Pay Structure for Pest Control

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  • Pay Structure for Pest Control

    Finally negotiated my way into a potential Feral Pest Control contract! So I’m raising a business name and insurance and assessing the land tonight to raise a plan and costs to table hopefully next week for approval....and it's all go from there.

    But my next step is that I need to quote up my services and I'm curious as to what some of the pay structures are out there as this is my first job (hopefully first of many). Primary targets are fox and cat using 3 services, shooting (stands only-due to strict safe angles in hilly ground – on foot), trapping line and managing their baiting program if required.

    I've thought of a few payment strategies to price this up and would like your thoughts:

    1. Flat Rate - fixed cost per week to execute the management plan plus base costs (fuel, baits, lures, ammo etc). Not sure I can justify this as I will be doing this job in my spare time around full time work;
    2. Cost per service - Fixed cost per service, e.g Fixed price for one night/day of stands, fixed price for one weekend of trapping line, fixed price to manage a bait deployment activity. Then they decide what service and what frequency is required to suit their budget (I’ll make a recommendation based on my assessment).
    3. Performance Based - Basically they pay base costs minimum, then they pay a reasonable sum on per feral removed. The idea being that if I get nothing, they pay nothing but base costs, and my margin/profit is performance based. I think that the customer will find this very appealing, but on the other hand I could go home with no profit on occasion……but will be cost neutral.

    I know each option has it's pros and cons but would really like to hear from those guys out there that are professional or any landowners that may have paid for services. My primary goal is not to price myself out of this job but still put a few bucks in my pocket doing something I'm passionate about. I do prefer the cost per service as it is scalable and can be fit in around my full time primary employment.

    PM me if you would like to keep your advice private.
    Regards

  • #2
    Originally posted by SilverBack" post=30075
    Finally negotiated my way into a potential Feral Pest Control contract! So I’m raising a business name and insurance and assessing the land tonight to raise a plan and costs to table hopefully next week for approval....and it's all go from there.

    But my next step is that I need to quote up my services and I'm curious as to what some of the pay structures are out there as this is my first job (hopefully first of many). Primary targets are fox and cat using 3 services, shooting (stands only-due to strict safe angles in hilly ground – on foot), trapping line and managing their baiting program if required.

    I've thought of a few payment strategies to price this up and would like your thoughts:

    1. Flat Rate - fixed cost per week to execute the management plan plus base costs (fuel, baits, lures, ammo etc). Not sure I can justify this as I will be doing this job in my spare time around full time work;
    2. Cost per service - Fixed cost per service, e.g Fixed price for one night/day of stands, fixed price for one weekend of trapping line, fixed price to manage a bait deployment activity. Then they decide what service and what frequency is required to suit their budget (I’ll make a recommendation based on my assessment).
    3. Performance Based - Basically they pay base costs minimum, then they pay a reasonable sum on per feral removed. The idea being that if I get nothing, they pay nothing but base costs, and my margin/profit is performance based. I think that the customer will find this very appealing, but on the other hand I could go home with no profit on occasion……but will be cost neutral.

    I know each option has it's pros and cons but would really like to hear from those guys out there that are professional or any landowners that may have paid for services. My primary goal is not to price myself out of this job but still put a few bucks in my pocket doing something I'm passionate about. I do prefer the cost per service as it is scalable and can be fit in around my full time primary employment.

    PM me if you would like to keep your advice private.
    Regards
    This is probably your best bet.

    2. Cost per service - Fixed cost per service, e.g Fixed price for one night/day of stands, fixed price for one weekend of trapping line, fixed price to manage a bait deployment activity. Then they decide what service and what frequency is required to suit their budget (I’ll make a recommendation based on my assessment).

    3. Performance Based - They pay nothing. I think that the customer will find this very appealing, but on the other hand I could go home with no profit on occasion……but will be cost void.


    They will most Likely not want to pay anything ( If you got nothing ) Because why would they want to pay you when there are many people who are willing to do it for free. ( This you might need to take into account, You must also show why your service will be better then just getting any old Joe Blow and his dog in ) I hope Subbie come's in on this thread as i am sure he is more into the line of work your interested in.

    Me the owner's pay me nothing ( In fact ) I pay them a % above my min ( costing's to break even ) But i make my money from selling the product i harvest ( where as in your case might be something you can not do hence why your seeking a payment from the landowner/ occupier. The more i harvest the more they make ( It's something i have always done and it's just a way to say thank's. )

    Don't worry about going out and getting nothing........I have had many of them in my time. Don't expect that you will be making money every time as every day is different. You'll have your good and bad one's.

    Most of my land i harvest are from word of mouth. Provide a good service and you'll be rewarded for it. I cull what ever is asked of me, If permit's are required for any of the target list i do all the paper work for them.

    As to public liability insurance ..... You might be in for a shock there. Pending on how much cover you take. I didn't renew mine this financial year as my harvesting finishes up on the 31st of DEC ( I am getting ready for the move East in the new year ) A bit of a gamble, silly one too. But i couldn't see the point in forking over a big lump of money for something i wont be using in the next 6 month's or beyond that. But in saying that i know quite a few pro shooter's that have never even bothered to get it or use it.

    If you think that SSAA 20 mil is going to cover you. It's not ..... Because your not covered by it. ( Just for future reference )

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      Cheers skip,

      In this case the landowners pay nothing regardless, my payment is drawn from govenment grant that they manage in accordance to a pre-approved Pest Management plan. I've just got to show them Cost Vs Benifit for them to want to engage with me.......I think the performance based structure will show that cost is directly tied to benifit.

      P.S. I shoot for farmers and never have or never would ask for a cent..

      Thanks

  • #3
    It`s a mine field to quantify in realistic terms.
    Point one i there are people who will do it for free and you are up against that.
    Insurance as I understand it is your SSAA may cover you for hunting but not on a professional or paid for service.
    The animals you target like cats are a not marketable value so no gain for you.
    Baiting is ok with dogs as are trap lines but the cost will most likely be prohibitive and time consuming as well as very expensive /even after you qualify to handle the stuff.

    Baiting with foxes ?, you will never find more than a skerick of proof of success as you rarely have more evidence than the baits are taken ,The get removed and destroyed or cached by other off target species who are not harmed but still baits just disappear with out proof of a fox taking it. you rarely find the dead fox unless you are using illegal baits so your on your own then if you do.
    Having done some of this for a good few years I see limited scope for and payment other than a bit of gratis and that won`t be all that forth coming either.

    Your best bet is a friendly relation ship with a landowner (s) who need some help occasionally and a slab or two under the table to cover your costs.
    You might get lucky if the landowner can supply some form of tax deductible expense from their own accounting.
    Short of that if its not a marketable product in a sustainable volume it wont be worth the time and even then your profits will be minimal.

    On the other hand if a landowner has a newly acquired property that`s well fenced and wants all the small and unmarketable sized feral goats removed you would need to charge roughly Mileage /ammunition / wear and tear / etc. That could be in excess of 20$ a head and then some depending on variables, and its a one off.
    Easier for the landowner to trap and destroy on the spot -- ielaughter in a yard --its not pretty and its not a good thing to have to do and even worse work if you need to load or drag all well away from a water point.

    There aint no easy road on this one trust me I know or I would be doing it myself for money rather than for conservation on a voluntary basis.

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      All good points, thanks.

      I have a really good relationship with the main orgainiser, so might just have a chat with him tonight about it and what his expectation is.
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