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question on sub work

Discussion in 'Business Fundamentals' started by ALEX516, Nov 12, 2003.

  1. ALEX516

    ALEX516 Senior Member
    Messages: 103

    I have an oppuortunity to take on a few locations from someone who has a contract with a power company.

    He has a contract from which I assume he's already received money for. He wants me to give hourly pricing on plowing/ sanding/ and shoveling. I believe he wants an all inclusive price, but I don;t know how I would do that.

    The properties need to be hit any time there is anything frozen on the ground, regardless of amount, If there;s enough to plow, it needs to be plowed, if it;s frozen, then it needs to be sanded,etc...

    How or rather what would be the best way to accomplish this, I don't want to give seperate pricing for everything and nickel and dime it, nor do I want to come out of this work at a loss.

    I have a few trucks we use, but these properties would likely have one truck servicing them regularly and it's a f450 with 8' plow and full size sander.

    What would or should my pricing schedule be for this kind of work?

    I'm new to subbing and only know what I would actually bid the properties per push and don't know where to start....

    What should I have and what should I be careful for in the contract that we'll be preparing in the next few days for them?

    We're insured but I've been told they just want a copy if my insurance and I don't need to name them or the peoperty owners as additional insured. (the co that holds the contract said this)

    Anyone have input here, it would be greatly appreciated.

  2. JustUsDe

    JustUsDe Senior Member
    Messages: 181

    Different areas have different rates. I can tell you that I pay my subs that have insurance, a good truck, a nice plow, and experience $65.00 an hour. As far as shoveling goes I can't help you I don't do it at all. When it comes to salting/sanding You can give him a price per ton applied. Based on his experience with the properties he should be able to figure out about how much product you need.

    I hope I helped you some,

  3. ALEX516

    ALEX516 Senior Member
    Messages: 103


    What kind of a markup should I be thinking about ?

    I know the price per cubic yard to purchase, but other than that I'm lost as I've only done plowing, am new to sanding on my own and also to subbing out...
  4. JustUsDe

    JustUsDe Senior Member
    Messages: 181

    Here in Delaware I can buy bulk salt for 45 to 55 a ton. With all the competition I can only get about 100 to 125 per ton applied. Many on here say they can get around 200 per ton applied. But I can't around here. Hopefully someone in your area can chime in and give you the going rate per ton applied. Then you you can see what your cost is and see what kind of profit there is for you. If you look in the ice section on this site I asked for conversion info from cubic yards to tons and someone did reply with a conversion for the different types of salt.