The take

[Husabud]

Do any of you guys have a certain few companies you work for or with all the time? I have a couple of landscapers that I do a fair amount of work with and their take varies. I don't mind somebody making a couple bucks for getting me a job, but what is fair? I had a sit down with one guy and told him that adding 50% was a little harsh, especially since he didn't lift a finger on the job.
Recently I have been approached by another 'scraper who wants do do business solely with me. Mind you he used to use a good friend of mine for his work but has gotten frustrated with his tardiness. That in itself makes me want to say no. This friend and I do a lot of work together. So his proposal is 60/40 I get 60% . I have done one job so far and left feeling robbed.
Thoughts? I think I have already figured it out.

 

[MasterBlaster]

If they don't lift a finger, 10 to 20%, TOPS!

 

[SkwerI]

I work for a couple landscapers and I just set my price. I don't care what they make on top of it but they aren't going to take their profit out of my portion.

 

[Adam_P]

I can tell you that when we do a job the days rate is the days rate. If it's as a sub and it's their client we only have a ballpark idea what they get billed in the end. It's usually well within fair. My friend that I work for has been doing this a long time and worked it that way intentionally. If you're working a job at your regular rate for 60% just for him landing you the job that sucks. Unless it's a bunch of ornamental pruning and you're really slow.

 

[Al Smith]

I have no idea how the tree biz works but will add the practice of jacking the final price is older than the hills .In the case of a sub for example working for a general contractor they use your bid and add some .In reality you are working for them not primarily for the customer .

It's also a common practice to use your price and pedal it to some some low ball bidder which has also been going on forever .So you kinda have to know who you are dealing with .

 

[woodworkingboy]

.So you kinda have to know who you are dealing with .

I think it is the key. Probably good to have a set fee in mind if you are the one giving the estimate from which a percentage is taken. I think that there are some variables though that can affect the percentage, call it special circumstances. How often does someone give you work, how hard they work to secure jobs, to what degree do they put in an effort to see that the customer is satisfied, i.e. possibly help with cleanup and take care of any loose ends? A good association can make you pleased that they get an amount that makes them happy too, and maybe give up some of your profit for that, but no doubt harder to find such a relationship.

 

[ptptree]

I give my price and that's it! Return the favor by referring them if I can.

 

[Al Smith]

Depends on who you are dealing with but remember this .If they try and beat you down on price as a rule you're already low .

 

[Tree Reb]

You've got it ptptree, and Brian.

Just put your price on and that's it, doesn't work out in the long run otherwise.

Partnerships don't last long in most businesses, let alone tree work.

 

[Bermy]

Yup, someone wants me, I give them my price and that's it, what they do from then is their issue.
I do work for two landscapers, both just want to know what my price is, they do not take any cut of my price.
Remember, your kit, your gas, your transport...and they want 40%...I don't think so!

On the other side I subcontract trucking and bucket truck, I know his rates, I pay them no questions, and I pay his invoice pronto, as a result I can pick up the phone and get great service.

 

[jefflovstrom@sb]

I agree with 10% and I agree with setting your price and not worrying about their mark up.
Jeff

 

[sotc]

If they refer regular, 5% of anything I close but I bIll direct. If they want an hourly rate then I do that too but not discounted

 

[arborworks1]

I share a shop with a landscaper. We refer each other all the time. I cut him a break on work he gets us to do for him, for example stump grinding and chipping.

It's not worth the time to run out and bid everything he needs done. So we just show up and do the work, try to fair with him. He still acuses me of overcharging from time to time!!!

 

[CurSedVoyce]

I just give them a price or rate, what they tack on to make on top of my take is up to them. I might be using the guy I worked with on some future jobs and I will do the same with him. Have him give me a price and I just write it in accourdingly. I do pay finders fees from time to time.. 10 percent plus. Sometimes gift certificates.

 

[Husabud]

I do gift certs a lot too for other folks but this is more for that same guy leading me a job every couple weeks. I have been setting a price which is fair and figuring he can do what he wants with it, but he knows he cannot honestly add 40% to it and get the job.
I guess my worry is if he's marking it up that much after me, I do not see that HO being a future customer at those rates. There is just too competition that will take the job just to get it.

 

[SkwerI]

The homeowner isn't your customer, the landscaper is.

 

[SouthSoundTree]

Well said Brian.

I figure that you get what you want to get, and let them get what they want to get for their time, networking, risk to reputation, etc.

I have one lawn care person/ company that sends me some work. I send him 10%, which I build into my price, of contracted work.

How long do you figure you owe someone a finder's fee? This guy, Josh, lined me up with a job for a customer's rental. I gave him 10% finder's fee. I did some more work for the same customer at his home. Josh did nothing to line up the second work.

 

[woodworkingboy]

I generally consider a finder's fee a one time deal. The feeling of thanks doesn't have to stop, but people expecting beyond that strikes me as a bit greedy or exploitative.

 

[Greenhorn]

Getting to where I just bid the job like any other and give them a price, less a little for having to deal with customer BS. I never have liked hourly rate wk. or the percentage game.

Stinks to have to do additional bids for other contractors but I don't like gearing up and planning for a job as per a landscapers description.