap ramps to keep the hearing aid people happy as they pay a larger % of the bills due to the more square footage they rent.
     
  4. QuadPlower

    QuadPlower PlowSite.com Addict
    Messages: 1,056

    We don't get asked if someone is OVER charging that often. Is the customer happy and paying you? If Yes, then you are not over charging? If No, then you are over charging?
     
  5. red2500

    red2500 Junior Member
    Messages: 23

    Thanks for the reply. I always get paid, but the property managers wait until all the tenants send them the money before they pay me. That's my only complaint. I always talk to the tenants and they definitely let me know if they have a problem. I touch up the icy spots for nothing. And this is my third year after all that should say something I guess. Like even yesterday my lots were bare, while the bigger "more professional" contractors lots were very icy!
     
  6. DirtyJerzey

    DirtyJerzey Senior Member
    Messages: 358

    Id say your prices sounds pretty good.. most guys are charging 150-to a little over 200 an hour just for plowing here...
     
  7. Plowfast9957

    Plowfast9957 Senior Member
    Messages: 280

    Hey you are not far from me... I would say you are about right on price. I would say it defnitely not overcharging, if its workin for you it sounds good. Also 30+ days for payment is nothing unusual for a commercial property.
     
  8. sparky8370

    sparky8370 Senior Member
    Messages: 234

    Ask the property managers to set up an escrow account. They'd have at least one storm paid to them in advance. Then each time you bill, they can pay you right away.
     
  9. red2500

    red2500 Junior Member
    Messages: 23

    Thanks for all advice and information. I am still kind of new to being out on my own(3 seasonsand only 2 commercial accounts). My friend hires me as a sub on the big storms for $50 per hour. I am usually the "too honest" one who never charges enough on any thing I quote, but I'm learning.....I just want to be fair. After all the low ballers end up bringing the whole industry down. Like around here the Brazilian's construction guys with no insurance that work for cash are stealing away alot of the roofing and framing jobs from real crews that pay taxes and are licensed.
     
  10. Scottscape

    Scottscape Senior Member
    Messages: 662

    Do the job what you think it is worth and if that is what you think its worth then thats a fair price. More is never a bad thing until you lose it but if they're happy you won't.

    Congrats on the money maker