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Starting Your "Lawn and Gardening Business"

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The green industry is a multi-billion dollar industry of more than $70 billion annual revenue. Of that, the landscaping and lawn services sector alone generates more than $40 million in annual revenue. If you have the passion, and the knack of gardening, this is a massive opportunity for you.

However, the competition is also tight with approximately 15,000 landscape service providers in the US. Therefore, it's important to create your identity and value to attract more customers. If you can maintain credibility, quality, and growth, the opportunity for expansion is limitless and can generate you millions in revenue.

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Want to start your own landscaping business?
Then here are some notable considerations to get you started:

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1. Startup Investment
Provided you already got a proper transportation, you can start the business with as low as $10,000. Most of your expenses will go to equipment such as hedge trimmer, chainsaw, blower, lawnmower, boots, gloves, glasses, etc., and supplies like fertilizer and chemicals. Decide what types of services you will be providing, and adjust your equipment purchase accordingly.

2. Licenses and Permit
Depending on your location, you may need to qualify for permits and licenses before starting the business. Some states in the U.S. will require landscape contractor license. If you plan to sell plants, you might also need special state nursery license. Consult your local authorities to get a clearer picture.

3. Insurance
As you will be dealing with chemicals like fertilizers and pesticide, and will be working on other people's property, getting yourself and your business insured might be a good idea. Make sure you are also protected from claims, as well as protection on yourself and equipment from accidents and damages.

4. Estimating and Pricing
To help with your estimation, you might want to consider some software dedicated for landscapers (LandPro, CLIP, etc.). With experience and knowledge, your art of estimation will hone itself. You can charge your services by the hour, by square feet, or flat race with each service. Make sure you calculate all costs and expenses before setting your price.

It's a good idea to set a revenue goal before setting your prices. For example, if you set a $50,000 annual revenue as a goal, then you will need to make $4,167 a month. Divide that by your intended working hours per month and you can get your hourly rates. For a 40-hour workweek, you'll need to charge $26,04 hourly rate to hit your $50,000 target.

5. Franchising
A lot of established lawn and gardening services are available for franchising. Although it might be costly, it will indeed save time and will help with your initial reputation at the start. If you are considering getting a franchise license, make sure you do enough research about the brand before deciding one.

Earning Potential

The average earning of a small landscaping business is around $30,000 annually in the first year. A good finding we found is that after a few years, the business can grow to an average of $200,000 in annual earning without expansion.

This shows the business has a lot of organic growth potential, and as your reputation and client base increases over the years, you will earn more. Perseverance is key!