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I want to NET 12K a month??????

Discussion in 'Lawn Mowing' started by Five Diamond Lawns, Oct 18, 2004.

  1. Five Diamond Lawns

    Five Diamond Lawns LawnSite Member
    Posts: 197

    If your goal was to net 12K an month March through November how would you set-up your LCO.
    What would be your gross need to be, type of accounts you would focus on, number of employees, etc.
     
  2. economiclawncare

    economiclawncare LawnSite Member
    Posts: 143

    What i would like to do is have a 3 man crew with me on it cutting about 40 8k-12k lawns a day 5 days a week at about $35 a yard ( that is the going rate here) charge the customers cc after each cut then that will put me at 28k a month and then cut for 7 months and pay my other 2 guys $10 an hour working get 40 hours a week ($800 a week) then have wife run office. If i keep it down to that level i dont have to have work comp in VA. Run a v6 ranger and trailer big enough to hold 2 36" and a 21" to keep fuel low. Then have $300,000 insurance for $60 a month. Then i should be making atleast 50%. What do you think.
     
  3. Precision

    Precision LawnSite Silver Member
    Posts: 2,995

    This is silly. How can I net $12k per month. Well you could start with $2million and bet the ponies. I'm sure you can at least make $12k that way, not counting the losses.

    The best way to net $12k is to buy a business that is already doing it. Otherwise do like everyone else and start with some equipment and 1 customer and work up to whatever it takes to get to 12K net. Probably $28K gross. So figure just under $300k gross for the year.
     
  4. wriken

    wriken LawnSite Silver Member
    Posts: 2,154

    Then there will be more taxes to figure in if a certain pres gets in. :)
     
  5. Five Diamond Lawns

    Five Diamond Lawns LawnSite Member
    Posts: 197

    Precision, I don't get how this is a silly question. If your not dealing in your net what are you concerned about???????
     
  6. Lawnworks

    Lawnworks LawnSite Fanatic
    from usa
    Posts: 5,407

    I think it would take at least 2 crews. Your expenses are such a big part of it, its hard to say. I mean if you are only netting 5k a month but food, gas, entertainment are all already expenses out then your not in too bad of shape.
     
  7. Fantasy Lawns

    Fantasy Lawns LawnSite Bronze Member
    Posts: 1,913

    Well .... let's say you make 30% profit or "net" of every dollar

    $500k would put you at $150K net or $12.5K per month

    Than you can kinda get n idea of the "size" you would have to be or how many crews needed to generate that kinda gross in reference to your area n local economy
     
  8. DennisF

    DennisF LawnSite Bronze Member
    from Florida
    Posts: 1,381

    Let's say your net is 50% of revenue. That means you need to gross 25k per month or $6250 per week. Based on a 5 day week you need to gross $1250 per day. Using $30 per lawn as an average, you'll need to do 42 lawns a day to gross $1250.

    Now...you need to figure out how many people and how much equipment will be needed to do those 42 lawns.

    You'll also need 210 customers that are willing to pay $30 a pop for lawn care.
     
  9. Kelly's Landscaping

    Kelly's Landscaping LawnSite Platinum Member
    Posts: 4,259

    It does not all need to be lawns I am seeing 20-30k a month and only around 14k of that is lawn cuts fert is around 2k and the rest is what ever we can find. Lawn installs, planting work, mulch work, and my favorite brush removal. I move a lot of top soil I did around 500 yards this season which is a lot for shovels and wheel barrels but you do what you must till you get the better toys.

    Next season we are going for 10 k a week in lawn cuts which is around 300 accounts. For us we will be running 3 lawn crews 1 will work 3 days a week and do fert and pesticide work for the first 2 days of the week. The second will cut for 5 days a week. And the 3rd will do 4 days a week and fill in work the rest of the time. We are picking up our 4th truck this month and we have plans of a 5th early next year.

    What you need to ask yourself before you do what we do is do you want to deal with that kind of workload. Next spring you add in fert work and other jobs and we may be around 1500 jobs a month on a 4-week month that’s a lot of data entry and billing. Were talking over 100 dollars a month just in stamps. It’s taking my partner nearly 3 days a month just to do all the billing and that’s on just 600 jobs a months. So all I can say is it is achievable but be certain that’s what you want before you step into it. Obviously we want a lot more then 12 k a month net but to each their own good luck to you Diamond
     
  10. poudre_lawn

    poudre_lawn LawnSite Member
    Posts: 10

    Run a v6 ranger and trailer big enough to hold 2 36" and a 21" to keep fuel low.

    How big of a trailer would that be ?
     

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