View Full Version : Starting a nursery
meets1
03-30-2011, 10:03 PM
Hey guy I am thinking of starting a small nursery. I already am landscaping/mowing/chemical/fert company. It is time to expand and move on in the market.
I have a few contacts set up but this is not an overnight deal.
My question is something small but yet decent, how miuch space is needed? I would like to have rock, mulch (bulk and bagged), greenhouse, shrubs, office and maybe a new shop on location.
Also what are your thoughts on start-up cost - - - greenhouse, plant materail. Loaded question but ballpark me!
meets1
04-14-2011, 09:53 PM
So many lookers but nothing?
allinearth
04-17-2011, 07:50 AM
It's a hard road. People don't love local businesses anymore. They fail to support their local economy. Seems to me most are shopping the big boxes thinking they are getting the cheapest price. Right now I would not do it. Remember once you get your plant stock, it has to be watered, weeded, fert. and it doesn't wait for when you have time.
jhouchins
04-17-2011, 07:57 AM
I have a friend who owns a small nursery and a landscape company and he has about 1/2 acre and he is using every square inch but is always busy and is doing very well. He caters more to the professional landscaper than the home owner. He gives licensed landscapers a 15% discount and is very helpful and it has gotten hisself a pretty good nitche in our community. He said it cost him about 30k to start it up. He has been in business now for 17 years.
I say just research it, talk to competitors, ask what struggles they had, and put a plan on paper.
Good luck.
Fordsuvparts
04-17-2011, 08:14 AM
I would think long and hard before getting into the greenhouse and nursery business in this current economy, it is a unpredictable business, with major ups and downs. You have to pay up front for everything, water and fertilizer are expensive, having to have some one there just about 24 - 7 to load and to sell hour goods. You will have to have at least one skid loader or tractor that never leaves that location to load, not to mention a dump truck to haul in and deliver your much and gravel. the paper work for the state to sell live nursery is tough in some states
, and most people don't care about quality, they want the price at Lowe's or Wal-Mart
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jhouchins
04-17-2011, 08:18 AM
, and most people don't care about quality, they want the price at Lowe's or Wal-Mart
Posted via Mobile Device
That shouldn't be hard to beat. They are way over priced.
Also if you have your own landscape company and you do quite a bit of installs, just stock primarily what you install. I think you can do it.
Fordsuvparts
04-17-2011, 08:43 AM
jhouchins It is pretty obvious you have never tried to run this type of business, being located in TN the nursery capital of US, it is a lot easier than in other area's. I bet your friend doesn't tell you about all of the cost and risk of this business, he probably builds a lot of those cost in to his landscaping business.There are so many hidden cost that you don't see up front that by the time you sit down and run the numbers, you probably made some money, but you could have made more actually installing new landscapes. I forgot to mention the cost of building a building to house your office and to store chemicals and your equipment. I bet he is there 24 -7 during the season, makes for a great family life let me tell you. We started our nursery and greenhouse business mainly to supply plants and tree's for the large commercial installs we were doing, this worked out ok until the market dropped and we got stuck with 100k in plants that had to be cared for over the winter and the scorching summers. We have been doing it for going on 9 years,We have had a few good years and a few great years but also had a few really bad years. This year has started ok but the loses on plants and constant care and payroll are always there.
I'm just saying be very careful and do you homework before getting into this part of the business. I would advise that you start by selling mulch and pea gravel etc, and if that works out, then you can expand into other area's. Go and really talk to other nursery owners and you will see it is not an easy road to hoe.
meets1
04-17-2011, 09:12 AM
I here ya - people don't support the local eco like they used to. Walmart is fine and all for us people but they area great dismis to our economy - the business people/owners.
allinearth
04-17-2011, 10:07 PM
The big boxes don't rely strictly on nursery sales to make a living. They get in when the season is hot and move a lot of material then they dumpwhat they have left. They don't have to make much mark-up. I'm pretty sure that some plants they don't even pay for until they sell. I'm not saying that it can't be done just it isn't as easy as it sounds. Fordsuv has given some good advice and is telling you like it is. Customers will expect you to have certain product and delivery. If you don't have it they won't come back. Your market may be altogether different and you may find a niche to fill though. I was in your shoes exactly a few years back. Wish I would have stayed out of the nursery business to be honest.
94gt331
08-22-2011, 09:18 PM
I myself thought of starting a nursery. I have a small- mid size landscape company like yours. I got sick of paying lots of money to landscape centers week and week out for landscape products that i decided to start my own mulch yard etc. I thought about doing a small nursery also but i heard from so many nurserys that the buisness is really strugeling now so i dedcided against it. Maybe you could buy plants in wholesale cost and sell them to your landscape jobs to make extra money that way. It seems so hard to make money selling plants from a landscape company point of view.
gardenkeeper88
08-26-2011, 08:33 AM
Meets1 I am at the same place as you are. I have run garden centers in the past (1983-1996). The last 13 years was spent 3 years as a maintenance manager for a local garden center landscape company, and 10 years on my own. I am at the stage that I am running 2 crews plus my truck that I fertilize 2 days a week and work with a crew or biz operations on the other days. I am having to think about another property for employee parking and equipment storage. The biggest thing I'm finding is property cost. But I am looking for 2-5 acres. The GC biz is down like the guys said due to the box stores, but i still feel it is a viable business IF you provide the services. So if your like me you either find a location to be able to expand my current operations with a major store front or jump in with both feet and retail as well. The little guy around here only gets the small landscape jobs because they give the credibility to the big businesses with the "store front" Other wise they look at all of us as every guy with a truck and trailer.
It's a hard road. People don't love local businesses anymore. They fail to support their local economy. Seems to me most are shopping the big boxes thinking they are getting the cheapest price. Right now I would not do it. Remember once you get your plant stock, it has to be watered, weeded, fert. and it doesn't wait for when you have time.
Meets
After Hurricane Charlie Blew my Nursery away I decided not to rebuild. Cost was a big factor, But the Fact Home Cheapo was building a new store on my side of town, KILLED THE DEAL for me.
Like Allinearth said people go to the Big Box stores to buy first. They will come and pick your brain and then go buy the same plant for $ 0.50 cheaper. But it is the no question Guarantee of plant replacement that really kills the small nursery owner. BTW Home Cheapo has all those plants on consignment. The Grower doesn't get paid until 30 days after the sale is make by Home Cheapo. Then he has a hold back account for returned items that the Grower eats. Home Cheapo only eats the margin which they break even on by replacing the dead plant.
OH How do I know about Home Cheapo's policy with growers?? I once tried to supply them. I could the Low margin High Volume thing but I couldn't take the loss of having every jerk in town returning dead plants.
allinearth
09-13-2011, 06:30 AM
I saw an advertisement for Lowes mulch. They now offer a 1 yr guaruntee on mulch color. ????? Didn't see the fine print but I can just imagine some idiot rebagging all their mulch and taking it back. If you really want in the nursery business let me know. I have one for you set up and ready to go.
meets1
02-11-2012, 09:25 AM
I am getting pricing on a retail/garden center nursery. What I am doing and please tell me differently but I am pricing a new shop with 2 offices, bathroom which will be 80 x 100 - then connecting that shop with a walk way / breezeway to a NEXUS system green house which I am thinking 40 x 40 with open end side walls with sliding door for outside nursery stock, double slinding door on the rear of building with a small walkway to a "greenhouse" for annuals, and whatever else we can do. In that greenhouse, I hope, next year we can plug ourselves and be on the way.
My goal here this spring is to have greenhouse up and signage to tell people were coming. With property, zoning, builders, plumbers, I have been working on this since alst fall and were finally getting drawings, zzoning with city and next will be banker. Takes time.
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