Do you want to know how much money landscapers make yearly? If YES, here are 7 factors that determine the income & profit margin of landscaping companies.
In order to have an idea of the amount a landscaper is expected to make daily, weekly, monthly or yearly, you should clearly define the job description of an established landscaper. As expected, a well-established landscaper is expected to offer all of these services;
- Landscape architecture services
- Landscape care/maintenance services
- Trimming Landscaping
- Landscape design/contracting services
- Lawn mowing/maintenance
- Sod installation/hydro – seeding
- Weeding or fertilizer and/or pest control application
- Weekly lawn cut
- Weeding Beds
- Sale of flowers
- Spring Cleanup
- Fall Cleanup
- Chemical Treatment
- Snow Plowing
With this in mind, we can estimate what a landscaper is expected to make. According to the Turf survey, landscape business owners make $53,323 on average annually and they expect an increase this year to $59,265 on average going forward. This is based on an average revenue of $542,653. Landscapers said corporate officer/owner/partner salaries make up approximately 10 percent of total sales.
It is important to point that there is no one mold-fits-all when it comes to how much a landscaper is expected to make. There are some factors that we are going to look into before giving an estimate of how much an average landscaper can make yearly.
7 Factors That Determine How Much Money Landscapers Make Yearly
1. The Size of the Landscaping Business
One cannot conveniently state the amount a landscaping business is expected to make yearly if you do not know the size of the landscaping business. One the average, the approximate money a landscaper will make will range from between $4,443.58 and $4,938.75 monthly depending on the number of customers they have.
2. The Location the Landscaper is Covering
The location the landscaper is covering is a major factor that will determine the amount he or she is expected to earn monthly.
A key factor that can greatly influence the money a landscaper is expected to make is if he chooses to operate in a location with people that can afford his or her service – the financial status of the residence in the location he or she want to start the landscaping business.
The truth is that you will struggle to make good money if you locate the business in an area filled with low income earners or in a ghetto. If you locate your landscaping business close to a highbrow area or an area with loads of retirees, you are likely going to make good returns from the business.
3. The Type of Services Offered
Another important factor that will determine how much a landscaper is expected to make yearly is the type of landscaping services offered by the landscaper.
You will agree that the money a landscaper that offers a robust landscaping services that covers landscape architecture services to landscape care and maintenance services to trimming services to landscape design and contracting services ,to lawn mowing and maintenance.
And also other complimentary services that includes sale of flowers, spring cleanup, fall cleanup, chemical treatment and snow plowing et al, will be far larger than what a landscaper that only offers landscape care and maintenance services.
4. The Management Style of the Landscaper
Another key factor that will determine the amount a landscaper is expected to make yearly is the management style of the landscaper. Trust me, the results you will get when you are a good manager will definitely be different from a landscaper with poor management skills.
The idea is that a good landscaper will not just retain their old customers, they will also keep getting new customers especially through recommendations. That no doubt will greatly influence the amount the landscaper is expected to make annually.
5. The Business Approach of the Landscaper
There are different business approaches that a landscaper can choose from and it will greatly influence the amount they are expected to make monthly and yearly.
We know that landscapers may decide that they want to work alone and do their marketing alone, and they may also decide to partner with other businesses that will recommend clients to them. In essence, a well-organized landscaper who works with others will surely make more money than a solo landscaper.
6. The Advertising and Marketing Strategies Adopted by the Landscaper
Another key factor that will determine the amount a landscaper can make yearly is the advertising and marketing strategies adopted by the landscaper. Trust me, there are several advertising and marketing strategies that can help a business scale-up and increase their earnings, though you may be expected to spend more.
But the results you will make will far outweigh the amount you spent on advertising and marketing. Of course, you don’t expect a landscaper that is engaging in aggressive advertising and marketing to make same amount yearly with a landscaper that is passive with his advertising and marketing.
7. The Number of Years the Landscaper is in Business
Lastly, another key factor that will determine the amount a landscaper is expected to make on a yearly basis is the number of years the landscaper is in the landscaping industry. In business, the number of years you are in existence will go a long way to determine the amount you will make.
For example, in your first fiscal year (FY1) you might make fifty thousand dollars ($50,000), in your second fiscal year (FY2) you might make fifty – three thousand dollars ($53,000) and in your third fiscal year (FY3) you might make fifty five thousand dollars ($55,000).
In conclusion, the amount a landscaper will make yearly is strictly dependent on all the factors listed above. Any entrepreneur who intends starting his or her own landscaping business and making huge profits from it must be very creative and must be ready to go the extra mile to convince clients that he or she can deliver an excellent job and he or she must prove beyond reasonable doubt that they are competent.
Average Profit Margin on a Landscaping Project per Acre?
When we talk about the profit margin a landscaper is expected to make, we must establish the amount a landscaper charges per job and the amount spent or expenditure they put in to get the job done.
On the average, the amount it will cost to landscape 1 acre of land/garden will range from $500 to $1,500 for a landscape design of a small garden, $1,500 to $3,000 for a landscape design of a mid-sized garden, $3,000 to $6,500 for a landscape design of a large garden, and even $10,000+ for a more complex design project of a larger garden or any other space.
The cost of a standard landscaping project is around $49.50 per hour. Simpler landscaping jobs can cost as low as $40/hr. while bigger projects can cost you roughly $55/hr. As expected, a landscaper is expected to make about 50 percent profit margin from whatever they charge their clients. In some cases, it may be higher especially if the cost of carrying out the landscaping project is pretty low.