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How to price a lot?

Discussion in 'Bidding & Estimating' started by vmj, Aug 29, 2012.

  1. vmj

    vmj Senior Member
    from conn
    Messages: 752

    Every thing i read is saying $110 + an hour for plowing. What if the lots dont take an hour to do.. And how do u up the price for multiable times back and mor inches of snow on lot between plow times?
     
  2. grandview

    grandview PlowSite Fanatic
    Messages: 14,609

    Per plow or seasonal. Full price each time you come back. Or if seasonal ,keep plowing till it's clean.
     
  3. TCLA

    TCLA 2000 Club Member
    Messages: 2,699

    * Minimums

    * Minimums

    * More depth = more $$$
     
  4. BossPlow2010

    BossPlow2010 PlowSite.com Addict
    Messages: 1,035

    Plus salt :nod:
     
  5. vmj

    vmj Senior Member
    from conn
    Messages: 752

    thanks for the help understanding this.........
     
  6. Mick76

    Mick76 2000 Club Member
    from Maine
    Messages: 2,157

    Whats YOUR profit margins at $110 per hour? Have YOU figured that out yet? Just because someone else is charging that doesnt mean you should. Figure out what YOUR costs are and YOUR desired profit margin and bingo theres YOUR rate. Maybe itll come in less and you'll get more work because of it. Maybe you'll be too high and get no work(if thats the case your doomed from the start and better to find out now then bankrupsy later)

    Food for thought
     
  7. vmj

    vmj Senior Member
    from conn
    Messages: 752

    i figured it at 100 but i have two small lots that take 20min.. wonder how to charge them, and what to go up by after so many inches.
     
  8. grandview

    grandview PlowSite Fanatic
    Messages: 14,609

    20 minutes is a per push price. or at your rate 50 bucks.
     
  9. Wayne Volz

    Wayne Volz Senior Member
    Messages: 694

    Great answer

    Great post Mick76.

    If we keep beating that drum maybe the music will sound good. If anyone needs help calculating their cost per hour of operation, Check out a CD titled Know why you charge what you charge at www.profitsareus.com. This is an excel spreadsheet that you simply fill in the blanks with your company's information such as cost for equipment, finance rates if financed, use-rates, overhead and desired margin. Take the guesswork out of your hourly rates for any service that you offer.