Stand By Charges

Stand By Charges

Postby LeeMR on Fri Jan 08, 2010 11:20 pm

I'm looking for input and variations on how everyone handles stand by time. Being new in the business (only at it for a little over a year now) I'm trying to establish a fair method for charging for stand by time. It seems to vary quite a bit. I've heard anywhere from $60 to $120 per hour, and the most common allowance for pouring a yard seems to be 10 minutes per yard.

I've been pretty liberal up to this point on stand by time, but i definitely need to establish a set charge rate, otherwise I can see a lot of uncompensated time in my future. I've been using the 10 minute per yard discharge time as my basis, and the $120 per hour stand by rate. Although I must admit, that I have not been charging it as much as I should have. Like anyone new at this, I've been trying to establish a customer base, so charging for extras is something I have not been consistent with, I must admit.

Here are a few variations that I have come across, on various metered mix web sites, in no particular order. Please let me know your thoughts:

1. Like I said previously, anywhere from $60 to $120 per hour wait time. In my area, the drum guys get $120 per hour, so I figured I'd follow suit. If you look at the old adage that you should get $1 per hour for every thousand dollars that you pay for a piece of equipment new, that's not far off. Think about it. A ten wheel dump truck now goes for $80-85 per hour. A mobile mix body costs a LOT more than a dump body.

2. Some companies allow more time (say 20 minutes) for the first yard, then 10 minutes per additional yards.

3. Charging for wait time in 10 minute intervals, instead of per minute. Kind of like rounding up to 1/4 yard increments for the actual concrete.

Input would be much appreciated. Any other options or variables that I didn't cover, please mention.

Thanks,

Lee G.
Lee Gentile

MIX-RITE CONCRETE
http://www.mix-rite.com
888-MIX-RITE (649-7483)
228 Dedham Street
Norfolk, MA 02056
lee@mix-rite.com
LeeMR
 
Posts: 52
Joined: Thu Dec 25, 2008 12:37 pm
Location: 228 Dedham Street, Norfolk, MA 02056

Re: Stand By Charges

Postby smnstn on Tue Jan 12, 2010 2:25 pm

As always, with topics like this, I recommend Don Mullin's expertise. You should also be somewhat competitive with local ready mix producers in your area. While you need to be compensated for your time, you don't want to scare off homeowners and small crews. Often a liberal interpretation of the meter count will compensate for moderate amounts of standby time and admixes without having to show heartburn inducing itemization.

Simon Stanfield
smnstn
 
Posts: 98
Joined: Sat Jan 03, 2009 5:38 pm


Return to General Discussion

Who is online

Users browsing this forum: No registered users and 1 guest

cron