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Starting A sealcoating Compay..HELP

Discussion in 'Seal Coating Forum' started by phil12984, Nov 17, 2011.

  1. phil12984

    phil12984 LawnSite Member
    Posts: 26

    ill basically lay down the 45,000....basically we were getting 2 trucks a flat bed and estimating truck. 10,000 down on the flat bed and financing the other 5 and then getting a estimating /marketing vehicle putting like 3500 down on that and financing the rest. for all the equipment new its about 15,000 but we will look for some used stuff. 4-6k will be to support my pay if no money is coming in. about 6-8 for all marketing costs like signs business cards door hangers lettering the truck and then like 1500 to 2000 to buy some material to get things going.

    i understand your saying 45,000 sounds like alot but at the same time i dont have to pay that back hes not taking all the profit or anything like that to make his money back this is his investment so the way i look at it is if he wants to pay all that then why not spend it? unless im wrong.
     
  2. phil12984

    phil12984 LawnSite Member
    Posts: 26

    basically what is in our agreement is...im doing the work plus a helper if need be, i collect a set salary every week for 52 weeks. whatever is left in net income we split 50/50 and each year my weekly salary also goes up.
     
  3. Patriot Services

    Patriot Services LawnSite Fanatic
    Posts: 12,441

    That makes it sound like you are an employee with a bonus option.
    Posted via Mobile Device
     
  4. sealcutter

    sealcutter LawnSite Senior Member
    from PA.
    Posts: 256

    Make sure you do ALL your home work... To be honest with you I know I didn't spend that much when I started out,(about $5000) that is huge for something your are just trying out. Are you spraying or hand application? I am sure you talked with your insurance co. and that makes a different to the underwriter of the policy.

    My advice is to start small and work your self up. Why a flat bed truck? Unless its a F700 I wouldn't do it, the best you can do is about 300 gallon on a smaller flat bed truck and when loaded you are pushing it's limit. Trailers work great most of the time and if you have truck problems you can swap.

    You better hit it hard too,I have about 20 residentials to start with, I am still getting calls for commercial work for next year, and was out bidding a few day's this week just for seal coating and hot crack fill and repair. Just a note, we made more this year in hot crack application alone than we did in weekly residential cutting. I still have about 2000' left for this weekend on commercial lots.

    Are you a LLC and are you listed as one of the officers?
    I just sold a decent rig about a month ago, the used stuff is out there you just need to find it. I am building a spray truck(spray bar) but that is for commercial work only and with a 700 gallon tank. I think I found a truck for this set up and trying to settle on a price. For right now I am keeping all of my equipment and see how things play out next year.

    I'm not sure about you area but around here you can get .12-.19 cents SF.residential and .10-.15cent commercial for sealcoating.
    Hot and cold crack fill i charge .90 a foot.
    If you worked for another co. you should know how much prep work goes into each job. One of the hardest things I have come across in this line of work is a good helper. This business hard and the only way to make good money is in Quality with Volume. I plan on so many sqf. a day plus a add on if they ask. My oldest son is going to start next year running the residential drives and take some of the load off of me. He was running a cutting crew for the last 3 years and switched with another employed this year do to health reasons. With out my help I couldn't do it.
     
  5. salopez

    salopez LawnSite Senior Member
    Posts: 267

    figure out your costs.
    figure how long you want it to take to pay back plus your labor.
    figure how many sq.ft you can seal a day.
    divide

    there is your price per sq. ft.
     
  6. phil12984

    phil12984 LawnSite Member
    Posts: 26

    im not saying its the best idea, but basically its all i have and my goal is to buy him out in 3 years. but as of now...i dont pay any of that money back..i get a weekly salary for 52 weeks and at the end of the year whatever is left (if theres some left) we split 50/50...
     
  7. phil12984

    phil12984 LawnSite Member
    Posts: 26

    Thanks guys for the advice i appriciate it!
     
  8. phil12984

    phil12984 LawnSite Member
    Posts: 26

    hey guys. equipment wise what would you say i need?

    i have seal-rite telling me a 550 gal tank, squeegees, brushes, blower, weed wacker, crack melter, water tank, brush box, pour pot, V squeeggee. when i add all that up its about $15,000 plus still need marketing costs like cards, door hangers, flyers, lettering the truck.

    just trying to take your advice and lower my start up but i cant find any used equipment.
     
  9. salopez

    salopez LawnSite Senior Member
    Posts: 267

    check ebay and craigs list for equipment. you dont need brand new. however getting into sealing to make money is pretty pricey if you buy the good stuff...
     
  10. PROCUT1

    PROCUT1 LawnSite Platinum Member
    from TN
    Posts: 4,909

    Stick the 45k in the bank. Keep track of used available equipment in the area.

    GET THE WORK FIRST.

    The work will dictate what you will need to buy.
     

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