Thinking early about snow removal contract possibilities for your commercial property or properties is hugely advantageous. It can fend off unnecessary costs and drawbacks from not doing so and leaving it late. Even during current times of big data, state of the art weather facilities, and scientific functions, we still can’t entirely predict the weather, especially weeks or months in advance. This is one reason why choosing the correct fit for a snow removal contract is a great asset to any property manager. It offers great peace of mind and reliability in potentially uncertain times.
Various broad and specific factors can affect the best fit for the snow removal contract that is best for a commercial property manager. Here in this article, we will discuss the range of factors and how they can impact this fit and your eventual decision.
Snow has its glory, beauty, and benefits. To a ski resort, it is business; to a nature lover, it is heaven; however, there needs to be an extra level of caution for property managers. Ice, snow, snowstorms, and icicles all have significant potential risks. Getting snowed in, injured, or obstructed from a particular route of travel or direction is a considerable nuisance to any tenant or person reliant on a specific property manager in winter conditions. Not having a quality and trustworthy snow removal contractor can prove very costly in lost business, legal fees, and unnecessary amounts of time dealing with similar matters.
Some properties require specific services and attention; others may need completely different care. Here we dive into the categories for property types and necessities for use.
– Retail Buildings
– Office Buildings
– Religious Premises
– Education Related Campuses
– Medical Buildings
– Hospitality Complexes
– HOA Communities
– Apartments & Condominiums
– Retirement Complexes
Large traffic properties will undoubtedly require the most amount of service and more significant contracts. Hours of operation, high-traffic days, and times are vital for the type of contract needed and communicating to the snow removal company for a well-catered deal and meeting the right necessities. Knowing if your clients only operate on the weekends or open in the evenings will help your partner correctly prepare and schedule. Residential properties vary and are usually on a case by case basis due to factors at the knowledge level of the property manager and residents which also needs to be well documented to the snow removal company. Some properties require more excellent care, such as senior living communities.
Hopefully, now there’s a richer knowledge of property contract characteristics. Now, let’s move onto the different types of contract structures that would potentially be available depending on the company’s intended engagement.
There are three main types of snow removal contracts for commercial properties.
If you have a per event contract, you’ll only pay if snow does fall. The terms of this agreement may include an actual number of snowfall inches, and therefore this option is more flexible and can be much more efficient in terms of the cost structure. However, suppose there is a lot of snowfall consistently over the season. In that case, the full service may work out to be the most efficient due to potential economies of scale effects on your business’s cost.
Seasonal contracts are typically set for 2-3 years at set snow removal contract rates, which allow the law of averages to work to both the client and the snow contractor’s benefit. If a particular winter has more snowfall than usual or expected, it will favor the client, while the snow contractor is more likely to benefit from a milder winter.
A full-service contract is also fixed for 2-3 years, and it pretty much does what it says on the label. Full-service customers don’t need to worry about anything during the season. All of the best options listed below are included.
· Retail property managers who require ice treatment around the clock prefer this option because they know they don’t have to worry about anything.
· HOA’s love this option as it allows the association to know precisely what its winter maintenance costs will be.
A Good Snow Removal Contract Covers:
– When services will be performed
– Where services will be performed
– Who is responsible for initiating services
– The responsibilities of both parties, the contractor, and you
– The cost and how frequently that cost is incurred
Additional services like pre-treating, salting, or sanding are commonly extra unless included in a customized contract (browse some snow removal contract templates for ideas). It is essential that your contract outlines all expected services like plowing, sidewalk clearing, or snow hauling.
Both types of options have their benefits, so it comes down to one thing: would you rather have snow services covered the entire season regardless of how snowy the winter is, or would you rather pay as you go?
Posted on October 12, 2020
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