Are you thinking of starting a landscaping business? If so, you’re likely wondering how much money you can make. We’ll break down how much landscaping companies make as well as how much landscape owners earn.
How Much Do Landscaping Businesses Make?
The revenue of a landscaping business depends on the size of the company and the services it provides. Landscaping businesses can range from small, one-person operations to large companies with hundreds of employees.
The average revenue for a small landscaping business is $31,200 per year. The average revenue for a medium-sized landscaping business is $215,600 per year. The average revenue for a large landscaping business is $2.6 million per year.
Factors that determine profit potential are:
- The number of clients
- The price of services
- Operating costs
According to IBISWorld, the profit margin for landscaping businesses is 5.5%. This means that for every $100 in revenue, the company makes $5.50 in profit. Therefore, a small landscaping business with annual revenue of $31,200 would have a profit of $1,718. A medium-sized landscaping business with annual revenue of $215,600 would have a profit of $11,848. And a large landscaping business with annual revenue of $2.6 million would have a profit of $142,800.
How Much Do Landscape Owners Make?
The salary of a landscape company owner depends on how much revenue the company takes in.
According to Zip Recruiter the average salary for a landscape owner as of August 2022 is $73,201 per year. The salary range for the majority of landscape owners ranges from $31,500 to $86,000 per year though the top earners make $151,000+. The average sale for a landscape manager is $64,630 per year (base pay of $52,444 plus additional pay of $12,186). Landscape managers annual salary in the U.S. ranges from $38,240 to $80,000+ per year.
Factors that determine salary potential are:
- The size of the company
- The location of the company
- The experience of the landscape owner or manager
As already mentioned, company revenue impacts the owner’s salary. For example, the owner of a small landscaping business with annual revenue of $31,200 would likely earn a salary at the lower end of the range, while the owner of a large landscaping business with annual revenue of $2.6 million would likely earn a salary at the higher end of the range.
Logically, owners of small landscaping businesses typically earn less than owners of large businesses. This is because small businesses have lower revenues and profit margins. Owners of landscaping businesses in rural areas also tend to earn less than those in urban areas. This is because there is less demand for landscaping services in rural areas.
Putting It Together
So, how much do landscaping companies & owners make? Landscaping businesses can vary greatly in size and location, which means that their revenue and owner salaries can also vary greatly. However, the salary outlook for landscape business owners is good, and the profit potential is high. If you’re thinking about starting a landscaping company, it could be a good financial decision for you.
Conclusion
To sum it up, how much money landscaping businesses make depends on a number of factors. However, with a solid business plan and some hard work, owning a landscaping business can be a very profitable endeavor.