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Question about residential contracts

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  • Question about residential contracts

    I am in my 3rd year now and have about 35 residential clients and 1 commercial job. I want to know how to sell residential clients contracts for 12 months. I understand you add up the cuts and anything extra and divide by 12 then that's the monthly price. I just have hard time getting people to go for it and in winter it's rough if you don't have these payments coming in. How many cuts should I write the contract for? I live in nc and all depends on how the winter goes we mow sometimes through December. Sometimes we don't mow in November. Any thoughts and advice welcome.

  • #2
    I faced this EXACT problem ten years ago when I made the decision to implement 12-month contracts. First, one has to realize that contracts are not very appealing unless both parties want one. Certainly you want one, but how do you convince your customer to sign?
    The way I explain/sell them to my clients is explain that they are budget-friendly: you pay a fixed payment every month. Billing is in arrears as opposed to pre-pay, meaning that all work completed this month will be invoiced next month. This keeps you in a position to pro-rate an invoice should the customer want an extra odd job to be included in an invoice. It also allows you to credit them a mowing in case you can't make it out a prescribed number of visits.
    Your visitation frequency is between you/your customer and what your schedule will allow. This is where you have to be careful: don't agree to some wacky schedule if it puts the rest of your customer base at risk. I also have NO automatic roll-over, and NO cancellation fee. This will show the customer that your work is what motivates them to keep you as their lawn care provider.


    • #3
      There is more information on selling lawn care contracts in previous discussions here.

      How do I approach selling a yearly contract

      Yearly contract Pricing

      You can also consider including services like hedge trimming into the price as well as spring and/or fall cleanups.
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