How The '50% RULE' Will Instantly Raise Your Profit Margins In Your Landscaping Business

How The "50% RULE" Will Instantly Raise Your Profit Margins In Your Landscaping Business

#landscapingbusiness #keithkalfas #landscapingprices

[keith-kalfas]

A 50% Gross Profit. So if it's a $1, 000 job. And you make $500 gross profit. Then You'll have a 50% gross profit margin.

[ryansilva]

I heard Keith saying this in an old video and it’s the only way I do quotes. I made 100k this year at 18. Thank you Keith!!

[paradise]

Never be afraid to price out a job higher then your gut is telling you too. For unseen issues that arise. I’ve been a landscape/ hardscaper for 37 years and when I price jobs Before I give the customer the price if I second guess my self what I should price and my gut feeling is to go higher so I do. It’s works all these years😊 Don’t fix what’s not broken. Have a Merry Christmas from Canada🤗

[punisher]

Can't argue this, every legit service business is entitled to make these type of profits. My first rule in business, and I never strayed from this rule is, remember how it feels to starve during the good times. Happy holidays Keith!

[gabrielgarcia-etcv]

I read most of this on this book called " The professional landscapers handbook " by Greg Micheals. And there's another book called "how to price landscape and irrigation projects " by James R Huston. I really recommend these books to all the people who want to take it to the next level.

[RayWilliamJohansen]

I'm getting better at pricing simply because I've gained confidence in myself to do a good job AND listening to your advice. Next year I pray and hope that things get better.

[fitlyfe]

I don’t know where I’ve heard this before but it was something I learned a long time ago as well. But on smaller jobs I’ll usually do x.35 but on big jobs x.50 is actually quite necessary because there’s always something unexpected (not always but yeah)

[alanmccormack]

I heard this early on from either you or dirt monkey. For me, I do 1 estimate with cost plus how long ”i think” it will take. Then i do 1 at exactly 50% and compare those 2 numbers and go with whatever makes me feel more comfortable.

Also Nice to see you getting back to these “old school” videos this year. Keep it up brother!

[JT-mjud]

Kieth, this perfect!!! I literally charge $150 an hour for leaf cleanups . That $150 an hr puts me at 60% profit.. It's all about knowing your worth and knowing that there are hardly anyone else out there that will show up when it's 39 degrees and a light drizzle. It's Freaking Christmas week and we are still slammed with more work than I can handle . 6 full time employees is not enough.

[DubNallMusic]

This guy can take your business from zero to 5 zeros really fast if you pay attention.

[zia]

Iam not mowing as much anymore soooo uploading daily is a must from you please

[vsetix__]

My #1 rule when dealing with things like waiting on invoices or replyes etc. ALWAYS assume incompetence BEFORE ignorance

[EMTevjorgensen]

Thank you Keith for preaching what should be all of us Contract workers Gospel.

[kauabarros]

Thanks again from Hawaii, all these videos are helping me with my start up business. I don’t know what I don’t know and these vids are helping me structure the business and prepare mentally. 🤙🏾

[hillislawnlandscape]

Best advice you have ever given!!! It changed my business overnight.

[kevinmartin]

Ya stated this a while ago also. I've used this when installing mulch. Whatever the cost of the mulch was I doubled the price of the mulch for install. And have always done good.

[AjSimmonsOnline]

ALL FACTS! Same exact thing in commercial cleaning

[TheJonesFarm]

Thanks for this one! It’s always a struggle figuring out correct pricing. At least for me and my company it is. Know what your worth and stick to it!

[matthewac]

Good advice, to bid competitively you should be somewhere around 50% GP. Too many contractors have no clue what is involved in the bidding process which is why when bidding residential work, the customer thinks you are being greedy because your price is double, in reality the other contractors are making absolutely no profit. The end result is an abandoned job, the contractor has to pull loans every month, or they are out of business before learning.

[AndrewOborny]

I usually work by myself or with my dad and last year i started bidding jobs with a day rate. Because estimating the amount of time things take is the hardest part. So if i think a job will take 3 days i add materials+ $3000 for 3days of labor.