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Budget


General Business Discussions

A place to talk about general business discussions.
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  #1  
Old 03-25-2013, 09:43 PM
SNethercutt SNethercutt is offline
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Default Budget

When a customer says budget I run for the hills.

They call and want landscaping but only wanna spend 2,000 and I ask if they want me to finance the rest.

Seriously 2,000. I can mulch your beds and trim the bushes and leave you with a few hundred but 2,000 to completely rip out landscape and design and install new, for 2,000.. get real.

Is it just me or does it piss you off too when someone calls you talking about a big job then says budget?
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Old 03-25-2013, 11:01 PM
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I hear you. I got a call about 25 miles away to redo a walkway and install a french drain down the side of the driveway. Without even looking at it, I know its going to be pricey. Going go quote it anyway but I might just be wasting my time.
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Old 03-25-2013, 11:18 PM
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You can't expect someone that's not an expert in the field to know how much things cost.

The word "budget" isn't necessarily bad. It is the client communicating how much they value the services you offer, and how important a great yard is to them. And "budget" doesn't mean it's not flexible.

If it's happening regularly, maybe there are things you can do to minimise it e.g. putting examples and price ranges on your website & ensuring your branding and target customers match the prices you are seeking.
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Old 03-26-2013, 02:33 AM
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I would think that having a price they are looking for would allow you to potentially maximize your profits. You could say 'for $x.xx budget, I could do this or possibly that....etc'

If you know what they can pay, you can tailor fit a package for that price. Potentially!
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Old 03-26-2013, 05:27 AM
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It's sad to say, but most of these people watch shows like "yard Crashers" etc where a pro goes in and does things cheap. Or the shows on flipping houses where a landscaper does an overhaul for $1,500. These shows are just not practical.

Homeowners like that will either A think your ripping them off till they get other quotes or B not do the project at all. Sometimes you get C, where they try it, fail, and call you to fix it.

Don't lose sleep over it. If he doesn't want to pay it, he can do it himself.

I have taken Steve's approach before, try to offer alternatives or say something like "what price did you have in mind?" The more they talk the better....then you can get a feel for what they really want.

Last year I had a call from a lady who wanted her front garden redesigned. She was very specific on what day and times I would have to do it. I explained its too hard for me that way with weather and other things. She said she liked it that way because she hired a landscaper based on his cheap quote and the guy ripped out 3 Jap Maples. She learned her lesson after that one! The going rate for those here, small ones, are $150 a pop. I told her no thanks, I can't do it.
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Old 03-26-2013, 12:21 PM
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Quote:
It's sad to say, but most of these people watch shows like "yard Crashers" etc where a pro goes in and does things cheap. Or the shows on flipping houses where a landscaper does an overhaul for $1,500. These shows are just not practical.
This very well could be where all this comes from and if so, it may be prudent to work with the customer in a manner they see on tv. Maybe do some sketches of what you could do for that budget. Maybe walk them through their yard and present them some ideas and make them some big.

If you can mold your sales process to be more of a presentation that's visual and 'showy' it may help you sell more.

You can also show them some ideas that might be a little out of their budget with a few upsells that could get them to spend a little more than they had initially considered.
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Old 03-26-2013, 05:15 PM
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You know, you can be making some money on that too. You will actually make more in the long run if you did. I would file a lien to be sure they could not sell the property without paying you off first and figure that into the costs.

You could give them 2 prices, one is the payment system which would cost them much more than cash and the second would be the cash price.

If you show them that it would cost them say 5k with payments and 4k cash you just might get the cash.
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Old 04-05-2013, 07:19 AM
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Remember guys, What is the main reason we are in the profession for? CAUSE WE ARE EXPERIENCED and want the clients!! If someone calls me, states they want to budget, I provide the estimate anyway, why run for the hills? I live in a Rural area in Upstate, New York. Lots of people have MUD or SAND for yards, What a pretty sight to wake up to, NOT.

I go the extra mile for my clients because I know they are getting the best service for the price, when things come down to it, I try to at least allow people to budget, it gives the customers a piece of mind knowing a professional is doing the job, and myself, cause i know it will be repeat business!

That's my opinion, What's yours?
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Old 04-05-2013, 04:01 PM
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When you show up to such jobs, how many of them that say they have a budget are you able to ultimately work with do you think? Do you find that they are willing to go over the budget if you have some ideas they hadn't thought of? Or do you try to do what they want within their budget?
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