Mistakes solo LCOs make . . . and how to avoid them?

[Exact Rototilling]

Let me start out an say I have no intentions of hiring anyone outside of my wife and son for my LCO biz.

So . . . what are the most common boo boos sole proprietors make in light of not having employees vs. having the added manpower that bigger LCOs have?

:waving:

[tjsquickcuts]

Becoming friends with your customers....that can really affect prices and your bottom line.

[Runner]

It depends on how far you want to go, how much you want to make, and what you want to recognize as a business. The most COMMON mistake that solos don't recognize, is that y9ou make ALOT more money by growth. Let's face it...You DON'T make any money when you're carrying a string trimmer. There is a KEY to business.....Any time there is a task that someone besides yourself can be doing it,....someone besides yourself should be doing it. You can hire a monkey to carry a trimmer for you....That is why this society is structured the way it is. Trust me....the guy that owns the Excavating company is NOT out hand digging ditches. He is busy selling the next contract, or taking care of some other business that no one else can take care of.
Now, I'm not trying to pull a Bobby here, but there is much more in this message than what is written. Take it fr what it's worth. There are those who own businesses in this industry, and there are MANY of those who own jobs.

[Evans Lawn Service]

It depends on how far you want to go, how much you want to make, and what you want to recognize as a business. The most COMMON mistake that solos don't recognize, is that y9ou make ALOT more money by growth. Let's face it...You DON'T make any money when you're carrying a string trimmer. There is a KEY to business.....Any time there is a task that someone besides yourself can be doing it,....someone besides yourself should be doing it. You can hire a monkey to carry a trimmer for you....That is why this society is structured the way it is. Trust me....the guy that owns the Excavating company is NOT out hand digging ditches. He is busy selling the next contract, or taking care of some other business that no one else can take care of.
Now, I'm not trying to pull a Bobby here, but there is much more in this message than what is written. Take it fr what it's worth. There are those who own businesses in this industry, and there are MANY of those who own jobs.
amen to that:)

[Whitey4]

It depends on how far you want to go, how much you want to make, and what you want to recognize as a business. The most COMMON mistake that solos don't recognize, is that y9ou make ALOT more money by growth. Let's face it...You DON'T make any money when you're carrying a string trimmer. There is a KEY to business.....Any time there is a task that someone besides yourself can be doing it,....someone besides yourself should be doing it. You can hire a monkey to carry a trimmer for you....That is why this society is structured the way it is. Trust me....the guy that owns the Excavating company is NOT out hand digging ditches. He is busy selling the next contract, or taking care of some other business that no one else can take care of.
Now, I'm not trying to pull a Bobby here, but there is much more in this message than what is written. Take it fr what it's worth. There are those who own businesses in this industry, and there are MANY of those who own jobs.

Monkeys can be very unreliable, can be hard to find, and raise overhead. You started off pretty good, saying it depends on what one wants, but then began to explain that there is only one "correct" way to run an LCO.

I want to work outside. I want hands on making things grow. I want to keep my life simple. I want to be a horticulturist. I don't need to become rich. I don't need the headaches that come with employees. I don't want to live with a cell phone permanently attached to the side of my head.

So, you don't think I have a business. That's fine. I've done the high powered 6 figure corp exec thing. It sucks.... for me. But, if it's what YOU want, that's fine. I'll stick to my grass, shrubs weeds and bugs. I like it that way.

[Lynden-Jeff]

I agree with runner 100% however you will always be working in the field atleast a year or two, maybe more before you can find reliable people and trust them to be out in the field. Personally I plan to always be in the field some what, a good friend of mine with 5 crews has not been in the field full time since he went up to 3, however he still has to go out and work every now and then to fill in and what not.

Cheers
Jeff

[topsites]

Possibly the one disadvantage is not having a second opinion at times.

[All Season Lawn Care]

just dont let youself get to money happy my biggest thing i do that works best for me is 45% or more depends on the job goes back into an account for mant. equipt....and all the other things that come into play with running a buisness, and it has worked out great for me...good luck

[Whitey4]

Possibly the one disadvantage is not having a second opinion at times.


A good point. I have two other solo LCO's that are also friends of mine. Should one of us go down, the other two will cover his accounts. We also sub the bigger jobs out amoungst ourselves. One guy is a good plant guy, one has a dump, one is solid on turf. We talk regularly.

I suppose, in a very loose way, that we aren't true solo LCO's. When one of us needs a hand, the other two are there to help out.

It just bugs me that some poeple think their way is the only way. There is NO one "right" way to run an LCO. It depends on one's goals ENTIRELY!

My business plan is VERY geared towards what I want to do. I run tight routes. That means I run ads in church bulletins, not in the too widely distributed Yellow Pages. Local advertising only. No commercial accounts. AppleBees isn't gonna look in a church bulletin for a landscaper. Not in my business plan. They aren't going to spend money on soil amendments for their rhodo's or azelias either, to lower the pH.

I know a guy that is SO good, he gets $550 an hour as a consultant. I guess he doesn't have a business either. He's a solo. It's this my way or the wrong way attitude that is what is short sited, not running an enterprise the way one sees fit.

Hey, if someone wants to build a large operation that's great! Go for it! But don't sit there and preach that it's the only answer for everyone.... because it isn't.

[Runner]

First of all,....let us recognize the fact that i NEVER said that everyone who is solo does not have a business. There are many many that do. I am sorry that you assumed that's what I was saying, and that I was saying you do not have a business. Take for instance many exterminators, locksmiths, and even people in the lawn care and lawn maintenance industry. I was just illustrating that there comes a time when practicality ways into it, and a LITTLE help can go a long way for the growth and success of the business. An attorney spends hours and hours a day reviewing case studies in books, outlining, and counseling with clients, and appearing in court. But you ca rest assured he has someone to prepare documents, send them out, and preparing briefs for him and putting things in order. This is the position of his paralegal. A dentist has a receptionist AND an assistant (atleast one). A successful and reputable transmission rebuilder will have someone to do the r and r. These are just some examples of solo type operations that end up using help. If they are spending time doing the tedious stuff, they are making FAR less than they would be doing their specialty.
I'm not saying that paying a little to help to make much more money is the only way.....I am just saying that this is a common thing that happens with start up businesses, and they nd up spending alot of times making an absolute finite income when eventually they realize how much more they can be making (still not "getting rich") with help. These happen to be solo operations when they start up.
The fact that you did the corporate thing is all good and fine. You may have done rather well financially at it (I sincerely hope you did) and are rather secure in your life with a nice home and all the necessary amenities. However, you also have to understand that there are alot of people who come on this forum, starting or wanting to start a business, and they have alot riding it. It is a make or break situation for them. As a matter of fact, their life depends on it. Some have two incomes (working wife) and that is all good, too. But many do not, but they DO have family to feed. I have seen it all too often where people have failed because they reach their threshold of income, and cannot make any more for fear of growth. I have been in this business for 25 years now (since 1983), and I consider myself rich by no means. There are SEVERAL businesses just around me that started well after I have, and they are doing much better income-wise than I am. One thing though, they have much more income coming in from much more work being performed.......by employees.

[Whitey4]

Runner, I agree with much of what you said. A young man (which I am not) entering this business needs to assess what his goals are. More and MOST importntly, once having defined those goals must have a workable, practicle business plan. Yes, I am well established, and only need a "maintanence income", but I also know a solo LCO with 70 houses and he's putting two kids through college, so it can be done.

In my area of NY, you can't find help, unless it's from the undocumented worker labor pool. That carries some serious risk. Making the jump to employees is one tough nut, and is recognized by my local landscaping association as the single biggest problem LCO's face here. Sooner or later, the hammer will come down on the big outfits around here that use illegal workers.

Growth should be well planned, and not done without a plan. I know another solo that has a reasonable lifestyle with just 25 properties, but gets a lot of plantings... installs.

So, growing in this area is almost impossible to do without breaking the law. I think a solo can gross as much as 200k here.... if he is a certified applicator, has a nursery license, doesn't buy on credit and streamlines his overhead like advertising to target markets intelligently and finds efficiencies like tight routes and is even willing to offer pooper scooper services including the off season can net 125K.

Where most solo LCO's fail (and this is strictly subjective opion) is buying on credit, not having a good business plan, fail to identify their market niche and aren't educated enough in the horticultural disciplines to effectively diagnose and correct problems efficiently and in a timely fashion.

How many solo LCO start ups can go in and diagnose a turf or shrub problem, know how to make the needed corrections whether the problem be soil nutrients, insects, diseases or fungus issues? They fail because they only know how to cut and edge. How many LCO start ups even know that a rhodo is sick because it's in full sunlight? Or that the pH is too high because they shot lime into the beds? Or can tell the difference between a red thread or leaf spot problem in turf? and know how to treat it if they can figure it out?

If you are talking about mow and blow companies, your points are well taken. Being a horticulturist is a different ballgame. I have to be on site to identify, diagnose and decide on a treatment plan. I have to scout for impending infestations and diseases. Property maintanence starts wil preventative measures and early diagosis. Employees aren't gonna do that for me. I have to be on my properties at least once a week.

Mr X, why does my azelia have this black staining on the foliage? Well, mr customer, this azelia is within the drip line of this maple. There are insects dropping sugar onto the bush, and a fungus has grown on the leaves to feed off of these droppings. Spraying the fungus will help, but we need to treat this tree to prevent the source of the problem. No employee is going to be able to do that. A horticulturist will. Horticulturists make more money than mow and blow LCO's.

Yes, a lot of people get into this and don't have a clue, and that is why they fail. The best way to increase revenue and grow if you don't know squat is to hire crews, get more mow and blow accounts and get volume. In regards to that strategy, I agree that getting bigger is better.

[grasskicker71]

Let me start out an say I have no intentions of hiring anyone outside of my wife and son for my LCO biz.

So . . . what are the most common boo boos sole proprietors make in light of not having employees vs. having the added manpower that bigger LCOs have?

:waving:

First off these guys hijacked your thread.You did not ask for business advice.The main thing I use to do was be afraid to tell someone NO.I have dug ditches, moved trees and plants, cut trees, cut grass that was 2.5 feet tall. I did it all way to cheap and with to much use off my back. That was before I had a pretty good customer base.I still bite off more than I can handle sometimes now, but not like I use to.By being a solo guy you know your customer better than average.You know if they have deep pockets when it comes to their lawn and landscape.You can kind of steer them in the direction you need them to go for you to be able to the job they want done.If that makes any sense to you.Last don't get so friendly with them you feel bad charging them for doing a job.If it was easy to do they would not pay us to do it,or if they had time and the equipment.....

[topsites]

I suppose, in a very loose way, that we aren't true solo LCO's. When one of us needs a hand, the other two are there to help out.

It just bugs me that some poeple think their way is the only way. There is NO one "right" way to run an LCO. It depends on one's goals ENTIRELY!

Agreed, it all depends on your system, how you have yourself set up.
I feel personally and money wise there's money either way, don't anyone believe there's no money in solo.
Normally, I gross an easy 45-50 and pushing 60 an hour, now after it's all said and done if I include drive time and maintenance and all of that it still adds up to 30-35, then there's a few far in between days I've grossed $100+ an hour (on site).

I almost always pace myself against other teams, after so many years it comes easy to bust out an amount of work in the same or less time than teams of two and sometimes even three, but it boils down to practice, and experience... I am sure there are Lco's out there who would give me a run for it, just they're few and far in between, not offensively speaking, likely they have as much time or more in, I have to respect that. And I respect the newcomer as well, in ways I feel as we grow we lose something in the process... On the one hand gone are the days of simple problems like a spark plug, on the other hand for me here come the days of replacing air compressors and engines whole LOL!

The guy who doesn't have a GPS loses time thus money, but the guy who does have one faces a $400 expense when it craps out.
Which way is better, old or new?
Same thing, solo or crew?
It's like, the more money you rake in the more you get to spend, too, for real!
We ain't even talking 50 dollars twice instead of once, we're talking 500 and 1,000 all of a sudden, and in groups of 3-4 lol.

The trick to being solo or having a crew is to maximize one's income, some of us believe helpers are the choice, guys like myself believe better equipment is, it all boils down to how you have it set up. Of course you can train, but nobody does it better than the owner, see that is my opinion, then again I won't argue that having the ability to send out trucks and trailers and letting someone else get dirty has its benefits as well, profit is where it is, how you're set up.

That, and tolerance...
Either you can tolerate and work well with employees, or you're more like me and don't feel like you could stand the bs lol.

And so then it's not all about money either, to me it's about inner peace and quiet, I find I'm better off so long I can stay sane, if poorer. I don't for one minute believe insanity and riches mix anyhow, but the money just isn't worth the trauma if it's that bad, give it up or go solo, usually the thing is you have to do what works for you.

btw I love my new GPS that thing RULES.
But I do admit, having a helper around would keep me from making some of my better blunders, right in the heat of the moment it would be nice, some times, to have someone stop me lol

[Whitey4]

First off these guys hijacked your thread.You did not ask for business advice.The main thing I use to do was be afraid to tell someone NO.I have dug ditches, moved trees and plants, cut trees, cut grass that was 2.5 feet tall. I did it all way to cheap and with to much use off my back. That was before I had a pretty good customer base.I still bite off more than I can handle sometimes now, but not like I use to.By being a solo guy you know your customer better than average.You know if they have deep pockets when it comes to their lawn and landscape.You can kind of steer them in the direction you need them to go for you to be able to the job they want done.If that makes any sense to you.Last don't get so friendly with them you feel bad charging them for doing a job.If it was easy to do they would not pay us to do it,or if they had time and the equipment.....

LOL.... I don't think I hijacked the thread, at worst a short detour. Let me say it differently. Mistakes solos make:

A poor, or no business plan, which starts with goals, has a plan and can be implemented.

Buying on credit.

Trying to compete with mow and blow outfits.

Not being certified to do applications, which is far more profitable than mowing.

Not having enough knowledge to identify and treat the broad range of problems a property can encounter.

All of these things I alluded to in my previous posts. I just picked up a property yesterday. This front lawn has the worst infestation of nut sedge I've ever seen. It's been over run like this for years. I happened to bump into the guy while I was walking my dog. I told him I could get rid of the nut sedge, and he told me his current LCO has tried. This guy is a big operation, been in business for 20 years, and doesn't know how to get rid of nut sedge.

Sedge hammer is expensive, but when I told the guy it would take two apps and cost $200, he didn't blink. At $20 a mow, and a crew of 4, this LCO can't be making any money, and apparently knows squat about turf problems. Probably isn't certified, but I know he's using pre-emerges and stuff. When this guy tells him he will use me for fert and apps, I'm sure this LCO will try to drop him.

A solo guy that tries to compete with a mow and blow guy like that will not stay in business very long. I just wonder how this LCO has managed to steer clear of the law with his illegal workers and apps for this long.

[Whitey4]

After giving this whole thread, which WAS hijacked, but not by me some more thought... I got kinda p-o'd.

Some guy thinks his business model is the only workable one. He tells me in so many words that my business model if followed by others could ruin their entire lives. He DOES insinuate in so many words that a solo operation isn't a business. One must have employees to be a "real" business. Re-spin that any way you want Runner... that IS what you said. And you went on to tell me how I could be ruining peoples lives using my business model.

Remove the blinders, you have tunnel vision. Get off your soap box, and consider other business plans.... ones that don't match your one and only path to success.

What is one of the first things I said here? Having a business plan with GOALS. How about a model that uses being a solo for several years and then going into the supply side? Learn turf and ornamental management, while taking some courses, getting smart enough to become a supplier of ferts and other supplies? Or how about a business plan that includes being a solo for so many years, with the goal of becoming an equipment dealer? Or gaining field experience to have a goal of being a consultant, a trouble shooter? Working while taking courses to get a degree in horticulture?

All of these possibilities are completely ignored in YOUR business model. You have tunnel vision, and that whole diatribe about how I could ruin peoples lives is absolute pure freaking B-S. Get off the high horse, and realize that life and careers can have many different paths, options and decisions to make by the individual. It all starts with knowing what one's goals are. That right there means there is NO ONE single way to achieve those goals. You project YOUR goals onto every LCO out there, apparently.

Yeah, you got me pretty frosted when you insinuated I could ruin people's lives. I'd suggest you re-evaluate the advice you so graciously offer.... it may be fine for YOU, but it isn't the only answer for everyone.

I don't claim to have all the answers, or the only answer. Some people seem to assume that they do. Tunnel vision thinking will stunt most business ventures. Pick a path, commit to it, and have a plan. Don't get on a soap box as judge and jury as to how to be successful in the green business can work for everyone with one simplistic business model. Then have the nuts to tell others how business models that have worked for them can ruin people's lives. Rant over.