I'm thinking about starting a stump grinding business next year. Anyone have any suggestions? I'd also be looking at debris cleanup and firewood sales to supplement the business. This would be a second line of work.
Do yourself and your competition a favor...don't ruin the market. There is nothing wrong with charging an honest rate for a job well done. If you come in with cut rate prices, your competition will try and match and then it will be a race to the bottom and enough hard feelings to go around.As a second income I would use lower rates as I would not be relying on the income. Just trying to do some homework on the subject now.
Do yourself and your competition a favor...don't ruin the market. There is nothing wrong with charging an honest rate for a job well done. If you come in with cut rate prices, your competition will try and match and then it will be a race to the bottom and enough hard feelings to go around.
Ya beat me to it. I grind stumps. It's a good way to make an honest buck. But for my sake, and other small business owners sake, please don't dilute the market. I've got about 10 grand in 2 grinders, plus my insurance. Then, I have my truck, trailer and employee. I charge between $3 and $10 an inch, depending on the type of stump, how green it may be, and height. I just did 10 hemlocks with an average diameter of 7.6 inches. Threw in an 18" maple for $300. The homeowner told me I beat the other guys bid by roughly $50. Still made a decent buck. Could I have done it for $200? Sure. The homeowners could also go out and buy a $6,000 grinder and learn how to use it, then assume all the risk. Grinders are expensive. Maintaining them costs money. You may grind for 2 or 3 summers at a loss if you buy one and start a business. Maybe longer.
I use the tip of my chainsaw and cut lines in the stump a couple inches apart then cut another set of lines perpendicular to those. I then use a sledge hammer and break it up. I only care about getting the stump down low enough that I can run my mower over it.
What you and Jag suggest is the equivalent to all the local mechanics getting together and making a pact
If you chase the customers that only hire you because you have lower rates they are the only customers you will ever have.I agree with you Jags but to get your name out slightly lower rates for a short period should get the ball rolling. That is with good customer service as well.
No - what Jags is suggesting is that there is probably a reason that the market is where it is at. As a newby jumping into an unknown market (as a green stump grinder) that doesn't know all the maint issues and other overhead (yet) it would be kinda silly to cut throat the market just to loose money. Business 101.
No - what Jags is suggesting is that there is probably a reason that the market is where it is at. As a newby jumping into an unknown market (as a green stump grinder) that doesn't know all the maint issues and other overhead (yet) it would be kinda silly to cut throat the market just to loose money. Business 101.
And being a second income he should be able to offer a descent price cut.
More work and less profit or less work and more profit? I know which one I would choose.
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