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Growing Your Business |
John Dubbioso Understands Municipal SweepingJohn Dubbioso, founder of 3-D Industrial Maintenance Corporation, has been in the sweeping industry for 30 years. Here's his advice for bidding on street sweeping in the Northeast part of the U.S.by John Dubbiosowith Ranger Kidwell-Ross
Sometimes there will be contract language that will knock you out of the bid, so go through the contract first to see if there is any such language. For example, if the contract requires that you have a higher insurance or bonding level than you have available, there's no sense in going any further. Also see what's allowed in terms of cost increases over time given unexpected expense increases like fuel or landfill fees. For example, what happens if the current landfill stops taking debris two years into a five-year contract? Since we're in the snowbelt, it's very important to find out what winter traction material is put down. Are they using straight salt, sand and salt, or some other type of material? Even the quality of sand being used is important, since the finer the sand, the longer it will take to pick up. When liquid calcium chloride is added to a salt and sand mixture, as another example, it will harden to a consistency that is about like concrete. When you're sweeping, that seriously reduces the sweeping speed you can maintain. You also want to consider what type(s) of roads make up the route, since oil and chip roads are more difficult to sweep than other types. If the roads are crowned it means your brooms will wear out faster. How far do you have to go to a dumpsite, and can you stockpile and then pick it up later? What's your availability of water along the route, and at what cost. Keep in mind that if there are no fire hydrants then you have to use tanker trucks to bring you the dust suppression water you need.
On top of that, consider your insurance (for general liability and on the sweepers) and bonding, equipment cost amortized (per month or however; your payment, e.g.), fuel, percentage of costs associated with management; overhead, rent, outfitting the shop, landfill costs; payroll taxes, licensing for drivers licensing (CDL license on larger sweepers and physicals for drivers every two years); mandatory recordkeeping, training costs, sweeper licensing, business licenses, and a little something for miscellaneous. Then, when you figure up your bid, don't forget to add in a little something for profit. You may reach John Dubbioso via email. Ranger Kidwell-Ross is editor of WorldSweeper.com. You may reach him via the contact form on this website. |
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