Setting a budget for your business

[Bulldog26]

I'm finishing my first year in the business part-time (27weekly) and I feel all the money coming in is going right back out. I want to set up a budget that will inclued all the expenses, taxes, some money for me and a fund for new equipment. I"m sure the experianced ones in this feild do this. Tell me how to do this please!!!

Second question: What would you do? I"m mowing this year with a Cub Cadet 48" Tank (ztr), and I feel I need to do one of two things. I need to upgrade to larger machine with a bagging unit or sick with the machine I have now and buy a bagging system. I do mostly one acer and under residental lawns that need to be bagged once a mounth or so. Thanks for any help you can give me on these two issues.
bt

[Bulldog26]

Nothing for me on this guys?

[Mr.Mow-It-All]

I'm finishing my first year in the business part-time (27weekly) and I feel all the money coming in is going right back out. I want to set up a budget that will inclued all the expenses, taxes, some money for me and a fund for new equipment. I"m sure the experianced ones in this feild do this. Tell me how to do this please!!!

Second question: What would you do? I"m mowing this year with a Cub Cadet 48" Tank (ztr), and I feel I need to do one of two things. I need to upgrade to larger machine with a bagging unit or sick with the machine I have now and buy a bagging system. I do mostly one acer and under residental lawns that need to be bagged once a mounth or so. Thanks for any help you can give me on these two issues.
bt

Well what I do is I put all income from lawncare in my DBA Mr. Mow-It-All account. I use a debt card for all purchases (fuel, parts, repair etc.), and make my payments for my truck and mower out of the account.

I get paid 40 weeks out of the year. I put away xx amount for truck and equipment replacement.

I would recomend if you are small (capital) to set up an emergancy fund for you business (also need one for personal but that is a different topic). this amount depending on you should be at least $750-1,000. You can either keep this seperate or just keep it in your business account. I always just keep at least 2-3k in my business checking account. (it may take you a year or so to get to that point.)

It may take a while to fund all of your accounts before you can pay yourself. 40 week of the year I put all income in this account, dvide how much I want per year (12 months) and pay myself year round out of the account.

I hope this helps a little. bit of a hurry so I probably forgot some things.

Good luck

[Bulldog26]

Thanks, real good advice! Sound a little like Dave Ramsey. That's a good thing.
bt

[Mr.Mow-It-All]

Thanks, real good advice! Sound a little like Dave Ramsey. That's a good thing.
bt

"Live like no one else, so later I can live like no one else"

[Bulldog26]

"Live like no one else, so later I can live like no one else"

You got it!!!!!!!!

2nd week of classes here, tonight.
bt

[titanfan694]

Dave Ramsey

I have been on his plan for 5 years. I am debt free and looking around this site to get an idea of the equipment needed because I will be starting my business debt free, and dont want to buy too much or too little equipment.I am ready to live like noone else let me tell ya' .

[Bulldog26]

I"m with ya thier titanfan!! I started this bus. part time because of him telling people to find a way to increase you income. And wow... has it. I can't wait to be where your at. Good luck with the bus. hang out here and read as much as you can. If thier is anything I can help you with send me a PM. Thanks
bt

[Mr.Mow-It-All]

I"m with ya thier titanfan!! I started this bus. part time because of him telling people to find a way to increase you income. And wow... has it. I can't wait to be where your at. Good luck with the bus. hang out here and read as much as you can. If thier is anything I can help you with send me a PM. Thanks
bt

same here. went through fpu last year, had already started doing the lco but after his classes is when i started living like no one else and realy upped my business. this time next year I will be DEBT FREE!!

Start slow and do good qaulity work. Basic items needed:

1. Commercial trimmer ($250-350)
2. Commercial blower, preferably backpack ($350-450)
3. A 21" back up/trim mower. ($300-400)
4. Your main mower is totaly up to what kind up properties you do around
there. commercial walk behind mower 36"-48" (3-5k new, 1.5-3k used)
and or 52"-60" zero turn rider 6-9k.
5. trailer, good all around size 6X12 (probably about 1,000)

The main thing is to get the things you can afford, but you get what you pay for, and Always stay with the commercial equipment. I do use a 21" home owner mower that works great for me, but I only use probably 25 hours a year. All your main equipment should be commercial equipment only!

[Bulldog26]

It's great to hear other people that have already done it, in a similar sittuation as myself. Finished class number two last night and sitting down and doing a full budget this week for home. Have you guys ever done some type of system like the envelopes for you business? Thought I might try it for gas, new equipment, taxes, repairs and income. Income would be held until then next billing cycle for unxspected cost. If not used I could take it as income/debt snowball. Do you think I should add anything to this? Thanks for the help and encouragment.
bt