Route density and market saturation.

Hayduke

LawnSite Bronze Member
Location
Oregon
Plus, on the subject of taxes...lets assume everyone pays their fair share ;), a larger company can purchase equipment much cheaper. The tax deduction for an $10,000 mower is much greater for a company bringing $200,000 in versus a company bringing $50,000 in...
That being said, going solo is the preferable route to go for many an LCO
 
OP
N

NEFlyer

LawnSite Member
Location
New England
Anyone running a Toro Timecutter 5060? I have a lead on a used one locally. I don't want to rush into buying a mower, but it seems like a good deal..
 

njmowerman

LawnSite Member
Location
nj
Some examples of cost savings I was referring to:
  • Solo operator uses his daily driven pickup. Company pays for trucks.
  • Solo operator parks said pickup next to his wife's Nissan. Company pays for a lot.
  • Solo operator uses his own cell phone for free. Company pays for various phone lines.
  • Solo operator needs a tool and grabs it from his dad's house. Company crew picks one up on company credit card at local store.
  • Solo operator uses his kitchen table as his office. Company rents office space.
  • Solo operator uses his own laptop and internet in said kitchen. Company pays for computer and internet.
  • Solo operator uses his wife's health insurance. Company pays for benefits.
  • Solo operator does his own bookkeeping and taxes. Company hires accountant.
  • Solo operator learns on the job. Company pays prevailing rate each year to train employees.
 
We travel 45 miles away to start mowing on one day but gross 2050 that day. The key is to build routes. Got 5 yards going east, got 30 going south then look for more work east not south.

Always thought market saturation was a stupid idea concerning mowing companies. In that it doesn't apply. There are yards to mow every where and if you do good work then it's the guy who doesn't do good work that has a saturation problem, not you right?
 

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