Introduction to Snow Plowing Contract
A snow plowing contract is a binding agreement between a client and a contractor to clear the snow and ice collected at the client’s property. If you are a landscaping contractor, then it is highly profitable to add snow plowing services along with other snow removal services as a part of your offerings.
Residential and commercial customers often reach out to snow plowing and snow removal services to clear the snow and ice on their property during the winter months, especially if their location has regular snowfall.
Difference between Snow Plowing and Snow Removal Contracts
Snow Plowing Contract
A snow plowing contract is a document that records the terms and conditions to be followed during clearing the snow off a driveway or road. This snow plowing activity is evident in cities where sidewalks are covered in mountains of snow that take weeks to melt away. Plowing is less expensive than snow removal and more popular in residential settings than in commercial ones.
Snow Removal Contract
On the other hand, snow removal contracts are agreements between two parties to clear the job site entirely of snow and ice. To complete this process, more landscaping equipment, labor, resources, and money are necessary. The situation might also demand the use of different types of snow removal techniques such as snow plowing, shoveling, blowing, snow hauling, snow banking, etc.
Difference between Residential Snow Removal and Commercial Snow Removal
Residential Snow Removal
Residential snow removal is removing snow from individual households to keep the paths, parking lots, and driveways free. Homeowners are concerned about carrying out their daily duties unhindered by a large amount of snowfall. You can also service the entire area and not just individual homes by connecting with Homeowner Associations (HOAs). But the snow management job you undertake for them will probably be quick and easy but less profitable than commercial snow removal as the coverage area will be less.
Commercial Snow Removal
This process is removing snow from commercial real estate after a snowfall to make travel easier and safer. Commercial clients wish to mitigate risks and avoid expensive litigation by preventing slips and falls on their property. In addition, clients might employ you for ongoing projects to guarantee your availability throughout the winter which in turn will bring more profit to your business.
Different Types of Snow Plowing Contracts
Per Inch Contract
You can charge your customer based on the amount of snow on their property with a per-inch contract. For instance, you might have different rates for snowfall of fewer than 3 inches, 3 - 5 inches, and so on.
Per Push Contract
No matter how much snow falls, how much time passes, or how much labor is required, a per-push contract guarantees a flat rate for every snow occurrence. Every time you go out for ice removal from the property under this kind of contract, your per-push rate is applicable. Based on the weather, in the event of a snowstorm, you might receive your per-push rate for multiple days or weeks in a row.
Per Event Contract
Similar to a per-push contract, a per-event contract permits you to bill once for each snow occurrence. No matter how many days of consecutive snowfall there are, you will be paid one flat rate, including your labor and supplies.
Seasonal Contract
A seasonal contract, often known as a ‘fixed-fee contract,’ specifies a certain payment amount to be made for any work completed during a given time frame. The amount of snowfall, the number of pushes, or the amount of time, effort, or supplies used have no bearing on the rate. Although you can sign a contract for just one season, most snow removal companies prefer periods of at least three years.
Time and Materials Contract
When you work on a job for a client under a time and materials contract, the contract fee varies according to the precise services provided. This implies that the quantity of personnel, time, and resources (such as de-icing products) needed for each operation, as well as the amount of snowfall, will determine your service charge.
Essential components in a Snow Plowing Contract
Scope of Services
In this section, you must specify the services you will provide to the customer. For example, the locations you have agreed to plow (driveways, parking lots, etc), de-icing, salting services, etc.
Term
Here, you will describe the duration of the snow plowing service that is agreed upon by both parties. You can also add the start date and the end date of the schedule for more clarity.
Payment
Depending on the client’s budget, you can mention the package of all your services and the costs for each one of them. You can also add other details such as advance fee, late price, extra visit price, mode of payment, etc.
Performance
In this section, the customer must mention all the dos and don’ts for the contractor like using quality tools, sticking to the schedule, not damaging the property, etc.
Insurance
This section advises the service provider to hold insurance coverage during the term of the contract to prevent losses.
Indemnification and Liability
Include this clause in your contract to ensure that both parties acknowledge their mutual agreement to hold the other party harmless for any losses, harm, or penalties that may arise during the service term.
Termination
This clause describes the circumstances under which the service may be discontinued, which is extremely important in a contract. It addresses the reasons for termination, the parties who may do so, and the consequences of the termination.
Dispute Resolution
Here, discuss how to handle demands and disagreements that may come from either party. Indicate the number of arbitrators, the location of the arbitration, the applicable law and jurisdiction, and the number of arbitrators.
Miscellaneous
In this section, add other details such as governing law, severability, force majeure, assignment information, notice, etc.
Signatures
Include spaces to capture signatures and obtain both parties' approval in this final section. This effectively seals the agreement and serves as written consent to launch the assignment.
Try Revv’s Snow Plowing Contract Template and make your job easier
Revv is a document management and eSignature tool that offers versatile, well-designed, and legally enforceable templates to get you going.
These are pre-made templates that let you create contracts without any complications or mistakes in just a few minutes. Before sending the contract to the client, you may potentially modify the template to fit your demands and add a personal touch.
Enhance your contract templates with Revv’s advanced document automation features!
Rich Editor
With Revv's intuitive Rich Editor, you can tailor your snow plowing contract to your interests. You could easily add different blocks, such as text, tables, eSignature tags, etc., by dragging and dropping them onto the page. Additionally, you can import plowing cost information into the contract by linking the template to Google Sheets.
Form Fields
An extensive contract will have repeated information in it like the snow plowing contractor's name, client’s name, client’s address, and so on. However, you don’t need to waste time writing those things repeatedly. These repetitive fields can be changed into form fields, which are fillable placeholders. The advantage is that you only need to fill out the repeating field once, and the others will be filled in automatically.
Approval Workflows
If you prefer to receive internal approvals on your snow plowing contract before sealing the deal with your clients, Revv facilitates that too. You could assign an approval workflow to a specific clause. Whenever a change happens in that clause, the workflow will be triggered and the contract will be automatically sent to the approvers.
Payments
If your client wishes to pay an advance fee based on your payment terms, they can do so from within the contract. How? By including your Stripe account with Revv, you may initiate the payment process from the contract itself.
eSignatures
Ready to sign the contract? Use Revv's quick, safe, and secure eSignature service to collect signatures and close the snow removal contract. It complies with all applicable national and international eSignature laws, such as the eIDAS Regulation, UETA, and ESIGN Act.
Additionally, Revv creates an Evidence Summary, a legally admissible audit trail that documents every step of the signature procedure.
Notifications
Through Revv's automated email notifications, you could maintain tabs on the progress of your contract. Revv automatically prepares and sends notification emails to both the sender and the receiver whenever a contract is sent for review, acceptance, or eSignatures. The receiver gets an email notification when a document-related action is pending, and the sender receives a notification once the action is completed.
It’s time to win new customers! Sign up with Revv for free and use this template to create a top-notch and error-free snow plowing contract in a flash.
Frequently asked questions
How do you write a snow removal proposal?
To write a snow removal proposal or snow removal contract, include the following details - Scope of Services, Term, Costs, Performance, Insurance, Limitation of Liability, Indemnification, Termination, Dispute Resolution, Miscellaneous, and Signatures.
Is snow plowing profitable?
Yes, snow plowing is profitable and has great margins all year round. You can also visit the client’s property and offer other services like snow removal, snow blowing, snow banking, snow hauling, etc., during a snow event.
Can you make money with a plow truck?
Yes, you can make an average of $40-$60 per hour (depending on the coverage) by plowing residential snow during the winter. If you are looking for more money, you can start plowing commercial snow wherein the price is higher and so are the profits.
Is snow plowing a good business?
Yes, snow plowing is a profitable and scalable business. If you have the right types of equipment and professional skills, you too can be a part of this $20 billion snow removal industry.