Running a profitable landscaping business is primarily dependent on effectively estimating landscaping projects. Most contractors only make money on three out of every five jobs. This means they lose money on the other two. According to the estimates of Total Landscape Care, they lost money on one project and made money on the other projects.
To make money on every landscaping job you do, you need to know how to bid on them correctly.
But getting an automation tool is the best way to make it easier to figure out how much a landscaping project will cost. One of these programs is Blinksale. It is basically professional software for estimating and invoicing that makes it easier to estimate and bill. Online estimates can be sent in just a few seconds, and when the job is done, they can be turned into bills.
What do landscaping jobs involve?
The job of a landscaper is to plan, build, maintain, and make gardens, parks, property buildings, recreational exhibitions, and other outdoor spaces look nice. They make sure plants are growing, outdoor areas are clean, and overgrown hedges are cut back so they can grow again.
In addition, landscapers are in charge of things like maintenance repairs, power stations, garden furniture, and landscape structures.
How to Bid on Landscaping Jobs in 4 Easy Steps
Talk to the client
To start the bidding process for a landscaping job, the first step is to talk to the client and find out what they want. Before you start your estimate, you should ask a lot of questions.
When you go to see the property, you should measure it yourself. Find out what materials, subcontractors, and extra help will be needed to finish the job, and make a plan for how to do it. Hardscaping will cost more because you will have to build walls, paths, etc.
When doing landscaping, you should think about:
- The client's choice of style or design style (Japanese, for example)
- There are certain things that must be there, like a stone path.
- Types of plants and materials
- Is it in a remote place?
- Soil quality
- Adjusting the soil's depth or volume
- Grading and sloping the terrain
- Yard condition
- Pathways, patios, and plants must be removed.
Figure out how much the project will cost
To make an accurate bid on your landscaping job, you need to think about a number of costs. Small businesses often don't realize how much it costs to run their businesses in terms of overhead, materials, and other costs. So, it's important to have a correct number.
Total Landscape Care says that if you don't do this, you probably won't make a profit even if you put a markup on your invoices.
Before coming up with a quote, you should do a lot of research and think about all the important details. Let's examine each cost in more detail.
Labor Cost: Include the hourly cost in your estimate if you are the only person performing the service.
To figure out how much you have to spend on labor, you will need to multiply the hourly rate you will pay your workers by the number of workers you will have during the day. The cost of labor ranges from $9.21 per hour to $19.74 per hour.
Also, labor costs vary a lot from place to place. Before you make an estimate, find out what labor costs are like in your area.
Different states have different costs for labor. So, we'll use the average price across the country, which is $13.73.
Material Cost: As soon as you get to the site for the first time, you should make a plan for your task. You can make a list of all your project needs based on how big the site is. So, you can figure out the total cost of materials based on what you need.
The cost of the material also changes based on what the client wants. As the task gets harder, so will the number of rules that must be followed.
Make sure you're right about this, and always leave room for a sudden change in the price of the material so you can handle it.
Subcontractor Cost: This aspect of the task is straightforward. As soon as you get the project and are on the job site, you should call your trusted contractor.
Tell them about the project and ask them to give you a price for it. Add the price to the total cost of the project to make your estimate.
Overhead Cost: Depending on the task and size of the property, landscaping jobs can have a long list of prices.
Different services or features are added to a project, and each one has its own needs and costs.
The overhead costs may be something that newcomers tend to forget about, and it may be normal for them to do so.
Some of your business's overhead costs are advertising, office rent, repairs and maintenance of equipment, accountants and insurance, vehicles, and gas.
To get these costs back, you need to include the costs of running your business in your estimate.
If you don't take advantage of this chance, there's a big chance that you won't make enough money even if you add the markup to the sales.
Markup
It's important to remember that your markup does not cover overhead costs. To figure out the markup, you have to add the markup to the total cost of the job you are going to do. So, your landscaping business will always be able to make money for you.
Landscaping jobs for homes should be marked up by 15% to 20%, and landscaping jobs for businesses should be marked up by 10% to 15%. To stay in business in commercial landscaping, you have to charge less.
Landscape maintenance work can be marked up by between 10% and 12% for both residential and commercial properties.
Add up the total price
To figure out how much to charge a customer for landscaping, add up all the costs listed above plus your markup.
Add sales tax to the estimate if your state requires it.
Tips to Help Your Business Choose the Right Landscaping Jobs
If you need lawn care leads badly but don't have much time, there are ways to increase the number of new lawn care prospects quickly. You can start your lead generation process by doing a few things.
1. Promote landscaping services during the off-season.
Most landscapers find that spring is the best time to start selling their services. That can't happen anymore. You can gain an advantage over your competitors if you begin advertising to potential customers early. Start your marketing campaigns when the trees are bare in the winter.
Use winter trade shows and home shows to get the word out about your business. If possible, customers will remember your name, which will make it easier for them to call you when the time comes.
2. Free consultations
To get new customers, you need to give something away. Give free consultations to potential clients. It would be great if you could plan to go through their yard with them at a certain time. You can offer your advice on the best way to handle it based on what you think would be best.
Hence, you acquire a major competitive edge. In the end, trust is what makes a customer choose one company over another. After meeting you in person and seeing you around their property, they are more likely to trust you.
3. Use customers' yards
The best way to get people to know about your business is to have current clients whose yards you already take care of. Put your company's contact information and logo on big, bold signs that tell people you did the landscaping work and can be reached.
Take advantage of the fact that everyone in the neighborhood will be jealous of your lawn if you don't. Don't just promise a yard; show that you've done it before.
It's important to remember that your markup does not cover overhead costs. To figure out the markup, you have to add the markup to the total cost of the job you are going to do. So, your landscaping business will always be able to make money for you.
Landscaping jobs for homes should be marked up by 15% to 20%, and landscaping jobs for businesses should be marked up by 10% to 15%. To stay in business in commercial landscaping, you have to charge less.
Landscape maintenance work can be marked up by between 10% and 12% for both residential and commercial properties.
Add up the total price
To figure out how much to charge a customer for landscaping, add up all the costs listed above plus your markup.
Add sales tax to the estimate if your state requires it.
Tips to Help Your Business Choose the Right Landscaping Jobs
If you need lawn care leads badly but don't have much time, there are ways to increase the number of new lawn care prospects quickly. You can start your lead generation process by doing a few things.
1. Promote landscaping services during the off-season.
Most landscapers find that spring is the best time to start selling their services. That can't happen anymore. You can gain an advantage over your competitors if you begin advertising to potential customers early. Start your marketing campaigns when the trees are bare in the winter.
Use winter trade shows and home shows to get the word out about your business. If possible, customers will remember your name, which will make it easier for them to call you when the time comes.
2. Free consultations
To get new customers, you need to give something away. Give free consultations to potential clients. It would be great if you could plan to go through their yard with them at a certain time. You can offer your advice on the best way to handle it based on what you think would be best.
Hence, you acquire a major competitive edge. In the end, trust is what makes a customer choose one company over another. After meeting you in person and seeing you around their property, they are more likely to trust you.
3. Use customers' yards
The best way to get people to know about your business is to have current clients whose yards you already take care of. Put your company's contact information and logo on big, bold signs that tell people you did the landscaping work and can be reached.
Take advantage of the fact that everyone in the neighborhood will be jealous of your lawn if you don't. Don't just promise a yard; show that you've done it before.
Rewards and Referrals
Referrals are an important part of the success of any business, but they are even more important in a field like landscaping. After you finish a job, you can ask your customer in a nice way if they would be willing to recommend you to someone else when they are ready. They are happy to help you most of the time.
To get even more referrals, you might also want to give them something in return. If they give you their name and phone number, you could give them extra services, like a free extra visit to do some lawn care on their property.
Review incentives
Not only should you offer rewards for referrals, but you might also want to offer rewards for reviews. People who look for landscaping services online look for businesses with a lot of reviews and five stars. Customers are likely to steer clear of landscaping businesses with low ratings, few reviews, or, even worse, none. They will instead move on to the next lawn service.
Provide a customer with an extra service if they submit a positive review
Conclusion
The hardest part of your landscaping job is figuring out how long a project will take and finding ways to make your bidding process better all the time.
The more you work to improve your landscaping bids, the more money you can make and clients you can make happy.
