help with pricing

[Charleton Chips]

my son is just starting off with tree removal and he has emailed some companies and 1 has replied. the company said give them a price how would he price it and would sort of prices should he be looking at.

[hazzygawa]

Cover overheads, wages.

Difficult job? Breakage potential.

Etc.

 

Can you elaborate on the job

[WorcsWuss]

Wow! That's quite an open ended question....

 

He needs to work out all his costs, including on costs [travel, fuel etc] and labour for that specific contract, that will give him a cost for actually doing that day's work.

He then needs to take a judgment on how many days he will be able to fill in a year and split his annual costs - insurances, maintenance, capital investment, admin & general business costs etc - across that many days, add that figure to the individual job and labour costs and then add some profit. Then add another 25% to stash away to pay his end of year his tax bill and paying the accountant to do the tax return.

Without wishing to sound rude, that's basic business stuff, might be worth him looking on the Business Link website for help with the management side of things.... it's as important, if not more important long term, as being able to cut trees down....

Edited November 13, 2012 by WorcsWuss

[Rich2484]

This question can only be answered by one person.. Your son.

 

A forum cannot answer this question. How much does he want to get paid from it, how much fuel is he going to use, what are his vehicle running costs, how far does he have to travel.

 

There have been a lot of how much type questions asked on this forum. IMO the only person who can give a price is the person asking the question.

 

Sorry to sound a bit blunt but its my opinion.

[Charleton Chips]

it's for a demolition company

 

would you price for a tree or a group

we have a crewcab transit

ive got a fencing company so alot of vehicles to use

[eggsarascal]

Tell him to give it a miss mate!! If he doesn't know how to price a job HE WILL go wrong

[Dan Earp]

Look at the job and how many trees you can takedown perday giving u a total number of days for the contract

[treequip]

it's for a demolition company

 

would you price for a tree or a group

we have a crewcab transit

ive got a fencing company so alot of vehicles to use

 

 

 

From your resources you chuck whatever you have at it to get the job done in the best way.

[WorcsWuss]

it's for a demolition company

 

would you price for a tree or a group

we have a crewcab transit

ive got a fencing company so alot of vehicles to use

 

Does he need a transit to cut the tree down...?

If it's for a demo company why not exclude site clearance and stipulate they provide a green waste skip...?

 

If you're in business then you should have all the tools you need, trees are like any other job, time+materials+overheads=cost... cost+profit=selling price..... you can price it on piece work if you like but ultimately piecework is based on day rates, but work rates are improved to allow you to make more money in a given time period.... while a client likes it because he can cap the cost of a job.

At this stage, if he has to ask how to price a job then he probably needs to stick to day rates.

[Mark Bolam]

Does he need a transit to cut the tree down...?

If it's for a demo company why not exclude site clearance and stipulate they provide a green waste skip...?

 

If you're in business then you should have all the tools you need, trees are like any other job, time+materials+overheads=cost... cost+profit=selling price..... you can price it on piece work if you like but ultimately piecework is based on day rates, but work rates are improved to allow you to make more money in a given time period.... while a client likes it because he can cap the cost of a job.

At this stage, if he has to ask how to price a job then he probably shouldn't be doing it.

 

Sorted your spelling out WW.