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From a little company, for little companies

Discussion in 'Lawn Mowing' started by MN Wildwood, Sep 12, 2004.

  1. MN Wildwood

    MN Wildwood LawnSite Member
    Messages: 80

    Over the past couple of years I have always seen posts from other LCO's on here talking about how they have one or two people that make up their workforce, this includes themselves. They mention that their company is grossing over $100,000 in the year just with them alone and working 40 hours/week. I find it hard to compare myself and bus. to these other companies and contemplate what is it that I'm not doing right? I have a great bus. going and am just starting to work as a subcontractor for snow, yet this is the first year I will gross over $100,000 (only about $3000 is from purchasing products and using them in landscapes) I have one full time and one part time employee that work with me. Our weeks are about 45hrs/wk. I just wanted to write this for the smaller company like me, I think that sometimes we may be intimidated to write what our company is like and how it is growing when these other companies write and say that they have all this going on and it is only one person that does the work. I have to go but will finish writing later. MN Wildwood
  2. Expert Lawns

    Expert Lawns LawnSite Silver Member
    Messages: 2,660

    Does this only include lawn maintenance and landscaping? I take it snow plowing is not factored in, sounds like you are starting with that this year. How many weekly mowing accounts do you have? On average, how many landscape jobs or installs do you do per year? Just trying to get a feel for where the bulk of your income is achieved. I am a solo opp who basically does weekly lawn maintenance and an occasional landscape job. Wanted to compare numbers a bit. Thanks
  3. battags

    battags LawnSite Senior Member
    Messages: 607


    I agree with you. Keep in mind that there are most likely quite a few, not all, who post on here that tend to over-embelish their accomplishments.

  4. LwnmwrMan22

    LwnmwrMan22 LawnSite Platinum Member
    Messages: 4,373

    The part about where you will gross over $100,000 with you 2.5 men. That's what others talk about on here, gross.

    I work 60-80 hours / week, and have 2 part-timers that help me on a school district I mow, about 20-25 hours / week total.

    I can gross over $100,000.

    One guy, working 40 hours / week, somewhere between $1,000 and $3,000 / week is about max for mowing.

    If anyone else says different, as far as more, someone's not including ALL the bills.
  5. rodfather

    rodfather LawnSite Fanatic
    Messages: 9,501


    I been at this 10 years full time now and I would like to know how some of these people arrive at their numbers. Sure, I have slowed down some over the years, but I would love to know how they are doing twice or more than what my company can do each day.

    Me thinks the decimal point is in the wrong spot alot too...lol
  6. Mycannon

    Mycannon LawnSite Member
    Messages: 98

    I'm not sure what your wanting but if your working that much maybe you take a step back and look at either your prices are to low for the amount of work or look at the type of equipment you have to help speed your time up. your equipment makes you the money. So, just step back see whats not adding up.
  7. mtdman

    mtdman LawnSite Gold Member
    Messages: 3,143

    Not sure what it is you are asking? And honestly, gross isn't the most important figure to look at. IMO, it's what you are making after expenses, the net. You could gross $1 million a year, but if you're spending $990,000 of that, I wouldn't consider that a healthy company. Grossing $50,000 and netting $45,000 would be more impressive to me.

    If you aren't making enough net, you need to look at your expenses and figure out where you are spending too much. Grossing $100000 is great, but if you are paying out the butt with labor, etc, your net is going to suck.

    If you are just looking to compare to other people, I'd say don't bother. You need to set goals for yourself and your company, independent of what others have. Everyone's situation is different, everyone's focus is different. You need to know where you wanna be, and strive for that. It's good to know where other companies are at, I suppose, but the problem is, how can you ever know if people are telling the truth? Lots of big fish stories around here, I think, and getting all worked up about not matching unbelieveable numbers is a waste of time.

    I'm the only one I'm responsible to in my business, I own 100%. I can decide where my goals are. If I meet those, and I'm happy, I consider myself successful. If I don't meet some other company's numbers, I don't sweat it so much.
  8. Mo Green

    Mo Green LawnSite Bronze Member
    Messages: 1,487

    I would have to agree. It's what you put in your pocket after expenses that counts.
  9. CJ GreenScapes

    CJ GreenScapes LawnSite Member
    from AL
    Messages: 249

    I agree that NET is most important, but GROSS has its place too - like with the banker and potential investors. To get a true feel for your company, you have to watch both numbers. Gross makes you look good and Net makes you feel good.

    Just my .02
  10. MN Wildwood

    MN Wildwood LawnSite Member
    Messages: 80

    There are so many good points that people are bringing up. I came to think of this topic not to discuss the size or good/bad parts of my business. I have talked about all that on other posts. I was meaning to talk more like rodfather that it sometimes seems like the figures people post seem a little out there, not always, but sometimes. For me I aim to bring in $350/day for one person, truck and equipment. Any additional employee needs to bring at least $250, this is because having a second or third person requires no extra vehicle (gas, insurance, maint. etc) Hopefully that gives the info that was wanted by some about my company...needless to say I am very happy with the growth and size of what I have. For new owners and small companies that are out there working hard everyday and not making the financial numbers that some people post their comanies do with just one person working I just wanted to give some words of encoragment that if you are happy with your income and growth then don't beat yourself up too bad if you compare and feel you're doing something wrong.
    Yes both gross and net are important, I don't think there is a company out there that grosses $50K and Nets $45K, in all that I have read over the years lawncare and weekly Maint. should be able to carry a profit margin of 10-15%, so after ALL expenses and payroll I should think a $100,000 gross company should net at years end $10-20K. Let me know what you think.

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