Operational costs landscaping companies might have to worry about

On top of equipment and labor costs, landscaping companies have many operational expenses that could be a drain on their bottom lines. If you’re a new landscaping company, or an established business working on your cash flow management, understanding these different cost categories could do you a lot of good. As we head towards a winter off season, it is even more important to make sure you’re not paying more than you need.???

Overhead costs.???

Overhead costs – such as office supplies, insurance, and more – can cost a landscaping company over 20% of its total revenue. Keeping diligent watch over expenditure, and sticking to a strict budget, is the smartest strategy in planning for your business’ success.???

Fuel costs.???

Depending on the equipment and vehicles you use and the area you service, your fuel expenses could be significant.?This includes the gas used by some mowers.???

If your business owns and operates a fleet of vehicles, this price could be standing in the way of you and profitability. In fact, fuel accounts for 60% of the average company’s fleet operating budget. One way to reduce expenses is by using a fleet card. Many fleet cards offer additional fuel discounts and regular promotions!???

Marketing and web design.???

As your business grows, you’re going to want to advertise yourself in a professional way. This will include a modern, functional website designed to fit desktop and mobile browsers. If you’re not yet at the place to hire web designers or marketing specialists, there are a lot of online platforms that can help you create a professional website and market yourself properly.???

Wireless plans.???

With such a mobile job like landscaping, a traditional office phone system might not be a practical fit. However, a wireless plan that suits your needs will be a must. Telecom rates are always changing, and the industry can be unpredictable. Make sure you know exactly how much data you need, and what services you signed on for, so you’re never overpaying.???

Paperwork.??

If you deal in physical contracts, faxing and paper waste may be generating some unnecessary fees for your business. Moving to an eSignature plan could reduce time and money and add to the customer experience when working with your business.???

In conclusion…??

Like with any business, landscaping companies face many operational expenses that could hinder their profitability. Keeping ahead of this spending, budgeting, and looking into alternative solutions is always recommended to cut costs.???

Likewise, if you’re worried you’re overpaying for your fuel, wireless plans, or other expenses, please reach out. Schooley Mitchell’s passion is saving you money and watching your business grow.