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What percentage of contract to pay subs?

Discussion in 'Commercial Snow Removal' started by Michael F, Dec 2, 2000.

  1. Michael F

    Michael F Senior Member
    Messages: 203

    I wanted to know what percentage of a contract (face value) do you pay a subcontractor? We get roughly 90-100 inches of snow a year, 15-20 events. Thanks
     
  2. John Allin

    John Allin PlowSite.com Addict
    Messages: 1,327

    Most contractors I know that use subs, pay subs by the hour and charge by the push. More profit that way. If you're a SIMA member, most members will assist in educating you if this doesn't feel right to you.... but my experience is that this is the preferred (although, not only) method.
     
  3. Nebraska

    Nebraska Member
    from Midwest
    Messages: 32

    Ideally what percent of total revenue off snowfall would you like as subcontractor expenditure? 25%??? We are using 7 subs and I am at about 22%.