Reach
Been here much more than a while
- Location
- Atglen, PA
We bill out in the same ballpark around here, a bit more perhaps, but not a lot, and we run a similar setup. It works pretty well, and we make out all right.
Company Day Rates for Customers-- thoughts
- Thread starter southsoundtree
- Start date
southsoundtree
Been here much more than a while
- Location
- Olympia, WA
I no idea about your overhead. That's a chunk of revenue!
VenasNursery
Been here much more than a while
- Location
- Michigan
Our shop is at my house so no rent
We don’t pay to dump chips or wood
Maintenance
Labor
Fuel
Insurance
Is our biggest expenses
Brady Chapman
Participating member
- Location
- Bethel, ME
That sounds like a really great deal to me. I hope you’re not selling yourself short.
VenasNursery
Been here much more than a while
- Location
- Michigan
Me too
Brady Chapman
Participating member
- Location
- Bethel, ME
I totally hear you, when you’re on a comfortable equilibrium it may feel out of place to push for more. But the thing about tree work is that it is so volatile. One bad move, one terrible accident, one huge breakdown, and you are behind the eight ball, or worse. I believe that’s one reason why tree work should be so expensive. It’s extremely dangerous, and it takes an inordinate amount of care and precaution to go home safely every day and keep people’s property safe while you dismantle big dangerous trees day in and day out. Not to mention how expensive the equipment costs. If you, your equipment, and your four guys run a productive operation, I would be willing to wager that you’re worth more than three to $400 an hour. I hope you don’t take offense to that, it was not meant to be an insult in any way. And I don’t know how competitive it is around your neck of the woods. You might have it dialed in perfectly.
Fivepoints
Carpal tunnel level member
- Location
- East of Huntsville, AL
I think southsound was asking if $3-400 per man hour or per crew hour. Your answers are unclear to me as well.
southsoundtree
Been here much more than a while
- Location
- Olympia, WA
Way cheap, or quite expensive (if they say 'Yes', not too expensive).
VenasNursery
Been here much more than a while
- Location
- Michigan
Sorry now I am confused
8 hr day sometimes shorter brings in $2400 average daily
southsoundtree
Been here much more than a while
- Location
- Olympia, WA
That sounds way too cheap.
southsoundtree
Been here much more than a while
- Location
- Olympia, WA
4 solid guys and a chipper seem like 2400, without a lift, handler, hauler...
High cost of living here, but nothing like Seattle or San Fran.
High cost of living here, but nothing like Seattle or San Fran.
Reach
Been here much more than a while
- Location
- Atglen, PA
Around here that’s about the going rate for that equipment setup, and it’s sufficient to live fairly well. There’s many companies billing half that.
I know one outfit in my area that is around $2,500 for a climber, ground guy and 6" chipper for a day. I do a bit less than that, with a 12" chipper. But you know, the average home price is $700,000 in the county and you can hardly find something under a million right now.
southsoundtree
Been here much more than a while
- Location
- Olympia, WA
Market, sales/ reputation, and of course, the nebulous ability to produce...
A lot of expensive equipment and other overhead for $2400.
A lot of expensive equipment and other overhead for $2400.
$700k buys a lot of house in my area.
Fivepoints
Carpal tunnel level member
- Location
- East of Huntsville, AL
What Dan didnt mention is his area is one of the highest in our state. Lately the pandemic and demand due to several large influxes have home prices high in our area. Normally $150k would buy a decent 3 bed 2 bath house around 1800 sq ft on a 1/2 acre lot in a decent part of town. Most of the uppity neighborhoods were $300k plus.
This kinda stuff is one reason the prices we compare are so location specific. Some of the things I see with folks talking about $400 per man hour would just result in no work here. The market just won't support it. You might get a few takers but you definitely are going to stay busy or keep your guys fully employed. But we also dont need it to have a good living.
This kinda stuff is one reason the prices we compare are so location specific. Some of the things I see with folks talking about $400 per man hour would just result in no work here. The market just won't support it. You might get a few takers but you definitely are going to stay busy or keep your guys fully employed. But we also dont need it to have a good living.
evo
Been here much more than a while
- Location
- My Island, WA
Around here you can’t get a 70’s mobile home for less than 400-500
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Fivepoints
Carpal tunnel level member
- Location
- East of Huntsville, AL
Thats a $250k to maybe $300k house here with our currently high market. Normally $150k to $180k.
What drives the prices so high in you guys area? Is it hard to build a house in that area? No more buildable lots? Cost of the building materials super expensive? Labor very high?
I am getting away from day-rates, did it for a couple years. We would get big projects or very technical/large trees done for just $2400/day, which resulted in an overflowing work que of exhausting work. I have begun bidding more to make sure I am satisfied with the price after a job is done than the other way around. A lot of people aren’t going to understand the costs and stress of this business, and they can go with the low bidders who spin their wheels until they go bust.
Cost of living is an interesting topic relative to rate. Last year when we were down in IA after the storm, people were telling us that our emergency rates were what they were used to paying normally. This prompted me to check out some statistics. The metro we were working in was a similar size to our home area, with a similar average income. The big disparity was housing prices- prices in our home market were almost double. People in my specific area have less disposable income.
Cost of living is an interesting topic relative to rate. Last year when we were down in IA after the storm, people were telling us that our emergency rates were what they were used to paying normally. This prompted me to check out some statistics. The metro we were working in was a similar size to our home area, with a similar average income. The big disparity was housing prices- prices in our home market were almost double. People in my specific area have less disposable income.
