# How to price commercial lot



## Kyle614 (Dec 11, 2017)

hey everyone, my wife's uncle asked me to plow one of his lots I just picked up a plow truck for a decent price and not sure how to price it out, I don't need to give me a deal or anything the tenants pay the cost. The lot has a 200'x3' side walk and 3 entrances I would need to shovel out. 
The lot itself is 13,000 sq ft just about a third of an acre. I will also need to salt it the truck I have has a tailgate salter that only takes bagged salt. The salt itself costs me 5.50/ 50 pound bag and it will take about 6-8 bags minimum to cover everything. I appreciate any help. Thanks Kyle


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## Jacobmb (Dec 3, 2013)

Hey. 

Welcome and congrats on your first post!

Are you insured for plowing? What truck and plow are you using? Tailgate salter will get old very quickly. Do you have any experience plowing?

I'd charge at minimum enough for 1 driver x 1hr and 2 shovelers x 1hr. For my operation about $150 Cnd. 

If you are unsure what local prices are just multiply by average snowfall in your area. In my area it is 25 services per season which works out to $3750 plus tax. Charge for 500lbs per storm @ $120 ($12per bagx10bags). If you salt 20 times you'll bring in $2400 and your cost will be about $1100 in salt plus delivery/labor costs and tax. You could stand to earn a profit on salt everytime you salt. 

You could charge more and these estimates are very conservative and minimums. It all depends on your area....

The way I break it down to the client is $3750 / 5 months (Nov 15 to April 15) = 750 per month plus tax. Ask the client for 5 post dated cheques Nov 15 Dec 15 Jan 15 Feb 15 March 15. Also, salt usage billed at $120 per service and tracked and billed at the end of each pay period and due by the next. Salt used Nov 15 to December 15 billed December 15 and due by January 15. Salt used December 15 to January 15 billed January 15 and due February 15 etc...

There is no wrong way. This is what I would do. Also, please have a lawyer draft a contract to protect yourself against being sued for slip and fall accidents. 

Good luck and keep us posted


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## Kyle614 (Dec 11, 2017)

I have an 01 ranger 4wd 4.0l v6 with a western plow system. I have some experience with plowing and know the jist of where to put the snow. Thanks for in advise.


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## Osmond Otto (Dec 19, 2017)

Jacobmb said:


> Hey.
> 
> Welcome and congrats on your first post!
> 
> ...


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## Osmond Otto (Dec 19, 2017)

hi good morning Jacob I am a newbie to the website. I am trying to get some idea's on snow plowing. I liked you u brake it down. I know i can't used your figuration cause of I am in a different area. but can i used yur formula? I just have to tweak it to my area


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## ponyboy (Dec 19, 2006)

Still didn’t answer if u have Insurance 
To me that’s the main thing 
You are in NJ very sir happy State same as NY 
Plowing you can learn but while learning make sure your family is protected with good insurance and make sure your agent knows you are doing commercial lots 
And yes have a lawyer write up the legal stuff on the contract 

Also ask him what they were paying ask to see old contract since it’s family can’t hurt


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## zicesariz (Feb 20, 2018)

$250 per visit


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## zicesariz (Feb 20, 2018)

$200 would be the lowest i would go


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## Kyle614 (Dec 11, 2017)

ponyboy said:


> Still didn't answer if u have Insurance
> To me that's the main thing
> You are in NJ very sir happy State same as NY
> Plowing you can learn but while learning make sure your family is protected with good insurance and make sure your agent knows you are doing commercial lots
> ...


I am not insured but I have a contract that says I work for the landlord and am concerned under his business insurance


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## BossPlow2010 (Sep 29, 2010)

Kyle614 said:


> I am not insured but I have a contract that says I work for "the landlord and am concerned under his business insurance


Huh
It says in the contract that you're covered under his insurance?
Where I come from, you'd be a sub contractor, and still need your own insurance


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## Randall Ave (Oct 29, 2014)

Kyle614 said:


> I am not insured but I have a contract that says I work for the landlord and am concerned under his business insurance


So he pays you as an employee, takes out taxes, has WC on you.


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## iceyman (Mar 1, 2007)

Kyle614 said:


> I am not insured but I have a contract that says I work for the landlord and am concerned under his business insurance


Whats your backup in case of a breakdown? And someone will sue you if your name is mentioned snow plowing (in the event of slip and fall)


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## Mark Oomkes (Dec 10, 2000)

Insurance is a waste of money...


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## Philbilly2 (Aug 25, 2007)

Mark Oomkes said:


> Insurance is a waste of money...


So it craft beer...


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