The global landscaping and gardening services market is expected to expand by $79 billion in 2021, making it a haven for opportunities among those who are interested in starting a business in this industry. North America alone is set to account for 37% of the market share. If you have been contemplating when you should start a landscaping business, now is the right time.
One of the key factors to consider is your capital expenditure. Landscaping equipment can be expensive, and you need to be prepared with enough funds to ensure that you have the basic machines to get started. Equipment financing companies like Charter Capital can take that burden off and help you complete your landscaping equipment list, so you can focus on what matters most: marketing and growing your business.
To give you an idea of how much you need to invest in tools for your landscaping business, read on.
Landscaping Equipment List & Costs
Below is a list of the typical equipment that full-service landscaping companies have and their price ranges. This should give you an idea of which tools you want to start with based on your business’ focus and budget.
- Commercial lawn mower ($1,000 to $3,000)
- Blowers, edgers, and trimmers ($200 to $500 per tool)
- Sprayers and spreaders ($30 to $100 per tool)
- Tools for digging, cutting, measuring, marking, grading, etc. ($5,000 to $7,000)
- Safety equipment, including protective gloves, face masks, goggles, earmuffs, and vests ($500 to $2,000)
- Vehicle to transport equipment to the site ($25,000 to $36,000)
- Utility trailer for hauling heavy equipment (optional) ($800 to $5,000)
- Dump truck ($15,000 to $100,000)
- Compactor ($200 to $2,000)
- Bulldozer ($10,000 to $100,000)
- Backhoe ($10,000 to $70,000)
- Storage space for your tools and machines ($1,000 to $2,500 to build yourself, or $50 to $200 per month to rent)
Other factors that affect your initial investment include permits and licenses, insurance, fuel, and labor. If you’re starting a landscaping business that performs small-scale yard work, you can probably get started with $25,000, but if you’re going to deliver multiple services for as many clients, be prepared to shell out around $150,000 to set you up comfortably.
How to Set Up a Landscaping Business
Because establishing a landscaping and gardening business requires a large capital, you have to make sure that you go through all the necessary steps to ensure that it operates with minimal to zero hitches. Here’s a step-by-step guide.
1. Research what it takes to start a landscaping business.
Landscaping work requires technical skills and know-how. You might not have the talent for it yourself, but you should understand how everything works and know where to get resources when the time comes. Being adept at it yourself is a huge factor, of course, but many landscape business owners have managed to thrive as long as they have the right equipment and team.
2. Prepare your business plan and structure.
How do you want to run and grow your company? What are your short-term and long-term goals? What is your management plan and service line? Where will you get the money to get started and continue operating it? These are some of the questions you should answer in your business plan.
3. Register your business and file the required paperwork.
Check state-specific requirements when it comes to setting up a landscaping business. Some locations require a business owner to have a landscape contractor’s license before they can perform anything. Others don’t require a license but need a minimum number of hands-on professional hours to be approved.
4. Apply for financing.
Once you have the green light to start your landscaping business, it’s time to bring out the funds to purchase the items on your landscaping equipment list. Because of the high cost of many of these machines, applying for equipment financing is a practical and smart idea. This way, you can allocate more of your funds to launching marketing campaigns, hiring skilled professionals, and other strategies that will help you grow your business.
5. Set up your office and hire staff.
Choose a location that’s accessible and, if possible, have enough space to store your landscaping tools and equipment. Hiring skilled and experienced professionals is also crucial and can save you from costly work mistakes.
6. Get insured.
Getting insurance coverage is a given, no matter how careful you or your staff think you are. Accidents can happen at any time and any place, so it’s always best to be prepared.
7. Promote your opening and get started.
Now that you’re done setting up your landscaping business, it’s time to get the word out and promote it aggressively via traditional and online means.
Starting a landscaping business requires a lot of work and a considerable investment, but the gains from operating it well will eventually outweigh the costs as your business grows.
Get Started on the Right Foot with Charter Capital
The equipment and tools for a landscaping business are pricey, but finances will no longer be an issue when you have the right financing partner to help you every step of the way. Charter Capital prides itself on helping small businesses become big ventures through our affordable equipment financing products and services.
We have been in the financing and leasing industry since 1977, so we understand the challenges that small business owners encounter as their businesses thrive. We are committed to seeing you succeed and offer equipment and technology leases and loans of up to $1,000,000. Contact us today to learn more about how we can help you.