Yearly Growth

Discussion in 'Starting a Lawn Care Business' started by American_Lawn, Jan 22, 2008.

  1. American_Lawn

    American_Lawn LawnSite Member
    Posts: 211

    What is a percentage of growth you shoot for in the beginning of the season? Be realistic about this. I know everyone would like 100% growth but come on. 5%, 10%, 15%. What do you guys aim for?
     
  2. stevenf

    stevenf LawnSite Bronze Member
    Posts: 1,612

    I ended with 12 accounts last summer. My goals are 30 with a minimum of 20.
    So In reality, Im shooting for about 150% gain. I think they are more than obtainable. Last year I passed out about 200 flyers for my accounts. this year Im passing out about 2-3k before the season even starts.
     
  3. txgrassguy

    txgrassguy LawnSite Gold Member
    Posts: 3,083

    Accurate growth estimates, known as forecasting, are a direct result of one's capitalization ability.
    From '06 till present I have doubled the size of my company from $238K at the start of '06 till just a tad under $640K at the start of '08.
    Not the norm for most solo operations.
    Just tonight I came from a meeting with a large commercial project management company where my bid was discussed at length. I walked with a signed contract for $172K worth of work.
    Not a bad start to the new year.
     
  4. M&SLawnCare

    M&SLawnCare LawnSite Senior Member
    Posts: 304

    Last years goal was 20-30 weekly accounts which i made. This years goal is 35-40 weekly, more would always be welcome. So my goal is to about double my current size.
     
  5. capnsac

    capnsac LawnSite Senior Member
    Posts: 702

    once you've attained a consistent workload, i.e. you seem to running at maximum workload with the amount of resources you have. If you feel the need to expand even further after this then a 15% increase in net sales is suggested. Many companies go under because they take on to much to fast. Just keep in mind that things don't happen overnight. The work will always be there for you it's the amount of daylight that one has to worry about. Best of luck my friend.
     
  6. machine763

    machine763 LawnSite Member
    Posts: 2

    txgrassguy, HOW MANY subcontractors are you using to attain this 640K! I am a sole-opertator and I am amazed. :weightlifter:
     
  7. DA Quality Lawn & YS

    DA Quality Lawn & YS LawnSite Fanatic
    Posts: 8,919

    I think you have to ask yourself what stage of the business you are in. If you are just starting to build a business, your growth expectations will be much higher (hopefully) than those that are mature. For instance, I could count on one hand the number of accts I had last season, but hoping to triple my sales volume for this season, or 200% gain. I believe this to be very achievable. In summary - target your question to both newcomers and vets.
     
  8. txgrassguy

    txgrassguy LawnSite Gold Member
    Posts: 3,083

    Absolutely none. They are all employees and are identified as such through with holdings and W-2's.
    I have posted before about the need to fully understand your business's market position and the non-negotiable requirement for diversification to address untapped revenue in your market.
    Diversify, Diversify, Diversify is something I have always said, believe in and do.
    That and getting divorced from my ex-wackjobshootinatmesmackingmeintheheadwithbeerbottles ball and chain has certainly helped.
     
  9. Busa_bill

    Busa_bill LawnSite Member
    Posts: 179

    Possibly I am misinterpreting the term "solo" as a single person operation. I envision one guy on the jobsite doing all of the work. If "solo" is meant to mean a sole proprietorship, then what you said above makes better sense to me.
    Please clarify.

    Regardless, your growth in gross revenue dollars is exceptional.
     

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