Franchise Benefits: Healthy Profit Margins
Growth in revenue is only one part of the goal when you start your lawn care business; it’s one of the many franchise benefits you enjoy. Spring-Green will construct a lawn care/outdoor pest control business plan that focuses on both top line revenue growth and bottom line profitability. We understand the need to maintain healthy margins for your lawn care business, managing material cost and direct labor.
A few contributing factors
- Low overhead – No concern of high rent associated with a brick and mortar franchise
- Established national pricing programs with key distributors
- Skilled labor force, one employee per truck
- Equipment that regulates material usage and allows for the treatment of the needed areas only
- Industry-leading business software for scheduling, routing and invoicing
- High customer renewal
- A strong incentive for prepaying for your service which fuels the needed cash flow
- Industry-leading business and marketing intelligence
Top Line
| $507,632 | Average 2015 Gross Sales for Businesses Operating for 2 Full Calendar Years or More |
| $397,113 | Average 2015 Gross Sales for Businesses Operating for 2 Full Calendar Years or More in a Single Territory |
| $690,414 | Average 2015 Gross Sales for Businesses Operating for 2 Full Calendar Years or More in Multiple Territories |
| $396 | Average 2015 Revenue Per Customer for Businesses Operating for 2 Full Calendar Years or More |
| $142,385 | Average 2015 Gross Sales per Full-Time Production Vehicle |
Bottom Line
| Material Costs | 15.10% |
| Direct Labor | 15.92% |
| Cost of Sales | 31.02% |
| Gross Profit Margin | 68.98% |
*Statistics are from the Spring-Green Franchise Disclosure Document (FDD) dated March 25, 2016. For more information, see Item 19 of the FDD. This information is not intended as an offer to sell, or the solicitation of an offer to buy, a franchise. It is for informational purposes only. Currently, the following states regulate the offer and sale of franchises: CA, HI, IL, IN, MD, MI, MN, NY, SD, ND, OR, RI, VA, WA and WI. If you are a resident of one of these states, we will not offer you a franchise unless and until we have complied with applicable pre-sale registration and disclosure requirements in your jurisdiction.
