Operating Costs - is there a way to estimate?

Discussion in 'Starting a Lawn Care Business' started by BoHog1634, Apr 29, 2004.

  1. BoHog1634

    BoHog1634 LawnSite Member
    from Ohio
    Posts: 33

    I am curious if there is a way to estimate operating costs for a lawn care company. For example, if you have 50 accounts that you mow, trim, and blow, is there a way to estimate the total operating costs for a season? Is there a formula out there that says for every 10 average lawns you service, your operating costs will be "_______".

    Also, are there any estimating formulas for any other aspects of landscaping?

    Any information is greatly appreciated!!

    Thanks,
    BoHog
     
  2. twins_lawn_care

    twins_lawn_care LawnSite Senior Member
    Posts: 932

    This question really depends on YOUR setup for many reasons.
    Say you are doing 50 accounts.
    Scenario #1
    Using 21" push mower
    Equipment costs may be $1500 for the year,
    but you're working 40 hours per week
    and working from the home
    Scenario #2
    using 36" mower
    Equipment costs may be $2500 for the year
    but you're only working 30 hours per week now
    but have an office to pay for which you're renting....
    and on and on...

    Everyone's situation is different, and so it is hard to estimate what YOUR cost to operate will be.

    Things such as licenses, insurance, advertising, vehicle repairs/payments, paying workers, etc. all vary for every company.

    I think a good place to start would be to list everything you have to pay for out, and then estimate the total cost. Then estimate the total time you will be mowing for the year, and divide it out.

    Hope this helps
     

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