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Ok the time has come for me to cross the line.
I already have enough that I have to have a helper, but the apartments that I do want me to do 14 more complexes. This will mean full time employes and a full crew.
Some of you bigger LCO's what do you recommend?
Stay small or go for it all?
 

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Two things to think about.
First, you don't want to be doing the work yourself forever. So the size of your business must be able to give you a decent salary without you working much.

Second, The bigger the company the lower % of profit you will make. So now you have all the headaches and pressure and could be making less money. In my position I get to talk to thousands of companies and get to see what works the best.

I know two companies in particular.
One does 4 million and made a 4% profit=160,000- not bad
The second does 650,000 and makes 38% net profit(after paying himself a good salary)=$247,000. WOW
These are real companies. I know of many other companies that have results like this.
 

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GlennZ: And what just is your "position" that you can justify these statements? No information in your profile, thus my reason for asking. Also, I've heard this to be true...your equations...

[Edited by Scraper on 09-21-2000 at 12:41 PM]
 

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I say go For the gold. u dont want to be the little guy forever if u are planing on making a career out of your business.
 

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I work for a unamed software company (I am not allowed to say on the forum). I get to talk to thousands of companies and we teach business to our clients. Many of our customers get this kind of result. If you would like any other info you can contact me at my personal email at [email protected]
 

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Natural,

I say go for it. If you're doing enough quality work to warrant an upgrade, you should definitely take advantage of the opportunity. Just be sure you understand fully the *business* side of the industry so you don't end up paying out more in equipment and labor than you're bringing in...

-TGC
 

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I too think it sounds like a great opportunity. Just make absolutely sure that your business management side can handle it. If you haven't already, I would recommend you go to your local JC and take some business accounting classes. I took the basic accounting course a couple of years ago, and it has helped me immensly to understand this aspect of the business. In my personal experience the operators that spent alot of time managing their books and company were much more successfull and profitable than those who viewed it as a headache and didn't give it the time it needed. Good Luck!!
 

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Don't do them without fertilizing, bark, pruning, perhaps irrigation work.

The guy that net $247,000 AFTER paying himself a good salary didn't do it by mowing only.
 

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That's definately a must to have a multi yera contract, with no provision for cancellation. Also how do they pay? Be ready for some serious bills,salaries,taxes, not to mention everything else like equipment/maintenance. Hope you have a nest egg to draw on. Go for it though!
 

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I went from 68 to 133 accts this year and increased my sales by 130%. Heed the words of firebrand if you do take the plunge! I wish i had more buisness and accounting education as those are the things i've struggled through.
On the other hand, i spend one day a week actually out in the field working and will have all the new equipment paid for shortly. Thats when i can finally pay myself.
Be certain you want to become a sales/accountant/babysitter/fire putter outer/etc.before you take the plunge. GOOD LUCK!
 

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how much time do you have ?if your wanting to expand , i think from now till the date you start this new bid"provided it's in hand" and get you a part timer with the intension of full time. provided..get your paper work in line work him about 20hrs a week...season getting slow you'll probally find a lot of choices for hands.I have never had seen the first person anyone has hired"there are exceptions"that done like you except them to.before you hire someone have a short handbook to hand whomever and get sign that they received one,things that have come up in this forum about having employees should be first:contact with customer were their questions or needs sould been directed to at least until their with you for about a year,stuff like that.as things arise add it to the book. the next employee will just get a longer one. when you add employes you get a whole new set a problems,also what takes you 5 days to do should now take almost1/2 THE TIME .you may only have to add one or most to to cover until you gain a little more.Sorry so long but i like everone else allways have more to say
 
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