In many parts of the country, commercial snow plowing services are a necessity during the winter months. However, snow plowing contracts can be less than straightforward, and you may end up overpaying for services if your contractor does not clarify their pricing structure with you.
Understanding the different types of snow plowing contracts and how they are structured can make a big difference for your business. To help you make the right decision and avoid overpaying, here is a quick breakdown of the different pricing structures you may encounter this season.
Variables for the Prices of Commercial Snow Plowing Services
To choose the right commercial snow management services that meet your needs and budget, you must understand variables you can utilize for snow removal contracts. Even though there are several pricing structures offered, each of the pricing options can be adjusted and tweaked to fit your exact needs. At Strategic Grounds Management, the variables for each customer often include:
- Frequency of service
- Trigger amount – When services begin
- Shoveling responsibilities and frequency
- De-icing material and frequency
- Payment terms
- Service verification options
The Basic Pricing Structures for the Snow Removal Contract
There are three main types of pricing structures for commercial snow plowing or removal services.
Seasonal Pricing Structure
If you’re looking for an “all-inclusive” option for the season, then the seasonal pricing contract will be ideal. The flat monthly rate includes any necessary plowing, shoveling, and de-icing treatments.
The seasonal pricing option will allow your business to predict your snow season’s budget more accurately. It’s also the most straightforward option in terms of billing and invoicing. You will receive one invoice at the end of each month, generally from November to March.
- This pricing structure is excellent for sites that get snow of 30+ inches because you know for sure you’ll be getting snow.
- Invoicing on the back end is more manageable.
- It prevents overpaying for services that you don’t necessarily get.
Per-Event Pricing Structure
This payment structure allows you to pay per “snow event” and is based on the total accumulation of the snow at the end of an event. The service event is the continuous winter storm. For instance, if the snow happens continuously for 1-3 days or more, it will be regarded as a single service event. And if it snows for a day and then stops and does not snow for a minimum of twelve (12) hours, then it will be considered two different service events.
At Strategic Grounds Management, we provide certified comprehensive snow reports at the end of each event, ensuring accurate and reliable records of snow accumulations. You then receive an invoice with a corresponding price based on snow accumulation, using the pre-determined pricing structure. The prices are usually based on the snow accumulation’s depth. Also, de-icing treatments are either included in the per-event price or charged additionally, depending on the customer.
The Per Event structure is very straightforward due to the pre-approved pricing and the certified snow complete reports, which eliminates any chance of getting surprises on your invoice.
- Works well for anyone that gets very little snow to sites that get a lot; you only pay for what you’re getting.
- Verified via certified weather reports to prevent discrepancies
- You can pay inclusive of de-icing and shoveling, or you can pay for the services separately.
- An invoice is sent based on snow accumulated, and the price is broken out into three-inch increments.
- Salting and de-icing are charged separately.
Per-Push/Per-Service Pricing Structure
This snow removal payment structure allows you to pay each time a particular service is performed. For instance, each time a plow truck comes to push the snow, you’ll be charged a set plow price. Similarly, each time your sidewalks are cleared, you’ll be charged for the shoveling service.
- You pay for the services performed.
- It can be complex in areas with lots of snow – during blizzard conditions, one service may be hard to separate from another.
- It’s hard to determine push rates.
- Less popular, but it’s suitable for mid-southern states that get snow once in a while.
When it comes to commercial snow management services, customers have different preferences, and some may like to use a combination of the service pricing structures. For instance, if you want both plowing and shoveling services to be an “all-inclusive” seasonal rate and the de-icing treatments charged additionally, we’re very accommodating, and we’ll find what works best for you.
Get Help With Your Commercial Snow Removal
Whichever service pricing structure you choose for your snow and ice removal, it mostly comes down to your budgeting. We can accommodate any service pricing structure, and we’re willing to work with you to make sure all your queries and pricing are figured out before the snowstorm approaches. So, are you ready to prepare your business for the next winter season? Contact us at Strategic Grounds Management and begin the assessment process.