Per push rates?

SilverBulletSS · January 13, 2012

Hey guys, just a quick question, as you guys know I got myself a truck to join forces with my cousin this year. I just have a quick question regarding per push rates.

We cleared 2 properties today that were both charged $75 per push, my issue with this, one lot is 15,000 square feet, the other is almost 40,000 square feet. Now correct me if im wrong shouldn't the push rate for the larger lot be 2.5 times the price of the smaller one.

I figure it as $75 for 15,000 square feet, so why not $175 for 40,000 square feet??

If you ask me these rates are still low to begin with, just reading posts on plowsite i've seen guys say straight out they won't drop their blade for under $125 minimum...

I'm just trying to get an idea of how to price these lots, cuz in my cousins words, if he doesn't stay cheap they'll give the contracts away, yet gas, maintenance and cost of living are going up, why cant our service rates??

Oh and he's an amazing negotiator, we recieved a call from a Days Inn looking for a better quality crew to maintain their lot. I told my cousin to start his quote high and negotiate with them, I said start at $200 and give yourself room to work with, this lots almost 45,000 square feet. The guy on the other end said I'm paying $125 now your way too high, my cousins counter offer???? $130!!!! WTF what kind of negotiation was that? The kicker, the lot hasn't been touched and we were told to be there at 10am to service the property, we get to push 8+ inches for $130, oh and split that in half and thats my cut.....

Please chime in guys and let me know what direction to take next....

Thanks

James

mc7719 · January 13, 2012

*posted in error, sorry pls delete*

SilverBulletSS · January 13, 2012

Delete? If this post isn't a proper post I can remove it. Sorry guys just lookin for some direction from seasoned Okie guys.

Plow guys**

mc7719 · January 13, 2012

No no sorry! I meant "Delete" MY post.. Not yours.

I replied to the wrong topic, and it wont let me delete it myself. lol sorry for the confusion.

becker87 · January 16, 2012

Thats way to cheap imo. For just pushing snow into a pile you should be at a min. of $125 per hour per vehicle. If that parking lot was open, no cars, no cement barriers to go around just an open lot it shoudln't take that long, but if there is obsticles in your way you have to account for that in your bid. Don't ever be afraid to say no, if you can't make money on a job you shouldn't do it.

SilverBulletSS · January 16, 2012

Thank you so much man, here I thought I was crazy for trying to convince my cousin that he's low balling. The one gas station we plow the owner has to turn of the pumps so we can actually put our plows down, if not we're plowing around cars. And the Days Inn, stocked full of cars, it's actually part of the park and fly system thru O'hare. He's afraid to raise his prices cuz, as he states, I've plowed for them for 6 years, if I raise my rates they'll tell me to F off. If thats not enough, his truck dies everytime we are out, last week after two lots it died on its way to the third, so I pushed his ford to the nearest gas station and my truck did the work the rest of the night. My 23 year old GMC 2500!!! And when i told him my cut on those jobs should be higher just to offset fuel costs he told me I was nuts....

txab · January 16, 2012

Sounds like you need to tell your cousin to "F" off. He appears to be a very poor businessman. He's taking adavantage of you from your description. Do y'all even carry the required insurance to cover damages that you might do?

waumo1 · January 16, 2012

Remember - you can sit at home in the warm and go broke. No need to go out and work and still go broke. If you can't make money at it, don't do it.

8.1HD/ALLISON · January 17, 2012

+1 on above. There is no way you can even think about comming out even with those rates. Way to cheap.

SilverBulletSS · January 17, 2012

I am fully insured, i carry a nice sized residential liability coverage and all my commercial contracts get copies of my insurance to their specs, so if they need a quarter million, I call my agent give him the info and he writes up the policy, and emails it to me. Then tacks on the increase it would be for a higher limit to my premium. So I'm covered on all bases I can get insured for up to 2mil if the property owner requires it.

I just put in a bid for a small lot for Just Tires, $125 per push up to 4" and $100 for salt, $30 every inch over 4".

My neighbors kid works there and was asking if I would do the lot, I find out tomorrow if they liked my bid.

Residential I charge $30 to plow and shovel sidewalks up to 4", $20 for salt. $5 an inch over 4"

Thanks for all the responses guys, I truly appreciate you guys taking the time to help me out!!!

sonjaab · January 18, 2012

Prices almost everywhere are now dirt cheap thanks to the lowballers and the nationals

killing the market! Along with the lousy economy you can only get what the market will

bear.

It just kills me that the property owner wants to pay $h*t money and then complains that

the current plow guy does a sh*tty job ! But thats the way it is !

GasHog369 · January 19, 2012

Best thing to do is get a contract for the season.. My work hired a guy for the season for $1500 i believe. So far the guy came twice , he's making out big time! But usually buffalo ny isnt this nice to plow drivers.

BTW, You sound like you are carrying your cuz on your shoulders. Using your truck more should = more $ for you! Also If your cuz has been plowing for the same company for 6 years and is keeping his bid the same, He dosent know wtf he is doing! As long as he has done a great job for said buisness, gets there on time, every time it snows over contract inches, he should have negotiation room to raise the bid a little. A company is willing to pay a little more for someone they know they can trust compared to hiring some random jackazz who came in a little cheaper.

Last year at my work the guy barely showed up, and or showed up in the middle of the day when the lot had cars when he could have come after work or before the store opened. Now even tho he was cheaper he didnt get the bid for this year.

SilverBulletSS · January 19, 2012

He does do a great job, when his ford runs, he's dependable, on time. His excuse for not raising his rates is cuz he's becoming friends with these people and if he raises his rates they will get mad and tell him to F off. He said sorry cuz I don't do business like you do, you don't know anything about this business. If I raise my rates they will take jobs away from me. I was like really, cuz the reasturant owner who's ass your always up, 1 owes us money for decorating the place from 2 months ago, and 2 took all three of his lots away from you!!!! Soooo who doesn't know the biz now? My cousin is just a jackass, he immigrated to this counrty from Iraq 15 years ago and thinks he's a business man know. Yet he can barely speak proper english, I was trying to be helpful to him, hell we havent even gotten paid for the few lots we serviced last week. I think im going to stick to picking up residential work and tell my cousin to stick it!

Thanks again for being helpful guys!!

txab · January 19, 2012

He does do a great job, when his ford runs, he's dependable, on time. His excuse for not raising his rates is cuz he's becoming friends with these people and if he raises his rates they will get mad and tell him to F off. He said sorry cuz I don't do business like you do, you don't know anything about this business. If I raise my rates they will take jobs away from me. I was like really, cuz the reasturant owner who's ass your always up, 1 owes us money for decorating the place from 2 months ago, and 2 took all three of his lots away from you!!!! Soooo who doesn't know the biz now? My cousin is just a jackass, he immigrated to this counrty from Iraq 15 years ago and thinks he's a business man know. Yet he can barely speak proper english, I was trying to be helpful to him, hell we havent even gotten paid for the few lots we serviced last week. I think im going to stick to picking up residential work and tell my cousin to stick it!

Thanks again for being helpful guys!!

He does do a great job, when his ford runs, he's dependable, on time. His excuse for not raising his rates is cuz he's becoming friends with these people and if he raises his rates they will get mad and tell him to F off. He said sorry cuz I don't do business like you do, you don't know anything about this business. If I raise my rates they will take jobs away from me. I was like really, cuz the reasturant owner who's ass your always up, 1 owes us money for decorating the place from 2 months ago, and 2 took all three of his lots away from you!!!! Soooo who doesn't know the biz now? My cousin is just a jackass, he immigrated to this counrty from Iraq 15 years ago and thinks he's a business man know. Yet he can barely speak proper english, I was trying to be helpful to him, hell we havent even gotten paid for the few lots we serviced last week. I think im going to stick to picking up residential work and tell my cousin to stick it!

Thanks again for being helpful guys!!

That's your best bet.

SilverBulletSS · January 19, 2012

LOL thanks Bro, btw anyone what happened to HEN AVENGER, well i know his new username is SEE YA. I haven't seen a post or response from him in a while now?