PDA

View Full Version : Why so many "one-man shows"?


Marquis Lawn
10-22-2000, 04:35 PM
I've been in this biz for about three years now. I am working to mature my biz to the point where I am no longer the lead foreman, mechanic, advertiser, CEO, CFO, etc. My sales are increasing rapidly each year and I hope to get out of the day-to-day maintenance aspect next year and just focus on the business side of it, while my employees do the actual labor.

This is the only way to make good money in this biz as far as I can see it. As a "one-man show" sales can only grow to about $100K or so, right? So you might net about $50-60 if you're good. Not a bad living I guess, but why not make more?

My question is this: Most of you here have been in this thing 10+ years and still run just one crew. Why is this? Are the demands of a big biz too much? Or are you just happy with a stable income level?

I am not trying to be a "know it all", I'm still a rookie, but I would honestly like to know why after so many years you don't choose to run $500K companies instead?

chrisbolte
10-22-2000, 04:48 PM
It is a big step going from a one man show to having people work for you. You must complete many government forms and also you have the problems with employees.

jaclawn
10-22-2000, 05:14 PM
The more employees that you have, the less you will make from each employee.

Would you rather do $1,000,000 in sales and take home $75,000, or do $90,000 in sales, and take home $65,000?

It is not about volume, rather profit. Dollars in YOUR pocket after all is said and done.

Cutter1
10-22-2000, 05:42 PM
More crews, More Stress, More people to deal with. I have two crews, but I know the pros and cons. I'm still young so I can deal with it, but for how long, I don't know. Yes, you make more money running more crews, but its money in the pocket thats the key. I have a higher overhead now then before, so its a fine line of its really worth it. I want to keep growing and be the biggest around!!! I think its just up to the owner, if you want the money you have to deal with the bad side to. THe phone calls, the repairs, the taxes, the EMPLOYEES!! There are Advantages and disadvantages to everything, its just a matter of if you want to deal with the aggravation or not.

HOMER
10-22-2000, 06:21 PM
Personally, I depended on other people to do the job right for nearly 16 years.........they never met my standards. I don't want to be a major player in my area, just the best. I like knowing I've done a good job when I pass by one of my properties. Self satisfaction. If I made a million I would spend 2 million to get it.............more to life than money. If my business ever evolves into a more full service company I will still try to keep it small and manageable. I prefer the simple life to the stressed life.

Homer

steven Bousquet
10-22-2000, 07:06 PM
read the E-myth by Gerber and you will find out for yourself.
Most of the one man shows are hands on techs who decided they want to by their own boss. the vision is to make a living and not to biuld a company. Nothing wrong with that.
most of the bigger companies started with the vision of building a company. nothing wrong with that.
there are 4 types in the business the factory worker, the Cowboy, the businessmasn and the Greenie. No one better or worst than the other.
i wrote about that in a post last winter.
good luck and good growing

awm
10-22-2000, 07:11 PM
I dont know it will always work.But its working
now. ditto everything you said for me.

Rodney Anderson
10-22-2000, 07:33 PM
I am very comfortable running our business by myself. I had worked for the big guys,I trained indaviduals my way but they always thought they new more. When they wouldn;t show for work your daily, weekly work load increased. Supervisors ask why would he or she perform that way, you trained them. I really got tired of the B.S. I received exactly 3 service calls all year out of 503 customers because the job is done right and MY WAY!!!

Runner
10-23-2000, 12:11 AM
When you start experiencing payroll, taxes, liability insurance, workman's comp., soc. security, employee quality control, employee supervision, employee absenteeism, employee theft, misuse or ABUSE of equipment, unemployment ins., customer complaints, customer relations with employees, and the headaches involved from all of the above, you start to ask yourself. Is it really worth it? For what I am making? I've been in this business for 16 years now, and I've seen alot of 'em come and alot of 'em go. I've also witnessed guys who went from running 3 crews, to running one, and make just as much money without the headache. THIS is why you see so many solo operators. Many of these guys, like me, have been at it for a long time. Bottom line is; one or two bad apples can literally break you.

BUSHMASTER
10-23-2000, 12:17 AM
i quite my full time job of 13 years . because:
STREES KILLS

bdemir
10-23-2000, 12:37 AM
Many people i hear that are experieinced in this field say that most people running crews will eventually downsize to one crew and thats it. Running crews is not easy. I had to run two employees and that takes patience and still have to run like a chicken. Lawn care to me is a meditation. I enjoy it most when i dont have twenty imediate things to do(like running numerous crews). The sun needs to be soaked up nice and slowly. If you know what i mean.

I like to make money but cutting grass is too good to spoil with the mixture of the money thing. I like to take er nice and easy and soak up the perfect wheather with a big smile on my face knowing that everything is kosher. This is the secret to everything. DO it with love and you will succeed. THis is my first year and i have learned already that i dont want crews running madlly. I started with accounts beforehand and now i cut the routes down to compact and enjoyable size.

My reason for staying small is to enjoy what i do.

Lawn Cruiser
10-23-2000, 01:46 AM
Getting big would be nice but one of the things that I personally enjoy is mowing the lawn. If I get big I will spend my time worrying that it is being done right and chasing my crews down to see that it is done to my specification.

Mowman
10-23-2000, 02:27 AM
I started this biz 3 years ago to relieve stress from my factory job and to have some extra spending money. Now I'm working my way out of that stress filled job. Employees would give STRESS again. As the Owner/Operator you can control the way you want the biz to run. Quality is the secret. Do a excellent job and the work will come. I know a guy in Flordia that works with 1 man and cleared over $100,000 this year so far. Why add all the headaches of several crews, trucks and lawn equipment to maintain, more stress. There is a guy in my town that started the way I did, now he has all the crews and equipment all the accounts and wishes he would have stayed small. Hard to find quality help. Employees do a half assed job and you start losing accounts then where are you?
My vote goes to be an Owner/Operator.
Just the way I want to do business.
Mowman

Richard Martin
10-23-2000, 05:48 AM
I have given a considerable amount of thought about expanding beyond my present "One Man Show". I certainly have the opportunity at this time to do so as it seems that in the spring and fall scads of people are calling me to bid on their properties. I have enough equipment. I even have a man who is willing to work (he helps me on Fridays now). There are a few reasons why I don't want to though.

First is I don't want to have to fill my schedule up full enough to make having full time help profitable. Right now if I have a rain day I can just call my Friday man and catch up the next day. If I were to fill up the schedule for 2 people and I had a rain day then there would be a situation where we would have to work on weekends. I treat my business just as any others would. Our hours of operation are Monday through Friday. I am closed (except for machine maintenance) on Saturday and Sunday.

The second reason is wear and tear on machines. I have a friend of mine who has an identical mower to mine but his is one year older. He did (used to) have a bunch of guys working for him and they tore his machine up. When you use the 2 machines it is like the difference between night and day. You might think that that is the cost of doing business except that although he had a work crew between 3 and 5 guys he didn't make enough money to replace the mower that now needs so much work it is almost cheaper to buy a new one.

The third reason actually has nothing to do with cutting grass. I will be moving from MD to NC in May/June of 2002 and I don't want to put a whole lot of work into a business that I will be dissolving in a short while.

There are other reasons like stress and having family time but I think you get the idea of why I want to remain a "One Man Show".

Ground Rules
10-23-2000, 09:12 AM
Thanks for that excellent post and responses. Very important for a one man, new to the business, love what I'm doing show.

thelawnguy
10-23-2000, 04:46 PM
"the vision is to make a living and not to biuld a company. Nothing wrong with that"

This describes me. If I wanted employees I would still be working as a manager for somebody else.

bob
10-23-2000, 05:16 PM
I have high work standards. Most people don't care about the work they do unless they own the company. If I could clone myself I would have lots more help!

Charles
10-23-2000, 05:22 PM
This describes me. If I wanted employees I would still be working as a manager for somebody else.
__Bill________________
Yep this is the way I feel too. I had employees for a few years. And for many reason I have probably mentioned before and for many of the above reasons. Would not go this route again

cclllc
10-23-2000, 06:53 PM
I think one reason there are so many guys working by themselves is because you can't find good help these days.I have been in business since 1985 and I've tried working people parttime.They just don't want to work.I paid them well too.I also work fultime in an auto plant at night and run my business in the afternoons and on weekends.I've taken people that I work with and used them and they can't hang with me.They can't stand the heat I guess.If you can't get them to work for $21.00 an hr. inside the plant they want work outside for less.People are getting lazy.

[Edited by cclllc on 10-23-2000 at 10:57 PM]

Bobby
10-24-2000, 07:53 AM
My brother has a few guys working for him. A six month old mower looks five years old. I honestly believe they try to destroy them. No joke.
If you believe you even have a little bit of a perfectionist in you,the employee game will drive you crazy.
A friend of mine has eight guys. He looks and walks like he has lead weights on his sholders. Been sued three times and is curently being investigated by the IRS.
Sound like fun?
I agree with Homer.

scottb
10-24-2000, 08:08 AM
I have one employee on my farm and couldnt do it with out him. I but as I work my way back into lawncare I have no interest in full time help. I work days in a manf.plant then come home check the farm he could tear up a trash bag.
Its just to many headaches taxes, stupid employee mistakes etc. I do lawn care because I enjoy it an employee would take that away.

Firebrand
10-24-2000, 10:17 AM
I recently heard a story about another LCO in my area. He runs several mowing crews during the summer, and spends allot of time driving around checking their work. One day he pulls up to one of his crews and sees one of his guys mowing a big commercial account in his underwear. No Joke, this is a true story. The guy apparently got hot in his long pants so he took them off and just went with the boxers. And the other guys on the crew didn't do anything, they thought it was funny. Talk about a migraine. Needless to say he fired the moron, but he had to go into the business and reassure the customer. To me this has got to be one of the biggest reasons to keep it small.

Charles
10-24-2000, 04:27 PM
This reminds me of a tree man in out city. He is down to hiring mostly winos lol. Screams and hollers at them constantly. Cusses them a blue streak. I mean in front of his customers in their yard lol. Very loudly. Looks like they have made him a nervous wreck too. I was going over to get an estimate from him for my trees. But I got have way from my equipment to them and heard all that yelling. Other people have told me the same thing. I just turned around and hoped they didn't see me lol

Bobby
10-24-2000, 07:19 PM
Charles, I know a tree outfit exactly like that down here.

lawnMaster5000
10-25-2000, 03:31 AM
ok well i think that this may answer your question.
http://www.lawnsite.com/showthread.php?threadid=5719

that should be a link to the life sucks thread.

LJ lawn
10-25-2000, 10:13 PM
I would REALLY like to meet the solo op. who's making the 100 grand .

lawnboy11
10-26-2000, 01:36 PM
Ok, lets settle this with some simple math:

100 residential accounts, 80 full service @ average of $1,400/year= $112,000, plus 20 not as full service @ avg. $800/ year ($16,000) equals $128,000 gross in maintenance. This includes about 32 weeks of weekly service (mow, trim, blow, beds, etc, etc.) per season. Includes 8 applications for full service, 2 pruning and trimming visits, 2 aeration visits, spring and fall clean ups. These are not big houses for the most part; most are 60x80 or so, a few up to 1/2 acre lot size, maybe one 3/4 acre and a McDonalds (do at 7:00 mon am and I get free breakfast at the drive thru on way out!). I can easily do 4 an hour alone on the smaller, and most average about 20 min. max. That's 20 a day, no sweat. (actually, lots of sweat). This does not include extra services like gutter cleaning @35-40 a pop, or landscape install jobs (big $ there), or anything extra like tree or shrub removal or transplants (most extra jobs I do on Monday afternoon or Saturdays, but I usaully try to plan ahead and do small jobs while I'm at the house during the week. It is long hours, no kidding, but I'm at the point where I can do billing in about 4 hours total on a Sunday, once a month. My route is tight, many in groups of 3, 4, 5, or even 7, so it can be done. If you want to meet me I'll have to charge a hefty consultation fee! Just kidding. Oh yeah, I pretty much work through the rain unless its pouring, and will do extra work before a storm to get ahead.

lawnboy11
10-26-2000, 01:40 PM
You can also figure that if you gross at least 60 per hour for 2000 hours per year (50 weeks *40 hours) that's 120,000.
The 8 extra weeks are made up in profit on applications, etc and the fact that I work many saturdays and much longer than 8 hours a day (although 9 hours is basically tops for production hours that I am making money) the other hours are for equip, client communications, etc.

TJLC
10-26-2000, 04:55 PM
I guess I feel if you are doing ok solo why bring on the headaches that can come from hiring people? If you hire and take on more work to pay your people, are you really ahead? Just my thoughts.

LJ lawn
10-26-2000, 04:58 PM
thats great. you just happen to have the perfect route we all strive for.unfortunately i can't seem to get (and i don't know anyone in the area that does)the full service type lawns that you have.i have lawns all over the place (travel time) and very few of these people want "full" service.so,congrats.

thelawnguy
10-26-2000, 05:04 PM
Next spring, bite the bullet and start weeding out the customers with excessive travel time, low-paying customers with no other lawns in the vicinity, the ones that select services from yourself and others a la carte etc then you will be making room in your schedule for more profitable lawns and be on your way to 100 and beyond.

dhicks
10-27-2000, 12:00 AM
I'm doing the lawn maintenance gig in preparation for my retirement from the Fed. Govt. after 31 years. Not bad considering I'll be 48 next August when I retire. There is no way that I can sit at home the rest of my life and I have no interest in working for anyone other than myself.

I have no desire to be one of the big boys in the lawn care industry. I prefer being on my own without the worry of employee liability, employee equipment destruction, workers comp, and all the other problems associated with employees.

I enjoy being outside, riding the mower, making sure the customers are happy, and I don't want to share this with
an employee. Those that do, I wish the very best and hope that all of us make money.

Rodg
10-27-2000, 01:21 AM
I am fairly new to this business - having only been running for 3 full seasons now. I do know this however, hiring crews will increase your headaches expotentially! I find you can make good money just working by yourself and with immediate family members. Most people cannot live up to the standards I set for myself when mowing a lawn. I believe that is because an employee does not have a real investement in the rep of the business. I see this attitude in other businesses as well. Besides, mowing by oneself gives you a lot of time to...well, relax! I wish you well and hope you get what you want from the lawn care business, but be careful what you wish for, you may just get it!

lawnboy11
10-27-2000, 02:10 PM
FYI, my route is tight and cool because I've been doing this forever. 15 years already. I can't believe it. If I could have been a cop at age 12 I'd be retiring in 5 years! BTW, I was in jr. high, high school, and college for about 11 of those years, so not 15 years full time.

PB Landscaping
10-27-2000, 04:26 PM
I can see why some of you stay one man show which is good for you!
But for me I am with Marquis manage your company don't let it manage you! Grow over two or three years into a $300-500K business one local guy took home $175,000 last year as owner.Not bad ehh.(for a headache or two:))

Marquis Lawn
10-27-2000, 10:44 PM
I was wondering if there were any positive responses to this question.

Let's hear from anyone else who has multiple crews. Is it worth the extra $$$? Does anyone making $100K+ out there regret it, or do they want to go back to one crew?

I figure headaches are a part of any biz, might as well be putting the money in my pocket as opposed to someone else's.

Skookum
10-28-2000, 05:41 AM
I know of two people that got out of the biz or are getting out. One was a man and wife team. They ran six crews, all the gizmos, etc... They opened a professional equipment company and now run just a few crews, weening themselves off until completely out in another two years or so as other business picks up.

Another is a realitive of my neighbors. I spoke with him last year about it all. He had a company with 75 employees. He said the same as the other couple I know. The money was great, but there was a saturation point where the expenses are growing quicker than the income generated. Both also spoke about having to get as many new accounts weekly due to lost accounts because of lack of skilled caring work force. A lost account is a bigger issue.This guy told me he did not work, but would have a as many as 20-40 mowers each weekend that must be worked on to go Monday morning. He said many a weekends, when he did not want to, he was the one doing most of the fixing and of course worrying about it.

I talked to a competitor here in town that had two crews plus himself for two years. He thought he was doing good until he started figuring up all the added expenses. "One bad employee could wipe out all those good accountant numbers", he told me. he seen that the amount each employee generated was not that great as well. He makes $100,000 a year by himself with one helper now and likes it so much better. He said he was paying thousands of dollars just for headaches alone.

I have run the numbers myself several times and decided that the liability and stress would not fit my lifestyle. I know you can make more money going bigger. But, like any business, some owners can handle it some cannot. I wonder how many lost thier marriages, can not communicate with thier kids, etc...I like being a one man show. I run my business, it does not run me. I am with my childeren more than I am anywhere else. I would not change a thing right now for any amount of money! (well, depending on the job, anyway)

mykee
10-28-2000, 12:54 PM
I do this part time to supplement income and pay fro the new house Was in another business for 10 plus years with employees. You simply have to ask yourself if you want to be a one man show or run a company with employees!!!!!
My answer is simple I will remain a one man show no more employees for mew even if I could make more. This is my business and I want nothing to do with any employees or the hassles that come along.

John DiMartino
10-28-2000, 01:16 PM
An older friend of mine has 2 3man crews mowing 6 days week.He does private schools,condos,public parks etc...He is doing very good with them.He has 4DC's and 2 exmark wbs for mowers.He also has a contracting division that does roofing/siding/painting,He does every aspect of outside maintance-evensealcoating.4 of his guys are certifed applicators,doing spraying,they do landscaping installs/retaining walls/sod.He swears by the 3 man crew.As he's been selling off his old pickups,he replaces them with Cabover Mitsubishi's and Isuzu's.He loves them for landscaping/and plowing.They are all 4wd too,and carry V-boxes in the winter.

PHD
10-29-2000, 09:45 PM
I JUST HAVE ONE QUESTION FOR ALL OF YOU "ONE MAN SHOW'S" :
What will you do when you are old and you can't mow anymore or you decide to retire. You will have no equity built up in your "one man show's" or it will be worth zero to you or anybody. You can't run a "one man show" forever. You need alot of money to retire. Your lack of a vision or fear of the unkown will come back to haunt you in the long run. Most of you at this site probably don't know how to build a business or get overwelmed thinking about it. Fourtunalty, you don't have to do it all! Surround yourself with knowledgable, compitent people and watch your business take off. To all of the "one man show's" : you need to start somewhere but don't sell yourself short!

Toroguy
10-29-2000, 10:45 PM
Phd, People must plan ahead for their retirement. That is as important as what is the best mower. I would imagine that most members here have some type of plan or a spouses plan to fall back on.

landscaper3
10-29-2000, 11:02 PM
PHD in reply to your post! My wife and I have 2 IRA's and she has a 401k plan. Yes we have 1 full timer and 2 p/t work for us but still mainly a one man show. By the age of 60 with 2 IRA's and 1 401K plan with 25-30 years invested this man and his wife will be sitten pretty good retired and relocated to one of my mothers town houses of the coast of Florida. (Start an IRA up its worth its weight in gold in retirement plan)

jasonp
10-29-2000, 11:09 PM
Im just starting out and i would rather grow slowly than fast and never to big. Just more customers to worry about.
I think big business could go down the drain faster than a small business. But thats just my opinon.

lawnboy11
10-30-2000, 07:48 AM
Yeah PHD, as far a ret., good point. However, those of us 1 man shows that can gross over 100k have $ to put aside in IRAs and will be fine. this one man show also has about 30 more years to grow and prosper. My fiance will have her PHD soon and will also have a retirement fund as well as health benefits I will no longer I have to pay for and that's another 250 per mo. towards being done. No I don't plan to labor until I'm 60, by then I will have employees and lots of them. Then I'll sell sell sell!

thelawnguy
10-30-2000, 02:16 PM
My belief has always been, even if you only make 20k a year you cant afford not to put something away for the later years.

PHD
10-30-2000, 08:05 PM
I would like to say to Brian at Ideal Landscaping : why do you want to do manual labor at age 59 or 60. You can't expect your production to be the same then. What about job security? If you break a leg or get real sick you have serious issues to deal with. (but you probably will have some surgar coated answer to impress the guys on this site anyway).

GroundKprs
10-30-2000, 08:43 PM
It's not the money you make, it's the way you manage the money you have that determines security later in life. I can remember having to lend money to a friend that made 3 times what I did then.

I am 56, and I plan on doing manual labor well past 60. There is nothing wrong with manual labor; I have had a doctor I didn't know ask about my occupation, because I looked so healthy to him. Besides, so many in this society today don't know how to or are afraid to do manual labor, pay scale can only go upward for it.

Rodney Anderson
10-30-2000, 08:46 PM
PHD,
In exactly 18 years I'll will meet my goal and retire. Yhay I promise anyone who asks. I have invested every pension or 401 K that i have had and i'll be ready. Who ever wants my business can have or I may just let someone else do the work and set back who knows.

PHD
10-30-2000, 09:03 PM
LISTEN I AM NOT SAYING THAT YOU CAN'T RETIRE OR ONE MAN SHOWS CAN'T SUPPLY A MEANS TO AN END. I AM NOT ATTACKING THE SOLE PROPRIETORS OUT THERE! I AM JUST STATING A FACT : ONE NAM SHOWS ONLY CAN SUSTAIN A CERTAIN LEVEL AND THERE IS MORE RISK INVOLVED. DON'T TELL ME YOU CAN DO X AMOUNT OF LAWNS AND MAKE THIS MUCH MONEY DOING THIS AND THAT. THE TRUTH IS YOU DON'T KNOW AND YOU CAN'T PREDICT THE FUTURE. IF SOMETHING HAPPENS TO YOU THEN YOUR COMPANY USUALLY SUFFERS. FACT! ONE MAN SHOWS USUALLY HAVE ALL THERE EGGS IN ON BASKET. SOME MAKE IT SOME DON'T. MY APPLAUS GOES OUT TO THOSE WHO MAKE IT WORK. DON'T LIMIT YOURSELF THOUGH. BE AN ENTRENAPUER! WHY SET LIMITS BECAUSE YOU ARE AFRAID OF THE HASSELS OF A COMPANY OUTSIDE OF YOURSELF. STRETCH YOUR GOALS TO BEYOND YOURSELF AND SEE WHAT IT DOES FOR YOUR BUSINESS AS WELL AS FOR YOUR GROWTH AS AN INDIVIDUAL.

scottb
10-31-2000, 06:34 AM
My theory is if your happy being a one man show than be a one man show. If you want to own the largest Lawncare, Landscape company in the world than go for it.
I want to do this to be my own boss,down the road I may hire some help but for now I like doing it myself. I know from running my farm that sometimes having help sucks,but I couldnt do it without him. But some days I would sure like to try.
Bottom line is if your Happy as you are why change,if your not than GO FOR IT!