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expense/sales percentages

Discussion in 'Business Operations' started by Fivstringpicker, Aug 13, 2001.

  1. Fivstringpicker

    Fivstringpicker LawnSite Member
    Posts: 3

    Does anyone know where I can get average percentage of expense to revenue statistics for the lawn care industry? I'm trying to figure out how my ordinary expenses as a percentage of revenue compares to the industry and for every dollar revenue, how much should the average profit be. I know its different for every market, but I just want a comparison.

    MATTHEW LawnSite Senior Member
    from NE OHIO
    Posts: 665

    Try a search on the topic. I've heard some say that 35% expense/65% profit is very good. It may vary as the definition of "expense" varies. Some add in a lot of extra expenses like lunches,health insurance,cell phone bill, part of the mortgage for business use of the home, ect.
  3. LoneStarLawn

    LoneStarLawn LawnSite Bronze Member
    Posts: 1,415

    65% profit!!!! I wish....(Unless your not counting your salary as an expense) May want to reverse that.

    I dont think the definition of expense varies it is just some may have more than others.
  4. Allyn

    Allyn LawnSite Member
    Posts: 58

    I know that when I was working at a ski resort in Park City, they said that it cost them $180.00 an hour for a snow cat to operate.
    I figure that I need at least $60.00 to $65.00 an hour when I am at this site. If not I will not pay back my expences and build a fund for then next machine.

    Also the resort turned in those cats every 3 years. So they used the right offs.


    MATTHEW LawnSite Senior Member
    from NE OHIO
    Posts: 665

    Hey, lonestar, I WAS including my salary. I should have been more specific, as I am 100% solo presently.
  6. Lanelle

    Lanelle LawnSite Bronze Member
    Posts: 1,361

    ALCA compiles and publishes these types of reports. I would guess that PGMS and PLACCA do too. Sometimes industry magazines discuss this topic.

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