Some times I don’t get it. The only people who don’t pay their bills are the ones who make up crap after you give them a three month leeway. ” you weren’t here”( ok then your grass should be 2 feet high and your shrubs all scraggly). ” I sent it last month”( no that was for the previous month you were behind on) ” you aren’t doing what we agreed to” ( yes that ended once you went 60 days past due).
The truth is I way undercharge for basic maintenance. All the big boys are hitting a 30-60% profit margin. I’m lucky to average 20% over the year. I do pay myself a good wage so the margin isn’t as critical to me. Let’s do some basic math:
My crews wages = $50 per hour
No bennies, no mark up, not counting taxes I have to pay and w/c insurance.
If I do a property 30 times a year for $100 per month that equals=$40 dollars per hour I am paid. I need to average 48 minutes on said property. AVERAGE!!!
Sometimes when the grass isn’t growing much we may only spend 15 minutes on said property(3 guys x 15 still equals 45 minutes.) then there are the 2 hours we spend trimming same property 3 or 4 times a year. So we try very hard to hit our average times. I push my guys( who I pay better than average and also work alongside) very hard to move along while giving you the service you are supposed to be paying me for.
My point is if you owe my money you owe my employees money.