8d • General discussion
The Scope Should Determine the Price
One of the biggest mistakes I see when contractors are bidding snow work is getting an address, an acreage, and immediately trying to come up with a number.
Before you price the property, you need to know exactly what you are being asked to provide.
What is the plow trigger?
Are sidewalks included?
Who determines when deicing happens?
Are loading docks, fire lanes, entrances and dumpster areas included?
Where does the snow get stacked?
What happens when those areas fill up?
Are return visits expected during business hours?
What changes when the storm is 2", 6", 10" or more?
These sound like simple questions, but they can completely change the cost of servicing a property.
Two contractors can look at the exact same site, submit completely different prices, and both believe they are bidding the same job.
They may not be.
One may be pricing three pushes during a larger storm while the other assumes they will wait until the storm is over.
One may include sidewalks and property inspections (daily, when frost/ snow is anticipated, etc.).
The other may not.
One may be planning to keep entrances open throughout the storm while the other is planning one final cleanup.
This is also where the conversation with the client becomes important.
Don't just ask, "What did the last contractor do?"
Ask what they actually need.
What caused problems last year?
What areas matter most?
What does good service look like to them? Defining "Good" is critical to determining true scope!
Now you aren't just bidding snow removal. You are figuring out the problem they are hiring you to solve.
And really, you are not bidding snow removal and deicing, you are bidding Risk Management!
Get the scope clear first.
Then figure out the labor, equipment, material and time required to deliver it.
Then price it.
The scope should determine the price.
Never let the price determine how much service you can afford to provide after you already won the job.
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The Scope Should Determine the Price
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