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  #21  
Old 09-12-2013, 09:11 AM
whiffyspark whiffyspark is online now
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Join Date: Jul 2011
Location: Chesapeake beach
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I worked for a company that had less than 50 accounts. We had over 50 employees. Owner lived in a $4 million dollar house with several vacation houses. We had over 100k for payroll over week.

Number of accounts does not matter. If your a business man you're not a landscaper.
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  #22  
Old 09-12-2013, 09:16 AM
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GMLC GMLC is offline
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Location: New Hampshire
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We did something a little different this year. I dropped the rest of my bi weekly accounts, made our service radius smaller, got rid of slow payers, and dropped accounts that were not as profitable. I am much more picky on what kind of property we take on now. This was easy as we all ready had a full schedule and turned away work. I have almost replaced all of the accounts I dropped with ones that fit my new criteria. So technically I have a few less accounts but am more profitable, have less stress, and enjoy my work much more. This has slowed my growth but I look foward to a better future.
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  #23  
Old 09-12-2013, 09:29 AM
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snomaha snomaha is online now
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Location: midwest
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Quote:
Originally Posted by djagusch View Post
I think this post is a eye opener. I would want the 15% of 3mil. Why? Its sustainable without myself in the field daily. It would have staff so everything gets done if I'm gone for a week. You become a manager compared to the worker.

The 60% of $100k is a solo set up, maybe with a trim boy. The 15% of 3mil is a biz.

if the solo guy paid himself a wage of $40k a year. The profit is 20%. Take the biz out of his house and to small shop the profit would be lower then the 3 mil company.
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You win the grand prize - .

The guy with the 3 million dollar company is probably paying himself a wage of 100k or more in addition to the $450k net.
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  #24  
Old 09-12-2013, 10:46 AM
ztman ztman is online now
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Join Date: May 2012
Location: mountain pa
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Quote:
Originally Posted by whiffyspark View Post
I worked for a company that had less than 50 accounts. We had over 50 employees. Owner lived in a $4 million dollar house with several vacation houses. We had over 100k for payroll over week.

Number of accounts does not matter. If your a business man you're not a landscaper.
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Wow, must be big accounts. The accounts would have to pay $8,000 per month just for the company to make pay roll
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  #25  
Old 09-13-2013, 08:04 AM
whiffyspark whiffyspark is online now
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Location: Chesapeake beach
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Quote:
Originally Posted by ztman View Post
Wow, must be big accounts. The accounts would have to pay $8,000 per month just for the company to make pay roll
Some were. Some we could do 3 in an 8 hour day. Mon -Fri 7-4

One account paid 45k a month. Another paid over 100k

The 45 took us one day to cut with 3 crews. 100 had 2 or 3 dedicated crews year round.

We also got another site when I left that was 175k a year maintenance with one dedicated crew.
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  #26  
Old 09-13-2013, 10:29 AM
Joe Shooner Joe Shooner is offline
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Join Date: Jan 2003
Location: Cincinnati, OH
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One thought to interject: assuming you have a relatively equal revenue/client over your client base, losing 1 account out of 3,000 is a lot easier to swallow than losing 1 account out of 12.

Higher client counts does not always equal greater profit, but in most cases it does insulate you from dramatic swings in revenue based on losing or gaining clients. That makes it easier to forecast and plan for the future, which in turn helps you manage almost everything better, and helps you sleep at night.

I say this as a guy who lost a client supplying 17% of revenue a few years back. I'd much rather have 100-200 clients each supplying .5%-1% of revenue than 5 clients each supplying 20%.
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  #27  
Old 09-13-2013, 02:16 PM
Cedar Lawn Care Cedar Lawn Care is offline
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Join Date: Jan 2013
Location: Utah
Posts: 488
In the 90's my Dad and us kids would mow 50 old ladies lawns after school as a part time job. We would literally mow and that's it. For whatever reason my dad didn't charge crap so the average lawn was probably 8-10 bucks each. He was probably billing out about $1800 worth of work/month.

I started my business in the spring this year and have 20 clients. I mow, edge, weedeat, blow, spray weeds, spray dandelions, fertilize, aerate etc. I offer more services, and charge at 60/man hour. As a result I bill out around $3300/month.

Offering more services, and not being a low baller means more money per customer.
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