Prices
- Thread starter DSW
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People get about $400/cord of seasoned oak delivered here just south of Silicon Valley. Almond looks like it's the same.
jrider
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DSW
Addicted to ArboristSite
I think you're right. You know how it is though, wondering if it's worth the effort. You've been at it longer than me so I'm sure you've had some back and forth on that.
Pretty official, I like it. Is the f350 what you started out with?
ChoppyChoppy
Tree Freak
I mostly deliver in the evening, when people are home from work. Process the wood during the day/load the truck and it's ready for 5-6pm.
1 cord minimum for delivery, 10 miles free, $2/mile after.
I wouldn't drive all over for 1/2 a cord or whoever Rick is.
The 1 cord orders with longer drives (40-50 miles) kind of suck.
I hope to have 2 more trucks on the road soon. I only have 1 small truck that us all setup. It holds things up at times when I have it loaded and have to wait for someone to get home.
jrider
Addicted to ArboristSite
I deliver during the day by the pickup truckload and stack when requested to do so. My supply is anywhere from 5 to 35 miles from the buyer. Most of the time the buyer helps unload and stack. Each truckload is about 80 cu ft or around 400 logs. I pack the truck with four rows in 16" to 18" lengths, mixed hardwoods (elm, ash, maple, oak, mulberry, and locust). Each row contains about 100 logs, mostly dry splits. I ask for $120 and usually receive $10 to $20 more than that in tips after they see the quality of the wood that I bring and if they are unable to help unload. A few customers buy two loads per year. Buyers who cannot be there when I deliver usually leave a check in an envelope where I can find it.
Most years I break even, seldom make a profit, and usually get tons of needed exercise. It helps pay for my chainsaw collection. Firewood is not a necessity here because propane (about a buck a gallon) and natural gas (about $4 per MBTU) are so cheap. Firewood bundles for campfires do sell well, but that requires much more labor and far more customers, selling mostly on weekends. And, unfortunately, the theft rate is much higher when producing bundles. That rate ranges anywhere from 10% to 20% of my volume. To make big bucks in this business, you need to go really big and work your butt off, like ValleyFirewood, Casey, Crane, and a few others. I admire and respect these guys. That's MHO.
Most years I break even, seldom make a profit, and usually get tons of needed exercise. It helps pay for my chainsaw collection. Firewood is not a necessity here because propane (about a buck a gallon) and natural gas (about $4 per MBTU) are so cheap. Firewood bundles for campfires do sell well, but that requires much more labor and far more customers, selling mostly on weekends. And, unfortunately, the theft rate is much higher when producing bundles. That rate ranges anywhere from 10% to 20% of my volume. To make big bucks in this business, you need to go really big and work your butt off, like ValleyFirewood, Casey, Crane, and a few others. I admire and respect these guys. That's MHO.
Our philosophy.
If a sale isn't going to be profitable - the other guys can have it. No reason to try to undercut the fly-by-nighters with 1 downed tree cut up.
Our model
Full cords only
Free local delivery - will deliver further for a reasonable fee.
We define our local area as 25km. We will deliver up to 40km. 25-30km = $10 a cord, 30-40 = $20 a cord.
We were delivering further but not any longer. Not worth the lost "production" time.
When we add a delivery fee - I usually respond with "You are outside of our local delivery area, and roughly 90 minutes round trip. We will deliver to you, but there will be an additional fee of $x per cord for fuel and time"
Since I started stating it in terms of round trip time, I have found there has been no arguments about the "value" they are getting @ $10 for 60 mins RT or $20 for 90mins . There used to be when we used the distance. ("You're ~50kms from us, so there will be a delivery fee ....")
If you're delivering anything less than a full cord - make sure you determine your fuel costs, your time spent, and your total wood costs before you set your prices. No way we'd drive an hour each way for a $50 sale , even if it was for 1 stick, never mind whatever a Rick is. We could cut and split another 2 cords in that time. Better to lose the sale, than lose money on the sale.
If a sale isn't going to be profitable - the other guys can have it. No reason to try to undercut the fly-by-nighters with 1 downed tree cut up.
Our model
Full cords only
Free local delivery - will deliver further for a reasonable fee.
We define our local area as 25km. We will deliver up to 40km. 25-30km = $10 a cord, 30-40 = $20 a cord.
We were delivering further but not any longer. Not worth the lost "production" time.
When we add a delivery fee - I usually respond with "You are outside of our local delivery area, and roughly 90 minutes round trip. We will deliver to you, but there will be an additional fee of $x per cord for fuel and time"
Since I started stating it in terms of round trip time, I have found there has been no arguments about the "value" they are getting @ $10 for 60 mins RT or $20 for 90mins . There used to be when we used the distance. ("You're ~50kms from us, so there will be a delivery fee ....")
If you're delivering anything less than a full cord - make sure you determine your fuel costs, your time spent, and your total wood costs before you set your prices. No way we'd drive an hour each way for a $50 sale , even if it was for 1 stick, never mind whatever a Rick is. We could cut and split another 2 cords in that time. Better to lose the sale, than lose money on the sale.
A good friend told me, about seven or eight years ago, that people who sell fire wood generally do it for a year or two, until they discover they are not making money at it and then get out of it. He was right.
I'm tempted to tell my boss he's an idiot...
That's the rub with a one person business,
I know he won't listen...
ChoppyChoppy
Tree Freak
I've been at it since 2011. Certainly not rich, but I make enough to pay the bills and eat a steak once in a while.
Same here. Thanks for the support and let's keep talking it up. I've been doing firewood for years but never got rich doing it. The fresh air, the exercise, and the wonderful people that I have met have meant everything to me.
Today I split a full cord of rounds and delivered a truckload of splits because the sun was trying to shine, calm wind was from the north, and the temp was below 80 F. That's what I look for. I was tired when finished, but I will go out and do it again if I can get those same conditions. I may buy a used firewood trailer next week. I am sad to say that my '97 Ranger shown in my Avatar has been traded in. But, that's another discussion, so let's move on.
$250/cord, all oak.
Dumped.
Dumped.
Maybe that's the solution. Dump the good stuff in the driveway and let the customer take it from there. If they don't like that, ask them what they will pay and move on. I'm tempted. Last year a customer told me she found a few ants in the wood that I delivered and stacked for her. She was a spoiled brat in my book. I'm tired of changing diapers.
lol welcome to the wonderful world of give me! people expect pressure treated fire wood along with bug treated pretty wood.... " give me what I want and pay for " , not what's real! lol
DSW
Addicted to ArboristSite
Firewood isn't unique in having goofball customers but being a one man/two man/three man show you're in contact with them more than you might be in other fields. Retail stores deal with screaming idiots all day.
ChoppyChoppy
Tree Freak
The "secret" is to minimize handling, let machines do the hard work.
I first started out just with a trailer pulled behind a 3/4 ton truck. Worked fine, though hand off loading wasn't any fun.
Now I dump.
And you need a firewood processor to have a decent go at it, well, unless you have a small army of laborers that like to work for free or really cheap. (ie.. kids)
Most days I do 1-2 cords. I can do 4-5 cords a day, but I only have 1 small dump truck on the road right now, so if I put a cord in it and can only deliver that evening, I'm on hold. If it works that I have a large order that I can load in my big dump truck, then I do that.
Sometimes it works that I can deliver as soon as it's ready, like yesterday I did 2 deliveries of 2 cords each.
I have a guy that works for me part time, does around 30-40hrs a week... well I call it part time since I work easily over double that haha!
I first started out just with a trailer pulled behind a 3/4 ton truck. Worked fine, though hand off loading wasn't any fun.
Now I dump.
And you need a firewood processor to have a decent go at it, well, unless you have a small army of laborers that like to work for free or really cheap. (ie.. kids)
Most days I do 1-2 cords. I can do 4-5 cords a day, but I only have 1 small dump truck on the road right now, so if I put a cord in it and can only deliver that evening, I'm on hold. If it works that I have a large order that I can load in my big dump truck, then I do that.
Sometimes it works that I can deliver as soon as it's ready, like yesterday I did 2 deliveries of 2 cords each.
I have a guy that works for me part time, does around 30-40hrs a week... well I call it part time since I work easily over double that haha!
That makes good business sense.
Where are you near in Eastern Ontario Ed?
I'm north of Belleville at Highway 7.
STLfirewood
Addicted to ArboristSite
I'm at $525 a cord. Like Valley said try to minimize the handling. I have kiln baskets that hold 2/3 of a cord. I have a door on the front that swings open. I just dump them right in the dump trailer. If I stock pike I dump it on concrete and load it with the skid steer. I do have to deliver and stack at that price. I run a route every week and sell get rid of 2 to 2 1/3 cords. Once a month or so I have to make 2 trips in one week to catch up. My customers buy year round so this is 52 weeks a year. I sell my "junk" wood for $175-250 a load. The price depends on time of year and how many loads a person wants. This is crotch wood, blocks with big knots, crooked, and short pieces. This is all unspilt wood. That price is delivered and dumped. The dump trailer is 12'×7' with 40" sides. That load will usually split out around 1 2/3 cords. But they have to split it.
Scott
Scott
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