For example: Because it's your first year, you wanted to look real bad ***. So you went out and bought everything top of the line. You also think that running all of your equipment with Mega Super Premium gas will make it last 10 years longer. You have your house payments and bills to make, and also your shop bills. You price out your costs and find out how much you have to charge as well as profit margins. You quote $65 on a lawn that your competition is charging for $45. Try convincing the customer why paying $20 extra a week with your service is a better deal. Or on the flip side....your friend is getting out of the business and gives you his equipment. It's not the best, but it gets the job done. You already have a truck to pull the trailer and your wife is still working her 100K a year job and can pay all the bills. You really have no overhead. You quote a customer $45 on a lawn while your competition is charging $65. Your walking away from extra profit every week!!
Know YOUR costs, but also know what they charge.