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Mileage setup fee question for the mobile sawyers

Started by Gasawyer, November 29, 2013, 10:02:49 AM

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Gasawyer

I'm trying to see what the mobile sawyers are getting for mileage and setup. This is for a 4-6 day job 50 miles away cutting beams. The reason for the question is I have a customer that is not willing to pay mileage for the job and I want to see what others are getting. I am debating turning down the job because of this issue. I don't appreciate terms being dictated to me. Never had somebody question this before, his reason is all the professionals(HVAC,Plumbers,etc) he knows don't charge mileage. Thanks for the input!
Woodmizer LT-40hdd super hyd.,Lucas 618,Lucas 823dsm,Alaskian chainsaw mill 6',many chainsaws large and small,NH L555 skidsteer, Int. TD-9,JD500 backhoe, and International grapple truck.

Magicman

I charge $1.25 (should be $1.50) per mile, one way, one time for travel and setup.  If the job takes more than one day, then the customer provides lodging.
Knothole Sawmill, LLC     '98 Wood-Mizer LT40SuperHydraulic   WM Million BF Club Member   WM Pro Sawyer Network

It's Weird being the Same Age as Old People

Never allow your "need" to make money to exceed your "desire" to provide quality service.....The Magicman

beenthere

QuoteI am debating turning down the job because of this issue.

That would be a good idea IMO, as he already has indicated how he feels about you sawing for him and likely he will have more issues to object to after you get to his site. Duck out of this one while the "ducking" is easy.
IMO
south central Wisconsin
It may be that my sole purpose in life is simply to serve as a warning to others

Leigh Family Farm

Your rates are your rates, not the plumber's rates or the HVAC guy's rates. They are your rates. You charge mileage because you drive a truck and are towing equipment and heavy machinery; plumbers drive a van. If the customer doesn't like your rates recommend a few other sawyers in your area to have him call.
There are no problems; only solutions we haven't found yet.

AdamT

1.50$ per mile, one way, AFTER 30 miles from my house.

If the job is really far away, and a hotel is needed, my customer picks up the tab.

2017 Wood-Mizer LT40HDD35-RA
2011 Wood-Mizer LT40 HD

It's better to have it and not need it then it is to need it and not have it

thecfarm

Tell him no milage,but I charge $70 an hour for your sevices. Than charge a sevice fee of $35. That's how much I was charged to fix my washer.  ;D
Model 6020-20hp Manual Thomas bandsaw,TC40A 4wd 40 hp New Holland tractor, 450 Norse Winch, Heatmor 400 OWB,YCC 1978-79

Nomad

     If the job is less than 25 miles I don't charge a trip fee.  If it's over that I charge $1.50, door to door.  That's one time, one way.  And I normally make a free site visit anyway, so in the long run I'm covering fuel at best. 
     If the trip is outside of daily driving range, the customer picks up the tab for lodging.
     The other professionals he's dealt with certainly do charge for doing an on site job.  It's called a service charge.  Mileage is built in whether it's there or not.
     Sounds like this may be a lucrative job, but I'd have to agree with Beenthere.  I'd suggest the fellow look elsewhere.  If he can't find anyone on his terms, maybe he'll come back to you on your terms.
Buying a hammer doesn't make you a carpenter
WoodMizer LT50HDD51-WR
Lucas DSM23-19

Dave Shepard

In 2008, WoodMizer had to hire a not so local CAT dealer to fix a warranty issue on my mill because the local CAT dealer would not. They charged port to port, plus I think it was $2.45/mile, plus something like $135/hour. It took two hours to get here, two hours to put the new manifold and fuel filter housing on, and then two hours to drive home. The bill was something like $1640 including parts. WoodMizer paid the bill. Not sure if they were able to settle up with CAT on what should have been their warranty claim, but I did notice they don't offer CAT anymore. :D I think you should point out that not all contractors operate the same way. Do the other contractors only charge when they are on the job, or do they charge port to port also? I'm sure their hourly rate takes into consideration the non billable parts of their day if they don't charge port to port. I'd offer it to him two ways, your current billing arrangement, or thecfarm's way of a higher hourly rate and just charge for the hours you run the mill. On a 40 or 50 hour job, an extra $15/hour will make up for your travel expenses. I think the customer will like your current method better. ;D
Wood-Mizer LT40HDD51-WR Wireless, Kubota L48, Honda Rincon 650, TJ208 G-S, and a 60"LogRite!

WH_Conley

Like said earlier, if he is already dictating terms you probably can't suit him. He may be just trying to get cheaper, maybe he is a nice guy. Makes no difference, if a customer wants to dictate terms and comes on strong, I walk. If he comes back, my terms will probably be a little stiffer than they were before.
Bill

drobertson

Hard to make money on those with very sharp pencils ;D  I have dealt with a few.  I am thinking this should be in the set-up charge with travel figured in.  There is a little difference between 20 miles and 100 miles in regards to fuel expense.  I would without a doubt drive home within a 100 mile radius, kinda like my own bed.  The cost would offset on a motel room if paid out of pocket,  never had to have room paid, this is a  step I have not taken.
david
only have a few chain saws I'm not suppose to use, but will at times, one dog Dolly, pretty good dog, just not sure what for yet,  working on getting the gardening back in order, and kinda thinking on maybe a small bbq bizz,  thinking about it,

Ianab

Quotehis reason is all the professionals(HVAC,Plumbers,etc) he knows don't charge mileage

Try getting a plumber to travel 50 miles to a job and see what their response is ??? :D

Weekend warrior, Peterson JP test pilot, Dolmar 7900 and Stihl MS310 saws and  the usual collection of power tools :)

thecfarm

Is this the first that a customer ever tried to beat you down in price? My little world was a very small veggie stand. Prices very low. I've had other veggie stand come and want to buy whole sale.   ::)  We was selling at the stand cheaper than whole sale. And I told them that and send them on thier way. Why should I or you cut prices so they can make more??  ::) We would sell cucumbers 3/1.00. A VERY good price. Than someone would come and want enough to do pickles and want a discount. ::)  I never had trouble selling cucumbers.I would just say,they are still 3/$1.00. They would buy them.
Model 6020-20hp Manual Thomas bandsaw,TC40A 4wd 40 hp New Holland tractor, 450 Norse Winch, Heatmor 400 OWB,YCC 1978-79

Dave Shepard

We have a little ad paper here that comes out every week. I often see ads where someone wants something done and they put the price per hour that they will pay. Usually way less than anybody should be doing the work for. One person wanted their leaves cleaned up and would pay $9 per hour. You just had to provide your own leaf blower and transportation.  :D
Wood-Mizer LT40HDD51-WR Wireless, Kubota L48, Honda Rincon 650, TJ208 G-S, and a 60"LogRite!

Rockn H

You have already priced the job to him so.... you can try to explain that your mileage charge is the same as a plumbers service charge, and that your sawing rates do not include the added expense of traveling 50 miles.   What ever you do don't take a pay cut just to saw...my two cents.

Gasawyer

thecfarm first time anybody ever questioned mileage. It amazes me that he is questioning $30-$40 a day mileage when he is paying a whole lot more per day in sawing fee. Generally they try to get the sawing fee lower.
Woodmizer LT-40hdd super hyd.,Lucas 618,Lucas 823dsm,Alaskian chainsaw mill 6',many chainsaws large and small,NH L555 skidsteer, Int. TD-9,JD500 backhoe, and International grapple truck.

JohnM

Quote from: Ianab on November 29, 2013, 02:01:46 PM
Quotehis reason is all the professionals(HVAC,Plumbers,etc) he knows don't charge mileage

Try getting a plumber to travel 50 miles to a job and see what their response is ??? :D
I think Ian nailed it.  Plumbers, carpenters, HVAC, other trades rarely travel outside 20-30 miles from 'HQ' unless it's a big job and if it is a big job the cost of travel is worked into the quote some place.  But as BT said, if the guy is making his own rules now what's he gonna be like when you get there and especially after you're done. ??? ::) :)....... smiley_horserider
Lucas 830 w/ slabber; Kubota L3710; Wallenstein logging winch; Split-fire splitter; Stihl 036; Jonsered 2150

Jimmy Mc

Gasawyer, This customer is going to be a problem. I am new to sawmills but not dealing with people. If you gave him a price and he wants to start off with negotiations, He is going to want to end doing the same thing. Unless you are ready for that, let him find another sawyer that wants to. More often than not people like that are going to find something wrong with everything you do. I don't need customers like that. No matter what you do he is going to give you a bad reference.
Jimmy McIntosh, HF band mill

TimGA

      None of us want to walk away from a job, it goes against our nature, but none of us need to work for Jerks. We usually give more than we get anyway to try and represent ourselves in a professional manner. I think I would take the next job because he is already upset with you and you didn't even do anything for him IMO.
                                                                              Tim
TK2000, Kubota L3130GST, grapple, pallet forks, 2640 Massey w/loader (The Beast) Husky saws Logrites One man operation some portable most stationary.

red oaks lumber

when i get a customer trying to haggle a better price, i always tell them" my names not monty hall and this aint lets make a deal" :) puts a stop to wanting to haggle with me.
the experts think i do things wrong
over 18 million b.f. processed and 7341 happy customers i disagree

rmack

there are all kinds of solutions for dealing with bullies... going to work for the guy isn't one of them.  ;)
the foundation for a successful life is being able to recognize what to least expect the most... (anonymous)

Welder Bob
2012 LT40HDSD35 Yanmar Diesel Triple
1972 Patrick AR-5
Massey Ferguson GC2410TLB Diesel Triple
Belsaw Boat Anchor

valley ranch

Greetings, We just had one of our wells deepened. The set up fee was $1500, it took 1/2hour. I Don't think your set up or travel fee comes close to that.

I don't blame him for trying, it's hard for him to understand.   You can do a: "Tell you what I will do" and offer to take some lumber to equal the cost of set up. But he should pay for the cost of turning it into lumber, once you're there.

Hope you had a Happy Thanksgiving.

Richard

dboyt

Let's do a little math.  50 miles @ $1.50/mile = $75.  5 days, 8 hrs a day = 40 hours.  At $60 per hr, that's $4,800.  Am I going to sit at home because of that $75 (1.6%) of the total job?  I don't think so!  This assumes you leave the mill on site and drive a more economical vehicle to work on the days you don't need to transport the mill.  If you have to transport the mill and set it up each day, that would be a different matter.  Even at that, the $375 is only 8% of the total cost.  My guess is that the customer is just trying to get the work done for the least amount of money.  Nothing wrong with that.  Just make sure you have a contract that spells everything out.  I have had to absorb the cost of a few blades when I forgot to tell customers that they pay for blades that hit metal in their logs.  By the way, does the customer have the equipment to move the beams?
Norwood MX34 Pro portable sawmill, 8N Ford, Lewis Winch

Delawhere Jack

Quote from: dboyt on November 29, 2013, 06:19:25 PM
Let's do a little math.  50 miles @ $1.50/mile = $75.  5 days, 8 hrs a day = 40 hours.  At $60 per hr, that's $4,800.  Am I going to sit at home because of that $75 (1.6%) of the total job?  I don't think so!  This assumes you leave the mill on site and drive a more economical vehicle to work on the days you don't need to transport the mill.  If you have to transport the mill and set it up each day, that would be a different matter.  Even at that, the $375 is only 8% of the total cost.  My guess is that the customer is just trying to get the work done for the least amount of money.  Nothing wrong with that.  Just make sure you have a contract that spells everything out.  I have had to absorb the cost of a few blades when I forgot to tell customers that they pay for blades that hit metal in their logs.  By the way, does the customer have the equipment to move the beams?

I second everything dboyt said. I usually get $1.50 per mile for jobs more than 20 miles away, but if I get a full 8 hours work 23 miles from home, odds are I'm going to wave the mileage fee.


goose63

This has nothing to do with a mill I have a stump grinder when thy tell me that's to much I tell them get a shovel and walk away  :snowball:
goose
if you find your self in a deep hole stop digging
saw logs all day what do you get lots of lumber and a day older
thank you to all the vets

Jim_Rogers

I usually try to work local. So my mileage fee starts after the first 10 miles. Anything within 10 miles no mileage fee. If I get the mileage fee for the first day and there is going to be more then one day's worth of milling, I usually don't charge another mileage fee to just drive to work everyday. 

dboyt's math is the reason why, I'd rather have the $4800 then haggle over some mileage fee.

I gave one customer a lower rate and no mileage fee on a one hour drive away job as they promised me lots of work all summer long, one year. Then it didn't happen. So when they called me back again, I put the mileage fee back in and they paid it. But again this is for the day hauling the mill only.

Jim Rogers
Whatever you do, have fun doing it!
Woodmizer 1994 LT30HDG24 with 6' Bed Extension

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