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Historically maybe, but gas prices consistently rose from July 2021 - April 2022.
If you base your contract on July gas prices, what makes you think you won't be paying more in January?
Less traveling after the holiday I’d imagine.
I haven’t heard the details yet but I hear there is larger landscape yard in the Flint area that has a 16% loading fee, as opposed to what a shovel? We have had questions on the phone asking if we load and other weird questions but wow.
Ran by a king?
 

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I haven’t heard the details yet but I hear there is larger landscape yard in the Flint area that has a 16% loading fee, as opposed to what a shovel? We have had questions on the phone asking if we load and other weird questions but wow.
Do they have rock bottom prices? Just asking for a friend, I don't buy landscape materials in flint.
 

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So what happens if fuel or salt skyrockets in price during the middle of the winter?

I see it as similar to a seasonal contract with a cap. I know my costs are going to be $X, based on an average season. And I'm willing to absorb even a little over average but extraordinarily over average needs to be recovered somehow. And to me it isn't fair to the customer to charge for that extraordinary overage just like it isn't fair to me that I don't charge enough to cover my costs.
 
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So what happens if fuel or salt skyrockets in price during the middle of the winter?

I see it as similar to a seasonal contract with a cap. I know my costs are going to be $X, based on an average season. And I'm willing to absorb even a little over average but extraordinarily over average needs to be recovered somehow. And to me it isn't fair to the customer to charge for that extraordinary overage just like it isn't fair to me that I don't charge enough to cover my costs.
Every business owner is a greedy billionaire. You should just eat the additional costs to help out your customers.
 

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So what happens if fuel or salt skyrockets in price during the middle of the winter?

I see it as similar to a seasonal contract with a cap. I know my costs are going to be $X, based on an average season. And I'm willing to absorb even a little over average but extraordinarily over average needs to be recovered somehow. And to me it isn't fair to the customer to charge for that extraordinary overage just like it isn't fair to me that I don't charge enough to cover my costs.
If fuel skyrockets higher than it is now, salt is going to go up as well, increase in material costs dictate higher prices :nod:
 

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I’m not really a fan of the word “surcharge” or “fee”
I prefer to just raise my rates. In the past, we’ve stipulated in contracts that rise in material costs will have a direct correlation to deicing services. Fuel usually has held pretty steady in the winter because the only time people are traveling are thanksgiving and Christmas.
Are you raising your mowing rates mid-season to cover cost of the recent fuel increases?
 

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Are you raising your mowing rates mid-season to cover cost of the recent fuel increases?
You guys should, I’m seriously thinking of raising my delivery pricing. For every 3 miles out i have to come 3 miles back and that’s a gallon of diesel or $6. plus dollars in the dump truck.
 

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Are you raising your mowing rates mid-season to cover cost of the recent fuel increases?
Raised them 12%, at the beginning, if it goes above 7 I’ll reconsider. But rec fuel is already above 6$ I’m not concerned about fuel, I’m concerned about quality labor, that scares me more than anything.
 

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Discussion Starter · #35 ·
New problem is year is drainage jobs. I gave a guy a price today on labor all supplies pricing is upon delivery. We have zero SDR pipe when you find it cost is 3.99 to 6.35 a foot. Stone pricing is quote for todsy tomorrow could be more..last job in two days supplies went up 523.15 in two days
 

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Are you raising your mowing rates mid-season to cover cost of the recent fuel increases?
If need be yes. Your in business to make money, not loose. If fuel goes up by a dollar a gallon you should be able to recover that cost, hence a clause in your contract. All in contracts I'm not a fan of, if we quote on them it's going to be worth our while, and I don't quote all in contracts multi year/season. To risky IMHO
 

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New problem is year is drainage jobs. I gave a guy a price today on labor all supplies pricing is upon delivery. We have zero SDR pipe when you find it cost is 3.99 to 6.35 a foot. Stone pricing is quote for todsy tomorrow could be more..last job in two days supplies went up 523.15 in two days
Not sure where you get your pipe from but check out frenchdrainman.com
 

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If need be yes. Your in business to make money, not loose. If fuel goes up by a dollar a gallon you should be able to recover that cost, hence a clause in your contract. All in contracts I'm not a fan of, if we quote on them it's going to be worth our while, and I don't quote all in contracts multi year/season. To risky IMHO
I like the flexibility and ease of a fuel surcharge. I will be adding it to June billing.

One of our HOA's is a three year agreement. Im at that age where I need to get a colonoscopy but I feel like Ive been getting one every month since April.
 

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For me I raised construction rates last fall. I raised again this spring for all new work. It wasn’t enough.

For snow, everything I have this year is new or just renewed. The new contracts mean new pricing. Some stuff I haven’t heard back on renewals yet. Some I’ll call on, others I won’t.

I’d rather lose money paying my guys to work on my house or the empire than lose my shirt pushing snow. Risks are high enough without losing $ going in.

Right now I’m on evaluation. Considering a fuel price cap, labor premium charge. Every company larger than me is complaining about no help-I have a full crew. I’m thankful for that.
 

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For me I raised construction rates last fall. I raised again this spring for all new work. It wasn’t enough.

For snow, everything I have this year is new or just renewed. The new contracts mean new pricing. Some stuff I haven’t heard back on renewals yet. Some I’ll call on, others I won’t.

I’d rather lose money paying my guys to work on my house or the empire than lose my shirt pushing snow. Risks are high enough without losing $ going in.

Right now I’m on evaluation. Considering a fuel price cap, labor premium charge. Every company larger than me is complaining about no help-I have a full crew. I’m thankful for that.
I did the same on construction.
On a job 35 miles from home, I've been tracking fuel costs. A week ago it was about $7/day more than in December. Not breaking the bank, but it is a real cost.
Just got a text from a client who needs a roof. I don't do roofing, but I can't imagine asphalt shingles are cheap these days. She's having trouble finding a roofer, so asked if I could give her some phone numbers.
I got a call from a friend who's nephew wants a basement build out, new kitchen cabinets and a bathroom remodel. I haven't seen the job, but a remodeling contractor told them $250K+ without looking at the job. They didn't even ask to see the job when they told them it was over their budget.
We just did a basement build out for a little over $90K with cutting out concrete and plumbing under the slab and an egress window.
They already have an egress window and plumbing under the floor roughed in.
Its getting to the point where I think I'm leaving money on the table.
I think in ongoing service, fuel caps and surcharges are necessary.
 
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