Giving up my corp. job to start LCO?

Discussion in 'Lawn Mowing' started by BAMARED, Feb 18, 2004.


    BAMARED LawnSite Member
    Messages: 206

    Good morning guys & gals,

    I know that this subject has been brought up in the past and I've read most of these posts - but I need to tell you guys something so that I can get ya'lls opinion on the matter.

    I've been doing this LCO gig for 5 years now on a part time basis. I love it and do not mind the hard work one bit. I would love to do this for a living, but I'm afraid of (2) things. If anyone has any tips/advice/etc., please let me know.

    1. If I did leave my corp. job, what would I do for a company matched 401K account?

    2. What would I do about affordable/quality health insurance?

    Are there anymore issues that I should be aware of by going from a corp. job to owning my own LCO?


  2. TreffertLawnWrx

    TreffertLawnWrx LawnSite Senior Member
    Messages: 277

    I'm not one for giving advice on personal decisions. I think everything happens for a reason. If you really want to do it, go for it! Others are going to say no its not worth it, or give you a bunch of negatives to think about. They may have valid points but do what feels right for you, not what others have lacked or failed at! Find a good finacial advisor and go over retirement plans with them. Call around for a good health coverage for you and your family. Most of all I'd say go to a good business planning firm. They will be able to help you in every aspect of going full time. Good Luck! Scott
  3. coonman

    coonman LawnSite Senior Member
    Messages: 686

    Lots of options. 401k just roll it to an IRA (Roth or traditional), make sure to weigh the options of both. You can also start a SEP. There are many investments you can do on your own for your retirement. You will probably want to purchase a life policy on yourself if you have a family. Healthcare you will buy on your own, lots of options. Anymore most companies have their employees pay most healthcare costs out of their checks anyway.

    good luck
  4. dkeisala

    dkeisala LawnSite Senior Member
    Messages: 911

    I agree - my mom is a finanancial advisor and think that would be an excellent place to start. She gets a lot of questions like yours. Like many professions, financial advisor run the gammut so make sure you get an experienced one familar with situation.

    Your 401(k) can be rolled over into an IRA of your choice, retaining your tax deffered status and giving you control of how and where it is invested. A financial advisor can handle this for you.

    Health care is another story. As I'm sure you are aware, this insurance is very expensive to carry on your own. I'm fortunate to be an our state plan and my premium is based on income but I'm single so it makes it easier. You might want to check out some green industry associations in your state/area. I belong to the Washington Association of Landscape Professionals. As a member of an association or professional group, you may have access to more affordable group coverage, similar to what an employer might offer however you would be paying the full premium. You might also want to check into your local Farm Bureau.

    As for other issues, there are many to consider. Start-up costs, cash reserves to see you through the tough times, operating costs, cash flow, etc. etc. etc. Like treffertlawnwrx said, someone with business planning experience could help with this if you feel you need assistance in drawing up your road map to success!

    There is also a wealth of information within these posts on Sift through the information as a lot of this stuff is only opinion and everyone's situation is different. Don't let negative information discourage you, just note it as a potential pitfall or discard it all together. I've always said, "I don't need people telling me why I can't do something, I need people telling me why I can do something"!

    Good luck!
  5. Turf Medic

    Turf Medic LawnSite Bronze Member
    Messages: 1,073

    When looking for health insurance you might want to check with some of the local banks. Our bank has a group plan that you can get in on, decent insurance at about 70% of the cost of going to an insuance agent on your own.
  6. rodfather

    rodfather LawnSite Fanatic
    Messages: 9,501

    I did exactly what you are talking about. I was the Director of Training for Hertz back in the mid 80's and early 90's. I left for medical reasons in 1994. I started my company later that year and have been full time ever since...and I never looked back either btw.

    You can email me or send a pm if you want to talk more. Good Luck!
  7. aries

    aries LawnSite Senior Member
    from nj
    Messages: 334

    Go for it
    you have to love what you are doing and their nothing like being your own boss if you ready for the up's and down's it's tuff but so is working for someone else. If you have any second thoughts stay with what u do u have to be ready for the challenge.



    BAMARED LawnSite Member
    Messages: 206


    Thanks so much for your offer. I just email you.



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