Q: Hi, I wrote earlier requesting finl statments. If you are uncomfortable sending financial statements, I understand. What might your core profit be on just lawns? As a Percent? Im modeling off of 30 accounts and, EBITDA is barely at a profit. Any thoughts?
A: I haven’t currently worked out the “profit” for lawns yet, but I know we did 120k of lawn mowing this year out of about 260k total sales, so a little under 50% of our total work done.
We pay out 40% labor after payroll taxes, and about 10% on gas, and then of course all the overhead. So I would guess our profit in somewhere around 20% on lawn mowing.
If your not making money, make sure your routes are really tight. That is how you make $ mowing lawns, less driving more mowing. You don’t get paid to drive between properties.