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Author Topic: determining delivery costs
Corey Wine
Resident


Member # 1640

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Delivery of my ongoing cedar sign to a destination that is 450 km away...driving it myself.
Here's the catch...customer is my Uncle in law. I am thinking jsut charging milage but, what's the Canadian rate per km for such a delivery? What would you charge? I was thinking .30 cents a km however it seems a bit low. $270.00 for going up and back. Estimates for another company delivering is around $600-$700. Does your $ per km include wear and tear on your vehicle or should that be extra?? I am thinking of beefing it up to $500.00 or so but have no way of justifying why I would do that except for the fact that he would pay more for someone else.

What's your views?

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Corey Wine
SignCONCEPTS
Airdrie, Alberta, Canada

Posts: 670 | From: Airdrie, Alberta, Canada | Registered: Jul 2000  |  IP: Logged | Report this post to a Moderator
Stephen Deveau
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Member # 1305

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Corey

Most Freight companies will charge .98 to $1.30 per mile in Canada.

So you asking about a 9 hour round trip at total price of $270.
$30.00 dollars per hour away from Shop.
Not a bad deal!
If your Uncle doesn't like the price then ask him to make the arrangement for pick up and delivery.

Also check into shipping by Rail if possible!

My 3 cents worth.

[ April 12, 2002, 12:34 PM: Message edited by: Stephen Deveau ]

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Stephen Deveau
RavenGraphics
Insinx Digital Displays

Letting Your Imagination Run Wild!

Posts: 4327 | From: Lower Sackville, Nova Scotia, Canada | Registered: Jan 2000  |  IP: Logged | Report this post to a Moderator
Diane Crowther
Visitor
Member # 120

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Revenue Canada considers 41 cents/km for the first 5000 km and 35 cents/km thereafter to be reasonable reimbursement (i.e. not a taxable benefit) for using your vehicle for company purposes. Therefore, that is the cost of fuel plus wear and tear only. If you want compensation for your time, you'll need to bump the price. Is this delivery in conjunction with "a visit", or is it a business transaction. Only you can decide that one. If you go $500, that's $131 for your time (and lunch) for a 9-hour trip.

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Diane Crowther,
Metaline Graphics Ltd.,
Hubbards, Nova Scotia, Canada,

Posts: 516 | From: Hubbards, NS Canada | Registered: Nov 1998  |  IP: Logged | Report this post to a Moderator
Wayne Webb
Resident


Member # 1124

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Wait a minute hear..... You guys got miles or kilometers up there?

jus curious

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Wayne Webb
Webb Signworks
Chipley, FL
850.638.9329
wayne@webbsignworks.com

Posts: 7403 | From: Chipley,Florida,United States | Registered: Oct 1999  |  IP: Logged | Report this post to a Moderator
Corey Wine
Resident


Member # 1640

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Diane,

I'm not sure I totally understand your sentence.....

" If you go $500, that's $131 for your time (and lunch) for a 9-hour trip."

It would be 100% business..not a visit.

Wayne, Yeh, well some of us prefer miles (the old timers here and us American citizens but, most people are on the "click" method (km's). No big deal, the hardest thing to get used to is that it's not a 12 oz. Pepsi up here....it's 355 mililitres......go figure.

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Corey Wine
SignCONCEPTS
Airdrie, Alberta, Canada

Posts: 670 | From: Airdrie, Alberta, Canada | Registered: Jul 2000  |  IP: Logged | Report this post to a Moderator
Stephen Deveau
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Member # 1305

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Corey

Call a Freight Company and they still charge by the Mile and not the Hub...(Km.)

Diane is talking about your revenue right off at the end of the Year.(Personnal Vehicle)

Diane you better talk to your Insurance Company about liablities on carrying goods related to business! ( Commercial)
A Person can get into big trouble without it!

Corey

The delivery is to your Uncle..
Cut him some slack and insist in a free meal when you get there.
(I bet your Aunt will cook more then you can handle!)

$270.00 round trip is worth your day in the Park!
[Roll Eyes]

[ April 12, 2002, 05:34 PM: Message edited by: Stephen Deveau ]

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Stephen Deveau
RavenGraphics
Insinx Digital Displays

Letting Your Imagination Run Wild!

Posts: 4327 | From: Lower Sackville, Nova Scotia, Canada | Registered: Jan 2000  |  IP: Logged | Report this post to a Moderator
Steve Eisenreich
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Member # 1444

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Nine Hour trip 65.00 per hour for a cab to drive it plus do you really want to come straight back or will their be a night in hotels I would charge at least $500.00 and if I staied over I would charge $600.00

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Steve Eisenreich
Dezine Signs
PO BOX 6052 Stn Forces
Cold Lake, Alberta
T9M 2C5

Posts: 774 | From: Cold Lake | Registered: Mar 2000  |  IP: Logged | Report this post to a Moderator
Corey Wine
Resident


Member # 1640

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The Uncle in law is a resort builder and I would be staying for 2 days for "r n r". He's also building a golf course to where the sign is going. He has crew that will have posts (telephone poles) already in the ground. All I have to do is throw (6) 1/2" bolts in there, do a little touch up and he's buyin the round of golf, 2 weeks before the courses inaugural opening...........that's my install price!! Not a bad nephew in law, am I.

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Corey Wine
SignCONCEPTS
Airdrie, Alberta, Canada

Posts: 670 | From: Airdrie, Alberta, Canada | Registered: Jul 2000  |  IP: Logged | Report this post to a Moderator
Diane Crowther
Visitor
Member # 120

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Ahhh, now we're getting somewhere. Two days RnR has value.

What I meant in my previous post was that at 41 cents/km for 900 km, $369 would cover the gas and wear and tear on your car (albeit generously). If you charge $500 that leaves $131 to cover your time.

Personally, I'd stick with the 30 cents per KM. (Actually I probably wouldn't charge for delivery at all if I was spending two days at the resort - unless of course you're paying for it.)

And Stephen, I do know about the insurance part - thanks, good advice.

[ April 13, 2002, 09:20 AM: Message edited by: Diane Crowther ]

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Diane Crowther,
Metaline Graphics Ltd.,
Hubbards, Nova Scotia, Canada,

Posts: 516 | From: Hubbards, NS Canada | Registered: Nov 1998  |  IP: Logged | Report this post to a Moderator
   

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