I give up.. - REO Property Preservation Forum
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post #1 of 23 (permalink) Old 03-25-2015, 03:55 PM Thread Starter
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I give up..

I know this story isnt about the evil s/g or 4 broz etc.. i had a bid to remove a warehouse of junk. 6200 sqft. removal of all the racks, prob 300 yrds and prob 11 tons of metal.. scraps of metal, 13 alum bins 600lbs plus.. i bid a little under cause i would make a killing with the scrap along so i didnt under bid myself to look stupid.. I listed everything with a time and break down.. The owner of the build sent me a email with some guys bid " on a plain sheet of paper" it said remove all junk miss spelling, no letter head, no explation what was to be done with the 90 gallons of chemicals, Or other hazards.. his bid was 2600.00 he under bid me by ohhhh 75% i was 2nd in line for cheapest bid. I cant do this no more.. time it takes to get work, build up people and then some yahooo comes in and low balls every profit. ill post photos in a few.
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post #2 of 23 (permalink) Old 03-25-2015, 06:29 PM
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The bestest business is when you've earned the trust to be the only bidder but so many industries don't allow that.

In landscaping business, someone tells me that we got this new job, the first thing thru my head is "what did we miss on the bid and how we will make it work........"
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post #3 of 23 (permalink) Old 03-25-2015, 08:13 PM
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Winning bid took into account the resale value of the racks? There must have been something there worth more than scrap.
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post #4 of 23 (permalink) Old 03-25-2015, 09:19 PM
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Hi

even time he sells aluminum and scrap and pays dump fee,is he really going to profit a lot? i know dumping chemicals and paint where im at they charge 1.00 a pound luckily i give the paint away on craigslist for people to paint barns and sheds,i just dont guarantee its all good,saves me a big bill.
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post #5 of 23 (permalink) Old 03-25-2015, 11:19 PM
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Originally Posted by ezdayman View Post
I know this story isnt about the evil s/g or 4 broz etc.. i had a bid to remove a warehouse of junk. 6200 sqft. removal of all the racks, prob 300 yrds and prob 11 tons of metal.. scraps of metal, 13 alum bins 600lbs plus.. i bid a little under cause i would make a killing with the scrap along so i didnt under bid myself to look stupid.. I listed everything with a time and break down.. The owner of the build sent me a email with some guys bid " on a plain sheet of paper" it said remove all junk miss spelling, no letter head, no explation what was to be done with the 90 gallons of chemicals, Or other hazards.. his bid was 2600.00 he under bid me by ohhhh 75% i was 2nd in line for cheapest bid. I cant do this no more.. time it takes to get work, build up people and then some yahooo comes in and low balls every profit. ill post photos in a few.
That's an easy one--you respond like this: "Sir, I appreciate your confidence in allowing our company to bid our services. We took the time to talk with the EPA, OSHA AND THE DNR concerning the hazardous waste which comprised a huge portion of our estimate. We did this to protect your liability since the owner is responsible for the fines of any improper disposal so we supplied the address of your shi* pile of hazards to avoid any future possible litigation. Once again this was done to protect you and us too. Thank You for your consideration and we would be happy to assist on any future projects!

P.s. You can thank us later "
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post #6 of 23 (permalink) Old 03-26-2015, 05:55 AM
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From time to time we get calls from a homeowner who has a vacant property (the parents died, they bought a fixer upper, an empty nester getting rid of junk, etc) and they want a quote for hauling away "a few things".
First I explain that we charge a minimum fee based on showing up and what the landfill base cost is. Bedding, solvents, paints, oil, hazards are all additional cost.
"Oh my, $400 just to empty out the garage. I was thinking maybe $75. Can't you use some of these things for yourself? I'm sure those televisions would be good if they had remotes. Maybe you could sell some of them. No?" I guess I'll just go with the foreign gentleman that can do it for the $100."
The answer is that rather than giving up, market yourself to better customers.
Charge for a better service and deliver, and the clients who are a tier or two above the CraigsListers will use you. A guy that budgets $2500 for a 10k job was never going to be your customer no matter what you said.
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post #7 of 23 (permalink) Old 03-26-2015, 06:18 AM
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Story of my life....

This is why I got fed up with my other business, doing site work. We would constantly get under bid, beat up on pricing, etc. Your number is good on this and this, but high on this, etc. We have to make money! I couldnt do it anymore, wasting lots of time on bidding jobs only to get beat up on my bid. And there is always a good ole boy around, they show our numbers to him and he always under bids.
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post #8 of 23 (permalink) Old 03-26-2015, 09:17 AM
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Originally Posted by GTX63 View Post
The answer is that rather than giving up, market yourself to better customers.
Charge for a better service and deliver, and the clients who are a tier or two above the CraigsListers will use you. A guy that budgets $2500 for a 10k job was never going to be your customer no matter what you said.
Very sage advice right there

I have made a quite a few changes this year regarding these thoughts.

1) Free Estimates are only in writing if my gut feeling says to do so. Otherwise I'll give you a verbal ballpark.

2) I ask people what their budget is. If they don't want to share, they go to the bottom of my priority list

3) I do not advertise on Craigslist at all. I only use CL for buying or selling things. I don't hire from there (anymore) nor do I look for work from there.

4) I have a Facebook business page, but I don't troll all the groups looking for work. They aren't my customers and most likely won't be.

Recent example: I was working in a nearby town and a "potential" customer called looking for a price on a detached garage. I was in town so I stopped by to scope it out. Entire package was north of $17k. I shot him a price over the over phone. I got "geez, I was hoping this would be under $10k." After a quick laugh, I told him good luck with that. Permits, concrete, erosion control and materials were over $10k. Moral, the guy was nuts and will never be my customer. Just move on.

Another example: I got a call from a lady looking for a roof quote. She said I came "highly recommended from a Facebook group of her friends." She asked why I don't advertise there. I told her I can't compete with unemployed people, illegals, and side work jobbers. I gave her a price and got "We'll get back to you. We need more quotes". Really? WTF happened to highly recommended????

Point being, there are customers out there that WILL pay for quality, quick completion, premium materials, etc. They are just not easy to find. It is damn near impossible to find them if the first place you look is Craigslist and the second place you look is Facebook. Well, that's my experience anyway.



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post #9 of 23 (permalink) Old 03-26-2015, 10:43 AM
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Originally Posted by BRADSConst View Post
Very sage advice right there

I have made a quite a few changes this year regarding these thoughts.

1) Free Estimates are only in writing if my gut feeling says to do so. Otherwise I'll give you a verbal ballpark.

2) I ask people what their budget is. If they don't want to share, they go to the bottom of my priority list

3) I do not advertise on Craigslist at all. I only use CL for buying or selling things. I don't hire from there (anymore) nor do I look for work from there.

4) I have a Facebook business page, but I don't troll all the groups looking for work. They aren't my customers and most likely won't be.

Recent example: I was working in a nearby town and a "potential" customer called looking for a price on a detached garage. I was in town so I stopped by to scope it out. Entire package was north of $17k. I shot him a price over the over phone. I got "geez, I was hoping this would be under $10k." After a quick laugh, I told him good luck with that. Permits, concrete, erosion control and materials were over $10k. Moral, the guy was nuts and will never be my customer. Just move on.

Another example: I got a call from a lady looking for a roof quote. She said I came "highly recommended from a Facebook group of her friends." She asked why I don't advertise there. I told her I can't compete with unemployed people, illegals, and side work jobbers. I gave her a price and got "We'll get back to you. We need more quotes". Really? WTF happened to highly recommended????

Point being, there are customers out there that WILL pay for quality, quick completion, premium materials, etc. They are just not easy to find. It is damn near impossible to find them if the first place you look is Craigslist and the second place you look is Facebook. Well, that's my experience anyway.
I agree with everything that you said. Nothing will be better than the call that we get from one woman: I am looking to paint my rooms, how much do you charge? I give her an answer and she says, well, can you paint it for 25.00? Like WTH? Can she paint it for 25.00? Another one said she was looking for remodeling estimate, we came out and she wants to change cutting board in her cabinets and fix her cabinet light along with range fan. We like really? No handymen around the area? You had to call contractor to do that?
Can I ask what do you think works the best from advertisement stand point?
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post #10 of 23 (permalink) Old 03-26-2015, 01:16 PM
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Originally Posted by BRADSConst View Post

Point being, there are customers out there that WILL pay for quality, quick completion, premium materials, etc. They are just not easy to find. It is damn near impossible to find them if the first place you look is Craigslist and the second place you look is Facebook. Well, that's my experience anyway.




I've even tried paid FB advertising. Lucky for me I only spent $60 doing it.
Not a single phone call from it.

Professionals are people who can do their job when they don't feel like it.
Amateurs are people that can't do their job even when they do feel like it.
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