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HELP WITH PRICING Skyline

Discussion in 'Bidding & Estimating' started by jj0807, Jun 18, 2009.

  1. jj0807

    jj0807 Junior Member
    Messages: 7

    I'm new to the snow buisness but i went into skyline and the owner asked if I would plow the lot for him in the winter. I said sure, and i would get back to him with the number in acouple days. What are some suggestions on How much i should charge:

    Per push/Per hour=$

    Per inch=$

    Per Season=$

    Salt included=$

    For everyone who hs seen a skyline lot its not small but not big either. I just need some good advice, i could use this extra money for college.
     
  2. cretebaby

    cretebaby PlowSite Veteran
    Messages: 4,162

    Per season salt included is the way to go IMO

    Skyline?

    Like the double wide builder?
     
  3. Bossman 92

    Bossman 92 PlowSite.com Addict
    Messages: 1,771

    I think he means Skyline Chile it's an Ohio thing.

    What works for me is to charge per push. I would guess somthing in the neighborhood of $50 to $75 per push. Salt is extra and should be applied at a rate of 600 to 750 lbs per/acre, depending on conditions. You need to know your cost on salt, close to $4.25 per 50# around here.

    The way I work it is, during a day storm the lot is cleared after every 2", then salted once the storm is over and the lot has been plowed.

    If you don't already have the equipment it you are going to need more than 1 account to justify this venture. Plows, salters, and insurance all cost money and 1 account wouldn't be worth it. Also seeing that you are a newby you are going to need insurance.

    Good luck, Bossman
     
  4. Mick

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

    Insurance is the big issue here. Find out IF you can get it and how much BEFORE submitting a bid - especially with an commercial (business) account. That'll make all the difference. They will require some level of General Liability insurance.
     
  5. jj0807

    jj0807 Junior Member
    Messages: 7

    Thanks everyone. I got a estimate from progressive it was 147/Month. I really would like to have atleast two accounts nothing more i probaly could not handle that. since im a newbie. The owner doesnt mind giving me 1 extra lot to do. the lots are not that big. So per push $75+Salt would be my best bet. Should i raise the per push price every 3 or 4 inches of snow? The salt runs about $5.75 for top brand.

    Flat Fee:

    2in-5in=200
    salt=40

    5in-8in=300
    salt=50

    8in-11in=475
    salt=70

    11inches or more = 475+$80/in after 11in


    Just trying to see if this was a good start. All feedback needed thanks
     
  6. Mick

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

    Well, you're going to need four pushes with salt, if you get two lots, to pay for the insurance. Then add fuel, equipment maint, wages and profit. How much snow does your area get?
     
  7. Mick

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

    Sorry, I took your "flat fee" as "per push". So you're going to need about 12 pushes to pay for the insurance. Not realistic.

    You're confusing me with a variable flat fee. What do you mean by "flat fee"?
     
    Last edited: Jun 19, 2009
  8. cretebaby

    cretebaby PlowSite Veteran
    Messages: 4,162

    I don't think you are going to get 475/11" if 5'' is only $200

    The blizzard clause should just be an hourly rate, not flat rate plus hourly.

    Salt should be the same price for any amount of snow.

    I don't like the progressive charge for snow depth, just charge a flat rate for up to 3-4'' and if it snows 7'' charge them 2x

    Just my $0.02
     
  9. Bossman 92

    Bossman 92 PlowSite.com Addict
    Messages: 1,771

    We plow with the storm, it works out better for both. There is no reason to wait untill you have 10" on the ground to start plowing, especially if you only have 2 places.

    Keep it simple. I have tried the per inch method, and it sucks. The customer always tends to think we got less than we did, and if it's close they always want to argue.

    Salt will stay the same, no matter how much snow you pushed. Unless they request "a special blend" use the cheapest morton salt you can find, it all melts snow.


    If you want send me a pm and I will give you my cell number I know your weather and area, and might be able to offer some advice.

    Bossman
     
  10. jj0807

    jj0807 Junior Member
    Messages: 7

    SO my best bet is to charge $75 per push. my question then will i make a profit with that rate doin two Lots
     
  11. Mick

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

    Insurance = $147(12) = $1764 (Is Commercial Vehicle included or is that just Liability?)
    Income = $75(2) = $150( #/pushes (10?) ) = $1500

    Loss of $264. Doesn't include startup costs or ongoing costs. Not to mention profit.

    Doesn't look like too good of a plan to me. Am I missing something or were you really not able to figure this out for yourself? I think you better take Bossman up on his offer.
     
  12. BlackIrish

    BlackIrish Senior Member
    Messages: 890

    No.
    You need to find more lots to do it the same area.
    At least 4-6 times more for the revenue in should be your target, $6000-$9000 vs current $1500.
    If money is not an issue, then 2 lots is a good way to learn the ropes and not make a dime. Been there done that.
    GL
     
  13. jj0807

    jj0807 Junior Member
    Messages: 7

    So this is a similar lot to the one im persuing. What sholud my per push rate be. I already know my salt rate.
     
  14. Mick

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

    The question shouldn't be what the per push rate will be. The local market determines that. The question is how many lots (or equivalent) do you need to show the profit you want.
     
  15. jj0807

    jj0807 Junior Member
    Messages: 7

    Thanks, everyone for the advice. he has three lots i could do. the image belowe is a similar size lot.
    How would this job be priced:
    PER PUSH=$
    PER HOUR=$
    PER SEASON=$

    Also how long will this job take to complete. i dont want to pick up to many acccounts that I cant handle.

    Skyline SIMILAR.jpg
     
  16. Mick

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

    JJ0807, just how much experience do you have at pushing snow?
     
  17. Bossman 92

    Bossman 92 PlowSite.com Addict
    Messages: 1,771

    JJ, Give me a call 330 204 8244

    Bossman
     
  18. jj0807

    jj0807 Junior Member
    Messages: 7

    Other than using an ATV to do a few drive ways hear and there....None. I want to use the money to continue to pay for college. this would be a good source of extra money to do just that. Im pretty sure once i get past the number i;ll be fine. im not lazy i work for what i want and need. i just need alittle help with the numbers.
     
  19. Burkartsplow

    Burkartsplow PlowSite Veteran
    Messages: 3,245

    i think you need to sub for someone and learn the business. Commercial accounts need A LOT of attention and to be frank. You are not ready for this. Sorry.
     
  20. Young Pup

    Young Pup PlowSite Fanatic
    Messages: 5,491

    Ok, I don't think I have seen this asked yet. What type of equipment will you be using to plow these with? Do you already have a truck and plow?