Actually you would be better off charging by the cut than trying to achieve an hourly rate. If you are a collage kid hoping to pick up a few extra yards this summer to make some extra money you can't compete against a Professional Lawn Maintenance crew that's doing it for a living especially if you are a solo operator. The Lawn maintenance guys are going to be faster and have the equipment, ZTR's Trimmers, Hedge trimmers, pole saws edgers, anything they need and two or three of each to do the job that needs to be done or that the client wants done. If I were you I'd find a Sub-division with small lawns that you can cut,trim, edge and blow off in 30 minutes, charge $17.50 to $20.00 a cut, two in an hour and you can get you into your 30 to 50 an hour.
This discussion of by the hour vs by the cut is discussed all of the time. Truth is however the only way most people, myself included know how to base a per cut price is by how long it will take to cut it. If you have a customer that has a yard that will take you an hour to cut and you charge that person $50 they will probably hire you. However if you tell that same customer you need $50 per hour they are liable to thank you and get another estimate.......
Any way you slice it dice it or figure it you are charging per hour of usage on your equipment and per hour of your time and however you word it dollars per hour is going to be your final measuring stick.
It seems to me that an owner operator with a decent sized ZTR could compete with a Large commercial operation because you don't have near the overhead expenses.. it may take you longer to complete the work but everyone places a different value on their time...depending on the amount of time someone has to complete the job...basically if you have alot of time on your hands then your time value decreases
It seems to me that an owner operator with a decent sized ZTR could compete with a Large commercial operation because you don't have near the overhead expenses.. it may take you longer to complete the work but everyone places a different value on their time...depending on the amount of time someone has to complete the job...basically if you have alot of time on your hands then your time value decreases
Yeah, IMO I think at least sometimes that is true. Like more example, me....I use smaller equipment so there is less I have to pay for: less gas, etc. It does take longer, but if I can finish all the lawns I have in the week and don't turn anyone down, I am still doing good. But on the flipside, you can't take on the larger commercial accounts, and also it does take longer, so the big operators win against you on that.
Yes LMF you don't have the overhead but you don't have a business either. Do you have a license? Do you pay taxes? Do you pay Insurance? Do you pay into your SS? Do you keep records of every expenditure you make? You pay all those fees and more and tell me how good your doing. Thing is I have a pretty good little business, I'm running between 75 an 80 clients a week 15 in a 4hr day and at the end of the year after expenses I do alright and I pay my bills but honestly I can't compete against the larger commercial operators.
Yes I am going to have to pay taxes this year, but you are right....you can do 15 lawns in 4 hours....I can do 5 in 4 hours....that's where you make the money.
Do you have a license?
Getting one next year. For what I started with I didn't need one but now I do. How far up from $25 do you think I can raise my prices and still keep my customers?
P.S. Sorry to jack this thread.
I don't think I'd try to raise your prices. That would be a good way to price yourself out of your clients. If it were me and you tried raising your price any higher I'd start looking for a professional to do my lawn with professional equipment. I mean really if I'm going to pay a professional price I would want the Pro and his equipment to go with it, not the neighborhood lawn boy. That's what I've been trying to say, you can't compete with the large commercial operators, you don't have the equipment or the knowledge to do it.