Raising prices/quotes

evo

evo

Been here much more than a while
Location
My Island, WA
I am becoming more seasoned and less tolerant. This past summer I was hired by a HOA to do two consults, the first one was scheduled for an hour which they were somehow surprised they couldn't keep me there longer. So they hired me for an open ended consult which took an additional 2.5 hours.

They then asked for 6 different quotes, each containing options. (removal vs reduction) and (reduction vs cabling). Nearly each quote then had further changes requested. They approved 3 of them.
Long story short, I got a note, "when are you going to be here", "we want to prioritize the removal". I review the list, and there are no approved quotes for this removal. After figuring that out, I edited the prices to reflect a increased $500 on each line item as I have had to increase my rates for all the customary reasons PLUS I was too cheap to begin with. My quotes are good for 30 days only.

They approved the increased amount (perhaps blindly without realizing it was increased), and now a week later are asking for me to honor the price I gave them back in early September.
Part of me wants to give them the finger, as these jobs have already become exhausting. Work is already a mine field as each condo is allowed to do whatever planting they want to up to their individual boundary, but the association is required to maintain it, including removals?!?!
I understand making mistakes and loosing track. The person in charge has to answer and respond to a board who discusses and votes. I'm sure out of the 12 iterations some things got overlooked. It's also more than obvious they are price shopping because they also asked me to add in the stump grinding again ( I don't grind nor sell grinding)...

I knew this was going to be a PITA, and tacked on a little extra just incase but was too low. They have already exceeded that added amount with headaches, and I've since had to raise my rates.
Now they are stating there is discrepancy, and asking me to honor the original price.
Quote given Early September, approved late Jan.

Am I being a ass for digging in my heals? It is a 20% increase, but I doubt they can find a better price.

I simply want to say the truth. 'Had to rase my rates, it's not my fault you over looked this quote. I will do the work on each quote in order from the date approved. I suggest reviewing the quote that contains stump grinding from the other company to see if they can meet your needs, as I am currently 6 months booked out.'
 
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In my opinion, you are well within your rights to increase your price once the 30 day window has ended, as long as the original quote clearly stated that the quote was valid only for 30 days.

Our prices have gone up 15% across the last year, and we have explained that to customers who have waited too long. If they respond 45 days after we send the quote, we will almost certainly still honor it. Three or four months later, not likely. All of our costs have gone up in that time, and we are definitely not going to honor a price for someone who is dragging their feet for four months to make up their mind, especially if they want to make life difficult by causing us to rewrite the same quote multiple times.
 
A very adept and seasoned friend told me to call and have a verbal conversation vs email when stuff gets weird. Easier to convey tone, better interpersonal connection etc., then get it in writing after ironing out the misunderstandings. Not sure if it would help your situation as they can’t read basic quotes though.
 
When I have clients who are PITA, I bid so high that if I do win it, I'll laugh throughout the whole job.

Aside from that, my bids all say that they're only good for 30 days from the date of issuance. After that, it's another paid site visit to see what kind of hair has grown on the proposed work since I last looked at it.

I'd say stick to your guns. If they expect September pricing for February work, they're a special kind of oblivious.
 
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They asked a question. Fine. Answer, "no".

A conversation explaining why prices have changed, and that 30 days is clearly indicated would be better than an email alone. Still email the info, allowing them referenceable and forwardable info for the rest of the HOA.
 
evo said:
I knew this was going to be a PITA, and tacked on a little extra just incase but was too low.
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I probably would have just told them the job is not currently a good fit for us when I realized what I quoted above.

There's a reason I prefer to work for clients that are references from friends and other clients, but it obviously limits the amount of work I get. It's nice when you get slammed with bids from a neighborhood after doing some work, but I also spend quite a bit of that time refusing work.

evo said:
Am I being a ass for digging in my heals? It is a 20% increase, but I doubt they can find a better price.
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Not because you're digging your heels in, but maybe because of other reasons, ask your wife for clarification ;). Not only will they not find a better price, they will most likely not find anyone else willing to jump thru the hoops you've already jumped thru; and I'm guessing those who have worked with you up to this point don't want to do it all over again either.
 
chipper1 said:
I probably would have just told them the job is not currently a good fit for us when I realized what I quoted above.

There's a reason I prefer to work for clients that are references from friends and other clients, but it obviously limits the amount of work I get. It's nice when you get slammed with bids from a neighborhood after doing some work, but I also spend quite a bit of that time refusing work.



Not because you're digging your heels in, but maybe because of other reasons, ask your wife for clarification ;). Not only will they not find a better price, they will most likely not find anyone else willing to jump thru the hoops you've already jumped thru; and I'm guessing those who have worked with you up to this point don't want to do it all over again either.
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HOA's are the pinnicle of Frustration and Bullshit. I am with chipper here, I walk a lot on these types. Not worth the hassle. As for emails, fuck that Jesse....it is a straight up call, pounding out grievances, then the cleared up shitstorm in an email. If they bite off we go, if not fuck em. I have done some nice work with HOAs but I bump my prices to suit, because I know they are tyrekickers and fuckwipes....
 
You have really good advice so far, I’ll some bad advice.

Just ghost them. Say nothing, do nothing, and wait for them to call you in a week or two, after they’ve sitting in the sludge of their own twisted brains and start to get self conscious about their words and communications. They’ll agree to do the work at the new price and stop being a prick about every little thing.

Or it might backfire and you risk your reputation on entitlement isle.
 
I have one client that leads a HOA. I do all her work, but none of her HOA ever came my way. One time I asked her if any of that work was ever done, and she said “No, the association can’t come to an agreement.” That alone gave me pause, because the work was very simple and had been done in the past.

Go forward a few more months and I suddenly get two new associations asking for a bid. I check them out, and bid high enough for it to be worthwhile, like @cerviarborist says. I didn’t close either one, and honestly felt fine about that. My reputation with the individual clients in all 3 HOAs is still in good standing.

Now I know my particular company model isn’t built for what a typical association is after. It’s usually the lowest price along with a reputation good enough that you’re worth their risk. The larger the association, the greater the chance is of jumping into the race to the bottom IMO.
 
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