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How much to charge for 5 gas stations?

Discussion in 'Business Fundamentals' started by zippoz, Nov 26, 2004.

  1. zippoz

    zippoz Member
    Messages: 64

    i was planning on subbing out this year to a company about 15 miles away from me in the chicago suburbs. however this last wednesday they did not even get 2 inches up by them but by my house i recieved 4+ inches.

    since i did not have anyone to sub for i went out and looked for some un-plowed lots/gas stations leaving my card and phone num,ber if they needed service. the next day i was called by a manager of 4 different gas stations. they wanted all of their lots plowed.

    since alot of the snow had mleted allready and yet other snow was frozen into sheets of ice i could not remove i told them i would do them all for $50 a piece for that day only, and had them sign a one day contract waiver and so on.

    now they want to hire me for the rest of the season for the origonal 4 gas stations and now a 5th as well. and i do not know how to charge them, i dont want to go too low basically. this is my first year, and i was planning on subbing out but with this new development i would be beter off on my own financially speaking.

    the thing is they want all of their drives clear at all times (they all have 4 entrances and are off of major roads in the area) and they also want the car wash entrance and exit to be kept clear, most of which has to be shoveled by hand.

    currnetly my pre formed contracts look like this
    2-6" x dollars
    im thinking that i should break this down some more, so that it looks like this
    baisically every 3 inches a price increase.. but by how much.
    also they want me to salt, i will need about $12 dollars worth of salt for each lot (100lbs) and that gets spread by a push spreader, and ill need to shovel at each station as well.

    i told that the $50 i charged them was for one day only and that it was a low price for the service i provide considering i didnt have to clear the drives during the storm. and that half of the snow had melted.

    if youre still reading i thank you, and im not trying to low-ball anyone. i just want to get paid up with the industry standard.

    also i was wondering if i should give them some sort of discount for doing all of this business with me, and they are also able to pay me cash at my request.

  2. Tarkus

    Tarkus PlowSite.com Addict
    Messages: 1,113

    Go luck, I do not do gas stations (only in a pinch when they have been stiffed and I have time) because on the way they have all of the files sticking up (here anyway) that can be fun to plow. Do not bid it too cheap because they can be a pain.
  3. Dwan

    Dwan Senior Member
    Messages: 879

    What ever you come up with be sure to add a adjustment for each time the price of gas goes up.

    1. How long does it take to do each station?

    2. How much do you need per hour to run your business including profit?

    3. How much do you feel you can charge them and stil get the job?

    4. is answer 3 more then answer 1 times answer 2?
    if yes then go with that price.
    if no then raise answer 3 till it is more then answer 1 times answer 2.

    Simple yes? no?
  4. cet

    cet PlowSite Fanatic
    Messages: 7,257

    100lbs of salt is not very much. If you are plowing and you are only salting a dusting that is left then maybe. What if it snows 1/2". You will need more then 100lbs. When you get a little bigger and use even a tailgate salter, you will spread 100lbs very quickly. In an icy condition I can use that much on a good size driveway. If you are spreading bagged rock salt I think you can buy a lot more then 100lbs for $12.00. I wouldn't salt anything for less then $75.00. I would price them to make money and don't forget the insurance.