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US Maintenance Wachovia?????

Discussion in 'Business Fundamentals' started by XPECTATIONS, Sep 29, 2006.

  1. XPECTATIONS

    XPECTATIONS Member
    from SE PA
    Messages: 38

    We have been with First unoin and Wachovia for as long as I can Remember!!! We have gone through quite a few management companys, Name changes and never had a bad feeling about it! We have always been paid by FU/Wac. and have held the contract!!!! We always have been paid, sometimes slow but paid!

    I am sorry to say we did give Symboit $750.00 Aug. 2005! They tried to renew us in Aug.06 at a discount!!! Needless to say a Check with Symbiot on it will NEVER leave my office! They DO NOT owe us money!!! With this being said I will move on to my delima!!!

    Some may or may not know Wachovia Fired Symbiot and awared contract to US Maintenance! My Delima????? The contacted me, pitched me, and faxed me the prices for my(old/New) locations! 25%-40% of my previous prices!! Contract critera all the same, All the liability at 40% revenue!!
    A 40,000 sq.ft. site (plow salt and walks) $139.20!!!!!!! My price to plow in years(6yrs) past was plow$170.00 salt $270.00 walks $110.00..I would like to know how many contractors are signing with USM... It is my understanding all previous service providers have the first refusal!! USM stated to me they have allready signed 300 of 900contracted Wachovia Sites????? These to the best of my knowlage were previous providers!! No one WALKED!!! We have(between a few guys) 50 sites! WE are not exactly thrilled with the prices!!! Wachovia stunned us with this anouncement!!! We thought they were going to self-manage!
    Please let me know what you are doing!!!! Wachovia service providers only! I know all the problems with USM!!! It blows my mind, 1/3 signed in 14days!!! I am only stating the facts told to ME, And what was Faxed to my Machine!!!! Tony. Email or post!!! Sales@xpectsnow.com all coments welcome!!!!!
     
    Last edited: Sep 29, 2006
  2. SkykingHD

    SkykingHD Senior Member
    Messages: 368

    management companys

    I have seen the same thing here. Not for USM but another management company. The price of snow removal is getting less in our area! Equipment, fuel, wages, insurance and other operating expenses are increasing and the income from snow removal is decreasing. This does not make sense.

    All I can figure out is a lot of people are loosing jobs so they purchase a truck with a plow and figure they can make a lot of money. The automotive people are selling financing and equipment so there you go ... a new snow plow company.

    Most will not make it 10 years and the finance company will take back the equipment but in the time it takes for there company to go under, we have lost that work. Then the next year another person does the same thing.

    I know there is not enough profit in snow removal to mark up jobs 300%. So for anyone in right mind to expect you to do that job for 1/3 the cost is dreaming.

    You can loose money by staying home and keep warm, don't do it by working self into bankruptcy.
     
  3. plowed

    plowed Senior Member
    Messages: 344

    I would not believe anything of what they told you about contractors re-signing with them, especially at such low prices. You need to contact some of the other contractors and verify with them if they renewed. For what they are now offering you, you're better off walking away and finding other accounts where you can make money. Why would anyone take such a cut? These people are nuts.
     
  4. Mark Oomkes

    Mark Oomkes PlowSite Fanatic
    Messages: 10,857

    I'd say plowed and SkyKing have it pretty well covered. It has been said many times that USM has lied and lied and lied to contractors, so I wouldn't trust them either.

    Prices by us are going down a lot as well. I bid a lot at 12% less than my normal hourly rate because I wanted to try to get started in the area but also to see where I was compared to the other bidders, who I knew were bidding. Didn't get it, I was still too high. Just unbelievable what idiots in my area are doing to the industry. Took great lessons from someone I guess. Of course, the one did have 2 full time sales reps and 3 mechanics, they're now down to no sales reps and 1 mechanic. They were bidding at less than a 1/2-1/3 of previous prices. :eek: :dizzy: Found out they weren't making money, go figure.
     
  5. SkykingHD

    SkykingHD Senior Member
    Messages: 368

    Lowering Prices doesn't generate market.

    There is only one more thing I can think of with respect to lowering prices. To get market share company's reduce prices. This works when there is a market for your service. When you lower prices to get work when there is no market as we had here last year you do nothing but destroy the pricing of your industry in your area.

    With respect to last year: There was 75% less snow than in an average year. Nothing anyone could do about that. Some snow plow contractors think that if they lower the price they will get work. The first thing you need is SNOW then you have a market you can bid in. With the lack of snow we had last year I do not know why company's are lowering prices. This does nothing but destroy other company's in the area.

    But as we all know there are company's who bid below price of doing business till they go bankrupt. Some will default on payments and loans. We also see many trucks at the repo auction. Plenty of repo'ed plow trucks to bid on.

    When we get snow then the market will be here... we all can be happy again!

    Remember no snow = no market. If you have no market doesn't matter how low your price is you still have no work.

    Dave....
     
  6. GL&M

    GL&M Senior Member
    from PA
    Messages: 223

    My bid request from US Maintenance went right in the trash. They ripped me off once by non payment. They won't get a chance to do it again.
     
  7. mike33

    mike33 Senior Member
    Messages: 335

    Bobcatserviceery good time.

    I just re signed with them, i had good luck last year with them. I only have 1 lot with them but i make more with what they offered if i would of bidded it. Also i tiold them i needed a litttle more for salt this year and they agreed to it. They payed me last year in very good time.
    Mike
     
  8. rebel2002

    rebel2002 Junior Member
    Messages: 4

    WARNING US MAINT = Skull& Crossbones

    I recieved prices from US MAint on thursday that are all inclusive and lower than my 2001 prices with Wachovia/ Snow Mgmt Group. Also prices are equal to my cost to use Landscapers chioce ice melt. I have spoken with several contractors who have unpaid invioces that were authorized by US Staff some invoices overdue by 2 years. Guys (and gals) signing with this company could put each and everyone in harms way. I do not expect the contract to last to January 1 2007, I also know that the companies that were runners up in bidding have backup plans. Just my 2 cents let me hear back
     
  9. mike33

    mike33 Senior Member
    Messages: 335

    Bobcatservice

    I had good luck last year and even called my rep about things i heard on this site all negative and even give her this adress. She called me back i only had a bill in 2.5 weeks and said just to prove her company was legit she would over nite my check they actually did.
    Mike