How to fail in the lawn business by someone who did it.

Discussion in 'Lawn Mowing' started by PROCUT1, Feb 18, 2009.

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  1. capnsac

    capnsac LawnSite Senior Member
    Posts: 702

    You think I'm telling tall tales eh? Well, I am a solo operation so the only real labor cost I have is to pay myself. When I say a good amount on the resale of the machine I am talking 4,000 off a 10,000 machine before taxes. so I am only making 37%, which isn't very good at all I don't think. In comparison to what that machine has made me though, yes that is very good money.

    Besides all of that though, when you go out in a day what do you gross? I don't know what your area is like, but it isn't unheard to be making at least $500 a day gross, solo. Take out your expenses and divide it out for the number of working days in that month and you will have your net figure for each day. Divide that by the number of hours worked for that day and hopefully you come up an hourly figure like something I have.
     
  2. willretire@40

    willretire@40 LawnSite Bronze Member
    from VA
    Posts: 1,387

  3. mattfromNY

    mattfromNY LawnSite Bronze Member
    Posts: 1,581

    Retirement doesn't NECESSARILY have to be money in a IRA, it could be gold, it could be stocks or real estate, etc.
    Even if you save just a couple bucks each week, it adds up fast, put it away for a rainy day. Put it away somewhere you can access it if needed.
    Everyone (especially invincible young guys) seems to look at retirement as that long, long time from now when, even if they dont start saving now, they will just walk away from work and live off that huge pile of money that just appeared the day they stopped working.
    Retirement might come sooner, maybe later, maybe never, maybe due to injury or sickness, or inability to find a job after losing a career, etc.
    Better to be prepared, and never have to use it, than to need it and not have it......
     
  4. PTP

    PTP LawnSite Bronze Member
    from Tulsa
    Posts: 1,370

    Slacker!:)
     
  5. PTP

    PTP LawnSite Bronze Member
    from Tulsa
    Posts: 1,370

    I'll vouch for those numbers. I have done similar. I have sometimes grossed over $60 per hour including drive time working solo and so your numbers seem reasonable.
     
  6. mngrassguy

    mngrassguy LawnSite Silver Member
    Posts: 2,167

    So that machine is costing you 63% for 1000 hours. Isn't that like $6.30/hour, $25/day (based on 4 hrs), $101.00/week (based on 4 days), $434.00 /month, $3,257/year?

    I know that machine is making WAY more than that but it is still an expense that needs to be considered when looking at forecasting your bottom line. You did include your cell phone in your expenses and what is that like $100.00/month?


    All I'm saying is WAY too many guys don't look at equipment expense when figuring their costs.
     
  7. whoopassonthebluegrass

    whoopassonthebluegrass LawnSite Platinum Member
    Posts: 4,213

    You're dead on. Here's a quote from Dave Ramsey about some crazy scary statistics:


    You want to reach your golden years with financial dignity. That will only happen with a plan. USA TODAY reported recently that 56% of Americans do not systematically prepare for retirement age by investing... USA TODAY reports that out of 100 people age 65, 97 of them can't write a check for $600, 54 are still working, and 3 are financially secure. Bankrupcies among those 65 and oder have gone up 164% in the last 8 years.
     
  8. capnsac

    capnsac LawnSite Senior Member
    Posts: 702

    That means it's going to take 200 hours for the thing to pay itself off. That is all.

    Of course I included my cell phone bill in my expenses, which would be another $4 for a 25 day work month if the bill was $100?
     
    Last edited: Feb 24, 2009
  9. capnsac

    capnsac LawnSite Senior Member
    Posts: 702

    That's awesome! I want to get up around that number! Will need to hire for that number to become my reality though, good work!
     
  10. milsaps118

    milsaps118 LawnSite Senior Member
    Posts: 559

    I just finished reading this entire thread from post 1. Probabely the best thread I read.

    Good luck PROCUT1....thanks for swallowing your pride and sharing your story.
     
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