Normal Business Expenses

Discussion in 'Starting a Lawn Care Business' started by huntercook33, Sep 28, 2004.

  1. huntercook33

    huntercook33 LawnSite Member
    from Orando
    Posts: 42

    I was just wondering if your running a 1 man operation, what the normal expenditures would be. IE: insurance, tax, gas, maintence for the equiptment, advertising, and all that other good stuff. I'm really just running some numbers to see if it would be a wise choice to get into the business after high school full time, 40 people a month, $100 a month, $4000 a month, $48000 gross a year. Seems like a pretty decent living.
     
  2. Randy J

    Randy J LawnSite Bronze Member
    Posts: 1,124

    Are those your numbers to start with? If so, that (40 yards) sounds like a pretty good start. You should be able to build from there. As for your expenses, well you'll have a bunch of fixed costs such as; advertising, equipment costs and depreciation, business phone, business license, insurance, etc. If you call around, most will be willing to give you an idea of what your costs would be, i.e., insurance rates, cost per month of phone, license, etc. And those costs are going to vary by area, so you're better off calling locally to get your ideas on them. Then you're going to have your variable costs, such as fuel & maintenance, labor, etc. You'll just have to make a stab at these. But if you contact the manager of what ever equipment you have or will get, they can give you the fuel use per hour. Now all you have to do is estimate the hours it will take you to complete those 40 yards. From there, you can figure out your fuel and maintenance costs.
    Sounds like a lot of work, and it is, but it's really necessary if you want to succeed. Once you've got these figures in place, you can easily determine what it costs you per hour to mow, and you can better figure what you need to charge per lawn to make sure you're making money.
    All that having been said, I personally recommend you go to college after high school and get your degree - in whatever you want. You can always come back to Lawn Care if you want, but it will be much harder to get your degree later on.
    Good luck what ever you decide.
     
  3. Team Gopher

    Team Gopher LawnSite Platinum Member
    from -
    Posts: 4,041

  4. oneandonlyjojo

    oneandonlyjojo LawnSite Member
    from NY
    Posts: 125



    i think i love you i have to a 20 page business plan for my entrepeneur class by end of smester and this is a really good starting point i hope i dont plagerize too much.
     

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