First Year in Business - How did I do/help me with some ?s moving forward
Love reading all the advice on here - I have a few questions about my business and I know there are a lot of guys on here that have been around a while so obviously you're doing it right and I would like some advice.
This was my first year in business and I managed to get a total of 28 res. customers. Most of them are awesome, I have them on a schedule and have made good strides so looking forward to some WOM advertising! About 20 of them are that way, then I have 8 who are kind of a pain, they get upset if I come weekly, they call at random times, I was wondering If I should dump them or keep them, to me money as money his year. Overall I grossed approx 13,000 as a part time solo op.
Equipment: Toro Time 30' cut, Billy Goat 34', Husky BT150 BP Blower, Stihl FS90.
How did I do?
For next year I have a few larger contracts coming, one is a 8 acre area bid at 9K for the season and the other is a little larger about 15 acres bid at 15k for the season. They are both easy flat land, mow blow go and I have my eyes on a 60' ztr to take care of them. I work with my brother so it would be a two man crew on these.
Here are my questions:
Upgrading my small trailer and equipment - I am going to sell my mowers and get a 60' ztr and a WB, probably 36-48 inch - have some gates so prob get one to fit through those. Trailer wise would you guys suggest a 10', 12' or 14'? Which trailer would hold the ZTR, a WB and a 21"?
In terms of the larger accounts I bid based on time and acreage, I figured 3 acres/hour on the ZTR and my overhead costs, which are bascally nothing except for the trailer and ztr I will be buying. Everything else is the same as this past season, would there be anything else to take into consideration that I'm missing?
I know that there will be guys that say I'm overreaching, but I don't think I am. I have the time to put forward, and in my opinion I need to start getting more income if I really want to start expanding, which is why I don't really care if I'm not making a ton this next season, as long as I am getting my name out there and bringing in more funds to keep upgrading, this is not going to be a full time en devour yet, although I would like to build up to it.
Next question is should I st up as an LLC, currently a SP DBA?
Final question is should I set up a payroll for my brother and myself? How exactly does one pay themselves? I am worried I will be double taxed, can someone help me with that? I'll be meeting with my CPA but wondering if anyone here has some insight.