Thank you Kelly for working with us all!
Revenue per job: ranges from $50 (mowing visit) to $20k (landscape install or lawn renovation)
Net profit margin: 27% (not including owner's salaries)
Gross profit margin: 53% (not including owner's salaries)
Labor % of revenue: 23% (not including owner's salaries)
Close rate: ~60%, we were close to 100% over the last few years, however we increased our rates this year and are seeing a lower close rate now. We are fully booked though, so I'm not worried about the decrease in close rate.
Thanks for sharing these numbers — you're clearly running a sharp, intentional operation. That 27% net profit and 23% labor ratio (excluding owner salaries) is impressive, especially as you're scaling prices. Love seeing that you’re still fully booked even with a lower close rate — that’s exactly how healthy pricing power should work.
Quick question: do you track gross profit by service type? I find that’s often where the real “aha” moments come from — especially when deciding which services to double down on or drop.
Hi Kelly,
That is soooo good to hear, thank you. We are still in a pace where we have a lot of loans to pay down (which I guess aren't represented in those numbers), so sometimes it feels like we just work to pay the bills.
Yes, I am a former engineer so am very much into numbers. I track profit rates by job type. Mowing, not surprisingly is low on the list, but it secures a lot of other bigger jobs from those customers and leads to referrals. We haven't had to go looking for any work this year, it has all been referral based. Also my husband (who own's the company with me) works another full time job, so mowing keeps the crew busy on the days he has to work his other job.
| Job Type | Gross Profit Margin | Note |
| Brush removal | 95% | |
| Plowing | 81% | |
| Overseeding | 74% | only did 1 this year so far (this is more of a fall job, so we expect more then) |
| Lawn install | 71% | |
| Skid Steer work | 70% | |
| Pruning & Landscaping | 61% | |
| Landscaping | 60% | small plantings, etc. |
| Spring clean-ups | 58% | |
| Mulch installation | 55% | |
| Lawn repair | 55% | |
| Mini excavator | 50% | |
| Stump clean-ups | 48% | |
| Mowing | 47% | |
| Landscape design & install | 45% | Usually higher, we have only done one so far and have 4 more to do |
| Tree work | 31% | Low profit margin, but generally high profit $ compared to other work. Profit margin low because we sub out tree lift & operator |
LOVE LOVE LOVE THIS.
I know exactly what it’s like to be buried in debt while trying to keep the business running. We went through the same thing when we had our big loss and took on debt to stay afloat.
Here’s what I’d do:
1. Calculate your debt load. Figure out what percentage of your monthly revenue is going to debt payments. That’s your baseline reality.
2. Cut deeper if you can. I’m going to challenge you: tighten the belt even further. Live scrappy in your personal life so you can free up cash to get ahead of your debts.
3. Treat debt like a cost of doing business. Think of your debt payments as part of your cost of goods sold when you look at your gross profit. That money’s gone before you ever really “have” it.
4. Know what kind of debt you’re dealing with.
5. Prioritize your freedom. If your goal is to get out of debt and avoid new loans, buckle down this season and maybe next. Make extra payments where you can. We had a freedom date on the calendar when our loan would be paid.
A good rule of thumb: split any extra cash 50/50—half toward debt, half into savings. That way, your next equipment purchase doesn’t have to go on credit.
That’s how you shift from working just to pay bills, to actually keeping more of what you earn.
You’re not alone in this. Let’s get you moving forward. I'm here to help any way I can!
