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AielLandscaping
12-10-2001, 03:32 PM
i was just wondering what you guys have more of, commercial or residential account? also i'm wondering if the general population or the area that each of us is in has a strong affect on which is a better target.

my ratio is:

0 commercial vs 70 residential

and the population or my surrounding area is about 400,000

wolfpacklawn
12-10-2001, 04:42 PM
I will not do large commercial accounts for a variety of reason that I won't mention here.

my ratio is 2 small commercial, 85 residential

my population is about 500,000

My business is lawn mowing and landscape maint.

1MajorTom
12-10-2001, 04:49 PM
We service a little over 90 customers. All of them residential.

We have in the past serviced commercials, but we have found that as soon as a lower price was found, we were kicked to the door. I am not saying all commercials are set up this way. This has just been our experiences.

65hoss
12-10-2001, 04:51 PM
When it comes to comm'l I would rather it be churches. I have a few comm'l but about 80% residential.

sheppard
12-10-2001, 05:26 PM
Have 30 accounts- 6 are commercial, 1 HOA(6 acres), the rest residential. I much prefer commercial. Had to drop my first customer last week (residential) because he/she could not be pleased. Called every time I did their property and said "blah, blah blah". The last straw was when they expected me to rake their entire yard (1.5 acres) as part of the contract. Most residentials are good. but I'll prefer a 50/50 ratio.

Cordially,
Sheppard

MATTHEW
12-10-2001, 05:51 PM
I try to avoid commercials, myself. First of all many of them require 1-3 million in insurance. Next, they usually want you to do everything. (i'm trying to phase out of mowing) and last, already mentioned, they will drop you for a lower bid because "they" get a bonus for saving money.

Green Care
12-10-2001, 06:56 PM
All res. here! no commercial

landscaper3
12-10-2001, 09:03 PM
We are 80% commercial but we do maintain around 50 residential homes. I like commercial accounts better! We get paid every month wether we work or not and tend to be less time consuming. I do like residential accounts but we found out years ago we make more money with commercial then residential but we still try to maintain around 50 homes a year to bring extra income in. We were doing construction jobs also and found the same that there is a better market for it (up here anyway's) for this commercial service and since a change over to mostly commercial in our landscape construction we have tripled our cash flow in 1/2 the time and our maintenance division has got close to the same figures. But it will depend on your areas (region) some make more on res some more on commercial.

GreenQuest Lawn
12-10-2001, 09:14 PM
22 residential & 17 commercial

1grnlwn
12-10-2001, 11:57 PM
50 mow 50 application with 12 being commercial. Commercials are real good, so I worry about losing them a lot.

strickdad
12-11-2001, 02:36 AM
Originally posted by landscaper3
We are 80% commercial but we do maintain around 50 residential homes. I like commercial accounts better! We get paid every month wether we work or not and tend to be less time consuming. I do like residential accounts but we found out years ago we make more money with commercial then residential but we still try to maintain around 50 homes a year to bring extra income in. We were doing construction jobs also and found the same that there is a better market for it (up here anyway's) for this commercial service and since a change over to mostly commercial in our landscape construction we have tripled our cash flow in 1/2 the time and our maintenance division has got close to the same figures. But it will depend on your areas (region) some make more on res some more on commercial. you make more money overall but not per sq. ft. right???

David Haggerty
12-11-2001, 07:14 AM
I'm 75% commercial. I work solo, mowing only big lawns.

I'll agree with Mathew and Jodi, that the commercial mowing let out on a yearly competitive bid is worthless.
I cultivate loyal customers.
On my big accounts, the owner walks in the front door every day. I work to please them, not some purchasing agent.

I'm selective on the commercial accounts I persue.

No storefront businesses: from Arby's to Loews. (too much trash and too little lawn)

No competitive (cutthroat) bidding. It must include some negotiation. I really don't want to be the cheapest.

I resist annual bids. I try for 3 year agreements.

Nothing that is controlled by a board, committee or association. They have to have someone in place for me to report to. Someone permanent with the authority to authorize additional work, price increases etc. Because I have found there is no way to please a committee. Someone always has a better idea.

Dave

wolfpacklawn
12-11-2001, 11:15 AM
Davis Haggerty

Excellent business plan with the right focus. Whether we do commercial or residential I think we could all use to have the focus you have as to what kind of customers and jobs we want. Thanks for the insight.

lee b
12-11-2001, 06:35 PM
I'm mostly commercial, I love going to one place and working all day. The time lost moving from job to job is the biggest drawback to residential and so far the only ones I do are for business owners, so its all tied in. With the exception of the trash {which is a serious problem at ******* I would much rather do commercial. I don't do retail stores, only industrial sites with large acreage {smallest is 6 acres of grass, largest is 27 acres of grass}, all are yearly contracts and pay every month year-round, so I'm paid even if there is nothing to do.

HOMER
12-11-2001, 10:53 PM
60/40

residential dominates

more commercial work wanted

Pauls Mowing
12-12-2001, 05:30 PM
100 % commercial. I send my residential requests to a friend of mine. Commercial is the only way to go.

Paul