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New to the business- need pricing help!!

Discussion in 'Bidding & Estimating' started by peeklandscaping, Jul 26, 2013.

  1. peeklandscaping

    peeklandscaping Junior Member
    Messages: 22

    Hi all, This will be the first year I am running a snow plow for my business. Have a few questions about how you price residential. Do you charge by the length on the driveway? At what snow depth do you plow? Do you only plow when the snow has stopped, or do you continue to stop by and plow during snow storms? Is sanding/ salting extra, or included in contracts? Any sample contracts I can see for my own use, or as an example?
    A lot of questions, but I want to get this right! Thanks:waving:
  2. road2damascus

    road2damascus PlowSite.com Addict
    Messages: 1,845

    Hello. I do residential. I have a specific amount i want/need to make per hour per vehicle. Included in that hourly rate is my costs (paying drivers, vehicle maint., equipment costs, gasoline, insurance and any other business cost plus the profit I want/need to make). I look at driveway as to how long it will take to drive there and then to plow.
    My scale per snowfall is
    2"-5" snowfall one plow, one charge
    5"-10" snowfall two plows, two charges
    Basically every five inches and I do give them a plow everytime I charge. Some guys wait for the storm to be over. In my mind, if i charge double they will get double the service. Its much easier on the equipment as well.

    I don't plow till 2" in most cases but I do have some that like it done at 1"

    Salt or sand is extra. Most will not want it as it tends to double the price per visit.

    Shoveling walkways is extra too.

    There are sample contracts here on plowsite but unfortunately I don't have a link to them. I took one and did a lot of modifications to suit my needs. Its now three pages long ;-)

    Good luck. Feel free to shoot me a personal message anytime. It is important that you do, do it right in the beginning. It will be the difference between success and failure for you AND it effects pricing of snow removal for contractors around you.
  3. peeklandscaping

    peeklandscaping Junior Member
    Messages: 22

    Thanks for the helpful reply! So what sort of hourly rate would you price? How long would it take you to do a drive? Or would you price by sq ft or similar?
  4. grandview

    grandview PlowSite Fanatic
    Messages: 14,609

    Seasonal price,it snows you plow,If it don't snow you drive to the bank and deposit the money.
  5. RLM

    RLM PlowSite.com Addict
    Messages: 1,270

    Pricing & area standards will vary by region. That's the best I can tell you, know your costs, figure labor & profit.