increasing app prices for 2014

Discussion in 'Pesticide & Herbicide Application' started by americanlawn, Dec 11, 2013.

  1. Ric

    Ric LawnSite Fanatic
    Posts: 11,956


    rcreech

    I am not a stranger to big landscape companies. I believe your business runs itself. I am glad for you but, NOT EVERY BIG BUSINESS OWNER CAN SAY THEIR BUSINESS RUNS ITSELF. MOST SWEAT BULLETS DAILY. Cash flow seem to be the biggest sweat. Just because you show a big profit on the book, doesn't means you have money in the bank. Of course if you have a farm with a huge line of credit, Cash Flow isn't a problem.

    My point about staying small is still the better method for MOST people. As a one man band costs and over head are very small leaving a huge profit margin. As you grow and add each employee your overhead grows by Geometric proportion. As a business owner your income drops with each new hire. However there does come a point when more employee start to make the owner as much or more money than a one man band. I guess my question is WHY HASSLE THE HEART ATTACK of growing a business that big. I make a nice 5 figure income working part time. I work on making my business better not bigger.
     
  2. rcreech

    rcreech Sponsor
    Male, from OHIO
    Posts: 6,052

    Where there is risk...there is reward!!!!
    :)


    Again I agree with you but:
    Just for round numbers would u rather work your butt off for $100,000 a yr or have 10 employees, not work ur butt off and have a valuable business and make $100,000 a yr?
    Although these are not real numbers u see where I am going.

    If u are a one man band and get hurt u r done. If u have a larger business u can get hurt and not miss a beat. That's all I am saying.

    That's not what this topic is about but I am ALL about my business working for me and not me working for my business.
    Posted via Mobile Device
     
  3. DA Quality Lawn & YS

    DA Quality Lawn & YS LawnSite Fanatic
    Posts: 8,870

    I can see pro's and con's of both big and small....
    However I cannot see myself not doing some sort of production for a good long time. You end up putting on a fat gut and getting out of shape, and lose a little touch with what is going on in the field. Just my op.
     
  4. rcreech

    rcreech Sponsor
    Male, from OHIO
    Posts: 6,052

    Does the owner if any "big company" work n the field?


    No....they plan, they sell and they do things to grow the business.

    Just say n

    :)

    I am not say n it's for everyone. If u want to be a slave to your business hats off to ya. Or u can grow a business and let it work for u And still work for it. Point is if ur a one man band u may get screwed due to injury or sickness. It's looking out for u and your customers.

    If I die I want to think that my business could go on and support my family.
    Posted via Mobile Device
     
  5. Service 1st Lawn Care

    Service 1st Lawn Care LawnSite Senior Member
    Posts: 643

    I'm friends with a guy who owns a very large Lawn care company in our area. He has not done any production for many years, and he is very skinny. I'm guessing it's because he works out at the gym and eats right. (Just saying not doing production doesn't necessarily make you fat).
     
  6. georgialawn88

    georgialawn88 LawnSite Bronze Member
    Posts: 1,075

    no offense but i don't agree with that. You have more time to work out and eat healthier and not make a quick stop at mcdonalds while in the field. I understand your point but not doing labor in your business doesn't mean you're gonna be fat
     
  7. greenskeeper44

    greenskeeper44 LawnSite Senior Member
    Posts: 363

    there's no right or wrong way...big or small....it just depends on the needs and comforts with the owner......I would prefer to be bigger and have the business work for me.....otherwise you just own a "job" and are subject to risk with injury or sickness...as far as price increases we are going to raise ours 5%....... materials are down but health insurance and taxes have gone up significantly the past couple of years along with other expenses.....I feel the increase in price is so little i doubt we will hear much grumblings....
     
  8. inzane

    inzane LawnSite Silver Member
    Posts: 2,365

    thats what they make treadmills for. :waving: During these slow rainy months i spend some time on that daily when i don't have work to do.. I don't want to get to out of shape during the winter time. lol. I expect to be solo for a long time.. gotta take care of myself as best i can.

     
  9. lawn king

    lawn king LawnSite Silver Member
    Posts: 2,272

    I cant imagine a client griping about 5% if they are happy with the lawn and the overall service. I had a 5% increase in 2009 and another 5% this year. I have no plans on increasing rates for lawn programs any time soon, however, i did raise snowplowing rates this month and i may very well increase tractor service rates come spring?
     
  10. americanlawn

    americanlawn LawnSite Fanatic
    from midwest
    Posts: 5,852

    Just tossing something. LCO's like my long time friend RC and I don't always see to eye all the time. But I consider him a very valuable asset. He's a farmer just like me, so we have a lot in common.

    Big company or small company does not matter. 50 customers or 5000 customers does not matter. Kinda wondering why anybody would have a problem with this??? Especially when all these websites advertise how to grow your business.

    make sense?
     

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