ForumsStarting a Business

Id like to start a landscaping business, Welcome

To point you in the right direction I would need more info.

Why a landscaping business?? What is your background?? Are you working NOW??
Do you have the Funds?? Have you developed a Business and marketing Plan??

Do you know about SCORE?? and MORE

Talk to me, Good luck, LUCKIEST

I have been doing landscaping since i was 13 years old. i have been working with different landscapers over the years now, the most recent was with a friend of mine who bought an established landscaping business from and older man. For years i have wanted my own business and i feel with my knowledge starting a landscaping business would be the best bet for me. My dad wants to retire from his current job and help me out. I am looking to spend no more then 50 thousand, but if its a better deal then maybe willing to spend a little more. I would like to offer all aspects to my customers, anyone can just cut grass. The more i offer the more potential money there is to be mad and the more my name and business can grow. Services would be, weekly cuttings,spring/fall/storm cleanups,mulching,aerating and seeding, detaching,planting of annual flowers,fertilizing,snow removal,hedge and bush trimming, light tree trimming to start, power washing, driveway seal coating. Eventually id like to get into hardscaping as well. I know there are things i have left out but thats a general idea. I'm not expecting to make big money my first few years. My goal is to just get my name out there do quality work and grow. Please if anyone has any other info for me please feel free to write me.

Matt,

Sounds like you have a good background in the business.

Yes, "anyone can cut grass" but, it is your bread-and-butter money for residential; it generates your primary recurring revenue stream and then you "upsell" these customers for your other servives on an as-needed basis.

Typically, you can by a business with a 20% down payment and SBA backed financing. That means with $50 down you could purchase a business with a price up to $250. For lanscaping, that might buy you a business doing $500 K a year or more in revenues. After payng for financing costs, you would probably be genertaing a nice income while being able to put some aside to reinvest and grow you business.

Best of luck,
Greg

Matt,
When you buy a business, make sure to due your due diligence before making a purchase. You will most likely by making an asset purchase as opposed to a stock purchase. I would look into setting up an LLC. This would be especially good if you dad was putting inthe investment and you were working. It would allow your dad to receive a return on his investment without having possible self employment taxes.

Also keep in mind issues of sales tax on landscaping and know the rules in your state.

I little planning know really could pay dividends later.

Much luck!

What are the benefits of an LLC?

The benefits of an LLC is that it has limited liability so your personal assets are not at risk for business activities. It works well with investors ( dad) because it allows them to have a return on investment.

Keep in mind that sales tax and payroll taxes can still attach to your personal assets even though you have limited liability so make sure to keep up with that aspect of the taxes. But this is a fact for all limited liability entities.

One of the advantages of an LLC over a S-corp is that you and your dad could take different distributions of cash and it would not cause a problem.

Let me know if you have anu other questions.

Thanks!