# Pricing Commercial for Entire Season ??



## Mattymax (Oct 2, 2014)

I'm going on my 4th year of snow plowing. Mainly I have 20-30 residential and three or so commercial accounts.

I was approached by a landlord who wants a *YEARLY *price for a commercial lot, not too big, and a main sidewalk in front of businesses along a main drag. Definitely something I can handle.

I am not too concerned about what I need to charge, but he wants a *YEARLY SEASON *price including salting and plowing. All of my other commercial accounts are on a per storm basis. If it doesn't snow, I don't get paid. If it DOES snow, I get paid. I think you get it.

Do you guys with yearly contracts have a Blizzard clause ? And if so what is it ? Anything else you guys write in there ? I can figure out storms from other years and compile a price on average for the season, I am just a bit weary for the unknown if there is a bad month.

Thank you 
matt


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## White_Gold11 (Jan 4, 2016)

I personally do not have a blizzard clause. Seasonal is the law of averages. Figure in how many heavy snows / so called normal snows you typically get in a year. Also try and extend your contract to multiple years to help balance things out. Make sure you have good equipment, personnel, and financials before getting into the seasonal game. It can be a good thing. Good luck


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## Philbilly2 (Aug 25, 2007)

You will need to start by posting the town and state that this property is located. 

From there, we can find an average of your annual snow fall per season.

2nd, figure out how much $ you need to plow an event on said property.

This is were we start.


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## Mattymax (Oct 2, 2014)

Passaic County NJ 

I am meeting with him on Monday to go over the area needed to be cleared. Part of the lot is covered by a different company so I need to meet him to find out boundaries.


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## Freshwater (Feb 28, 2014)

This year I've added a blizzard clause. 
Basically says if it snows more than 12" in a 12 hr period I get $$$, or if the storm total is over 16" I get $$$. 
I also only get paid for one or the other above never both.
I already have 3-4 multi trip storms built in to my seasonal average. 
We got 16+ here a few years ago, and were close to the 12 and 12 last year.
In NJ I'd think it's a must.


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## pipelayer (Oct 6, 2013)

figure out what it costs you to do the property, right down to the inch. then take your average snowfall, and cap it by what your average snowfall is for the last two/three seasons. CT i believe we've exceeded the 60" mark, so thats where i cap. i give them the option of smaller caps as well, 54" and 48". then i include a price that i would do it for, per storm, after the cap has been met. they almost always choose the lesser cap, because its the cheapest option. in that price though, i work in my labor both drivers and shoveler, i work in the cost of salt, and how many applications ill need during the course of the season. then again, after the cap has been met i include a per storm price for salt as well. hope this helps.

i do include a clause that snow melt and refreeze is on a call out basis only.


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## ConnorExum (Jan 5, 2010)

Mattymax said:


> I'm going on my 4th year of snow plowing. Mainly I have 20-30 residential and three or so commercial accounts.
> 
> I was approached by a landlord who wants a *YEARLY *price for a commercial lot, not too big, and a main sidewalk in front of businesses along a main drag. Definitely something I can handle.
> 
> ...


I never liked the per event paying... You have to have people on call and to me means you have to pay them for the storm--So,if I've got 4-5 people waiting around for a storm to hit ready to get the equipment up and running I believe I should be paid for that since that is part of my service.


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## leolkfrm (Mar 11, 2010)

go for a 3 year commitment, that wayif you get one heavy year teh other two will balance it out


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## cjames808 (Dec 18, 2015)

We do not include salt with seasonals- I think makes them feel entitled to unlimited salt. Recipe for problems on larger accounts. We did work for a PMC that specifies “no salt cap” for their properties. So in the bid we would figure maximum salting at a time and materials. We sell our salt by the application for everyone with a minimum. 

As far a blizzards, our seasonals have a limit or cap. If we reach the cap, the contract is due in full and we roll into hourly pricing. 1/2 of our customers are on this model. Dental/medical, churches, minimalls, apts/condos. 

Promising unlimited service sounds like a crazy idea, if someone offered me unlimited service for a fixed cost I only wish I could find a mechanic or crane service or painter with unlimited paint and crew lol. We also have a clause stating how long we have to clear the snow 24 hours normally or 48 in snow emergency.


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## Mike NY (Feb 2, 2009)

I have also added wording in my contract, especially for all in salt, that says the property manager is responsible for sight checks for any hazardous conditions (refreeze etc.) and I have a response time of XXX hrs. or I charge for sight checks( built into cost).


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## Mattymax (Oct 2, 2014)

Thank you for all the feedback. I have all the storms listed for the last 4 or so years and how many times I went and salted my commercial accounts I had. I would normally pre salt and salt after the storm which this will be the same. And then salt any incidental icing or small events. 
I met with the guy whose the middle man, property owner, who okays the contract and then gives the few stores the contract. I'm going to write something up tomorrow and get to him.

I think I know my prices pretty well and what I need to make when I am out. Very good ideas. I like the capped snow amount for the season.


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