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Help with sub pricing Mpls - St Paul

Discussion in 'Bidding & Estimating' started by nailerdog, Nov 22, 2006.

  1. nailerdog

    nailerdog Member
    from WI
    Messages: 57

    I have several years of plowing experience but just a couple of small lots and driveways. Mostly for friends and family.

    This year I have an offer to sub for a pretty large contractor that does all commercial. Their rate is $50.00 per hour wet for my rig (06 Superduty with an 8.5' vee).

    They holdback 10% until May for damage and completion of the season without unreasonable absense or late showings.

    Is this reasonable? I was thinking is a little low.

    Thanks in advance.
     
  2. northernsweeper

    northernsweeper Senior Member
    Messages: 397

    Sounds kind of low to me.I would be thinking 60-80 would be closer, especially if your having to cover insurance. I wouldn't want them hanging on to 10%. either, unless they can garantee that you will be the only plower in those lots. Just my 2 cents worth.Good luck!
     
  3. BDB

    BDB Senior Member
    Messages: 124

    So your tellin me the $50/hr is actually $45/hr. HMMM So then they can make up some excuses so they don't have to pay you the 10% balance. With fuel and insurance (typ. a 1mil - 2mil policy) they make you carry. What would you be plowing??....is there drive time?? do they pay you for drive time??....how many hours are the giving you??...You get the stuff done faster and make them more money! To be honest depending on location of acct I estimate everything between $85-$100/hr. And I know for a fact that they get that much when they bid the stuff. But they are doing the selling so that is a consideration. Well say 10hrs of plowing = $500@50hr you may have $75 fuel, $75 for ins (est.750yr/10snow falls) now your at $350 a time with no repairs and don't forget the 10% they hold. Now after that you have to pay good ol Uncle Sam.....where is the money you get to spend??
     
  4. SnowGuy73

    SnowGuy73 PlowSite Fanatic
    Messages: 24,868

    I agree if you need your own insurance not theirs, that sounds low.