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Plowing subdivisions

Discussion in 'Business Fundamentals' started by IndySnowPlowers, Nov 10, 2003.

  1. IndySnowPlowers

    IndySnowPlowers Member
    from Indiana
    Messages: 78

    Doing some things differently this year on pricing and really want to know what everyone thinks.

    A wiseman came to me one day and mentioned that I should bid jobs by the mile instead of by projected hours. That sounds great and I think it is, but after many years of plowing I finally had a great feel of how many hours a particular job would take with X number of trucks.

    I really like the simplicity of this method. Where have I been for 10 years?? Who out there bids jobs by the mile? If you have a subdivision that has 7 miles of road.....driving it one way only...would you charge them your dollar amount per mile times 7 or would you multiply it times 14 since you do have to do both sides of the road!!!

    FYI - I bid them out at my dollar amount per mile X mileage of roadways...driven one way only. I have a feeling I screwed myself on some, but I'll let you all decide that for me!

    Plow on!!

    Steve
     
  2. Joe3113

    Joe3113 Member
    Messages: 44

    I do not know of anyone that charges by the mile. I don't think I would have changed from charging by the hour. What is the trigger you have set to start plowing? Do you charge by the mile for 2-6", 6-9" ect.. What happen if the snow is coming down heavy and your trigger is 2" by the time you get to the seventh mile you maybe pushing 6" or more. IMO charging by the hour was the way to go.
     
  3. IndySnowPlowers

    IndySnowPlowers Member
    from Indiana
    Messages: 78

    good points

    there is a 2-6" price per push and 6"-12" price per push then I really take their money on 12"+ it's by the hour, per truck.

    These contracts are setup to where they pay by the visit, and supposedly they are 'ok" with that. If we have to come out twice, they get billed for two visits at the 2'-6" price, follow me?

    Maybe this way isn't the best, but it seems like a logical way to bid. Just rough changing old habits! Makes me second guess myself some!
     
  4. kipcom

    kipcom Senior Member
    from Indiana
    Messages: 455

    STeve......your starting to worry me :D how long does it take to clear 1 mile of road..Hummm about an hour ? not,,,,, by the mile you will come out ahead. It also keeps the "slow" pushers from runniing the clock up >> get it :dizzy:
     
  5. bob1

    bob1 Junior Member
    from 22
    Messages: 2

    Thats great as long as you take into account that often 1 pass isn't enought to clear a road. Sometimes it takes 2 or 3 passes in each direction depending on how wide the road, parked cars,intersections etc. So by the mile may not be the best way.