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Old 12-27-2011, 06:11 PM
guitarman2420 guitarman2420 is offline
LawnSite Senior Member
Join Date: Feb 2011
Location: Midlothian, VA
Posts: 279
Originally Posted by Wright48 View Post

Best thing to do is stick to resi youll make more money and be able upsell your customers and if your name gets around the town youll never have a shortage of work.
Just as making investments in your 401k, you should always diversify. You should not have all of your business in one basket, whether it's residential or commercial. My mix is @ 65% commercial, 35% residential (revenue); and 70%/30% residential/commercial (profit). Why do the commercial work when the profits are better in residential? Because I generate much more revenue, with fewer people on the commercial side. I place my experienced, quality guys on the residential properties and my less experienced newbies on the commercial side. During the past 3 years, when other people were going out of business because the residential (especially projects) business fell hard, I was still generating business and growing on the commercial side. When the economy turns around and the high $ projects become more plentiful, I'll probably go back to a more 50/50 split.
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