How to Price Tree Removal Jobs (Without Losing Money)

The "Back of the Napkin" Trap

We've all done it. You look at a tree, think "that looks like a a half-day job," and throw out a number like $1,200. The customer accepts immediately (red flag #1), and you start working.

Then you hit a hidden cavity. Or the access is tighter than you thought. Or the dump is closed. Suddenly, that "half-day" job takes 9 hours, and after paying your crew and fuel, you made $12 an hour.

Stop guessing. Successful tree care businesses price based on data, not gut feeling.

Calculating Your Minimum Hourly Rate

Before you quote another job, calculate your break-even point.

1. Add up all monthly fixed costs (Insurance, truck payments, software, marketing).
2. Add up variable costs per hour (Labor, fuel, maintenance).
3. Target Profit Margin (Aim for 20-30%).

If your crew costs $150/hr to run and you want 20% profit, your minimum charge is $187.50/hr. If you bid lower, you are paying the customer to cut their tree.

Common Pricing Mistakes

• Not charging for travel time: If the job is 45 mins away, that's 1.5 hours of payroll round trip.
• Ignoring cleanup time: The job isn't done when the tree is down. Raking, blowing, and hauling takes 30-40% of the total time.
• Matching the "Cheap Guy": There will always be a guy with a pickup truck and a chainsaw charging $400. Do not compete with him. You have insurance; he doesn't. Sell your professionalism.