How much Revenue before going full time?

Discussion in 'Business Operations' started by zz4guy, Jul 11, 2007.

  1. zz4guy

    zz4guy LawnSite Senior Member
    Posts: 901

    Right now I run a part time lawn care business offering lawn mowing and other miscellaneous yard work. Later this year and next I am planning on getting my fert/squirt license and gaining some good commercial accounts next year. I am going to grow the business as much as I can working my full time job but there will come a point where my time is better spent running the business than working the full time job.

    My question is at what point did you full time guys go full time? Was there a certain amount of sales or customers? What happened after you quit your full time job?
     
  2. Mountain Peak

    Mountain Peak LawnSite Member
    Posts: 203

    This is my third year in business and I quit my full time job in january of this year. I can only tell you that I have been able to dramatically grow and increase my business working it full time instead of part time.

    I would say that you are the only one who can judge when you are ready to do it full time. Go over the income you need to survive and if your business can support you go for it.
     
  3. PlatinumLandCon

    PlatinumLandCon LawnSite Bronze Member
    Posts: 1,315

    I would make sure you have at least 6 months worth of personal expenses covered before you go full time.

    Worst case scenario: It doesn't work out and you have that money to fall back on until it gets going or you find another job.

    Best case scenario: Business is successful and you now have a major head start on your RRSP savings.
     
  4. rcreech

    rcreech Sponsor
    Male, from OHIO
    Posts: 6,072

    What these guys said is right on!

    I started my lawn health business three years ago for fun just doing about 20 lawns. When I got to 80 I started thinking about full time. And this winter I was at 120.

    I was working a great job and enjoyed my work at times. I had to make the big decision to either quit and grow my bus or stop growing and kill myself working two jobs and farm.

    I prayed HARD and pushed numbers constantly.

    Like he said above...you can't grow your bus when working in town. I am now over 210 customers.

    My recommendation would be to stockpile as many $ as you can.
    Pray
    Market, Market, Market
    Pray
    Quit your job and bust your butt and remember you don't have a check coming in anymore.

    Insurance does suck. No sickness in my family for three years and as soon as I quit my wife spent 1600 on female testing. That is out of the pocket!!!!! But it is a part of life and overall working for yourself is the BEST!

    I read about all of these people that start their own business and go down.
    I don't understand...if you are honest, hardworking and don't spend more then you make you will be fine.

    GOOD LUCK!
     
  5. Lawnworks

    Lawnworks LawnSite Fanatic
    from usa
    Posts: 5,407

    Good advise above... I would definately have plenty of cash in the bank before you go full time. I would think 20k, and a month's worth of gross in your checking account. I would also want a minimal amount of debt. From my experiences, I sleep much better driving a used truck, but having a good amount of money in the bank. The number one reason small businesses fail is lack of capital... if you don't have good financial discipline your business will more than likely fail.
     
  6. PlatinumLandCon

    PlatinumLandCon LawnSite Bronze Member
    Posts: 1,315

    Agree fully. People that buy new cars are nuts, ESPECIALLY if it was a work truck. What the hell is the point of spending $10-15k more for a new truck when you'll lose that value in a year anyways? Just get a 2003 or 2004 and save big $$.
     
  7. rodfather

    rodfather LawnSite Fanatic
    Posts: 9,501

    Working solo, I would think you need a minimum of 75K in sales before going at it full time. Then again, a lot depends of what part of the country you live in, do you have a spouse with a job, any kids, how many months (6 hopefully) bankroll you have for living expenses, etc.
     

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