The ECONOMY - How is it affecting you??

Discussion in 'Lawn Mowing' started by 1cooltreeguy, Jan 6, 2008.

  1. 1cooltreeguy

    1cooltreeguy LawnSite Senior Member
    Messages: 630

    OK - so here we are...Tell all the raw affects and effects of the economy grinding to a slow death is affecting you and how you operate? Or are you considering STOPPING - Operating that is? Thanks, E :usflag::usflag::usflag::hammerhead::hammerhead::cry::cry:
  2. lawnprosteveo

    lawnprosteveo LawnSite Bronze Member
    from Tulsa
    Messages: 1,930

    My biz is 100% little old lady customers and professionals who dont want to or cant mow (cuz of the heat) will keep paying me.

    I stay lean and payments, keep my old stuff up and running, no costly employees (thatll get a response!) Run tight routes.

    Only more and more baby boomers getting too old to mow so I should do OK.:usflag:
  3. 1cooltreeguy

    1cooltreeguy LawnSite Senior Member
    Messages: 630

    Beginning to think - expensive employees comment is correct. Maybe I can downsize - keep the sweet accounts and do the work myself.....??????????????
  4. Albery's Lawn & Tractor

    Albery's Lawn & Tractor LawnSite Bronze Member
    Messages: 1,674

    I thought you were doing really well on the Banks, work slowing down?
  5. LawnTamer

    LawnTamer LawnSite Gold Member
    Messages: 3,986

    The weakening dollar and skyrocketing oil/energy prices have really effected fertilizer prices. What used to be the gravy part of my business is becoming the tough gristle. A bag of fert that would have set me back $6 5 yrs ago is edging near $20.
    Ride it out, hope for improvement and find other niche services that will bring in higher profits.
  6. 1cooltreeguy

    1cooltreeguy LawnSite Senior Member
    Messages: 630

    Yes indeed. This is the first out of the last 8 years that work fell off of a cliff the 2nd week of NOV. We have many year round contract - thank God- or we would be in trouble... can't wait for march. Still negotiating with that HOA - but my thoughts are that they know that there are alot of starving lco's out there and are gonna try a lowballer - Just my instincts reading the situation..from their questions.... -- oh yeah - we were doing a job for the state - DOT - and two other companies (from more thatn 100 miles away) stopped by and practically begged the DOT supervisor/inspector for work. The workers were in the trucks ready to work...DOT man said - no work here/..:cry::cry::cry:
  7. Flex-Deck

    Flex-Deck LawnSite Silver Member
    Messages: 2,845

    We are doing better every year. Only use one very part time employee. Wife and I do most of the mowing. Our machines are all diesel, and fuel cost's including the diesel truck that I incure remain at the 5-6% of gross level. I do most of my own maintainance. We are in the enviable position of having landed some nice large contracts over the last 3 years which have allowed me to make a very smooth transition from part time to full time. Last year the overhead was 35%, and in the next two years it should go down to 30% as our gross almost doubles.
  8. coonman

    coonman LawnSite Senior Member
    Messages: 686

    Exactly my situation.
  9. gilatplc

    gilatplc LawnSite Senior Member
    from FL
    Messages: 330

    Well, between the drought, oil prices and the economy, And now my county that I work in has completely messed up their fertilization laws and made it harder for us to make customers happy! I for see a GREAT year. Sarasota has implemented a restricted season where we can not app between June1-til Sept.30. So the out come of all this for me is cowboy up and face the music, lower prices where needed, flood the market with marketing and hope are a brighter tomorrow!
  10. 1cooltreeguy

    1cooltreeguy LawnSite Senior Member
    Messages: 630

    Yeah - but has anybody noticed long standing good paying customers tightening their belts. looking for lowballers after you have done a good job for them for several years...????

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