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how much is this worth

Discussion in 'Lawn Mowing' started by bcmower, Jul 7, 2006.

  1. bcmower

    bcmower LawnSite Member
    Messages: 12

    im in the process of buying out my boss for the maintence side of the business. This year we will do $149,000 in grass cutting. We use 5 guys to get everthing done all working around 50 hours a week. i will also be buying the mowers and the trucks.
    we have a : 2000 F-350
    2001 F-250
    2006 scag wild cat with bagger
    2002 exmark turf tracer
    2005 scag w/b
    3 lawn boys
    3 still trimmers
    1 back pack blower
     
  2. Fvstringpicker

    Fvstringpicker LawnSite Fanatic
    Messages: 7,643

    Here's a good place to start. You've got 5 guys working 50 hours per week or 250 man-hours per week. If your average wage is $10/hour that's $2,500 per week not including payroll taxes, workers comp, etc. You better take a sharp pencil to this one.
     
  3. PLM-1

    PLM-1 LawnSite Bronze Member
    Messages: 1,640

    I was thinking the same thing. I do that SOLO!
     
  4. o-so-n-so

    o-so-n-so LawnSite Bronze Member
    from Alabama
    Messages: 1,218

    I would say your making almost as much as your boss is right now without all the headaches.
     
  5. bcmower

    bcmower LawnSite Member
    Messages: 12

    yeah i figured that all out my boss makes $7,000 a month profit that he puts in his pocket after taxs, gas, and workers comp and if you think you can cut what i do by your self please come show me what your secret is. I am not some fly by night company i have been doing this for 11 years started with 8 yards and now have 103 and growing every week
     
  6. Tight Angles

    Tight Angles LawnSite Senior Member
    Messages: 297

    It takes 5 guys to do 103 accounts a week? Is each account a few acres or are you doing apt. complex's or something?
     
  7. rodfather

    rodfather LawnSite Fanatic
    Messages: 9,501

    Either your pricing is low or the employees don't move very fast for $149,000 annual revenue.
     
  8. Mowerboy88

    Mowerboy88 LawnSite Member
    Messages: 4

    just a sugesstion....... i have a crew of 16 guys for every 25 accounts i add a new guy this works out to be good. one day I went out by my self and did 25 in one day with a 32" lesco to see what one man could do. You have to sit down and think to your self if i make X amount can i still be making X? when you start to get big it really is a 3's game but hey, 5 guys will do and best of luck to you buying your company.
     
  9. GrassBustersLawn

    GrassBustersLawn LawnSite Senior Member
    Messages: 981

    Did boss SHOW YOU A "P & L" for this year to date & last year...proving the $7k in his pocket a month?????? If not, GET ONE! It will tell you what his EXPENSES are and if he is SKIPPING any...like TAXES, insurance, etc.


    On info YOU PROVIDED:

    $149,000 GROSS
    30 week season (est.)
    = $5,000 Gross per week.

    5 employees working 50 hrs/wk (assume $10 per hour)

    $10 x 40 = 400 x 5 = 2000
    $15 x 10 = 150 x 5 = 750
    TOTAL PAYROLL per week = $2750

    Payroll taxes = $275 / wk

    GASOLINE? = $300 / wk

    INSURANCE ?
    Warehouse rent?
    REpairs
    vehicle maintenance

    $5000 - 2750 - 275 - 300 = 1675 - OTHER EXPENSES???

    $1675 x 4 = 6700 / month without NUMEROUS OTHER LEGITIMATE BUSINESS EXPENSES.

    GET P & L and find out what he is REALLY MAKING (for this year & last year). If he doesn't have a P&L to give you (quickbooks can do it in 5 seconds) then RUN AWAY!!!

    Mike
     
  10. dKoester

    dKoester LawnSite Gold Member
    Messages: 3,290

    :) Fly by night
     

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