Register free!

The Green Industry's Resource Center



Reply
 
Thread Tools   Display Modes
  #21  
Old 01-17-2011, 12:19 PM
White Gardens's Avatar
White Gardens White Gardens is offline
LawnSite Fanatic
 
Join Date: May 2008
Location: Bloomington IL
Posts: 6,779
Quote:
Originally Posted by coolluv View Post
See that's what I don't understand, I see so many posts about guys being able to charge less because they have no overhead.

I'm confused now....

Dave...
You don't want to be charging less if you have less over-head. The idea is to make money. That and when you grow and have more over-head, you'll need to charge more and it's harder to raise your prices on your existing customers rather than setting a higher price to begin with.
__________________
White Gardens On Facebook.......WG Thread......Greencare For Troops......... mywhitegardens.com(under construction)

2005- Completion of University of Illinois Master Gardner's Program.
Reply With Quote
  #22  
Old 01-17-2011, 12:21 PM
Lefet's Avatar
Lefet Lefet is offline
LawnSite Bronze Member
 
Join Date: Jun 2010
Location: Jackson, NJ
Posts: 1,885
Quote:
Originally Posted by gasracer View Post
They lie or don't count it......Even if your equipment is paid for there is maintenance and replacement cost.
Exactly.

Last season, deck lift rod snapped in FRONT lawn.
1) Had to repair lawn (my cost)
2) Had to order part (my cost)
3) HAD TO WAIT FOR PART (special order)
4) STILL had to maintain rest of route!
5) Had to install part (playing mechanic, have to get paid)
__________________
Lefet Enterprises LLC
Reply With Quote
  #23  
Old 01-17-2011, 12:23 PM
coolluv coolluv is online now
LawnSite Silver Member
 
Join Date: Aug 2006
Location: Atlanta
Posts: 2,450
I had to pay $100 for a business license and $40 to run an add in the paper in the legal section for some reason, man those expenses are adding up.

Dave...
Reply With Quote
  #24  
Old 01-17-2011, 12:27 PM
coolluv coolluv is online now
LawnSite Silver Member
 
Join Date: Aug 2006
Location: Atlanta
Posts: 2,450
Quote:
Originally Posted by White Gardens View Post
You don't want to be charging less if you have less over-head. The idea is to make money. That and when you grow and have more over-head, you'll need to charge more and it's harder to raise your prices on your existing customers rather than setting a higher price to begin with.
Well how do the guys that charge $15 any size lawn making money? I see adds all the time, you know the Walmart method.

Dave...
Reply With Quote
  #25  
Old 01-17-2011, 12:27 PM
White Gardens's Avatar
White Gardens White Gardens is offline
LawnSite Fanatic
 
Join Date: May 2008
Location: Bloomington IL
Posts: 6,779
Quote:
Originally Posted by coolluv View Post
I had to pay $100 for a business license and $40 to run an add in the paper in the legal section for some reason, man those expenses are adding up.

Dave...
Yep, and if you look at business statistics, most business take 5 years to turn a profit.

In the first 5 years, 90% of business fail. for the 10% that are left, 90% of those fail by the 9 year mark.

Not trying to scare you, just giving you food for thought.
__________________
White Gardens On Facebook.......WG Thread......Greencare For Troops......... mywhitegardens.com(under construction)

2005- Completion of University of Illinois Master Gardner's Program.
Reply With Quote
  #26  
Old 01-17-2011, 12:37 PM
coolluv coolluv is online now
LawnSite Silver Member
 
Join Date: Aug 2006
Location: Atlanta
Posts: 2,450
Quote:
Originally Posted by White Gardens View Post
Yep, and if you look at business statistics, most business take 5 years to turn a profit.

In the first 5 years, 90% of business fail. for the 10% that are left, 90% of those fail by the 9 year mark.

Not trying to scare you, just giving you food for thought.
Furness & Sons L&L's Avatar
Furness & Sons L&L Furness & Sons L&L is offline
LawnSite Senior Member

Join Date: Mar 2006
Location: southwest
Posts: 966
Lots of good advice here. I made money the 1st month, yeah it was only a few hundred, but i owned all my equipment, truck and hand helds, all paid for with he 1st month of service. Holding off until you absolutely need that piece of equipment is crucial, we run it all into the ground, but maintain it along the way. Pricing is key, good luck my friend.


This is a recent post. Not this guy he made money his first month. I want to know how he did that.

Dave...
Reply With Quote
  #27  
Old 01-17-2011, 12:39 PM
coolluv coolluv is online now
LawnSite Silver Member
 
Join Date: Aug 2006
Location: Atlanta
Posts: 2,450
Well I guess he didn't count anything in his start up costs because he already owned it. That just doesn't make sense to me, even if you already owned it though you are still using it for business right?

Dave...
Reply With Quote
  #28  
Old 01-17-2011, 12:49 PM
Lefet's Avatar
Lefet Lefet is offline
LawnSite Bronze Member
 
Join Date: Jun 2010
Location: Jackson, NJ
Posts: 1,885
Could be me but I'm not getting the concept here. You want to know how you can charge less but still make money? You don't think there's overhead, but you've bought a blade grinder and an impact gun (according to your posts). And a license and insurance.

What exactly do you want to know?

Help ME understand.
__________________
Lefet Enterprises LLC
Reply With Quote
  #29  
Old 01-17-2011, 01:06 PM
coolluv coolluv is online now
LawnSite Silver Member
 
Join Date: Aug 2006
Location: Atlanta
Posts: 2,450
Busted I'm just messing with you guys. I saw that post yesterday from the guy that said he made money his first month and thought I would start a post like this to mess with you guys but also show what kinds of expenses can be expected with this business. I was hoping it would go on for a while longer but you caught me.

I have yet to make a profit on this business, I have a lot of nice equipment but I'm still showing a loss. My first two years I was part time 06 and 07 and most of 08. I then went full time in 09 but had a lot of catching up to do as far as running this as an actual business. Not that I have not been legit since day one because I have and I did everything right and I have QB from day one etc. I have a CPA since day one, but I didn't have a plan so to speak and I didn't need the money. I started this as sort of an experiment and to get my feet wet in owning a business.

Things got serious in late 08 when I lost my job and had to treat this like a business and not a experiment. It takes a lot of work and a lot of thinking and preparation and getting all of the business stuff organized and figured out. I spent a lot of time over this winter working on estimating tools and plans for my business and just reading and studying. I think or should I say I hope to finally get into the black this year.

I just get a kick out of the post on here and thought I would mess with you guys. This is far from an easy gig and I hope I can make it work, I'm giving it my best. I just can't wait until I finally make some money.


Dave...
Reply With Quote
  #30  
Old 01-17-2011, 01:08 PM
Lefet's Avatar
Lefet Lefet is offline
LawnSite Bronze Member
 
Join Date: Jun 2010
Location: Jackson, NJ
Posts: 1,885
I saw your post in that other thread.

Good luck this year.
__________________
Lefet Enterprises LLC
Reply With Quote
Reply

Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off

Forum Jump





Powered by vBulletin® Version 3.8.6
Copyright ©2000 - 2014, Jelsoft Enterprises Ltd.
Copyright ©1998 - 2012, LawnSite.comô - Moose River Media
All times are GMT -4. The time now is 09:22 PM.

Page generated in 0.10163 seconds with 7 queries