yearly contract price increase

[Stephen Blair]

i hope i word this right, if you get an ongoing contract, how much should the cost increase every year.

I have the chance of a small contract, 1 man with tools doing maintenace around a large garden. If i get the contract, i will have it for the life expectansy of the homeowner(lady early fifties)so you could be talking 40 years. It will be getting paid by the government, so it not like i can just say to her every year(give me another tenner)

This is a good wee job for a very good cause, but i dont want to be stuck working for the same money in 20 years time, when simple wording in a contract will solve this.

 

I have never committed to a contract before, thanks for any help guys:biggrin:

[shabz1978]

could you not just stipulate, say 3% over the rate of inflation? summat like that. saying that, we might be deflating soon!

[Stephen Blair]

good idea mate, keep them coming

its the percentage that i dont know about, wether its what i want or if there is a set amount acroos the board

[ukminch]

Taking everything ino account I put my prices up by 10 percent last year. (Diesel was killing me over the summer at 136p a litre) Lost quite a bit of work I must admit though. But I'd have lost a lot anyway as people have gone in very cheap i.e I wouldn't do it for that if they offered it. Why not put in the contract that the price will be reviewed every 3 years then you have a better idea of market conditions at the time.

 

Rob

[Mesterh]

Just say that the price will be reviewed every year to reflect the economic state, well something along those lines but better worded

 

It will mean that you arent commited to a fixed price or a fixed price increase.

My mate is involved with contracts in the 100's of millions (utility stuff) They always have up lifts and stuff tied into there contracts. If I get a chance I will ask him about it.

[Stephen Blair]

Just say that the price will be reviewed every year to reflect the economic state, well something along those lines but better worded

 

It will mean that you arent commited to a fixed price or a fixed price increase.

My mate is involved with contracts in the 100's of millions (utility stuff) They always have up lifts and stuff tied into there contracts. If I get a chance I will ask him about it.

 

I know what you mean mate, i am just crap at wording stuff. spent too many years in earmuffs not talking to any one(before wireless)

if you could ask him that would be great. cheers stevie

[Graham]

I think most contract prices increase at the same rate as the RPI...retail price index.

 

Hope this helps.

[Khriss]

good idea mate, keep them coming

its the percentage that i dont know about, wether its what i want or if there is a set amount acroos the board

 

 

5% per year to offset the boredom factor- familiarity will breed contempt-I would be sick of the sight of that garden in 20yrs time

[Stephen Blair]

5% per year to offset the boredom factor- familiarity will breed contempt-I would be sick of the sight of that garden in 20yrs time

 

i know what you are saying mate, i have the attention span of nat, but its worth 15k a year for one day a week with hand tools, nothing offsite for one man.

[Mesterh]

Sorry I never got back to you on this, my mate is off on his hold atm and since we dont get much of a chance to catch up it could probably be a few weeks before I see him.

 

Once again sry I didnt reply earlier.