Wood Price Survey Time Again

[BlueRidgeMark]

Anyone who sells it for more than $200 in my area is a rip off. Got a farm/nursery who sell a full cord for $350. Its like going to Nordstrums for a $180 sweater.

I calculated $200 a cord = about $40 an hour... Thats fair for this kind of labor. Just like a skilled trade.


For Each Hardwood Mix Cord(estimated)
1 hour to cut logs into pieces
1 hour to stack logs if not splitting right away
1.5hr to split
1 hr to stack
1 hour to load & deliver

Thats not including any expenses ie: gas, paying for logs, or chain & bar oil.

So under $150 is not worth for this hard back breaking labor.

And THAT is why you aren't making anything like forty bucks an hour, even if all your other calcs are accurate.



I've never understood why so many people apparently can't grasp the fact that your profit is what's left after ALL of your expenses are considered. Too many people seem to think that raw material, equipment, wear and tear, fuel, insurance, etc. are all free.

 

[Cambium]

And THAT is why you aren't making anything like forty bucks an hour, even if all your other calcs are accurate.



I've never understood why so many people apparently can't grasp the fact that your profit is what's left after ALL of your expenses are considered. Too many people seem to think that raw material, equipment, wear and tear, fuel, insurance, etc. are all free.

"Per Cord" I pay $50 for 3 cords of logs. Thats $17 per cord..

$17 for logs
$2 for saw gas
$7 for truck gas
$1 for chain oil
$3 for carpenter ant spray

LETS SAY $30 EXPENSE PER CORD. $200 MINUS $30 = $170 "PROFIT".

170 DIVIDED BY 5.5HRS = $30 AN HOUR.
$150 PER CORD = $27 AN HOUR

I'll even throw in a new chain per cord and it won't drop the per hour rate much.

Wanna edit your post?

 

[doobie57z]

"Per Cord" I pay $50 for 3 cords of logs. Thats $17 per cord..

$17 for logs
$2 for saw gas
$7 for truck gas
$1 for chain oil
$3 for carpenter ant spray

LETS SAY $30 EXPENSE PER CORD. $200 MINUS $30 = $170 "PROFIT".

170 DIVIDED BY 5.5HRS = $30 AN HOUR.
$150 PER CORD = $27 AN HOUR

I'll even throw in a new chain per cord and it won't drop the per hour rate much.

Wanna edit your post?

I don't know how you fellas stack it but I only get about 2 1/2 sell able cords of firewood out of 3 cords of 8' logs. I'm in Wisconsin though, it may be different here...

 

[svon89]

There are a few things that I don't see in that list. As a carpenter everything is taken into account, and the hourly wage does not usually add up nearly as high as everyone would like to think.

Insurance for delivery vehicle. I know you have to have it insured anyway, but if you didn't own a truck you wouldn't need the insurance either.

Depreciation of vehicle used for business? Maintenance costs?

Unless you get your saws for free there is a cost there. Tools are depreciated over time.

Are you splitting with a maul? Cost for that maul? Are you splitting with a splitter? Cost for that splitter?

Are you storing the wood for sale on a commercial property or residential? There are costs associated with every aspect of any business. Remember if on a residential property there could be costly consequences for running a business from it.

 

[USMC0802]

There are a ton of extra expenses a lot of people don't list, but that's an issue in two areas...one, they're not accurately calculating their wages, but secondly, they're probably not getting all the tax breaks they should be by deducting those expenses.

 

[Cambium]

There are a few things that I don't see in that list. As a carpenter everything is taken into account, and the hourly wage does not usually add up nearly as high as everyone would like to think.

Insurance for delivery vehicle. I know you have to have it insured anyway, but if you didn't own a truck you wouldn't need the insurance either.

Depreciation of vehicle used for business? Maintenance costs?

Unless you get your saws for free there is a cost there. Tools are depreciated over time.

Are you splitting with a maul? Cost for that maul? Are you splitting with a splitter? Cost for that splitter?

Are you storing the wood for sale on a commercial property or residential? There are costs associated with every aspect of any business. Remember if on a residential property there could be costly consequences for running a business from it.

I know we're taking away the pupose of this thread but until we are told to stop we'll keep discussing details..

Lets say you buy a new saw every 3 years for $350... If your profit is $170 of the $200 per cord...I'm pretty sure deducting the $300 from the profits made in 3 years time is meniscual.

If you want to get technical...Deduct $3 per cord for a new saw every 3 years. Thats every 116 cords sold, use $350 to buy a new saw.

And P.S - if it is a "business" then you have deductions and tax credits.

P.S.S - Yes I forgot about mauls, wedges and splitters. lol Too tired to factor that in now...but thats an "investment" per say..you cant deduct that per cord...its not a per cord expense, its a long term expense...$2000 for a splitter, $30 for maul and wedges. Sell 12 cords and they are all paid for with the $170 profit.

 

[Henry G.]

Theres so little money in this firewood biz, thats why I wont give discounts and dont beg for business. Giving discounts just means I'm working for even less.

 

[Wood Doctor]

Sell by the Pickup Truckload

There's so little money in this firewood biz, that's why I wont give discounts and don't beg for business. Giving discounts just means I'm working for even less.

+1. I set the price and that's firm. I haven't changed it in five years. Also, selling by the mounded up pickup truckload seems to make more sense than a cord. People can see the truckload and know what they are getting for their money. A cord to the average buyer is a figment of the imagination.

Just make sure the truck is packed. Don't cheat.

Finally, make sure it's dry and can be burned immediately. Many buyers want to have a fire that night with their purchase. Nothing's worse than buying green wood that won't burn.

 

[BlueRidgeMark]

"Per Cord" I pay $50 for 3 cords of logs. Thats $17 per cord..

$17 for logs
$2 for saw gas
$7 for truck gas
$1 for chain oil
$3 for carpenter ant spray

LETS SAY $30 EXPENSE PER CORD. $200 MINUS $30 = $170 "PROFIT".

170 DIVIDED BY 5.5HRS = $30 AN HOUR.
$150 PER CORD = $27 AN HOUR

I'll even throw in a new chain per cord and it won't drop the per hour rate much.

Wanna edit your post?

Insurance? Wear and tear on the equipment? Replacement of equipment?


Like I said, nowhere near $40 per hour. You are fooling yourself.

 

[BlueRidgeMark]

..selling by the mounded up pickup truckload seems to make more sense than a cord. People can see the truckload and know what they are getting for their money. A cord to the average buyer is a figment of the imagination.

There's good sense in that.



Sure makes a LOT more sense than those bogus terms like "rick" and "face cord", etc.

 

[Wood Doctor]

"Per Cord" I pay $50 for 3 cords of logs. That's $17 per cord...

$17 for logs
$2 for saw gas
$7 for truck gas
$1 for chain oil
$3 for carpenter ant spray

LETS SAY $30 EXPENSE PER CORD. $200 MINUS $30 = $170 "PROFIT".

170 DIVIDED BY 5.5HRS = $30 AN HOUR.
$150 PER CORD = $27 AN HOUR

I'll even throw in a new chain per cord and it won't drop the per hour rate much.

Wanna edit your post?

What about insurance on the truck, taxes and registration on the truck, depreciation on the truck, truck repairs, logsplitter gas, logsplitter maintenance and repairs, logsplitter hydraulic fluid, chainsaw repairs and maintenance, etc.?

Then let's talk about advertising, administrative expenses, and a potful of other expenses that you need to pay for to run a business.

Like I said, before: To make a million bucks selling firewood, start with two million bucks.

 

[Ohiowoodguy]

IMHO firewood should be at least $300/cord.:agree2:with all the comments about the added expenses. My total equipment investment approaches $100K!- truck, Ksaw, splitter, tractor, log trailer with loader, conveyor, saws and chains and sharpener, plus the welder and tools to keep it running. Extra expenses include gas, diesel, oil and upkeep for all machines, tires, insurance, advertising, clothes and boots, plus I'm one a first-name-basis with both my mechanic and the local Stihl dealer. For those of us who are serious about firewood, we should also include expenses for band-aides, doctors, chiropractors and physical therapists. These local retards selling cheap haven't got a clue.:monkey:

 

[USMC0802]

Don't cheat.

Finally, make sure it's dry and can be burned immediately. Many buyers want to have a fire that night with their purchase. Nothing's worse than buying green wood that won't burn.

This is why I will never buy wood from anyone again in the form of "seasoned" split wood.

I bought twice last year because I got home from artillery school in December and had a small wood pile from the previous owner of mostly rotting and bug infested wood. I bought from two different guys. I should have known better on the first - $125/cord stacked. I helped the dude stack it and my wife brought us a mid morning snack and coffee. I got close to a cord, but it was not ready to burn. It was such a PIA to get fires going and keep them going. Ran out of that and had to buy more. Tried a different guy as the other was out of wood. Paid $150 for oak. Two pickup truck loads of it dumped in my driveway.

It has just rained/sleeted/freezing rain the night before and that morning and the wood being delivered was loaded up just before the bad weather started, so it was delivered wet on the outside and some of it had the frozen stuff on it. I probably got 80% of a cord and it wasn't really all that seasoned either.

I tried two different guys and didn't get what I paid for from either one. I feel like it's hard to trust firewood dealers. Maybe I should have driven out to where the seller had it stacked to see that it was actually a cord, but I work, and I needed the wood within a couple days of the order.

I'll just never buy wood from a seller again unless it's someone I have been referred to and I can't cut my own. I refuse to pay premium prices for heat and not be able to get the heat I need from it because it's a substandard product.

 

[Henry G.]

Thats the exact reason I started cutting and splitting all my own wood. I waited late a couple years ago right before a big snow storm, and bought wood and got cheated. I swore THAT DAY I would never buy wood again if I didnt have to. Well I kinda cheated on that rule when I found an almond orchard owner who would sell me seasoned wood for less than half the going price, now I mix that it with my own stuff and the customers love it. Better than oak IMO. Now I'm glad I finally woke up, and now I get to play with chainsaws too.

 

[STLfirewood]

This will make a lot of you guys wonder who would pay that for firewood. The man who owns the website is a member here. I don't think he is very active any more. He called me last year looking for more wood because he was running out. I didn't have any to spare. I think he sells out almost every year. Make sure you read the whole add to see what wood really brings. More power to him for getting a good price for his service. I really make me a little jealous. I guess it's time to invest in a nice website.


http://www.tomasiscuttingedge.com/firewood.cfm



Scott

 

[blackdogon57]

Nice site ! I like the way he explains the measurments in both legal terms (cords) and real world terms (face cords, ricks).

Websites are an excellent way to get business but are yet another expense to add to the long list. I pay $200 per year for hosting and maintenance

This is my site: www.blackdogfirewood.ca

 

[tomtrees58]

its still$ 200 a full cord

 

[BlueRidgeMark]

These local retards selling cheap haven't got a clue.:monkey:

:agree2:

 

[Iska3]

Besides all the other stuff, you are forgetting one very important thing. If you are going to sell firewood and do it right, you need to start cutting three years before you even sell your first cord. That means of you plan on selling 10 cords of wood today and each year after, you best have cut and stacked 30 cords over the past three years so your wood is seasoned.

 

[Henry G.]

That might be in Minnnasooowta but 6 months here in the dez will dry any wood out. But point well taken you gotta prepare ahead of time.