Helping eachother out

Discussion in 'Business Operations' started by gobblet, Jul 1, 2007.

  1. gobblet

    gobblet LawnSite Member
    Posts: 155

    Try to keep this short. Just got out of a 5 year partnership and took over business. I kept all top dollar accounts and gave the other half to a close friend that has been wanting to start a business for years. The work and pay has been very good this year so far being solo but when it comes to fall clean-ups there is no possible way that I can do it alone. We all know how hard it is to find good help and I was not successful this spring when I took over the business so that is why I had to go solo. My question is the friend that I have given a good amount of lawns to is also going to have trouble this fall since he is unable to do the work on his own too. Has anyone ever worked with another company when the work load has been to large and spit profits someway?(without being in a partnership)
     
  2. mattfromNY

    mattfromNY LawnSite Bronze Member
    Posts: 1,580

    I dont see what it will hurt. As long as your co-worker isnt out trying to sell to your customers. I know of two local solo contractors that sub out work to each other all the time. Most of the time, they dont split profits, they just keep track of their time and try to help each other the same amount of time to keep things even.
     
  3. Woody82986

    Woody82986 LawnSite Silver Member
    from DFW, TX
    Posts: 2,128

    I agree with matt to a degree. If you could figure out how to help eachother out an equal amount of time, that would probably be a decent way to go about it.
     
  4. Grace Lawn Design

    Grace Lawn Design LawnSite Member
    Posts: 1

    My brother and I both own our seperate business and just this past month we let all of our employees go and started working together. Since we have done this our profit for both of our business had more than doubled ahd we are getting done faster than when we had employees doing most of the work. we share weekly cost and that is it ie. one week I buy gas the next he does. We keep our own company profit and it has been great.
     
  5. Lohse's Lawn Service

    Lohse's Lawn Service LawnSite Member
    from US
    Posts: 213

    I don't see how helping another company, a company that is run by your close friend, would hurt your business. Besides, we are talking about a friend. Not some stranger. I say help him out and he'll be glad to help you out. You'll both win.
     
  6. NewHorizon's Land

    NewHorizon's Land LawnSite Senior Member
    Posts: 690

    I did this every now and then for the past 2-3 years with a friend who also had a lawn care business. We just kept track of time spent on jobs and try to match time. Trying to share profit may not work if the profit margin on each job is not the same. One person will loose out while the other makes out better.
     
  7. gene gls

    gene gls LawnSite Gold Member
    Posts: 3,213

    Sounds like you need to be better equiped to handle the fall cleanups... Or, you have too many customers. I gave up helping others. It sounds good but doesen't really work out very good. You bust your butt, they drag thier feet. You can work best when your alone. Too much time is spent b/sing when others are around. You have to have the proper equipment to work the jobs efficently.
     

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