Normal Expenses?

Discussion in 'Lawn Mowing' started by TimberlandGrounds, Sep 2, 2003.

  1. TimberlandGrounds

    TimberlandGrounds LawnSite Member
    Posts: 36

    Currently, I am cutting some lawns as a side business. For the 2004 season, I am going to put together a respectable, professional company. I am planning the details now for next year, and I am already beginning to perform some marketing. I want to do this right, so I am putting together the most realistic business plan that I can. My question is, what are all the expenses I should include/expect to have in a business plan?

    Your suggestions would be greatly appreciated.

    Truck
    Trailer
    Equipment
    General Liability Insurance
    Workers Comp. Insurance
    Vehicle / Equipment Insurance
    Payroll
    Marketing Costs (flyers, yellow pages, etc)
    Telephone
    Fuel & Oil
    Maintenance (any details???)

    Thanks for the help, any other suggestions would be helpful.
     
  2. BSDeality

    BSDeality LawnSite Silver Member
    Posts: 2,849

    overhead! small stuff like spark plugs, zip ties, paint cans. all the stuff that falls into the cracks of the other larger expenses.
     
  3. battags

    battags LawnSite Senior Member
    Posts: 607

    Walk before you decide to run......

    It's easier to start small and build a solid base as opposed to planning to run a huge opperation and find yourself in over your head.

    Use the search function on this site to help you along and good luck!

    B
     
  4. tiedeman

    tiedeman LawnSite Fanatic
    from earth
    Posts: 8,745

    I would have to agree to start small first. But here are some expenses you might have to worry about.


    Expenses:
    Bank Charges
    Advertising
    Office Supplies
    Equipment Repair
    Equipment
    Trucks
    Trailers
    Postage
    Web Site
    Cell Phones
    Phone
    Health Insurance
    Workers Comp
    Liability & Property Insurance
    Federal Tax
    State Tax
    Professional Fees
    Accounting Fees
    Automobile Repairs
    Dues/Subcriptions
    Gas/Oil
    Licenses
    Unemployment
    Business Rent
    Misc Supplies.
     
  5. battags

    battags LawnSite Senior Member
    Posts: 607

    tiedeman, you forgot to add a healthy supply of asprin! :D Maybe that falls under health insurance......

    B
     
  6. Lawnalternatives

    Lawnalternatives LawnSite Member
    Posts: 117

    Start as a one man show until you decide that this is for sure what you want to do. This stuff is hard work! Everyone and their brother thinks, "I will buy a mower and make $1000 a week mowing, no problem." Well it doesn't work that way. You need to let the customers come to you instead of pushing sales so hard that you get accounts you don't want and can't make money on. $1000 is probably 50 plus accounts. It takes a lot of time to gather 50 people that not only feel good about you, but that will pay you $25-$30 a pop to cut there grass every week. Having insurance and a business licsence is a must, but employees and such needs to wait a while.
    Sorry to be such a downer, but this is the reality of it.
     
  7. MacLawnCo

    MacLawnCo LawnSite Bronze Member
    Posts: 1,847

    BS. $1000/ wk is 40 accts at min price. I could do $1000/wk off just 29 of my accounts
     
  8. JimLewis

    JimLewis LawnSite Fanatic
    Posts: 6,842

    TimberlandGrounds,

    Looking at my totals for my 2002 receipts (which is all organized in a MS Excel File), I count 42 distinct categories for expenses that we had. The easiest way for me to get these to you is to send you the MS Excel file. Do you have Excel? If so, email me.
     
  9. Team Gopher

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

  10. Lawnalternatives

    Lawnalternatives LawnSite Member
    Posts: 117

    50 accounts may be pushing it but he understands the concept. When I first started mowing, my first 29 accounts didn't add up to $1000. Mainly because I didn't know how to estimate yet. Once you get the right customers the sky is the limit.
     

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