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tips from business owners!


Czlowiek Drzewo
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what are you getting?

 

Bandit hb20 sidewinder, I need to call the lad to confirm it yet just waiting for some money to transfer into my english account.

 

BTW Mike I was not refering to you been too expencive in my coments when you did those stumps for us a few years ago you did us a good deal but your just too far away to use.

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Bandit hb20 sidewinder, I need to call the lad to confirm it yet just waiting for some money to transfer into my english account.

 

BTW Mike I was not refering to you been too expencive in my coments when you did those stumps for us a few years ago you did us a good deal but your just too far away to use.

 

No worries, when you said local I realised.

As for the bandit... you going to get fit using one of those all day!

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The most prosperous area in the UK is the South East, I bet you'd be hard pushed to find the majority of 2 men arb teams that operate in that area are turning over 80K per year.

 

Not because the money isn't there but simply because there are so many arb companies fighting for the same work it pushes the average price of treework down. Maybe they all aim for 80K but rarely achieve it.

 

Your in the fortunate position of working in an area with a relatively low number of arb companies (compared with the South East), added to this a relatively wealthy client base, so for you 80K seems realistic, for many others it will seem out of touch with their own particular situation.

 

I do agree in general that we should all charge more - but we're all to a greater or lesser degree controlled by the economic situation of the area in which we operate.

 

For many people this will probably mean going in relatively low to guarantee the work and keep the company ticking over.

 

:congrats::congrats::congrats:

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Tim, Dave, I know there are regional differences, however I still stand by my posts.

 

All my life I have been an arrogant know it all, just ask my school teachers! I see a problem and I instantly have an idea how to proceed, it may not be the right idea but I have always had a very firm belief that I am right and my methods will succeed. This has been a problem and I have had to learn how to learn from others, AT has been a great help to me as well. This is just the way I am made and it has one big advantage, my positive outlook and self belief keeps me going and gets me where I need to be. I honestly believe that it is possible to charge more and still find plenty of work, wherever you live.

 

Don't get me wrong, we work really hard, today we have felled a 4 stemmed 50' willow, 2 stems winched out of a river, driven to another town felled a 65' ash, a small sorbus, a 40' oak, monolithed a 80' beech and taken a broken top out of a 60' oak. we finished after dark, the lads will get paid a little extra when the contract is done as a reward for the extra hours they have put in.

 

There are loads of tree surgeons round here, ( and now Matin as well) and there is plenty of money in Glasgow as we were discussing the other day tim.

 

If you believe that you can't charge more then that is what will happen, If you believe you can then you will. Changing your beliefs isn't easy but it is possible.

 

For you non vat reg guys consider this; there will be vat reg co's on your area, and every now and then you will beat them on price and you will know that you beat them. You'll feel great and this will re-enforce your belief that you are right to be doing what you are doing. Yet you will still see this competitor around, and he will still seem to be busy. How is he doing it? you're in the right aren't you?... He makes his business work and you can either continue to work in his shadow, picking on the scraps that fall from his table, or rise to the challenge and compete with him and see what happens.

 

You make your own luck in life. No one else will do it for you.

 

I make no apologies for being evangelical on this subject.

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Tim, Dave, I still stand by my posts.

 

 

you should, the way you've framed them using rational thought makes them seem quite plausable.

 

 

If you believe that you can't charge more then that is what will happen, If you believe you can then you will. Changing your beliefs isn't easy but it is possible.

 

 

Changing my beliefs isn't going to change the way my customers behave.

 

 

He makes his business work and you can either continue to work in his shadow, picking on the scraps that fall from his table

 

I regularly quote against VAT registered companies for large private/residential jobs, most times I win, the reason I win is because I made a decision not to be a tax collector for the government which is what all you VAT registered companies are doing.

 

Being VAT registered will help you get that Council contract for sure, but thats about as far away from the kind of work I want to being doing as you could get. If you want to run around after half baked civil servants barking orders down the phone thats your perogative.

 

Private and residential clients represent a goldmine to me, they pay well, they tell their friends about me and they're not interested in having VAT added to their bill I can assure you of that. The work is top end and interesting and thats where I want to be. This year I am ceasing all my commercial work to concentrate on private residential treework. After this year there will be no more commercial contracts. I'm leaving stuff that for the so called, 'bigger companies' with their vast array of plant and machinery.

 

I'm not in treework to be a millionaire Tom, if I wanted to make serious money I'd have left this industry years ago or moved my business to upstate New York or the Hollywood Hills. :001_smile:

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I am Vat reg and since I have done this I have lost about 5% of my private jobs most of my work is commercial jobs so I am not really that's fussed the gains from being Vat reg are worth the 5% loss on the private market. I am only self employed and sub in all my climbers and grounds men when I need them and they use my kit. I agree with some of the posts about some guys under valuing them selfs and not charging enough also about a 2 man team and equipment should be around the £80k plus sales I smashed this in my 2nd year and has only got better.

The real bit of advice is to spend in your means.

Oh and don't be a busy fool it will only bite you on the bum!

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Tom were you doing £80K with a transit and 6"chipper??

 

I do well over £80K with just me and one man, we certainly don't work full time, we do 3 or 4 days per week, BUT I have a much better setup than most and thats what makes me my money.

 

But I'm still competing against guys with minimum kit and on some jobs my kit won't give me much advantage, on others it will, I make my money by do the job quicker.

 

I have been trying to charge more for 10+years, when I push the prices a little I invariably don't win the work.

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I haven't always turned that much, I used to charge less. You're right about kit making a difference, but the temptation is to charge for your time rather than the job. Say you are asked to take down a big tree, a competitor may put 3 days on it with a transit and 6" chipper, he might be cheap at £350 a day, so he's 1050, you could charge 950 inc vat, but as its only a days work for you, you may be tempted to only charge 650??

 

The jobs where your kit pays are the ones where you can charge more and still win. Other jobs where your kit gives you no advantage you will have to go cheap to be competetive.

 

Look at every job through the eyes of the competition and imagine how long it will take them, then you can maximize the benefits if you're kit .

 

TD Tree & Land Services Ltd.

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