Company Day Rates for Customers-- thoughts

Mitch Hoy

Participating member
Location
Rochester
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.
 

Mark Chisholm

Administrator
Administrator
Charging per hour, per type of equipment, per man, is the best way to go
We do this for some of our T&M contracts where every person has a classification and every piece of equipment as well. The only problem with that style is when the client tries to tell you who and what you need to do the job. This I won't allow. If that becomes a conversation, then I would just go with a set bid.
 

VenasNursery

Carpal tunnel level member
Location
Michigan
We do this for some of our T&M contracts where every person has a classification and every piece of equipment as well. The only problem with that style is when the client tries to tell you who and what you need to do the job. This I won't allow. If that becomes a conversation, then I would just go with a set bid.
Same for us
When we do a a daily rate our stumper only runs 20-45 minutes tops and sits the rest of the day
Mind you our lift and chipper is not running also

and if the customer even starts talking about what equipment or which employee our day is over and we will not offer them that deal again
 

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