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, 09:46 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, 09:59 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, 02:16 AM
Steve's Avatar
Steve Steve is offline
Administrator
 
Join Date: May 2003
Posts: 37,566
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, 06:44 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, 08:06 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, 08:08 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, 08:39 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, 02:46 AM
Steve's Avatar
Steve Steve is offline
Administrator
 
Join Date: May 2003
Posts: 37,566
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, 08:09 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, 02:41 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 11:50 AM
Company Profit adamsmowing88 Starting a lawn care business. 12 03-12-2010 08:47 PM
$150 profit per day for 60 days lawn mowering Community Assistance 9 03-06-2010 12:15 PM
How to turn my low profit business around mowboy General Business Discussions 3 05-10-2009 07:22 PM
Free Promotion vs. Profit tiedeman General Business Discussions 7 06-21-2006 05:32 AM

» Recent Threads
  RatingTitle, Username, & Date Last Post Replies Views
Dane Scag
Steve
Yesterday 12:29 PM
Yesterday 12:29 PM
by Steve
0 50
24 and 50 acre cemetery...
grassmasterswilson
08-18-2015 10:09 AM
08-26-2015 02:42 PM
by Steve
13 467
Rookie business question...
WarriorLandscapingCAN
08-05-2015 05:20 PM
08-26-2015 02:33 PM
by Steve
3 368
How to clean an old...
rmccutchan
08-16-2015 05:23 PM
08-26-2015 02:31 PM
by Steve
9 366
how to make customers...
Bradcook21
05-27-2015 05:04 PM
08-26-2015 12:25 PM
by kslawn
19 3,674
Needing a website built
burtle
06-17-2015 09:02 AM
08-25-2015 11:31 AM
by acrajchel
9 2,433
Big mowing job
Bradcook21
07-30-2015 03:57 PM
08-25-2015 11:23 AM
by acrajchel
17 936
ZTR Review
Shark1611
05-31-2012 10:42 PM
08-25-2015 11:16 AM
by acrajchel
8 3,713
Hi Everyone
mmays29
08-25-2015 08:16 AM
08-25-2015 11:15 AM
by Steve
3 94
Should I buy this Exmark...
googus
07-03-2015 09:22 AM
08-25-2015 11:08 AM
by acrajchel
11 1,131
Old Business New Owner
Toyman
06-17-2014 08:57 PM
08-25-2015 11:00 AM
by acrajchel
17 1,537
Hi everyone! We're new...
alltrades
08-22-2015 12:46 PM
08-24-2015 10:41 AM
by Steve
2 145
CAn I get some help with...
rootytalbot
08-11-2015 06:14 PM
08-24-2015 10:36 AM
by Steve
12 464
Hi
Wemowjunction
08-16-2015 08:45 PM
08-20-2015 01:46 PM
by Steve
11 366
Drive cable bad?
SGL1
08-10-2015 11:16 PM
08-20-2015 01:41 PM
by Steve
5 329
Hey there everyone
Cole8999
08-16-2015 04:42 PM
08-18-2015 04:35 PM
by Steve
3 222
Help with a truck
bdodson89
04-27-2015 08:15 PM
08-18-2015 11:47 AM
by rmccutchan
7 933
I need some aeration...
rootytalbot
08-14-2015 12:32 PM
08-18-2015 07:59 AM
by rootytalbot
7 350
Say Hello !!!
Steve
03-19-2007 11:18 AM
08-17-2015 04:34 PM
by Steve
1,229 405,799
Whats wrong with this...
GreenWorx
07-28-2015 07:56 PM
08-16-2015 11:42 PM
by rmccutchan
3 564
What's your next...
Steve
05-15-2015 11:54 AM
08-16-2015 11:09 PM
by SC93
16 1,204
These are the days on...
ExtremeLawncareServices
01-11-2015 10:41 AM
08-14-2015 11:08 PM
by scaypa
95 11,383
New Biz
kufnerins
08-14-2015 05:52 PM
08-14-2015 08:56 PM
by Steve
1 194
Chemical and Fertilizer...
rmccutchan
08-09-2015 10:36 PM
08-13-2015 11:11 PM
by rmccutchan
6 371
String trim BEFORE mow...
Mr. Mow
04-12-2015 08:13 AM
08-13-2015 02:10 PM
by rootytalbot
12 2,038
Hello all thinking about...
bernie
08-11-2015 04:28 PM
08-13-2015 10:33 AM
by Steve
8 340
Logo Help Font Color
LZLC
08-08-2015 09:26 PM
08-12-2015 03:50 PM
by Steve
4 317
Pricing issue
Mr. Mow
07-07-2015 06:15 AM
08-12-2015 12:30 AM
by Jeff1
20 1,764
My new mower
Chilehead
08-08-2015 09:09 PM
08-11-2015 08:36 PM
by Chilehead
9 477
Thought this was a good...
Just for Cuts
08-06-2015 03:38 PM
08-11-2015 10:54 AM
by Steve
8 475
Plowing pricing
jcurr33
08-08-2015 04:58 PM
08-11-2015 10:51 AM
by Steve
6 440
Should I upgrade my back...
googus
08-07-2015 10:50 AM
08-11-2015 10:44 AM
by googus
7 406
Keeping it clean....
Wolf4dk
08-09-2015 11:31 PM
08-11-2015 06:34 AM
by Chilehead
7 334
I have been rude and...
biglee
06-15-2015 10:11 PM
08-10-2015 09:41 PM
by stallman419
12 2,717
Newbie Saying Hi.
LZLC
08-08-2015 09:22 PM
08-10-2015 11:20 AM
by Steve
1 237
How much do I charge to...
Chris Herrera
08-06-2015 09:30 PM
08-09-2015 11:31 AM
by biglee
2 373
scag SWZT review!
mattthelawnguy
07-23-2015 02:28 PM
08-07-2015 03:26 PM
by Steve
17 1,103
Best commercial contract...
sanlanct
08-04-2015 12:18 PM
08-06-2015 06:20 AM
by sanlanct
2 371
I came across this on a...
rootytalbot
08-02-2015 11:04 AM
08-05-2015 08:17 PM
by SC93
9 607
Help bidding a hedge...
hopolb33
08-02-2015 06:09 PM
08-05-2015 02:07 PM
by Steve
3 406
recycler toro 22"
rvezakis
08-03-2015 12:10 PM
08-04-2015 11:47 AM
by Steve
1 289
Hello Everybody
budspop
07-30-2015 11:42 AM
07-31-2015 12:28 PM
by Steve
1 280
» Popular Tags
ad landscaping advertising aerocore applying bark billy goat brushcutter bob villa bush collections contract help curb appeal services deliquentaccounts demonstration design door hangers edging employee problems equipment dealer equipment rental facebook flyers free advertising free lawn care google growing a lawn care business hiring how to hydro increase customers jobs landscape landscaping training lawn aeration lawn care lawn mowing marketing marketing secrets more customers business mr dave mulch new business ordinance past due per hour charge per hour service plowing pricing profit on employee roundup scag secrets to landscaping sell the vision seo shell shreaded solo solo backpack sprayer sq ft square foot swzt tree tree pics up sell employee walk behind web design website website design winterization wood www.greenturion.co.za
Powered by vBadvanced CMPS v3.1.0

All times are GMT -5. The time now is 07:52 PM.


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

All times are GMT -5. The time now is 07:52 PM.

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