Bidding Jobs-Excavation

welcome to digging life a channel dedicated to you the person who is new in excavation and grading we cover everything from dump truck operation to bulldozers excavators skid steers and all other types of excavation equipment and excavating and grading processes if you think that you would benefit from videos on how to and every aspect of those go and hit the subscribe button tap the bell if you want notifications and you guys in the interacting with and I am having a blast he asked me how do you bid a job [Music] so many factors the first place you have to start and most people know this is how much do you have to make per month to survive to live a good life you know laughs to me is not just about getting by you want to live and you want to live well so you've got to know your numbers that is the number one thing so you're living numbers how much money do you want to make to where you make your bills your you know your mortgage water electric all that stuff that you have to pay to have a comfortable life okay then you add in your pocket how much do you want to make extra now we are in a tax bracket where we have to pay 30 to 35 percent of our profits to the government for all the stuff that they provide a lot of people don't like hate that but the reality of it is the government does provide us with good services you know we don't always understand them but you know what you might as well think about life in a positive way you need to think about it like the governor is trying to think about the people there are people in the government that are trying to think better so you know don't worry about that 3035 percent if you want to make $500 a day you know and that's what's gonna be comfortable for you and then you pay your 30% so you make 300 bucks a day you know and these aren't my numbers my numbers are different they're set to meet personally so you come up with that number you know say you've got to make $4,000 a month okay 4,000 thousand dollars a week so that's thousand-mile safe work five days that's $200 a day I'd buy eight okay it's 25 bucks an hour that's not bad for somebody you know you should be able to make a little bit more than that if you're working for yourself and these numbers are hypothetical they're not realistic numbers I'm just trying to keep a thought process going on here okay so you get that number that you have to make per month you can pay your taxes on them if you pay them and you're going to be happy you're going to be comfortable don't made yourself down you know to where you're unhappy all May you wish you were doing something else okay that's it that's that's the hard part you know just signed on what's realistic okay step number two okay you've got to figure out the machine that you're running mr. David Schultz has a 555 okay it's very comparable to my machine 280 his machine is about thirteen thousand pound machine mine is close to 19,000 that we have the additional counterweight the easiest way if you've just gotten into this you know you have let's just say you haven't been running a machine and you don't know how much it's gonna cost you to operate you know that comes from experience that comes from days and days of running the Machine and running tank after tank of fuel threat to figure out how much do you burn per hour you know an air filter oil filter all Jill filter out like I said that on this machine plus the labor to do it is about 250 bucks so you know 50 hours 250 bucks maintenance just for the engine so you know you're about five dollars an hour in maintenance on these things one way to circle in all that stuff you don't know okay David you've got a 55 okay call a couple of rental companies that rent out a third thing at between two twelve and thirteen thousand pound machine doesn't matter what brand okay ask them how much it costs to rent that machine for a day okay one company might say 300 another kind of maybe at $450 always go with the higher price that's safer for you and what you're going to do for every day they you think you're going to be on a job you're going to figure in $450 as if you're having to rent that machine from a rental okay what you doing with that $450 as you said it aside you don't just pocket it say aw boy man I make 450 bucks extra it's not extra that rental company has done all the work for you they've got the experience you know for a fact that they're not gonna rent you a 400 I'm ashamed for $450 if that is what it costs to operate there is a profit get in there they got the maintenance and the overhead on that machine plus the profit to sustain a big company which has truck drivers mechanics salesmen okay so when you're the company you are everybody you know especially if you weren't by yourself and that's the best way to start out you want me hands-on in the job you don't want to just buy a machine you know nothing about and put an operator in you need to get out here and do this work yourself have a blast with it okay so we got our four hundred and fifty dollars per day okay now knowing how long a job is going to take you is an experience thing I started out you know I was nervous I was afraid of the big jump so I would only take on jobs that I could look at and I knew for a fact how long it was gonna take me and if I thought that it's gonna take a day to do that job take your two dates you know and you may figure two days and the price is getting up there it's a little bitty job and you're afraid they're not gonna take bid that's okay get on their numbers and if you don't win the bid you've lost a little bit of time going to look at the job you've got some gas in your car drive it and look at the job but you're not gonna potentially lose thousands because you underbid a job and they're certainly in the game you can't afford to lose the thousands because you miss read a job or you underestimate time so they safe with it if you're in question how long it's going to take you can't really call somebody else because more than likely you're calling somebody that's experienced and they've been doing it everyday their skills are up you know reason they deserve fluid in their machine they'll say oh yeah it's a day job and it's all second nature to them but it'll take you three days because building a little bit it won't be just right you're right back feel back you know so don't be afraid to get out there and make a mistake retain you know but cover yourself with time time give me your friend be your enemy so that's the best way I can tell you to get a job get that real price and you secure advantage you know that they got everything built into it it's a safe number three so once you do that and you start getting a few jobs don't just keep with that lumen you can just immediately you know keep track your hours on the machine how much fuel you burn per hour you got to keep track of your maintenance because your maintenance might be different but since your base that you're starting with is a rental price you can you're getting work you can stay at that or if you want to mention make more profit and you got all your numbers all your operating cost your insurance all that stuff figure it out and you're like oh man I can operate this machine at $300 a day you can either keep that price by yourself a little bit more or you can lower your prices and start winning more bids which I found if you're kind of middle-of-the-road as far as pricing that you will benefit and you know you're gonna be able to help your customers out you're gonna be able to help people out that aren't as fortunate as some you'll be able to run the business so hopefully I'm gently giving you a direction to go and that this will help you guys that it'll you know give you the confidence to do this thing you know get out there and if you haven't bought a machine you know besides David you guys out there that are thinking about doing this the safer way to go is to actually just rent a machine get experience even though you're reading and paying rent keep track on those machines he know start you know like a spreadsheet on your computer of a specific machine how much fuel it burn you know talk to mechanics find out what kind of you know the maintenance intervals are how much it costs to do a hydraulic maintenance all maintenance you know there's a lot of stuff and it can be overwhelming and that's why I like the idea of people who are new to doing their own business renting because the rental companies done all the guesswork it's built in your safe so if you guys have any questions drop them in the comments if I didn't hit on a point that was good enough you know you guys just tell me and I'll try I'll make another video and I'll hit on those points so other than that you guys either to reach your beast women buy you something start out small don't try to grow too fast you'll be able to enjoy this business more I love it I couldn't imagine doing anything else so hopefully you guys like the video it humbled me greatly if you'd subscribe it if you're in the area and you need excavation and grading in North Carolina the western part of it anyway give us gone we'd love to work for you [Music]

Channel: DigginLife21

Views: 109,144

Keywords: bidding excavation jobs, excavation work, bidding jobs, How to bid excavator job, Bidding a job, excavation, excavation business, excavating business, excavating and grading, excavator business, How to make money bidding, excavating, starting an excavating business, starting excavation business, cost of grading, how to start an excavating business, bidding construction, How to bid a construction job, grading, excavator, dirt movers, pricing jobs, Simple job bidding fundamentals

Id: YPLHFUC6e1E

Length: 11min 41sec (701 seconds)

Published: Mon Oct 07 2019