The Life of a Custom Mowing contractor

[civilian]

Your friend has a 737? Wow. Jon

 

[Hay Dude]

Well guys, I promised I share the “Life of a Custom Mowing Contractor” with you and sometimes, there’s difficult setbacks.

Every year, I must submit Proposals for large property/HOA’s so they can review my price & terms. Sometimes, they are required get other bids every 3,4,5 years.

Sometimes those other bids are lower.

Yesterday, I got bad news that I lost a long time Customer. About $12,000 worth of mowing. Worst part is they have informed me very close to mowing season, so I have no time to go out and hunt down some replacement work.

There’s good days and there’s bad days. Or as my buddy says: “Thats life in the big city”

 

[EddieWalker]

That's disappointing. Hopefully they get what they pay for and hire you to do the work again.

 

[two_bit_score]

Sorry to hear of the setback. Did they even give you the chance to match the low offer?

 

[Hay Dude]

Sorry to hear of the setback. Did they even give you the chance to match the low offer?

I wish, but no.

One thing I have learned about working for a HOA: An HOA is a “committee” right? It’s made up of several people. Some on the HOA are fine with me. Some are neutral, and maybe a few are skeptical. It just takes one that’s angry with you and just wants a change to spark a bidding war.

Well, thats just another way of saying “find someone cheaper”. Unfortunately, mowing is a race to the bottom. Nobody much cares about anything other than price. I sent in my norma proposal in January. They shopped it around from January to March. Easy to find someone cheaper.

Bottom line, they found someone more than 10% cheaper, which triggers an automatic acceptance of the cheaper bid.

Lesson learned: Wait until last minute to send in bid. Makes it harder for Customer to find a replacement…..

 

[Carl_NH]

That's certainly disappointing news. In these circumstances, would it have made any difference to bid late if they were obligated to select the low bid anyway? Would you have known what the other bids were if you had waited? If not, don't beat yourself up.

Are there opportunities to bid on new properties or different work/new projects?

 

[Hay Dude]

That's certainly disappointing news. In these circumstances, would it have made any difference to bid late if they were obligated to select the low bid anyway?

You're correct, it wouldn't. But it could depend on what triggered them to look around. Was it a required rebidding every so many years, or something else?

Would you have known what the other bids were if you had waited? If not, don't beat yourself up.

Thanks- trying not to. Does impact you though.

Are there opportunities to bid on new properties or different work/new projects?

Probably not this late in the game, but making some calls.

 

[MMC]

You're correct, it wouldn't. But it could depend on what triggered them to look around. Was it a required rebidding every so many years, or something else?



Thanks- trying not to. Does impact you though.

Probably not this late in the game, but making some calls.

Those things are more of a pain than people understand that are not in business. It's not just the loss of expected income, but also the expensive equipment that you have invested in that now is idle more than you want.

Even more importantly, since you did not expect this, you may not have the work to offer to employees, whether full or part-time. Keeping that part going is really important these days.

I have had conversations with, well younger partners, about the importance of communication and courtesy in our business dealings. Not sure that concept as an effective business management tool is given enough attention these days.

But, yeah, I would be as irritated, or more so, than yourself about a late notification...

But, maybe another way to look at this is as an opportunity. Myself, I just came in from working on a maintenance/repair project I should have finished last fall. Any chance you can set up extra time for yourself or employees to do a full preventative maintenance/repair program on your equipment? Or another farmer's for cash? I recognize you do a lot of this on your own equipment, but, point is, there's always something broke down (or about to be) on a farm.

If new work or other offsets aren't readily available, what about doing some free work for your church or another agency you might support for a tax break at the end of the year? (keeping good records, naturally) That could help offset the income loss you are experiencing in the near term.

In any case, best of luck. Doubt you need it - work is always looking for hard-working people...

 

[dodge man]

That’s not really a fair way to do it. They should get all proposals at the same time, not get yours and then decide they want more. There is always a chance someone spills the beans and tells someone what yours is.

 

[Hay Dude]

I’ll get through this. It’s more the loss of an “anchor” client that kind of rattles you. I knew something was up when one of the supportive HOA members retired. He always liked me and “firewalled” me when there were minor issues (there really were none though). I think his replacement was looking to make a name for herself and I was a fixture there for many years. Probably thought I was a “toxic male” or something….

It is kind of sad, got to know lots of people there and knew the place like the back of my hand.

But with each door that closes, usually a new one opens.