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charging for salt by the bag

Discussion in 'Ice Management' started by IA snoman, Jan 4, 2005.

  1. IA snoman

    IA snoman Senior Member
    from Ia
    Messages: 153

    I think I have seen some prices in here on salt spreading but i don't remember what they were. One of my competitors charges $18 per 50 lb bag of salt. What do you guys think? I think this sounds high. Don't get me wrong, that would be good money imo, just don't want to piss off new client. After all they left them for me. I salted one lot and used 22 bags of salt. That would be $396 for salting the lot. :eek: Isn't that high? I did spread it by hand since I just picked up some salt accts. this winter. I suppose I could of used more salt than if i would of had a spreader. Please help! I have went through a pallet of salt and don't know what to charge. Thanx guys I know I can count on you :salute:
  2. IA snoman

    IA snoman Senior Member
    from Ia
    Messages: 153

    By the way, I am intending on buying a spreader as soon as I get paid for all this work.
  3. Mowey9

    Mowey9 Member
    from Iowa
    Messages: 93

    Well the way things are going right now in Iowa (Des Moines anyways) you cant even buy a bag of salt or ice melt for less then $18 for a 50lb bag. I know here in town every place is sold out except a few and they are charging almost $20 per bag and they still went thru about 3 pallets each the last two days. I wouldn't price gouge them, but it is supply and demand right now. I know I didn't answer your question but that is just some food for thought.
  4. The Boss

    The Boss 2000 Club Member
    Messages: 2,099

    I buy ice-away from Home Depot for $3.97 per 50lb. bag.
  5. Grn Mtn

    Grn Mtn PlowSite.com Addict
    Messages: 1,644

    22 bags hand spread? are you nuts

    Snowman, It really just comes down to what you are comfortable with charging. If you think you can cover your expenses by charging less, than do so. Just keep in mind a couple of things: 1) Salting is insurance to help prevent lawsuits. 2) Nothing is cheep about salting IE. the cost of the eq, time spent obtaining the product, storage, excessive wear and tear due to the weight and corrosive nature. 3) Not everyone has salting capability, so you CAN charge a premium, and in this day and age of Low-Balling, why not enjoy a little well earned profit

    22 bags hand spread? are you nuts :p
  6. IndySnowPlow

    IndySnowPlow Senior Member
    from Indiana
    Messages: 214

    Try this......

    1) what is your cost per pound ?

    2) Cost per lb.$ + Mark up = $$

    Example: your cost is .04cents per pound (50lb bag $2.00)

    You charge: .25 cents per pound applied to customer (50lb bag $12.50)
    *** Profit is $10.50 per bag -(minus) your expense/overhead.
  7. grotecguy

    grotecguy Senior Member
    Messages: 148

    I'm charging $15 or $20 per bag spread. I charge it out at $20 and if they squeal I knock it back $5.

    I have to pay for that spreader somehow,
    Mark K
  8. norrod

    norrod Senior Member
    Messages: 113

    For Salt: My current customers are grandfathered in at $17.50 per 80-pound bag. New customers will get the 2004-2005 rate of $20 per 80 pound bag.

    I do not charge an application fee, just by the bag.

    If they squawk, I remind them that I am the one watching and forecasting the weather. I am the one who maintains a working truck and spreader. I am the one who gets up by 4:00 am when it's 3 degrees, and loads those 80# bags into my truck. By the 12th bag, I am ready to go back to bed :sleeping:

    It can be a good profit, but is is not effortless. So far this year, I would not be making ANY money if it were not for the salt bidness.
  9. grubenator

    grubenator Junior Member
    from wi,mn
    Messages: 21

    salt priceing

    well for prices i charge $20 a bag and its 20lbs a bag i then also charge a $50 application fee if i use more then 5 bags, and none of my customers make a big deal,
  10. Runner

    Runner Senior Member
    Messages: 957

    Wow! Is it really that much per 50# bag at your Home Depots out there? Here, it is around $3.00 per bag (50#) at Home Depots and Lowes. I pay $148 including tax per pallet (49 bags) of 50 pounders, and $116 per pallet of 80 punders (30 bags). Our bulk salt is around $120 for a yard and a half (closer to 2 tons). It is stiil incredible but even more interesting to see the price differences throughout the country in not just salt (ing) prices, but for plowing as well.
  11. wls

    wls Senior Member
    Messages: 319

    In Mt. Pleasant, its 2.96 for a 50lb bag, up in Houghton lake, its 3.97 per 50 lb bag, but up in Houghton lake, they will sell it to me for the same price as Mt. Pleasant, as long as Mt. pleasant sells it for that
  12. Runner

    Runner Senior Member
    Messages: 957

    Just out of curiosity, when you get it from HD, do (will) they just load the whole pallet for you?
  13. PLOWMAN45

    PLOWMAN45 2000 Club Member
    Messages: 2,951

    i mark my sand /salt 150% and if i do a pkg lot or a prvt rd i do a 300% mark up
  14. The Boss

    The Boss 2000 Club Member
    Messages: 2,099

    I don't like the price either. :mad: But, I get $25.00 a bag to put it down so I make up for it. :nod: :waving:
  15. cleancutccl

    cleancutccl Junior Member
    from 6
    Messages: 8

    I wish I could get salt that cheap, a 40# bag of ice melt is $7.97 at HD and they won't offer discounts on palets. A 50# bag of just rock salt is $5.57. And right now I only get 18.00 a bag for the stuff. Does anyone know of a supplier that can get it to the Kansas City area for less than these prices?
  16. Wolfies L&L

    Wolfies L&L Member
    Messages: 35

    A newbies ponderings... what if you dont use the whole bag-maybe just 3/4 of it. Would it make sense to charge 3/4 of the price of a whole bag?

  17. wls

    wls Senior Member
    Messages: 319

    I take my f-350 dually, and they load it, pallet and all. I wish I had a fork lift at home. :)
  18. IA snoman

    IA snoman Senior Member
    from Ia
    Messages: 153


    Hey green mountain I spread a total of 57 bags by hand :eek: Oh well helps pay for a new spreader :drinkup: :redbounce
  19. The Boss

    The Boss 2000 Club Member
    Messages: 2,099

    No way. Even if it's only a half bag, they get charged for full one.
  20. IA snoman

    IA snoman Senior Member
    from Ia
    Messages: 153

    all the way! You don't charge buy the minute to plow do you? You have time and effort invested in that salt get paid :nod: