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how to bid ny

Discussion in 'Commercial Snow Removal' started by mean green 24, Oct 13, 2010.

  1. mean green 24

    mean green 24 Junior Member
    Messages: 28

    I'm new at this and wondering how to bid commercial? I was going to stick with residential but Ive been getting calls to do commercial lots.anything you guys could offer would help thanks
  2. leigh

    leigh PlowSite.com Addict
    from CT
    Messages: 1,968

    Take your cost of doing business, overhead, operating costs etc. All your basic business 101
    things you learned in school or through experience. Estimate how much labor is involved for whatever lot your bidding, multiply hours estimated x your costs and you come up with a price.Add % for profit and your good to go! Or you can hire an expert in the field to help you along the way. Free advice is not the best way to go.Like free legal advice! Even your accountant coul be very
    helpful. Amazing how many have no idea that there losing money till it's to late. Do it right and you can make some money and keep your sanity! P.S don't listen to a thing i said about remember free advice!;)
  3. mean green 24

    mean green 24 Junior Member
    Messages: 28

    ok thanks for your help
  4. RLM

    RLM PlowSite.com Addict
    Messages: 1,270

    Chances are you will be suprised where pricing is in this market. You need to learn where the pricing is, take your bumps & bruises. I'm saying this because I have had to do the same thing. Even after 15 years I'm still suprised to here or see what properties are done for, even from one side of the county to the other. You'd probably be better off subbing for someone else to get your feet wet.
  5. forestfireguy

    forestfireguy PlowSite.com Addict
    Messages: 1,276

    Use the SEARCH feature, you'll find hours, days of reading......Search bidding, estimating etc etc .........
  6. vinces designs

    vinces designs Junior Member
    Messages: 14

    go work for RLM for a couple of years he'll teach the ropes:laughing:
  7. RLM

    RLM PlowSite.com Addict
    Messages: 1,270

    Costs can be manipulated in this business, using older equipment, appling less salt, etc. What I was getting at is the Rochester market VERY competive, it has always been VERY conservative, there is alot of "old" money here, but people aren't willing to spend it.
    We bid a large complex this year, 18 acres of pavement, + walks, relocating snow, Grounds work, as well, all inclusive price. Our intitial bid was about 200 K, included clear lot policy, daily inspection, we re-bid 3 times, final time we were very close @ 120 K, thats for 18 acres of plowing, 10+ acres of mowing, mulch, bed work, daily trash p/u, etc. all inclusive. We had to drop margins down, cut mulch to a skim coat, etc. Realistly you can make more margin doing res. drives than comm. properties curently.
    Last edited: Oct 30, 2010
  8. Dstosh

    Dstosh Senior Member
    Messages: 534

    Did you get the bid?
  9. RLM

    RLM PlowSite.com Addict
    Messages: 1,270

    Close but no, we have picked up just enough to cover what we lost it seems for a second year in a row, its getting frustrating. Last year we lost 2 accounts we had had for 10 & 4 years to bids 30% lower than our price from 10 yrs ago. This year we lost (at least the renewals haven't come back) for couple Tim Hortons, the other losses were; 2 Friendly's which wanted clear lot but want pricing @ 2 inch & an HOA that we had all kinds of payment issues with last season, so overall I'm OK with repacing those clients. Its just the really big ones its stressfull locating the extra equipment, staff, product then they wait till extra equipment is gone, so you need to re-source more, then its a no go. We've been picking up a good deal of government work, & there is room to grow with it.
    Last edited: Oct 30, 2010
  10. motodad

    motodad Member
    from midwest
    Messages: 91

    Funny thing is how do all the new guys keep getting commercial cliants to contact them???? Doing this for 19 years and its hard to get work with 9 trucks out there and a huge shop right in town. Sry its just funny when a new guy is getting started he has to fend off all the calls. Im 97% commercial and have seen a ton of new guys come in and only last a few months because they break down or get tired of babysitting a lot at 3am. Thats not even mentioning workers comp and ins. and if you dont have wk or at least 1 mil coverage you have no biz bidding commercial. Just my opinion