Bidding too high???

[olpace]

Hello all,

My business has declined in the past few months as far as complete cleanups go and I was wondering if maybe I am bidding too high compared to the current going rates for tree removal. The following job was a complete cleanup stump removal included. It was a 2man gig (myself and a groundie) one day job. I have attached some pics. this tree was in a small back yard in a neighborhood. Could not access with a truck and or tractor/equipment for cleanup. Had to be removed one piece at a time with a wheel barrel. The tree weighed in at a little over 15,000 pounds. I got the job with the lowest bid of 1,600. Any input would be greatly appreciated.

Thanks,
Brandon

 

[yooper]

Its kinda hard to see the photos, did you have to pay for disposal? ick wheel barrows suck!

 

[ropensaddle]

Hello all,

My business has declined in the past few months as far as complete cleanups go and I was wondering if maybe I am bidding too high compared to the current going rates for tree removal. The following job was a complete cleanup stump removal included. It was a 2man gig (myself and a groundie) one day job. I have attached some pics. this tree was in a small back yard in a neighborhood. Could not access with a truck and or tractor/equipment for cleanup. Had to be removed one piece at a time with a wheel barrel. The tree weighed in at a little over 15,000 pounds. I got the job with the lowest bid of 1,600. Any input would be greatly appreciated.

Thanks,
Brandon

Tree would not bring 1000 here I end up getting them if I get hungry
for 800 pines are cake!

 

[olpace]

Its kinda hard to see the photos, did you have to pay for disposal? ick wheel barrows suck!

yes, disposal cost me 378.40..... Over an hour from the homestead and local dump fees are killer here! lol

 

[olpace]

Tree would not bring 1000 here I end up getting them if I get hungry
for 800 pines are cake!

Yes, I enjoy doing the pines myself and generally do them much cheaper, however considering the amount of work/money that was involved in the job I couldn't bring myself to do it much cheaper and make the amount of money that I wanted to make. However, you do have a point! Considering what u make on a job of that magnitude after I paid my help, dump fees, and fuel I still came out with a smooth 1,000.... So I feel as if I did very well on that particular job. I still think I am a little high then at this point... I appreciate your input....

Thanks,
Brandon

 

[woodchux]

yes, disposal cost me 378.40..... Over an hour from the homestead and local dump fees are killer here! lol

Try putting an ad on craig list for free wood... you would be surprised at the things some people will want.

 

[olpace]

Try putting an ad on craig list for free wood... you would be surprised at the things some people will want.

Sounds interesting enough.... I believe I might do just that.

 

[woodchux]

I did that a few months ago and now have around 100 dump spots! I have a gps map program for my laptop, i enter all the address and what the person will accept ( pine wood, woodchips , brush piles (yes some people actually want brush piles) . Then i can look at the computer map and find the closest spot from the jobsite. Hell the program will tell me which place is closest, how much the gas to get there will cost me, and give me turn by turn directions in route.
This is one of the best business moves i have made this year...i highly recommend craigs list and microsoft streets and trips. ( at least try craig list)

 

[yooper]

I suppose with warm weather down there ya don't get to many people with out door wood burners, that is where I get rid of all my junk wood...when I am at a job where I don't have a free wood dropping spot I look for the closest out door burner and stop by and chat. this summer I will be in my 4th year of operating my own business, I can do a job within 2 hrs every direction (except north) and have drop off spots. both wood and chips. its worth the stop to talk. and don't forget about privet camp grounds.

 

[ropensaddle]

Yes, I enjoy doing the pines myself and generally do them much cheaper, however considering the amount of work/money that was involved in the job I couldn't bring myself to do it much cheaper and make the amount of money that I wanted to make. However, you do have a point! Considering what u make on a job of that magnitude after I paid my help, dump fees, and fuel I still came out with a smooth 1,000.... So I feel as if I did very well on that particular job. I still think I am a little high then at this point... I appreciate your input....

Thanks,
Brandon

Don't let my market be a deciding factor we have too many cut throats
and cheapskates so your area could easily be different. I was bidding way
too high had a 10% rate until I finally figured out what they will pay and
it sucks but they don't want quality they want cheap so they can drive
their new lexus each year.

 

[KD57]

I would hate to have been on the wheelbarrow detail. That yard looks like maybe the kind of people that live there might be grouchy if you bent a blade of grass or left one pine needle on the ground in the takedown.

 

[yooper]

I would hate to have been on the wheelbarrow detail. That yard looks like maybe the kind of people that live there might be grouchy if you bent a blade of grass or left one pine needle on the ground in the takedown.

I hate wheelbarrows....I have a big yellow lawn wagon with rheumatic tires, I can put 3 times the amount in it compared to a wheelbarrow (its rated at 1000#) and allot easier to pull. sometimes on a bad up hill grade ya have to have someone push in the back if loaded to much.

 

[squad143]

Price has alot to do with the region that you're in, a $1,000 tree in one region may only fetch $300 in another. You are in the ballpark for where I work. I try for $1,000 in my pocket (after paying my worker & dump fees -if any) for a day's work.

Don't feel bad about making money, if anyone could do what we do, we'd be out of work or working for peanuts. The customer must have felt that your price was right to give you the job.

Sometimes, if appropriate, I'll ask the customer if it's O.K. to leave the wood (cut to firewood length) at the end of the driveway with a free sign. I'll come back a day or two later to remove what's not taken and it usually is all gone.

 

[John Paul Sanborn]

I just skimmed, so pardon if I repeat what is said.

What others make is only partially relevant. The big thing is what you need for profit on a daily basis to keep going and keep getting bids.

Getting bids is what you need to do if you are a removal specialist. There is very limited return business, so you end up chasing bids and not building a clientele.

If you have certain efficiencies that others lack and/or, are able to get buy on a lower margin, then by all means lower bids to get more. Build your business, build your name.

One way of making it up is by adding on to the job

Remove White pine and trim Norway maple away from house and garage, $1200​

So if your desired day rate is $1200 you add more value to your bid then those who quote only the removal price. You may also impress them enough to have you back for other pruning.

 

[sharkfin12us]

Hello all,

My business has declined in the past few months as far as complete cleanups go and I was wondering if maybe I am bidding too high compared to the current going rates for tree removal. The following job was a complete cleanup stump removal included. It was a 2man gig (myself and a groundie) one day job. I have attached some pics. this tree was in a small back yard in a neighborhood. Could not access with a truck and or tractor/equipment for cleanup. Had to be removed one piece at a time with a wheel barrel. The tree weighed in at a little over 15,000 pounds. I got the job with the lowest bid of 1,600. Any input would be greatly appreciated.

Thanks,
Brandon

When i first started it was slow and i was going higher then other tree companies.After some time i just figured what do i need to make at least.I down sized from 3 to 2 now one guy and me and i have a skid steer if wood is alot or big.I have a bucket truck and that really beefs up profits compared to climbing.I hope that might have helped.Mostly repeat custumers are what keep me going and know my prices are reasonable.

 

[olpace]

Thanks to everyone for your input and advice/suggestions and yes this customer was very picky about their yard. He had us vacuum the saw dust out of his yard with a shop vac and then blow what was left in the bayou. LOL Job would have been a lot faster and easier if I could have just taken this baby down in 3 pieces, but lifes a b!t(h........ So I reckon ill just keep whittlin at it :greenchainsaw: