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Seasonal Contract

Discussion in 'Business Fundamentals' started by Quality SR, May 6, 2007.

  1. Quality SR

    Quality SR PlowSite.com Addict
    Messages: 1,828

    I had some questions on seasonal contracts. Would it be a good idea to have seasonal contracts in areas that doesn't get much snow? I am on longisland New York. Last season we totaled about 13" Season before that over 30" (one storm we had over 2') Is this done monthly? or by the whole season? Is ice control included in the price or just snow removal? Any input would be great. Thanks Rich
     
  2. Quality SR

    Quality SR PlowSite.com Addict
    Messages: 1,828

    Anyone with any advice would be great.
     
  3. bribrius

    bribrius PlowSite.com Addict
    Messages: 1,609

    just write whatever you want down and at the bottom in small print write that you get five hundred dollars a mile per truck from when you leave your house..... and never put yourself in a position where you need to put it in reverse.

    just kidding. i honestly have little idea. im new. i know a friend of mine does contracts and he does it seasonally. not really much choice they bid seasonally for them starting in fall. i think his are x amount per storm , y amount additional for each time he has to come back within a storm, q amount additional for every inch over so many inches (or something like that). imagine sanding he includes differently, not sure about that.
    he mostly does companies and stores. i know hes pretty clear and concise over it because hes had past experiences with companies challenging how much the charges were. when in all fairness he usually CHARGES UNDER what he could in the contract to avoid grey area.
     
  4. Quality SR

    Quality SR PlowSite.com Addict
    Messages: 1,828

    Bump.... bump
     
  5. grandview

    grandview PlowSite Fanatic
    Messages: 14,609

    Buffalo's a little different from your area,but I only do seasonal contracts. My season is from Nov.1st to April 30th I bill monthly or 5 times for the season. Salting is extra. You could make a pitch to people that if they are under contract you will only take so many and they will have dedicated service.
     
  6. Quality SR

    Quality SR PlowSite.com Addict
    Messages: 1,828

    That sounds like a good idea. Thanks for the advice. Is there any type of formula to do it this way? Like is said we don't get much snow. Also more info on the salting. Thanks Grandview
     
  7. grandview

    grandview PlowSite Fanatic
    Messages: 14,609

    Do you do drives or commercial.
     
  8. Quality SR

    Quality SR PlowSite.com Addict
    Messages: 1,828

    Both, Last year was mostly commercial. This year i want to do more driveways.
    Drives:
    Around here the drives are 1 or 2 car wide. We also have side walks. I also think it is a law to clear them. Most people want the street in front of there house cleared as well. :realmad:
    Commercial:
    5 maybe 6 lots the biggest is just under 60,000 sf. (just the lot plowed and sanded) No islands, customers are specific on where the snow goes, 1 lot has 2 speed bumps. The lots are relatively new, no potholes, or manhole covers, (they have drains in the center but they are low) I will have a pickup with a 8' plow. I hope this all helps. Thanks Grandview
     
  9. grandview

    grandview PlowSite Fanatic
    Messages: 14,609

    When I did drives I billed them at signing, the first of Jan. and the first of March. The commercials I take in the whole view. For me what time do they open, are they 24 hrs. are they stores were you have to keep coming back to keep clean. Open weekends? Salting I only do if they request it and billed separate. I bill them 5 times in the season. Also for the seasonal customer they like the 3 payment plan and I tell them it makes me having to show up all season.
     
  10. Quality SR

    Quality SR PlowSite.com Addict
    Messages: 1,828

    Hey Grandview, They are not open 24. They all need it done between 8-9 am. Yes i will have to come back for the car being in the way. Yes open weekends. thanks
     
  11. grandview

    grandview PlowSite Fanatic
    Messages: 14,609

    Not sure if your looking for a price, but when I bid seasonal I'll figure a per plow price and multiply it by 21( ave. times I go out a yr.) then divide that by 5 monthly payments don't forget sales tax.

    Ex.
    per push 50.00
    x 21
    =1050.
    / 5
    = 210. per payment
     
  12. Quality SR

    Quality SR PlowSite.com Addict
    Messages: 1,828

    I just wanted a example. I got it. So seasonal will either make you or break you. Is this the same for commercial?
     
  13. Quality SR

    Quality SR PlowSite.com Addict
    Messages: 1,828

    In '06 i think we had 3 or 4 storms. '07 we had 4. I don't know if this would be a good idea for me. Maybe just on my drives.
     
  14. grandview

    grandview PlowSite Fanatic
    Messages: 14,609

    Yes. I all ways play the pass line. If you can keep them for 3 yrs you will make out. It's the old 1 for me 1 for you and 1 we break even. You can always pick up a couple of per plows and let them know your seasonal come first and them maybe they'll want to be one. Only do 1 year contracts easy to get out or raise the price.
     
  15. Quality SR

    Quality SR PlowSite.com Addict
    Messages: 1,828

    I'll give it a shot. Thanks for all the info.
     
  16. skissi01

    skissi01 Junior Member
    from USA
    Messages: 6