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charging methods

Discussion in 'Commercial Snow Removal' started by Acorn, Dec 2, 2002.

  1. Acorn

    Acorn Senior Member
    Messages: 103

    Hello All,

    Where I am (Moncton, New Brunswick Canada) I've only heard of charging by the season (flat rate) , by the storm (per arrival) or by the hour. It wasn't until ready discussion forums like this one about charging by the inch. How many of you do it this way and which way do you prefer?

    I usually plow when the city plows and the city only bothers to plow if there is over 3". We will often have 12"+ storms and I've been through 30" storms. In a typical year we get 120" of snow or more :eek: . People around here like the security of by the season (80% of my contracts)

    thanks:
     
  2. Mick

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

    Acorn, I charge by the amount of snow that falls in a given snowstorm within a 24 hour period:

    With a 3" trigger -

    3" to 6" $x
    over 6" to 9" $x times 1 1/2
    over 9" to 12" $x times 2
    over 12" $x times 2 plus $y per inch over 12"

    This way I can use my judgement of when to plow based on conditions and circumstances. The customer only cares how much snow fell and can easily check my honesty. The only other thing for them to care about is did I have the snow plowed when I said I would?

    So far, all of my customers (except one) have been happy with this system. They run the range in economic and social situation. I don't really know what they had before. The "one" wanted me to charge the same for plowing any amount of snow at the end of a snowfall which is totally unrealistic.
     
  3. Chief Plow

    Chief Plow Senior Member
    Messages: 201

    We charge, every 3 inches. Also, built in is a clean up charge for my commercial accounts. Where as if i cannot clean the lot up, and I have to come back it is 1/2 of what I would charge to do the lot. This is because these are quick marts, and there are usually cars all over the place when you go to plow. especially during the day and early evening hours.
    Rick
     
  4. Arc Burn

    Arc Burn PlowSite.com Addict
    Messages: 1,138

    Hey Mick,i would kill to use that system on my accounts but guys before me had no clue how to charge in my area,so all we have is a one shot deal.Convincing people to start paying more out of the blue is tough but i did get a couple including one private road to go with it and hopefully get more to follow next year.It's hard on the trucks but when the other idiots are right there with there senseless one price system it's also tough to compete!
     
  5. Mick

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

    Arc Burn, seriously, I've told my wife I'd let my trucks and stuff just sit before I did that. You wind up paying them to plow their drive/lot. I've lost a couple of bids besides, but I can't worry about it. I'll still have my stuff when they're gone. One guy already gave me his customers because that's how he was charging. Then said he couldn't afford to keep plowing cause he was afraid of tearing up his truck which is his daily driver to get to work. I offered his customers my system. They took it and, like I said, they understood it.

    Doesn't make sense.