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Average income for this business

Discussion in 'Business Operations' started by Set Apart Lawn Care, Mar 30, 2012.

  1. Set Apart Lawn Care

    Set Apart Lawn Care LawnSite Member
    Posts: 189

    Im a little hesitant about starting this thread because its such a personal issue. I'm not asking to hear people brag or one up each other. I am asking because my wife and I are about to have our first child and I am going into my 3rd year in business and I am trying to look down the road and guage my ability to support my family with a professional lawn care business. So my questions is 3 fold:
    What is your personal average income?
    What size company do you have/ how much do you work? (so I know how big or small I'd should expect to be)
    How long did it take you to make that amount?

    I'll start, I have been doing this 2 years full time, for the last two years I have taked $2,000 a month (I could take more but I re-invest as much as I can). This year I have 2 employees and about 120 yards and I am hoping to raise my income to $3,000 a month in May.

    I'd understand if no one wanted to post that kind of info. but I think it would really help a lot of us who are new to understand what a realistic income is and how much time and work it takes to get there. thanks to anyone willing to share.

    this is meant to be a helpful, encouraging thread, please no one bash anyone else who you think doesn't make what you do or think they should.
  2. Buddy Buds

    Buddy Buds LawnSite Member
    Posts: 146

    I'm two weeks into heavy cutting and I've average 20 cuts each week. I've grossed a thousand dollars a week. First week I spent over $160 in gas. I hope this helps. Got to go do a pinestraw job.
  3. MOturkey

    MOturkey LawnSite Silver Member
    Posts: 2,757

    I'm a solo operator, supplementing a pension, so my numbers really don't mean anything. For yourself, with a company utilizing employees, theoretically, there is no limit to your potential income. Many fail to reach their full potential, but from what you are saying, you are already achieving success.

    Do more of what works, less of what doesn't. Every successful business in the world has followed that business plan. Good luck.
  4. orangemower

    orangemower LawnSite Silver Member
    from pa
    Posts: 2,773

    3K a month with 120 yards is a average of only $25 a yard. Then you have 2 employees? Please tell us how you do it and make any money. I make that by myself with only 8-10 days of mowing each month.

    THEGOLDPRO LawnSite Fanatic
    Posts: 5,223

    This question will not be answered easily because every state is different on their pricing, some average 25 bucks a cut some average 60 a cut some average more, We Mow 75 yards and a few larger commercial accounts, We mow 5-6 days a week and bring in around 15k a month for mowing alone. So clearly this isn't an open and shut question because you have more accounts then i do and bring in 12k less a month.

    So like i said it all depends where you live and how much your area pays for lawn care.
  6. ShooterK2

    ShooterK2 LawnSite Senior Member
    Posts: 816

    Goldpro hit the nail on the head. No two answers will be the same. There have been numerous threads on this over the years. "Do more of what works, less of what doesn't" is a great company motto. In different areas of the country, what works and what doesn't will be extremely different. One thing that immediately comes to mind for me is snow plowing. I see all these threads on here and it makes me wish I could plow snow here, but it just doesn't work that way. So this business is very seasonal here. Better save pennies during growing season if you want to have heat during the winter....
    Posted via Mobile Device
  7. jdutcher003

    jdutcher003 LawnSite Member
    Posts: 181

    Sounded to me like that is how much he is taking in for himself. He said he only took 2000 before because he reinvested so much back into the business. I think paying himself 3000 a month for his third year is pretty decent and having two employees.
  8. orangemower

    orangemower LawnSite Silver Member
    from pa
    Posts: 2,773

    I think the difference here is that I'm only working solo 2-3 days a week and I make that much. He's working full time with two other guys and making that. It's obvious the markets are different.
  9. McFarland_Lawn_Care

    McFarland_Lawn_Care LawnSite Bronze Member
    Posts: 1,392

    Sounds to me like you are doing fine for 3rd year. Totally depends on your area of the country and how high cost of living is etc...etc... etc. If you are re-investing a lot in your business then you'll be fine in a few years in theory. I am 5th year and 3rd year full time and take about the same amount as "owner salary" but I could take a lot more -I just chose to invest in other things instead of taking the money out of the business. It's tough work, but a business plan and review of past growth, should really be able to help you forecast future business growth. Most people on here get easily confused with numbers and only looking at gross - take everything with a grain of salt. =D Good luck! PM me if you want....I'd be more comfortable talking numbers there.
  10. Set Apart Lawn Care

    Set Apart Lawn Care LawnSite Member
    Posts: 189

    Just to clear a few things up, I am talking about your net income, after taxes, expenses, etc. how much money do you bring home. My average yard is $38 per cut, out of 120 yards we probably mow 80-90 a week in the growing season + landscaping. In Memphis we have a 7 month season that I may gross $84,000, but I dont just make $84,000 (dont get caught up in the math, these are rough numbers) minus the cost of gas and employee wages, there is a lot of other overhead to keep this going year after year. I have thousands of dollars worth of equipment that has to be replaced every few years, truck note, gas, insurance, workers comp, cell phone, equipment maintenance, ADP payroll fees, unemployement tax, etc.

    So again if anyone is making $50,000 net, what does your business look like? how hard did you work and how long did it take to get there? Same questions if you do this part time and make $24,000 a year like I've been taking that last couple years, or you make $200,000 and have multiple crews. I am wanting to know where I need to be in 10 years business wise and if that lines up with the life I want to provide for my family in 10 years.

    Hopefully that was clarifying

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