NO MONEY in the Bank... PAYROLL IS DUE!

Justin is reaching capacity in his lawn care business, however he is struggling to see profit. Things keep going wrong and payroll is due soon. With no money in the bank, see if Mike Andes can turnaround his business before its too LATE!
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#BusinessTurnaround #LawnCareBusiness #MikeAndes

[@MikeAndes]

Want to be on the Turnaround Show? Apply at MikeAndes.com/turnaround

[@thomascassidy1]

You mentioned having your labor cost below 50% of your revenue. Is that only for revenue producing employees or is that for non revenue producing employees as well?

[@randomgamer304]

You interested in a franchise in Minnesota?

[@jordison1210]

John is one of those guys who no matter what story you share he always has the same story but better

[@underdogspraying]

😂 exactly. Somehow though, he’s still working for others.

[@AntonioGarcia-it7wy]

Since he started talking I got the idea that the problem was John !! 😂😂😂

[@calebthebraveone7463]

That guy doesn't have a clue, "he is the pebble in this kids shoe".

[@darwinjarrin8052]

Me too!! 😂 just something seemed off right away. A know it all that actually doesn’t know anything

[@michaeldbrown97]

Sugar water 😂

[@jacobgarcia8224]

Something seemed really off about his manager. He was so good according to him but didn't seem like reality.

[@todcaccounting6095]

💯

[@HouseFlipHandyman]

I’m curious why he came to work for this dude after hearing him tell us how much of a big shot he used to be at his previous job, running however many trucks he said

[@HouseFlipHandyman]

22:03

[@HouseFlipHandyman]

A little plot twist about this dude comes out at the end of the video.

[@louskunt9798]

@@HouseFlipHandymanyea he talks like he should own his own landscaping business. Why doesn’t he?

[@oraziohall2969]

"I've broken almost every bone in my body" .. Landscaping?? Bro needs more dairy in his diet

[@jordison1210]

Or just quit landscaping lol.

[@AaronCunningham]

Dairy really does not make your bones stronger. That’s just marketing

[@oraziohall2969]

@@AaronCunningham well if your eating a lot of legumes, grains, green vegetables, there are chemicals called anti nutrients that bind to calcium in a process called chelation. The chelated calcium can no longer be user or stored. So eating oats with milk causes the calcium in the milk to chelate because of the anti nutrients in oats. Having no milk and eating lots of grains can rob your body of calcium and causes brittle bones and teeth. That being said, I dont recommend consuming pasteurized milk from the grocery store. Find a dairy farm.

[@oraziohall2969]

@@AaronCunningham bro look up anti nutrients and chelation

[@Sodsquad]

The guy using his truck is definitely full of crap

[@isaac62rebel]

Raised my prices my 15% on my swimming pool customers. Only lost 3 customers and the same week I gained 10 customers!

[@HaganHall]

Grossing 50k in a month and being broke when you are that small of an operation is insanity.

[@LawnCareLady]

@@HaganHall why?

[@LawnCareLady]

@HaganHall if 45k is going to payroll- which entirely possible-it is quite reasonable to starve. This is called norm for landscaping companies. Very labor intensive. Tough industry.

[@HaganHall]

@@LawnCareLady I own a lawn care company and gross way less than 50k a month and am definitely not starving. I think my point was why are they grossing so much and not making money? Dial it back and focus on profit, what’s the point of doing 50k revenue if the guy doing 10k revenue is netting more profit than you. I think my point is he created a huge monster not a business. I agree it is a tough industry. A lot of problems fall back to companies wanting to be the biggest company around but they sacrifice profitability in the process. It’s not reasonable to starve if you are starving long term you should probably get a 9-5 or make drastic changes. I hope you are having a great season! Much love to everyone in the industry!

[@johnschoffstall2305]

Agreed. It seems lazy to me. He doesn't want to get good at marketing/sales so he just sells his jobs dirt cheap so he doesn't have to be good.... everyone says yes because he is so cheap.

[@LawnCareLady]

@@HaganHall Thank you and I agree it is insane if it is LONG TERM; but I think it really does take a lot to stay above water in landscaping. Takes years to get on solid ground financially and then consistently deliver results. Best to you as well.

[@HouseFlipHandyman]

13:13 To anyone starting a service business: Don’t even waste the time if you think customers will love u because your the cheapest. FYI, The cheapest customers are the loudest complainers

[@matthewsmith2362]

Real talk. I’m a carpenter and a welder and learned that the hard way.

[@aaronandvicky7652]

Yup. 100% true. The first sign they are a problem customer is trying to talk the price down. I immediately end the process of signing them up when that happens.

[@jasonjon88]

Without a doubt. It’s amazing how much raising your prices correlates with having better clients.

[@godw1ll99]

and they always expect you to do the most. they typically also try to add on work mid job too with no expectations of paying more.

[@theloosemoose8200]

Brother, take some business management classes. There is no reason you shouldn't be making money with 165 customers and 50g/month

[@JayVPM]

That dude definitely didn’t manage 16 trucks and 16 trailers 😂😂😂😂

[@robertvannicolo4435]

Maybe for one day at most

[@Pantera972]

He probably did it for a week then the boss noticed his bluff and fired him. 😂

[@user-wp6yc6im8q]

This episode was EXTREMELY helpful! I am literally in the exact same position right now! Same age same size same employees! Thank you for this episode!

[@finaltouch1962]

John needs to learn how to edge with the weed whacker or not edge at all.

[@bdhlawncareservices6403]

This is where I was at a year ago. Leaned a lot on this video. Thank you!

[@MikeAndes]

Glad it was helpful!

[@jpip361]

it sucks these aren't getting the views they deserve I love them and it teaches me a lot even though I have a pressure washing business and I'm just starting

[@jvsnwbrdr25]

Start everyday with scraping decks and sharpening blades, check oil and filters daily.

[@Finepinetreeservices]

“Two Spanish guys” 😂

[@Nick-th1kx]

The videos weren’t working because they didn’t speak English 😂

[@Bayouboy5617]

What about it they work harder than you.

[@Finepinetreeservices]

@@Bayouboy5617 it’s funny because they are Mexican not Spanish

[@Bayouboy5617]

@@Finepinetreeservicesalready know I'm just bsing bro.

[@landan_melton]

john is definitely subpar in a supervisor position. imo he should be a general laborer. hes not the shoulder to lean on in terms of efficiency and being quality dependent. all he talks about is how good he is but everything around him isnt good. thats the first red flag i noticed as soon as he started talking. not throwing any daggers, just seeing it is a big issue that the owner may be blind to. and of course his pricing is the biggest problem, but team members can be just as damaging.

[@csuiteunfiltered]

Great work committing to the price increases, Justin! Keep focusing on systems and increasing crew efficiences. You got this! 💪

[@GlitterPoolParty]

Consider building an excel spreadsheet that calculates the portions fron every payment that goes toward labor (by crew member), insurance, equipment maintenance, gas, advertising, admin, taxes etc. Now that fat check doesnt look like a fat check, but rather fractions of all your overhead costs.

[@godw1ll99]

absolutely, i use google sheets but same effect. its a necessity for proper financial management to track every single job, every week and every month.

[@pjsites1985]

Thanks for doing this series. Really appreciate the hard work.

[@robertslawnservices4317]

Another great video. I learned so much by watching these turnarounds. Especially pricing And route density. Thank you Mike Andes

[@robertslawnservices4317]

I started last year with 7 clients This year I'm at 25 clients. But I have. A dense route. So very profitable. Next year I will be leaving my full-time job. I have more work coming in than I know to do with. I should just take the leap.

[@j-cuts9396]

I don't even own the company I work for. I also don't make p4p. But I 100% know the better quality of work I do as fast as I can do it the more money I will make. Usually when I tell people how much an hr I make just mowing grass they are shocked and want that. The thing is they end up never putting in the effort

[@cwalker688]

I’ve now watched the entire playlist… KEEP EM COMING!! 🙃

[@HouseFlipHandyman]

Thank you Mike Andes for your effort & persistence in making this series. My comments are specifically for the benefit of #1 your channel & #2 for your viewers. I’m done till next time

[@HouseFlipHandyman]

I don’t have to see the lawn to know that $40-50/cut is way too low a price. There’s literally no lawn in America that any of y’all should offer to cut @ such a low price!!! At my house I pay my ‘landscaper’ less than I was paying my 14 year old son to cut my grass! Unfortunately Son… your fired! Lol Every Saturday when I hear mowers outside I stop myself from going out there & telling this dude he MUST charge me & others more $$ immediately if he wants any chance of making profit. I prepaid him for a month (anyone making customers prepay like this yet?) because I felt sorry for him

[@mantistobogganmd5231]

A 15 or 20 minute lawn at $40 or $45?

[@JohnAcmeMowingHarrington]

@@mantistobogganmd5231Our Minimum for a tiny lawn is $65, we are cutting 1 acre properties in a matter of 7 mins with 3 guys, for $120/acre. We have all of these acreages grouped together for maximum route density.

[@JohnAcmeMowingHarrington]

Said tiny lawn also takes us 3-5 mins to complete with stand on mowers $65.

[@JackWorkz]

I have 2 guys who come out once a month to detail my company vehicles (5) the 1st time I used them, I told them to charge more, 1 year later the job that used to take them all day to do my vehicles now takes ½ day, because they have better equipment now and they can complete more jobs

[@archieletsyouknow5508]

💯 Albuquerque New Mexico now as I appreciate all your advice👊🏼 from living this video trying to keep the barrel out of my mouth😂😂😂😂

[@HouseFlipHandyman]

BIZ RULE #1: If you start a biz selling stuff to poor people, you will be poor

[@youngyerb3153]

Poor customers mow their own lawn

[@gradywray5391]

You can sell to poor people. You just have to sell a crazy amount of volume to make up for a lower ticket sale.

[@reggiejenkins6458]

Yeah, like Walmart and Amazon.

[@lorrainelamour7224]

Look at all the KZbinrs who do massive lawn cleanups for free for people who need it. They make their money from taping it for their channel. Maybe without a channel you could do an eyesore lawn for free once a month for goodwill and advertising. Hand out 20 flyers in that neighborhood as I described in my other comment. You'll make a good impression.

[@walterrocha8764]

Great video

[@handyscapersllc]

22:56 did they just use a mower to push a mower sideways? 😂 brilliant 👏

[@joelperry9380]

That manager is a huge red flag!

[@jordison1210]

I hired two Spanish guys?? Really bro Spanish is a language. If you don't know we're they are from you can say Latino

[@zeroguhravity]

Yeah that was wild. Lol

[@zeroguhravity]

I bet those two dudes would get all those lawn done too

[@DK_tk3]

@@zeroguhravityyou didn’t hear him say they “new Spanish guys” had more complaints in one month the all of last year.

[@dallasisbetter3241]

Y’all are being extra. There’s nothing demeaning about saying Spanish guys or English guys. There are racial slurs out there, and “Spanish guys” isn’t even close to one of them

[@grahamworksconstruction]

lol when I heard that’s I was like damn I never introduced my Spanish guys… 😂

[@jpritchett3879]

I have a full time job but I started a small lawncare business. Well I just started putting yard signs out a couple weeks ago around town and I’ve put out around 300 flyers and I’ve made Facebook post . I have not received one phone call. I’m also in Georgia

[@slimfinger7872]

Hi i need to know what belt and pants , you wear , they look comfortable...i dont even mow lawns

[@m.creekrenovations]

Epic music in the intro!

[@Jay-tu4rs]

you need to manage customer expectations though the estimate

[@Tropicalfrooploops]

30k revenue monthly and no take home. I’d optimize a one man operation and scale up slowly

[@RussellD11]

All I know, Is he should name his next kid "Humpty"

[@kangerlawns8038]

1) how soon is to soon to raise prices again? 2) we track efficiency score by job hours / total clocked hours. Thoughts? I figure it’s better because it shows where time is lost driving/loadinf

[@pepsilove6306]

technically there is no "too soon" if your at capacity cause you cant fit any more customers into the day/week. raise prices. instead of "too soon" its "how many ppl do I risk loosing raising prices, and will the price increase across the board cover the amount of ppl I loose by raising prices, or can I replace the people I lost quickly" if you mow 50 lawns at 35 a lawn for example, thats 1750, pump it to 40 a lawn 2000 in rev a week. you could afford to loose 7 customers by raising prices, cause you would now hit the 1750 with less work involved, and can work to replace those 7 lost with ppl willing to pay 40 to hit the 2000 instead of 1750. if your lucky no one leaves either, we raised our prices 5 dollars this year and lost no one.

[@kangerlawns8038]

@@pepsilove6306 thanks - I was curious because everyone on our list was either quoted last near and new customers, raised last year , or raised this spring as an existing customer

[@fournewseason]

Raise price on new customers yes but existing customers, no because within season it’s bad practice

[@caiomoura9637]

Mike, at what point of the business do you recommend allocate the money to decal the truck? When you get your first employee?

[@uliperezsatx]

Immediately. I get tons of calls saying “ I just seen you on the road”…

[@dextfittv8360]

Decals or magnet

[@uliperezsatx]

@@dextfittv8360I got three magnets. At first. Each front doors and one on the tailgate. (They do fly off when it gets dirty behind the magnet. Get the thickest ones they offer)…. After a while they will pay for themselves. Then I did lettering (myself) just had someone print it out. Then I got rid of magnets and made a square sign like my magnet. With more information on them. At every light you WILL SEE ppl taking pictures of them. 🫡then if you have enough funds later down the road get a wrap. But so far almost 4 yrs in with letterings it’s been working for me.

[@pepsilove6306]

The day you start your business. until you can afford a more professional paintjob/ wrap, spend the 15 dollars and get a pack of the 5 inch long big mail box letter stickers from home depot. comes with enough numbers and letters to put your company name and number on both sides of the truck, and pays for itself in a week, this season nearly every new customer has been a "I seen your Van" its cheap enough that even if your truck looks like absolute dooky, ppl will still call. My paint on my van looks like it got attacked by a sand blaster and with the lettering people still call.

[@wilsonbobcatservice4151]

Before business cards. Have got many jobs off truck lettering. Needs to first thing u do.

[@garycavanaugh1877]

One guy popping his collar trying to be cool lol😂

[@Itsoperated]

Did the owner just say that a week after they started mowing the supervisor fell and broke his arm then the supervisor said that two weeks ago he fell on the trailer and broke his arm? Am I hearing that right? If so one where is his cast. Two so they have only been mowing for 3 weeks?

[@Ttow49]

I know guys making 50 a hour and still don't want to go to work

[@underdogspraying]

Somewhat of a gruesome field. Hard to keep quality workers no matter how much they’re paid.

[@ClockworkGFX]

If they're making money and still don't want to work sounds like an issue with the boss.

[@SkidMarkSmeller]

Hey Mike, just started watching your videos a couple hours ago. I’m in the carpet cleaning business, do you think you could help me or other carpet cleaners, a lot of the principles you preach speak to all service industries. I think if you spread your reach you could be the next Grant Cardone of all the service industries, maybe a tv show as well.

[@MikeAndes]

Happy to help if possible. Feel free to free to apply at MikeAndes.com/turnaround We have a bunch more industries coming up on the show that we have recorded ✅

[@robertvannicolo4435]

Where do I start has no business sense but is in business profit margins min of 35 percent Go smaller charge more cater to the good customers in the end less hours same profit

[@steveandstevenslawncare6966]

Man wish he would double down on mowing. And trust by raising rates like he proved it worked. Get more profits then branch off but the foundation there.

[@thomascassidy1]

You mentioned having your labor cost below 50% of your revenue. Is that only for revenue producing employees or is that for non revenue producing employees as well?

[@MikeAndes]

I was referring to LABOR TEAM MEMBERS only

[@underdogspraying]

Hustling backwards

[@Tropicalfrooploops]

How do you earn 30k revenue and no take home. I run a one man show, and take home 50% atleast

[@alexramos2970]

Dang 3 mowers on a SINGLE AXEL? wild

[@pepsilove6306]

alot of crews do that around here and it terrifies me, there trailers do the death wiggle and I stay a good 5 car lengths away.

[@waylonratcliffe]

This video makes me want to lower my prices and take on a bunch of customers with the intentions of raising them later once we’ve proven ourselves.

[@ACG_maintenance]

Hey Mike Andes, what would you do you have maintenance apartments and condos you do work for them like dog parks, artificial grass installation etc. The properties been with the company for quite a while just afraid to demand the money owed because i might lose them not sure, anyways for past 365 days we talking about $96k of money that’s owed on just landscape not maintenance but not from one business itself but few that haven’t paid

[@RiverValleyLandscaping]

Sounds like you might be getting taken for a ride. You sure they aren’t playing the “I thought that was part of the bill” they have been paying? Seems wild to keep servicing maintenance which is low margin and letting a 100k slide like nothing. If you don’t recoup those costs you are basically paying them to service their properties.

[@Beast12369]

Mike the only thing I disagree on is that they need decals on the trucks. I’m from Chicago and more than half of landscapers don’t decal anything, they just fall off in a few weeks anyway

[@chrishayes5755]

1:55 It's literally self-sabotage. Business isn't really the place to make your political statements, especially if you're in NJ around soy liberals. Even if they don't say anything to your face, they'll just get more passive aggressive, complain more, leave bad reviews, cry on reddit about their evil landscaper, etc.

[@junkyardamerica9420]

I disagree I have people all the time see my truck and call the number when we are working (Tree Service)

[@wilsonbobcatservice4151]

U definitely need truck lettered. Looks professional and can bring in many jobs. Atleast 20 times a year people say they saw my trucks. And called.

[@zeroguhravity]

Wait… he didn’t raise prices to $10 per cut… he kept way way too many customers lol.

[@MRosati5000]

I can tell by your truck and trailer what level you're at. This guy a rookie..

[@oraziohall2969]

Are you sure it wasn't the high strung pacing and scratching of the head?

[@peterjanis2455]

He has a lot to learn. Comment at the end killed me about moving into pavers

[@robertvannicolo4435]

Yep, if you dont know how to do it for yourself don't rely on one employee to do it for you ultimately owner has to know if it's done properly an if goes south has to know how to fix it

[@peterjanis2455]

@@robertvannicolo4435100%. I wouldn’t even begin to imagine doing a completely different line of work if I wasn’t an expert myself. Simply can not rely on one person to do something. If he quits you’re screwed and customers will be mad at you, not him. Just business 101. I have nothing to do with landscaping or home services for that matter but it’s so obvious to me. You’re not ready to offer that service

[@morecowbell12341]

Jonathan sounds like Kraglin from Guardians of the Galaxy.

[@kodytrehern7766]

How are they doing 30 a day

[@jglawncare5585]

They could be small yards. Me and my brother do 20- 22 yards some days and we got some pretty sizable yards on that route. Also working till 7 or 8 pm 😅

[@wadebarnes6720]

Play my boss done it and was he paid you to do a job and when you said it was done if he had to go out and pick something we had to pay him what time it took him to fix it are we can go back after being knocked off for today and fix it ourselves either way it had to be fixed that day

[@floridalawncareexpertsllc2817]

Invest in yourself, learn how to run/manage a business. It’s not as easy as social media makes it look. It’s a skill. Good luck

[@davidfrazier7971]

Landscape supervisor needs to go. Now.

[@RussellD11]

What just happened in the Stock Market, esp the SP500??? 5/31/24 @3:45>

[@paulnicholson8524]

120.00 per hour.

[@jont8707]

Managed 16 trucks and trailers and cant change a lawnmower belt yeah ok dude 😂

[@happyman5389]

Mike all money is blue 😂

[@Arykperry]

That employee needs to be let go yesterday. He knows everything , he’s done everything , but is applying nothing……………. Because he’s full of poops !!!! Could be the fact he’s broken every bone in his body landscaping. World’s most dangerous landscaper !!!!!

[@paulnicholson8524]

I'd fire Jonathan.

[@ajmulvey7079]

I wouldn't hire someone I couldn't communicate with

[@GlitterPoolParty]

Look at negative reviews as an opportunity to improve. Reply professionally to all negative reviews. Thank them for their feedback and highlighting an area that your team can work on. Also, reward all your 5 star reviewers with a $5 coupon slipped into their invoice. Add a thank you note on the back of the coupon with the date of their review. Let the customer choose to retrun the coupon and deduct the amount from their check.

[@prophetak4574]

So hed done it all already and hes broken every bone in his body?! 😂

[@discovery2727]

If only four customers left you are still to cheap. Raise the prices till 20-30 percent of your customers leave. That is where money is hiding

[@collincollin123]

John just seems like a dude that’s full of bs lol

[@paulnicholson8524]

Red flag

[@yakimawindowwashing]

Spanish is not that hard to learn dude use Google translate for like trim bush, and then write them all down and have a cheat sheet so whenever u make a video do a quick voice over in Spanish and your done

[@ReaperMF1]

Forreal bro..

[@jerrodg938]

I'm not a business owner. But this guy got to many employees and to much money going out and not enough coming in

[@jeffreys.harris3433]

Come on, guys, give John a break he could be working for a multi-million dollar company.. he's taking a risk working for this company Lol 😆

[@stevenmarkeveys864]

Change up the uniforms. Colors are good...skinny jeans, not so much. 75%of your clientele is Gen-x 95%of gen-x do not care for skinny jean guys.😅Js! Sadly, it takes away from contractor professionalism. We as people shouldn't judge...but,,,unfortunately do😂 he is dead on woth the personal pickup truck look. You want to go clean a gutter here and that works but hundreds of customers...nah.

[@xbebe]

Mann I’ve been thinking I should be the las Vegas Augusta location but god damn do I rather have my own name as my company. Lol

[@zeroguhravity]

You coulda kept that thought inside your head..

[@xbebe]

@@zeroguhravity no still can’t :( I saw the map in the beginning that’s why you negative Nancy

[@MaidensRag]

I wont lie these guys talking about mowing 20-30 tiny lawns in a smal residential area would break down and cry if they tried to mow properties that are on the lake sides in northern wisconsin/michigan. Yall are mowing quick little flat lands that take 10-15 minutes each.

[@stonemullins9602]

Algorithm

[@stephencowley8585]

" John Wayne" on a 0 turn lol not trying to be mean just seen that dude being to much for himself since the beginning of the video

[@bigdog0149]

Broken arm dude needs to go.

[@SlickStickyy]

Manager has week bones and maybe just naturally drunk all the time

[@youngbull66e51]

What’s up with the supervisor having a confederate flag on his truck. At 1:56. Trying to run a successful business and you allow stuff like that. Super weird.

[@ajmulvey7079]

Better than blue line flag

[@ethanking4954]

Did you watch the video on mute ?

[@LawnCareLady]

It's called integrity. Being unafraid to express your closely-held beliefs. Last time I check it is a free country;)

[@user-mo9mf3qs8j]

This is crap

[@Blessmydds]

He’s got guys with the pickaxe chilling no urgency