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what are seasonal cost? How much to charge ?

Discussion in 'Commercial Snow Removal' started by ozman, Sep 3, 2001.

  1. ozman

    ozman Junior Member
    Messages: 6

    I was toled that I should be charging seasonal cost, Should I be? And if anyone can give me any ideas On what would be considered seasonal cost ? and how much I should be charging for them.

    I will be doing apt. complex and condo's

    I have two 3/4 ton chevy v-plows and backblades
    two snow blowers
    tailgate salter

    Thanks for any help!
  2. plowking35

    plowking35 2000 Club Member
    from SE CT
    Messages: 2,923

    How you go about charging for snow removal depends entirely on what you feel comfortable with.
    Again if you join SIMA all this info is at your finger tips. I write the following against my better judgement, because you should really join SIMA to get specific pricing and contractual language.
    But in a nut shell for seasonal pricing.
    You need to factor a few things.
    First you need to figure out what your per push rate is going to be, next you need to factor how many times you are going to service that property in an average winter. Mulitply those two numbers and that will ball park the estimate. You also need a fudge factor in there as well, and a profit margin.
    One also needs to adress the over/ under of a season, so a multi year contract is usually a must.
    It can get complicated, and if this is your first year plowing this site, unless you are real comfortable with your per push numbers, which is what the contract is based on, I wouldnt do it. Either hire a consultant that will fine tune the estimate for you, or do the plowing per push. If you way under estimated the cost either you can get out, or make up for it in extra pushes. Meaning charge for every time you plow the property, not for storm totals.
    Add to the per push rates, that you are going to charge for 2 plowings per month, and that you will bill against that charge as storms happen. That way you have money coming in all season.
    As you can see there is alot more to look at than shiney trucks and plows. SIMA is a real asset to any one who plows, whether new to the game or a seasoned pro.
  3. 75

    75 PlowSite.com Addict
    Messages: 1,382

    With regard to estimating how many times per season you expect to provide service, it's a good idea to look at precipitation records for your area and go back quite a ways - 10 years for example - to arrive at an average figure. This ties in with the idea of offering a multi-year contract.
  4. CT18fireman

    CT18fireman Banned
    Messages: 2,133

    As a side note I make it a point to write down the weather on my calender everyday. Summer and Winter I have records for the last 8 years. This helps me in contracts and remembering business from year to year.