bussiness loan

Discussion in 'Starting a Lawn Care Business' started by Rob.C, May 22, 2007.

  1. Rob.C

    Rob.C LawnSite Member
    Messages: 157

    I have been in the industry for about (9) years, mostly fertilizing, aeration, tree-shrub, not cutting so much, but I am going to start my own co. of all of the above, I have 250+ accounts I can have from my old job, basicaly old custumers from my former employer, (they contacted me I did not contact them. My main question is , can u guys give me some pointers on how to get a bussiness loan, I know the basics< I just want to be totaly prepared. thank-you!!!:)
  2. OMG

    OMG LawnSite Senior Member
    Messages: 275

    I would start by getting a letter of intent signed by the 250+ customers.

    Then present it to your lender, along with all the other necessary documents.
  3. bohiaa

    bohiaa LawnSite Fanatic
    Messages: 5,220

    depending on how much money you want, you may " WILL " need a business plan....I'm sure at this point you have a DBA, and insurance.
    banks wont make small loans. they have to make money too.
    if it's like 10,000 you may be better off going to family and friends.
  4. Rob.C

    Rob.C LawnSite Member
    Messages: 157

    thank-you for the posts, The loan would be in the ball park of 85,000, 115,000, I also would like to have your suggestions on the brand of mowers to purchase, I was thinking about getting a dixie chopper, or a john deer, what are u thoughts.:)
  5. bohiaa

    bohiaa LawnSite Fanatic
    Messages: 5,220

    WOW... are you sure about this.... I mean you may have to put up your house. If you have this many customers I dont see why you cant get equiptment little by little " Like most of us did "

    so for mowers. when it comes to top of the line. it's the ole Ford Chevy thing.
    this one works VERY WELL for me. but you may not like it. there are pro's and cons on every top end mower out there listed here in this sight. there's no point in starting a new thread on the issue. just do a search... Locate a dealer. test drive a few and make your decission.

    there are several hunderd post about the engines offered on these mowers too.... to be honest the issue has been beaten to death....

    I would not refer to dixie chopper as a high end mower
  6. OMG

    OMG LawnSite Senior Member
    Messages: 275

    I echo what Bohiaa says. You'll never get a clear answer on what mowers are the best. Everyone has different needs and opinions. My advice, locate the nearest and best -full service- dealer that will satisfy your needs. Then select a unit that this dealer sells.
  7. Rob.C

    Rob.C LawnSite Member
    Messages: 157

    thank-you guys, I have decided to get a new super z xr-7 60 inch ,ferris 48 inch, and a 36 inch walk behind ferris, the dealer is only 3 miles from house.

    MOWEMJEFF LawnSite Senior Member
    Messages: 278

    Ex-Mark, Toro, Walker and many others have very good financing so you could finance all of those without even needing to talk to a bank. Assuming you have a truck a trailer can also be financed. And you don't have to get a huge loan from a bank to start a business, I've been going to my bank since I was 8 and they'll give me a loan for a $1,000 if thats all I need. You could probably just max out credit cards after you get mowers if acquiring a bank loan proves difficult, that's what most small business owners end up doing.
  9. racer56

    racer56 LawnSite Senior Member
    from Kansas
    Messages: 285

    Be ready for the customers to leave you as well. If they would leave the other guy they will leave you as well. Hope you didn't sign a non-complete. How did the customers know to call you about doing lawncare for them? Did they just guess?
  10. Military Lawns

    Military Lawns LawnSite Senior Member
    from Florida
    Messages: 323

    250 customers, depending on what you charge you will not need a SBA Loan. Good management skills, friends and family should suffice. This is taking into consideration that some customers make leave you, but with that many say 10% to 20% and you are still good.

    I run all Toro's because they have treated me well and I have a working relationship with my dealer. That latter is very important because as someone else said, you will not get a straight answer because LCO's have a wide preference range.


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