I am the owner of a Lawn Care company in Alabama. I have been in the industry nearly one year now. I have done all the work in the afternoons and weekends until now. I have got a contract with a company to cut all of their yards (residentials only) every 10 days. This has added about 50 jobs every 10 days to my workload. I make very good money as a purchasing manager so I do not want to quit until next spring. I family friend has been working for someone else in the business for 5 years. He has made an offer to use my equipment and he will cut all the yards for me for a percentage of the gross. Now for my question, What is an acceptable percentage that I should pay him? The total revenue should be approximately $6000 a month for all of the properties. Thank you in advance for your help.
why not pay him by the hour? foreman/drivers around here get $12-15/hr. if you give him a % you won't make any money.
I would do the routing, scheduling, and managing. Pay for all fuel, oils, grease and repairs/maintenance to equipment for no less than 50% of gross money. He must..Do quality work, be on time each service, keep equipment greased, keep you informed of operation on a daily basis, and not lay in bed all day for 50% of gross money. If he should need to hire help, it comes out of his cut. If you get complaints on quality...a monetary penalty should be in place. ( $20.00 a complaint) If he does a great job for you then you should have a monetary bonus in place. ($200.00 a month for each month with no complaints)
How big are these places? I would break them up into 10 days if I was you. Forget about paying somebody a percentage. Find someone who wants to make a couple bucks for a few hours of work in the afternoon and the two of you bang out like 10 a day after work.
