When small companies become big companies, the growth process forces them to start recognizing their true costs and expenses. For example: Both small and large companies have facilities expenses, it's just that the small company may be able to "hide" that expense by running out of his garage. There is an expense in doing so, but because it is not out of pocket then the small operator is misguided into thinking his profit margin is higher. As the small operator grows and needs to move into a larger facility, he suddenly is aware of that expense. It was there all along, he is just now beginning to recognize it. Bot small and large companies have management expenses too. When a small operator grows and begins to higher management staff, suddenly he has to "recognize" those costs. Again, those costs were there all along, but growth has forced him to recognize them. This same thing happens for many types of expenses...insurance, secretarial, equipment usage, repairs and maintenance, etc. Is it any wonder that small companies so often have a fear of growth? You hear it on Lawnsite all the time: "I'm going to stay small so I can stay profitable"... The key for small businesses is to learn to recognize those costs even before the growth happens. Build it into the cost and pricing model early on so that when the growth occurs they are not "shocked" by all the additional expenses they are suddenly incurring. That way, growth is a positive experience and something to be sought...not avoided. And for goodness sake, take an accounting class everyone. Spend the off season learning some basic financial skills...it will be the best investment you can do. By the way, purchasing equipment does not effect your bottom line...except for the associated depreciation expense and interest expense. Equipment is an asset, not an expense. sorry for the long post.