Pricing Defined!

#41
A shot in the dark

I'm new to the PW biz.
I run another biz.
I have purchased a Steam Jenny hot and cold
2000 psi @ 4 gpm and 325º steam at 1.8 gpm.

I want to keep it busy but am not inspired to rent it to others especially when there is a chance of freezing.

I live in a small town and believe it or not there is only "one" PW that somebody can rent here ....and I have...it's a POS!
It's a cold only, 3000 psi 4 gpm, I think, and it needs work.
They rent it for $95/day. $49 for four hours.
That's about $11 an hour.

I figger the rental rate for a unit such as mine...as no others are around should be a bare minimum of $25/hr.
Nobody can afford to charge less than $40 for labor so IMHO.....

Also....most people are hands on here. Very little residential. So....If people need hot water and or steam...they get me in the package or they drive 300 miles RT to get a hot unit.

A guy needs to be making $65 to $70 per hour or better after collecting the check.
The learning curve means you will make less......
This is my view as a newbie in the biz......
 
#42
Where do I start my pricing from in square footage

After reading Cody's great guide to getting started and all of the factors to consider I realize that I am left with one question still unanswered.....

HOW MUCH DO I CHARGE PER SQUARE FOOT???

Can anyone help me with a starting point?
 
D

dustij

Guest
#43
Cody THANK you!!! I am thinking about doing this and your knowledge is greatly welcome. was very helpful. Thanks Dustij.
 
#44
Referal business

I am an architect and came in here looking for a reference to refer my clients to. Seems that everyone is so concentrated on the all mighty dollar that "servicing the client" or "receiving referal" business might be out of the question to mention. Not all jobs can be 400,000 s.f. yet the smaller ones can be profitable. The low bid is not always the winning bid, some jobs are not bid at all, referal is as good as gold. As in the construction trades, it seems that the concentrated focus of your industry is "fast cash" and a " respectable fee for a respectable job" is rarely considered.

Maybe the small guys you are complaining about might have a better work ethic, and soon pass you up with their great serviceability. Too bad Cody who consideres all of the aspects of the job to prepare his bids is not in my area, he would get a great referal to many affluent client. Too bad some of you guys who are in my area don't seem more reputable. I will find a referal elsewhere.

In business, focus on what it cost you to produce and provide your service and not on what the other guy is pricing at. Something I learned from our local SCORE center when I was the small guy in town ( www.score.org). Underpricing his service will soon lead him to close his doors.

One bit of advice, you never know who your audience is, and never put anything so "greedy" into written text on the internet unless you understand the true message that is getting to the end user.

Good luck

landarch
 
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#45
too quick to judge

Landarch, I think you should spend some time reading a lot more of this information. I am very pleased with the info that we newbies are given regarding this business. I have received a ton of good advice about $$$ issues - even from Fla p/w'ers - by simply reading what others have posted. I have NEVER gotten the idea that $$$ rules from ANYONE on this board. Actually, just the opposite... as you said (paraphrased) a fair service for a fair price is what we want. We newbies ask some very pointed questions to get answers to help us run as effeciently as possible.

READ MORE.

[white]
 
M

MPW

Guest
#47
Hey Landarch, why don't you start your own pw biz. and get dirty with the rest of us and then you can have an opinion. Or is it too cozy sitting in your chair and drawing all day Mon - Friday?
 
#48
Just an observation here, but has anyone ever done a search for their name or screen name? You get found everywhere you post. Yes these bulletin boards are public forums, yes everyone has different opinions and view. Does that give anyone the right to be rude if their view is different? Customers and those seeking a place to find contractors to refer their customers come here. Whether we all agree on something or not, shouldn't we all be as professional in our responses as possible?

Celeste
 
#50
Cody,

is it possible for you to e-mail me a sample of your price list as a guide to pricing certain jobs - i'm new to this and could really use a helping hand
 
M

MPW

Guest
#51
CaroliProWash said:
Just an observation here, but has anyone ever done a search for their name or screen name? You get found everywhere you post. Yes these bulletin boards are public forums, yes everyone has different opinions and view. Does that give anyone the right to be rude if their view is different? Customers and those seeking a place to find contractors to refer their customers come here. Whether we all agree on something or not, shouldn't we all be as professional in our responses as possible?

Celeste
I don't appreciate someone calling me/us "greedy." He crossed the line and deserved what he got! It's one thing to disagree - It's another to come in here and insult us for trying to make a honest living. I'm sure he doesn't work cheap, so why should we? I guess he's "greedy"too huh? This guy obviously has never pw'd once in his life so how can he understand what it's worth. One thing that boils my blood instantly is an extreemly ignorant statement like "you're greedy" or "you make too much money" or you are not worth THAT." A close second is when people get all P.C. and stick up for people like this. From what I gather, this guy is looking for a lowballer to reccamend to people. I don't care if someone sees my post. I'm just a succesful contractor sticking up for myself. I don't think what I posted was rude at all. I think what he posted was very rude and offensive. Funny how you are not chastising him. That's the way the world is now, people can be rotton to someone but they can't be called on the carpet for it.
 
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#53
Thanks Cody. We are new to this business and your article was very informative. Do you have nay recommendation on a cleaner for removing OIL and or GREASE from concrete driveways?
 
#55
Question?

So what should I charge for a ....just kidding. Very good info, ta think people pay $50.00 for stuff like that in books.
Thanks for taking the time. [dog]
p.s. everything I look at is orange now.
 
#56
Business Basics

Thanks Cody for the time and effort, much appreciated as costing can be a black art sometimes.
I've been working part time for 2 years now and have tried all sorts of "systems" but have never gone to such detail, generally I itemise the job and then use GGF (General Gut Feeling) based on other jobs (and the location/client type).
My big tips for you all are:
1. pay yourself well - you'll do a better job if you don't have to rush;
2. explain to the client what else you can do - I've found that many clients don't realize that their problem can actually be solved, and would prefer to deal with just one person;
3. provide solutions, don't just provide "take it or leave it" services - customers want results! and don't care what technique you use, so be flexible and do what needs to be done. I recently got a job cleaning a shop front because I said I would have to hand wash with a brush (especially around the neon signs), when the other company only did pressure washing.
4. when working out your pay rate allow for admin time and other non chargable time (quotes, maintenance etc) as well as holidays, sick leave, savings/superannuation. If I was working 40 hours/week I would only charge out 30 hours. If I have 4 weeks holiday, 10 days public holidays, 5 days sick then I have 45 weeks at 30hours/week to earn what a wage/salary earner would have 52 weeks at 40 hours/week to earn. If I think I'm worth $60,000/year, earned over 1350 hours (45 x 30), I need to pay myself $44.44/hour. On top of this is business expenses: fixed - lease payments, insurance, advertising contracts etc. and variable/job specific - fuel, chemical, hire of special equip, equip maintenance/replacement etc. The total is your charge out rate. Keep them separate. While you are the business, you are also an (maybe the) employee, so treat youself like you would an employee (as a minimum).

I think I'll go and read Cody's original post and then put my prices up.

John :D :D
 
#57
Square foot pricing

Cody I'm new here and really have no idea where to start with the square foot pricing. I have been trying to guage things by the hour, but with insurance and advertising it's not working out. Could you e-mail me and give me some idea where to start. A price list would be great.

email terimoen62@yahoo.com
 
#58
Cody, I have read your posts many times and every single time I am able to learn even more, (some call that being slow, I don't know) thanks for taking the time to explain in such detail.
I am new to this business however, I have many years experince in other ventures and the one thing I do before actually performing in a business venture is to read, read, and read some more. I'm probably still a couple of months out but have secured my License, Insurance, and getting a grip on pricing.
Anyway, Cody I just wanted to tell you I really appreciate your advice!! Can you e-mail me your price list, NOT.. Just kidding, can't believe anyone would ask the question after reading your post except those that can't comprhend what they've read. :rolleyes:
 
#59
[hello] Im as new to this as it gets, so far just an idea actually. Im glad I registered and became a member before I ever even bid a job. Not only the novel you wrote but the whole forum is kicks[bm] . Thanks for everything I will let you all know how my first job goes. [hand]
 

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