Lawn Care Business Forum Lawn Care Business Book Lawn Care Business Blog Lawn Care Software
Home Forum Contract & Flyer Templates Blog Software Videos Podcast Calculators / Estimators Store Mower Review Design It Yourself Lawn Business School

Go Back   GopherHaul Landscaping & Lawn Care Business Marketing Forum > Just starting your lawn care or landscaping business? > Starting a lawn care business.

Starting a lawn care business. How to start a lawn mowing business, lawn care business, or landscaping business. If you are starting a lawn care business, ask your questions here.

Concern About Profit


Starting a lawn care business.

How to start a lawn mowing business, lawn care business, or landscaping business. If you are starting a lawn care business, ask your questions here.
Reply
 
Thread Tools Search this Thread
  #1  
Old 01-15-2011, 10:46 PM
aduttonater aduttonater is offline
Member
 
Join Date: Apr 2010
Location: Tucson, Arizona
Posts: 92
Rep Power: 6
aduttonater is on a distinguished road
Default Concern About Profit

I am moving forward to becoming more legit with my services. Right now I am currently establishing a company name with the city. I've been reading up on information based on "taxes" that will occur quarterly as I continue working my business.

Now here's the question.

I've been currently earning profit with the business, but after wages and expenses I am pretty much just working as an individual for a company myself. The is no major overhead profit.

Once I become legit and start having to pay these taxes, won't I loose more money?

Will this become a liability for me, in the fact that I will not be making as much money as I am now?
__________________
It takes at least two steps to be 3 steps ahead!
Reply With Quote

Stop guess-timating. Learn how to estimate and make money! $$$
Mow Time Estimator Lawn Care Price Estimator Mulch and Topsoil Calculator Snow Plow Estimate Calculator


  #2  
Old 01-15-2011, 10:59 PM
jymie's Avatar
jymie jymie is offline
Senior Member
 
Join Date: Aug 2008
Location: Hamburg New York
Posts: 912
Rep Power: 8
jymie is on a distinguished road
Default

Lawn care business tipsLawn Care Business Book
When you go to the store, you pay taxes. It is added on after they ring up the purchases. You incorporate the tax into your charge for your services. Paying taxes helps the economy. Always pass the tax cost onto the customer.
Reply With Quote
  #3  
Old 01-16-2011, 03:16 AM
Steve's Avatar
Steve Steve is online now
Administrator
 
Join Date: May 2003
Posts: 37,807
Rep Power: 10
Steve has disabled reputation
Default

Quote:
Now here's the question.

I've been currently earning profit with the business, but after wages and expenses I am pretty much just working as an individual for a company myself. The is no major overhead profit.
What do you mean by overhead profit?

Quote:
Once I become legit and start having to pay these taxes, won't I loose more money?
Well, I would say you will be left with less profit because you would be paying a % of your profits out as taxes.

Quote:
Will this become a liability for me, in the fact that I will not be making as much money as I am now?
If you mean will paying taxes become a liability for you? Sure it will. It will be something that is paid and subtracted from what you are able to take home.

I guess anyone who doesn't pay taxes is making more money, but there is a down side to it. It is illegal. So when you factor in the liability of getting caught not paying taxes, that can REALLY effect your income.

What's your thoughts on all that?
__________________
- Subscribe to my Lawn Care Marketing Blog Feed and get daily tips sent to you. Free!
Download your Free trial of Gopher Lawn Care Software.
Reply With Quote
  #4  
Old 01-16-2011, 07:44 AM
aduttonater aduttonater is offline
Member
 
Join Date: Apr 2010
Location: Tucson, Arizona
Posts: 92
Rep Power: 6
aduttonater is on a distinguished road
Default

I will just charge what I normally charge, then add sales tax either in the bid, or start using different receipts to where I can show how much sales tax they have to pay in addition to the regular cost.

Are there any benefits for paying taxes? I'd like to know if I can get a return for next years filings.
__________________
It takes at least two steps to be 3 steps ahead!
Reply With Quote
  #5  
Old 01-16-2011, 09:06 PM
jasonw's Avatar
jasonw jasonw is offline
Senior Member
 
Join Date: Feb 2009
Posts: 1,010
Rep Power: 8
jasonw is on a distinguished road
Default

The worst part is here in California I have to pay taxes on my business profit then pay income taxes on my personal income from the taxed profit. We get taxed like 38 times on the same money every year.
__________________
White Company
Reply With Quote
  #6  
Old 01-16-2011, 09:08 PM
jymie's Avatar
jymie jymie is offline
Senior Member
 
Join Date: Aug 2008
Location: Hamburg New York
Posts: 912
Rep Power: 8
jymie is on a distinguished road
Default

They tax you when you earn it and they tax you when you spend it.
Reply With Quote
  #7  
Old 01-16-2011, 09:39 PM
jasonw's Avatar
jasonw jasonw is offline
Senior Member
 
Join Date: Feb 2009
Posts: 1,010
Rep Power: 8
jasonw is on a distinguished road
Default

Quote:
Originally Posted by jymie View Post
They tax you when you earn it and they tax you when you spend it.
They tax you three or four times when you think about earning or spending it. Its like the City tells me they charge me to flush the toilet then the water agency charges me to fill the toilet back up. Double taxation blows.
__________________
White Company
Reply With Quote
  #8  
Old 01-17-2011, 03:46 AM
Steve's Avatar
Steve Steve is online now
Administrator
 
Join Date: May 2003
Posts: 37,807
Rep Power: 10
Steve has disabled reputation
Default

Quote:
I will just charge what I normally charge, then add sales tax either in the bid, or start using different receipts to where I can show how much sales tax they have to pay in addition to the regular cost.

Are there any benefits for paying taxes? I'd like to know if I can get a return for next years filings.
Do you have a sales tax certificate? You may need one in your state to be able to collect sales tax.

Also, you need to check if lawn care is a taxable item. It may or may not be.

If you are going to be legit, you need to follow the laws. It's the only way to grow, unless you want to constantly be worried and looking over your shoulder.
__________________
- Subscribe to my Lawn Care Marketing Blog Feed and get daily tips sent to you. Free!
Download your Free trial of Gopher Lawn Care Software.
Reply With Quote
  #9  
Old 01-18-2011, 09:09 AM
aduttonater aduttonater is offline
Member
 
Join Date: Apr 2010
Location: Tucson, Arizona
Posts: 92
Rep Power: 6
aduttonater is on a distinguished road
Default

Quote:
Originally Posted by Steve View Post
Do you have a sales tax certificate? You may need one in your state to be able to collect sales tax.

Also, you need to check if lawn care is a taxable item. It may or may not be.

If you are going to be legit, you need to follow the laws. It's the only way to grow, unless you want to constantly be worried and looking over your shoulder.

I don't have a sales tax certificate, and I'm not sure if Lawn Care is. I am going more of Yard Clean Up Landscaping, but for sure I don't want to be looking behind my back. I'm going to file for $10 downtown either today or tomorrow. Then I have to wait about 2 weeks before I'm officially legally able to work in the city.


Quote:
Originally Posted by jasonw View Post
They tax you three or four times when you think about earning or spending it. Its like the City tells me they charge me to flush the toilet then the water agency charges me to fill the toilet back up. Double taxation blows.
Yeah Tax Blows! But I'm thinking about trying to use this to my advantage. Maybe tell customers that they are supporting the economy and the growth of a new small business in their area. Plus I want to draw up some bid sheets and start charging customers individually for the services that I offer. Then I can bid higher on each shrub we hedge, tree we trim, and area of weeds we remove instead of giving one big price for it all. Plus a hauling charge, and even service charge for showing up to the job site to start the work.
__________________
It takes at least two steps to be 3 steps ahead!
Reply With Quote
  #10  
Old 01-18-2011, 03:41 PM
bruces bruces is offline
new member
 
Join Date: Apr 2010
Posts: 828
Rep Power: 0
bruces is on a distinguished road
Default

where I live,going legit allows you to write off expenses for your business,cell phone,truck,mower,gas,advertising,lunch for clients,parts,and the list goes on and on .I can also pay into and actually collect unemployment insurance as a business owner,we couldnt do that around here very long ago but things have changed a little .Get yourself a good accountant or bookeeper ,and ask questions on what you can deduct and how to work the system to your advantage,huge companies take every advantage they can,so should you ,and it might be possible the government ends up owing you money at the end of the year .
Reply With Quote
Reply

Bookmarks

Thread Tools Search this Thread
Search this Thread:

Advanced Search

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is On
Forum Jump

Similar Threads
Thread Thread Starter Forum Replies Last Post
What is your profit margin? FourSeasons General Talk 32 11-26-2012 12:50 PM
Company Profit adamsmowing88 Starting a lawn care business. 12 03-12-2010 09:47 PM
$150 profit per day for 60 days lawn mowering Community Assistance 9 03-06-2010 01:15 PM
How to turn my low profit business around mowboy General Business Discussions 3 05-10-2009 08:22 PM
Free Promotion vs. Profit tiedeman General Business Discussions 7 06-21-2006 06:32 AM

» Recent Threads
  RatingTitle, Username, & Date Last Post Replies Views
Lawn Care Book Ranked #1
Steve
Today 12:36 AM
Today 12:36 AM
by Steve
0 10
hello all
romanlandscape
01-29-2016 03:46 PM
Today 12:27 AM
by Steve
5 121
back surgery
Bradcook21
01-28-2016 08:51 PM
Today 12:25 AM
by Steve
10 200
Hi
Sellers Lawn Care
02-02-2016 01:48 PM
Yesterday 08:03 AM
by Sellers Lawn Care
4 94
Collecting payments from...
Niagara Mowing
02-03-2016 05:21 PM
Yesterday 08:00 AM
by Niagara Mowing
7 142
SMS assist? The good,...
jcurr33
01-27-2016 10:24 PM
02-04-2016 11:53 PM
by Steve
5 174
I need some help...
Anise
02-04-2016 01:39 PM
02-04-2016 11:51 PM
by Steve
3 70
Customers dodging the...
Rocky
11-06-2015 06:22 AM
02-04-2016 03:41 AM
by C&DPropertyManagement
7 1,425
Offering a "Trial"...
wybut076
02-01-2016 06:27 PM
02-03-2016 08:26 PM
by Just for Cuts
7 171
Iowa Caucus Predictions?
Steve
02-01-2016 06:31 PM
02-03-2016 12:40 AM
by Steve
1 54
Laying White River Rock
DiamondLawnCare
02-01-2016 08:27 PM
02-03-2016 12:17 AM
by Steve
1 65
Networking for a...
jcurr33
01-30-2016 09:26 PM
02-01-2016 06:27 PM
by Steve
4 138
Customer giving a 1099?
apmAkron
01-27-2016 07:22 PM
01-31-2016 08:55 PM
by Chilehead
6 193
happy to be here
redrobin
01-29-2016 10:45 AM
01-31-2016 08:44 PM
by Steve
1 89
Thought's on an "E-Z...
jcurr33
01-27-2016 10:48 PM
01-31-2016 08:38 PM
by Steve
4 165
Changes
Knaubone
01-30-2016 10:56 PM
01-31-2016 08:31 PM
by Steve
1 79
Thoughts on this Exmark...
googus
01-28-2016 04:24 PM
01-28-2016 08:09 PM
by Chilehead
1 106
1st year in
jcurr33
10-18-2015 05:07 PM
01-28-2016 07:49 PM
by Chilehead
6 4,085
Need opinion on zero...
Mr. Mow
01-24-2016 05:42 PM
01-28-2016 07:41 PM
by Chilehead
10 293
Opinion on liquid vs...
Bradcook21
01-25-2016 02:03 PM
01-28-2016 07:38 PM
by Chilehead
9 251
Finding property size
Gageslawncare
01-25-2016 11:08 AM
01-28-2016 12:05 PM
by Gageslawncare
10 251
Tiger TG 2661 Commercial...
lawnman1959
01-25-2016 08:12 PM
01-27-2016 07:57 PM
by Just for Cuts
5 190
Spouse as a dependent?
Steve
01-26-2016 01:51 AM
01-27-2016 10:44 AM
by Chilehead
3 159
Hello All
C&DPropertyManagement
01-23-2016 12:21 PM
01-26-2016 01:24 AM
by Steve
1 141
Credit Cards - What's in...
Shark1611
06-16-2015 04:04 PM
01-23-2016 03:43 PM
by C&DPropertyManagement
17 7,607
Start My Own Business?
mowandblow1980
01-12-2016 08:43 PM
01-19-2016 07:00 PM
by Steve
12 560
State of the nation 2016.
Steve
01-12-2016 12:05 AM
01-19-2016 06:57 PM
by Steve
6 330
little help? first big...
Brian3137
12-31-2015 12:39 PM
01-19-2016 06:54 PM
by Steve
23 1,001
Hi everybody...
Greg_TopYardServices
01-14-2016 08:10 AM
01-19-2016 02:47 PM
by SC93
12 401
What's your next...
Steve
05-15-2015 12:54 PM
01-17-2016 08:48 PM
by Homeland unlimited
25 7,862
Plow controller problems
scaypa
01-12-2016 05:49 PM
01-16-2016 10:46 AM
by scaypa
4 251
Say Hello !!!
Steve
03-19-2007 12:18 PM
01-15-2016 07:23 PM
by tannerduncan
1,244 427,821
Pricing issue
Mr. Mow
07-07-2015 07:15 AM
01-15-2016 11:20 AM
by djlandscaping06
23 5,344
New College Course
Dr. D
01-14-2016 01:45 PM
01-14-2016 05:35 PM
by Steve
1 178
Yelp
Shark1611
01-13-2016 10:00 AM
01-14-2016 05:32 PM
by Steve
4 237
New to the forum from...
Doug Green
01-12-2016 12:23 PM
01-14-2016 08:34 AM
by Doug Green
2 212
Facebook advertising
Just for Cuts
12-13-2015 08:49 AM
01-13-2016 10:20 PM
by Just for Cuts
12 859
Choosing local business
Doug Green
01-12-2016 12:29 PM
01-13-2016 06:12 PM
by Steve
2 371
4 Seasons Landscaping LLC
Doug Green
01-12-2016 12:56 PM
01-12-2016 12:59 PM
by Doug Green
1 235
2016 business goals
OxfordOS
01-09-2016 04:19 PM
01-12-2016 08:36 AM
by mowandblow1980
15 512
Hi to you NOTHERNERS
stevef1201
11-11-2014 05:56 PM
01-08-2016 09:30 PM
by jeramicox76
10 2,738
Amazon services
thom
12-22-2015 08:40 AM
01-07-2016 11:53 AM
by Steve
17 822
Powered by vBadvanced CMPS v3.1.0

All times are GMT -5. The time now is 03:37 AM.


(C) 2011 Riggs Publications - Terms of use & Privacy Policy

All times are GMT -5. The time now is 03:37 AM.

(C) 2011 Riggs Publications - Terms of use & Privacy Policy