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When entrepreneurs first start a lawn care business on of the first hurdles that they come across is how to accurately estimate or price a job. Pricing a lawn job correctly is so important as if you price too high you risk losing a customer and if you price too low you are leaving money on the table. Here are some grass mowing pricing tips for beginners.
Start by walking around the property to get a clear impression of its size. Take note of the distance between the customer's lawns and where you will park your truck. Also look at the lawn's shape and note any obstacles that will be difficult to get around.
Now try to estimate the total time in minutes that it would take one worker to complete the lawn. Having had experience with other lawns is essential here so if you haven't mowed a variety of lawns then do some for friends and family to get an idea of the time it takes.
The next step is to multiply the number of minutes by one dollar. This rate is seen by lawn care businesses in the US as leading to a very healthy hourly rate of $60, however you will need to adjust this rate to suit the market in your area. You should also have a minimum price for lawns that will take less than 20 minutes to allow for driving and loading time.
You should also not make the mistake of pricing to low to compete. Low pricing at rates that are barely profitable is bad for the industry overall. If you start pricing low it will be hard to raise prices in the future and when you do raise prices you would not like it if some newcomer to the industry undercut you. Competing on quality service instead of price is the best approach.
Being able to call a price that is higher than the market rate takes experience and confidence. If you have a strong brand and you can demonstrate your knowledge of lawn care to them then by all means go ahead and try.
Pricing a grass mowing job correctly and profitably requires skill and technique and the ability to set a price, and close the deal at that price. This skill in estimating and salesmanship can set an exceptional lawn care professional apart from the rest so you should focus on developing and improving your system as soon as you start your lawn care business.
For more articles on starting a lawn business visit http://www.StartaLawnMowingBusiness.com