The Forestry Forum

General Forestry => Sawmills and Milling => Topic started by: Brad_S. on November 14, 2006, 10:33:01 PM

Title: Lumber Storage Fee?
Post by: Brad_S. on November 14, 2006, 10:33:01 PM
I've got a customer who wants me to cut some walnut through and through, stack and sticker the boards as a boule, then store it while it air dries. ::)  I will, if they compensate me for the tied up stickers and storage space. Any one else do this for customers? Any feels on what I should charge? A dollar a day popped into my head, but I'd like feed back from others.
Title: Re: Lumber Storage Fee?
Post by: Tom on November 14, 2006, 10:37:38 PM
I just got taken for a ride by a one time customer, a friend of a good customer, so I may not be much help.  If you charge for the storage, I think you should tie it into "footage under shelter" so that he won't think a dollar a day for 100ft is the same as a dollar a day for 10000 feet. :)
Title: Re: Lumber Storage Fee?
Post by: beenthere on November 14, 2006, 11:38:03 PM
Get your money ahead of time, I'm thinkin.  Who loses if something happens to the stickered log?  Like if it would catch fire?
Title: Re: Lumber Storage Fee?
Post by: tcsmpsi on November 15, 2006, 09:31:58 AM
Actually,  what he wants you to do is to air dry the walnut for him? 

Brad, what does a dollar buy up there?   ;)

If I were paying someone to air dry,  I would consider $50 a month a bargain for the caretaking.
Title: Re: Lumber Storage Fee?
Post by: GregS on November 15, 2006, 11:03:10 AM
Brad,  You didn't mention if this is outside or inside space but I will assume outside.  I have a tendency to price too low but I am currently charging 5/month for outside space per pile.  I make the price very clear and they need pay upfront for estimated time.  That way when they pick up late they understand they may owe more $.  I figure this covers the cost of weed-wacking and grass cutting around the pile.  The farmer out back only pays $35/acre for leasing my corn field so I figure I am doing ok on the lumber pile.  Of course I don't need to weed-wack the corn field ;D.

See Yeah! 
Title: Re: Lumber Storage Fee?
Post by: Warren on November 15, 2006, 12:43:26 PM
Brad,

If you have an idea of the price differential between green and air dried lumber in your area, I would make certain you charge at least that amount for the sticker and storage.  Basically, that's what you are doing is air drying his lumber.  He should pay at least the difference between green and AD for the service being provided.

Warren
Title: Re: Lumber Storage Fee?
Post by: GregS on November 15, 2006, 06:51:17 PM
Warren,  I like the concept and almost agree with it.  But, if you charge them for air drying the pile they may expect some guarantees.  If something happens such as the pile sags under the weight or there is some re-wetting they may be upset.  I try to make them understand it is their pile and I will check the cover and that is it.  I wish I had everyone storing lumber at my place...if an average pile takes 100sq.ft. and an acre is 43,560sq ft I could made over 4000/month/acre..... 8).  Just kidding guys I know there is more to this ;).

Greg S.
Title: Re: Lumber Storage Fee?
Post by: rebocardo on November 15, 2006, 07:17:05 PM
I would get full payment up front for the wood and expected storage cost with a rider if the wood is not picked up within a certain time frame, even if you can not contact him directly, then the wood becomes yours.

Plus, a disclaimer you are not responsible for any damage including wood rot, mold, and fire.
Title: Re: Lumber Storage Fee?
Post by: logwalker on November 15, 2006, 08:34:44 PM
$.15 board foot to take to 12 %. LW
Title: Re: Lumber Storage Fee?
Post by: Brad_S. on November 16, 2006, 05:56:25 PM
I met with the client today and went with the dollar a day price ($30 a month) drying under cover. (I've got lots of shed space.) Her eyes got big when I gave her the price (and I thought I was giving her a pretty good deal!) but she said do it. I'm going to get my sawing fee plus 5 months in advance, the balance at pick up. Thanks to all for the input, it really helped me decided after getting such diverse suggestions.