Forever Green Professional Lawn Care

Discussion in 'Introduce Yourself' started by tk2aci, Dec 17, 2013.

  1. 32vld

    32vld LawnSite Gold Member
    Posts: 3,984

    I never saw a person take that many words to say "I bought new mowers on credit".

    Many businesses fail because they take on to much debt. Hoping to get 50 customers is not the same as having 50 customers.

    I hope that you now have the cash behind you to pay for the loans as they come in if you do not get enough customers the first year.
     
  2. A. W. Landscapers  Inc.

    A. W. Landscapers Inc. LawnSite Bronze Member
    Posts: 1,287

    The man has a Master's Degree in Finance so it is a pretty safe bet to say that he knows a little bit more on this subject than you.
     
  3. tk2aci

    tk2aci LawnSite Member
    Posts: 18

    Thanks A.W. As mentioned earlier I've got a nice buffer to get started and it's all about managing cashflow. Do I spend $7,000 cash now and who knows how much in repairs because of used equipment? Or do I set that $7000 aside and use their money. The burn rate on that $7000 would last me 2 years. The 4 months with no pymt then 20 more at 350 a month. If you don't understand the math behind this route I can't help you. If you are undisciplined and a slave to debt then yes 32lvld I would agree with you.
     
  4. tk2aci

    tk2aci LawnSite Member
    Posts: 18

    Just checking out if my signature took....
     
  5. A. W. Landscapers  Inc.

    A. W. Landscapers Inc. LawnSite Bronze Member
    Posts: 1,287

    Well said. When you're not a slave to the debt, the choice whether or not to use "their money" becomes a pretty easy decision to make.
     
  6. A. W. Landscapers  Inc.

    A. W. Landscapers Inc. LawnSite Bronze Member
    Posts: 1,287

    That looks really nice.

    Did you do that yourself or did you have someone do it for you?
     
  7. 32vld

    32vld LawnSite Gold Member
    Posts: 3,984

    There are reasons to buy new and reasons to buy used. I asked whether you bought new or used had nothing to do with which is the best way to buy equipment.

    It has to do with money on hand.

    Many people start out as a LCO and then find themselves having a hard time getting enough customers to bring in a suitable cash flow.

    You did not state how much money you have on hand to buy trucks, trailers, equipment, and how much money to cover your normal monthly expenses just to keep meeting your everyday bills. Nor am I asking how much cash you have to ride out until your business takes off. You mentioning $7,000 to play with is not the same as you saying you have looked at the whole picture. Which has to include living costs plus business costs and have the cash to ride out through the worse case scenario and cover both.

    Many businesses take 3 years to take off.

    Owning equipment outright vs having to make payments can be all the difference between making it through tough times and a business going broke.



     
  8. A. W. Landscapers  Inc.

    A. W. Landscapers Inc. LawnSite Bronze Member
    Posts: 1,287

    The OP's financial situation is none of your business and he didn't ask for your financial advice nor does he need it.

    The OP is not some under-educated fool with a 10 year old mower and a bright idea of using it to mow 8 lawns an hour for $5 a piece thinking he's going to be rich because he'll be getting paid $40 an hour and will be bringing home $400 a day because he can mow 10 hours each day.
     
  9. SRT8

    SRT8 LawnSite Bronze Member
    from CA
    Posts: 1,267

    I have bought many used mowers in the past, and have saved tens of thousands of dollars and guess what......... If you shop smart you wont have the scary repair issues you are thinking of.
    Recently i purchased a 48" hydro exmark walk behind. Valued at over $7000. Got it for $2,000 and the thing is brand new! Bought from a company that went belly up. Shop around my friend because good deals are out there.
    Posted via Mobile Device
     
  10. tk2aci

    tk2aci LawnSite Member
    Posts: 18

    AW - I had the logo designed on Freelancer.com. You basically fill out a job and people from all over the world bid on it. Once you assign a bid you work with that company/person until you're satisfied. At that point you release the funds. Within an hour of posting I had nearly 30 people submit bids. I looked at their portfolios and chose one. Most are from India, Pakistan or countries near there. I was able to get that design in under a week with about 4 modifications until we came up with the right one. Cost me less than $80. If anyone is interested. I can give you my spec sheet and then you just post it and see what you get. I requested three unique concepts so that gave me several different ideas to start from. The spec sheet is one I modified from what we used to design our church logo. It was written up by a tech guy so it is pretty involved but covered all the things I wouldn't have known to put in there.

    32vld - I think that discussion is done but thanks for your concern. For most people starting out, especially young guys with no working history and/or accumulated wealth your questions are probably warranted. I'm 43 and have been around the block a few times and have a decent financial situation. That is why using their money for free is much better in my situation. The clients I am targeting most likely wouldn't be impressed with sub-par equipment that doesn't display a certain level of professionalism. I can appreciate your line of questioning, I just don't believe it is applicable to my situation. No hard feelings.
     

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