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How To Start A Lawn Care Business: Basics

Learning the tricks on starting your own lawn care business is not a rocket science if you have the right equipments and technology, and you exactly know your goals. At the same time, it would not be wrong to say that it’s extremely difficult for beginners to choose the right direction for an efficient Lawn Care Business Management. Precisely this is something that requires knowledge about this type of business, and that’s what we are aiming to provide you with this article.

- What exactly do I need to start my own lawn care business?

The very first thing you require is the desire to set up and run the business successfully. Once you have made up your mind to start a lawn care business, it’s time to make a detailed and flawless business plan for a perfect business. This normally includes, finalizing the name of your business, making a list of all the expenses that need for start-up of the business, finalizing the mission statement and identifying your short and long term goals. Lastly, you need to break down your long-term goals into smaller achievable tasks to initiate the process. Once all of these things are checked off your startup list file for your legal documents. These documents are simply an LLC or Limited Liability which keeps you safe from any legal problems.

- What types of equipment I should get exactly?

If you want to succeed, you need to get the highest grade of equipment. This is an area where you can’t compromise on the quality if you want to attract repeat customers. You are going to substantially use these equipment. You need commercial grade trimmers, edger, blowers and riding mowers right at the start of your business venture. These high-end tools will also help you in better business as you will be able to complete your jobs in the shortest possible time and with a great quality.

- How to get clients?

So, now you have everything to setup and run a successful business right from adequate knowledge to get successful to all the right equipment. Now it comes to the most important part of any business; getting clients. It’s true that while starting off, it’s quite difficult to get clients. The best way is to promote yourself and your business effectively, and how you can provide better results at highly competitive prices. Always remember that the first impression is everything. Once you have established your business, you won’t have to work as hard to attract clients. Make business card, flyers and signs to promote your business in the best possible way.

If you want to make the process of starting and running your Lawn Care Business a thousand times easier and more efficient, you need excellent software or an app for Lawn Care Business Management. ManagR App is one of the most powerful Lawn Care Business Management apps that can deliver you astonishing results at really competitive prices. This iPhone app is superbly easy to set up and it makes everything related to managing your lawn care business a breeze.

Starting With the Right Legal Business Type, Private Company

Though there are several titles for this type of company, depending on which location in the world you live in, this essentially refers to what is also commonly known as a Limited Liability Company (LLC).

This is without a doubt one of the most popular options available for registration of a business, and is especially used by people that are a little more serious about their business. This business type is also used for operating very small businesses all the way through very large ones. And since it offers the same protection to owners (shareholders), no matter what level you are operating at, it is a business type of choice which will allow for growth without compromise.

As with any business type, there are several specific characteristics for this business type, which are very similar throughout the world with only minor differences. These include:

1. The company is a Legal Person (artificial person), which protects against personal liability of the shareholders.

This means that you are able to trade in the name of the company, incur debts in the name of the company, and even sign contracts in the name of the company, all without needing to put your personal financial wellbeing on the line.

That is the theory at least. Though for smaller businesses you will often find you have to put up personal assets as surety for debt, which is of course a separate issue. The point is that your risk is defined by your investment in the business, whether in the form of cash or surety, and no more.

2. Owned by a limited number of shareholders.

Depending on the country that you live in this type of business will allow for co-ownership of the company by several individuals, in some cases as many as 50. In most countries there is a limit to the number of shareholders that could own a share in this type of business.

Shareholding is often defined as a percentage of the business, however in some cases this would also be defined by ownership of a specific number of shares. For the most part sole ownership is possible, so it is possible for you to own 100% of the equity (or shares) in the company.

3. The management structure is similar to that of a large corporation.

The legal management structure of this type of company is similar to that of the large corporation, and as shareholders your decide who manages and runs the company at any given time.

There are also usually some legal obligations regarding reporting to shareholders, and it is even possible to operate this type of company under the direction of a board, with the appointment of a CEO, or president.

4. Taxes are paid by the company on profits of the company only.

You will not be required to combine your personal taxes with your business tax. Since the company is a legal person, it would be obligated to pay taxes on profits earned within the company only.

5. Earnings are paid out as dividends (or salary).

There are two legal ways to get money out of this type of company and those include:

a) paying yourself a salary (for small businesses)

b) Declaring dividends.

Dividends are shared by shareholders in proportion to their ownership, and of course for dividends to be declared, the company does have to turn a profit.

6. You cannot trade shares on a stock exchange, though shares are easy to sell.

Though private companies are not permitted to trade shares on a stock exchange, it is easy to sell shares, as the shares usually represent a specific value within the company. More often than not there are also little or no restrictions on who you are able to sell the shares to. Note that in some cases shareholder agreements are set up in order to govern things like sale of shares amongst others, however this is more often the case when companies are smaller and more of the shareholders are involved in the day to day operations of the company.

Not being able to trade your shares on the stock exchange does tend to complicated finding a buyer.

7. The majority rules.

Most decisions, within this type of company, are made based on votes by a combination of shareholders holding more than 50% of the shares. Of course it is possible to delegate operational decision making to an appointed President or CEO, however this delegation would typically be limited to operational decisions only, and are often significantly influenced by day to day participation by various shareholders.

In conclusion, and though this is without a doubt a fairly expenses business type to setup and operate, for various reasons this is my preferred choice for operating a business anywhere in the world. The most significant benefit is derived from the fact that the business is a legal person and so separation of assets and liabilities are completely possible.

With this said, however, I would urge you nonetheless to seek out the advice of a locally qualified lawyer and accountant to make sure that however you decide to trade, your business type meets your specific needs.

I wish you all the best with your ventures and invite you to share your experiences and stories here.

Cheers!!