*Ostroff, Fair and Company>>>Small Business

How to determine price for selling lawn care accounts?

you should start at 30-35% gross margin... That is....

cost of goods sold + labor( PLUS TAXES ON LABOR!!) should not be in excess of 30-35% of the revenue you ask for the job... EXAMPLE... a $100 quote should cost you in materials/gas and labor no more than 35$ to perform.

Keep sales expenses low and your G&A under 26% and you should walk away with about 7-10% net at the end of the day.

Step 1 would probably be to call a few other local lawn care companies and have them bid on your or your friends lawns to get an idea of what the local price range is.

Step 2 is determining if you can perform that service at the quoted price yourself. If you can then you are ready to start marketing, but if you can't see how others perform the job so cheaply then you are going to have allot more questions.

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