Learning how to start a landscaping business isn't just about knowing how to cut grass and plant flowers. The landscaping industry is booming, and the landscape services industry makes billions in revenue each year, but success comes from understanding that this is first and foremost a business - one that happens to involve plants, equipment, outdoor work, and maybe most critically other people.

Here's what we've learned after decades in this industry: most people focus on the wrong things when starting their own business. They obsess over buying the perfect equipment or creating elaborate service menus before they've figured out the basics. Meanwhile, the fundamentals that actually determine success (proper business structure, talented team members, realistic pricing, and reliable systems) get treated as afterthoughts.

The reality is that landscaping businesses can be started with as little as a few hundred dollars if basic tools are already owned. But having money isn't what makes you successful. Having the right approach does.

This guide walks through what actually matters when starting a landscaping business, based on what we've seen work (and fail) across hundreds of companies we've worked with. Understanding what makes a landscaping company successful means recognizing that business foundations prevent most of the headaches that kill new landscaping companies before they get started.

Understanding What You're Really Getting Into

Before we dive into how to start a landscaping business, let's be honest about what starting a landscaping business actually looks like.

Grunder-9-2

The good news: homeowners are investing more in outdoor spaces and businesses want to improve their curb appeal. Commercial clients often provide regular work and bigger invoices in landscaping, and residential customers who trust you become incredibly loyal.

The challenging news: this is physically demanding work with seasonal cash flow swings, equipment that breaks down at the worst times, and customers who expect perfection while sometimes paying slowly. Weather doesn't care about your schedule, and good employees can be hard to find and harder to keep.

But here's what separates successful landscaping businesses from those that struggle: the successful ones treat this like a real business from day one. They understand their numbers, document their processes, support their people, and focus on building systems that work whether they're there or not.

Deciding What Landscaping Services You'll Offer

The first step to starting your own landscaping business is deciding what landscaping services you will offer. This decision affects everything else - your equipment needs, licensing requirements, pricing structure, and target customers.

Most new landscaping businesses make the mistake of trying to offer everything immediately. They list lawn care, landscape design, hardscaping, tree work, and snow removal on their website before they've successfully completed a single project in any category. This approach usually leads to inconsistent quality and confused marketing.

Foundation Services Progression

Start with reliable services, then expand strategically

1
Foundation Services
Lawn maintenance, mowing, trimming, cleanup
2
Seasonal Services
Spring cleanups, leaf removal, basic projects
3
Enhancement Work
Mulch installation, flower beds, plantings
4
Specialized Services
Pest control, fertilization, irrigation systems

Foundation Services

Start with what you can deliver reliably and consistently:

Lawn maintenance and care is a low-cost entry point for starting a landscaping business. Basic mowing, trimming, and cleanup services provide steady income while you learn how to run the business side of things. These services also give you regular touchpoints with clients, creating opportunities to build relationships and identify additional needs.

Once you've mastered basic maintenance, logical expansions include:

  • Seasonal services: Spring cleanups, leaf removal, basic landscaping projects

  • Enhancement work: Mulch installation, flower bed maintenance, simple plantings

  • Specialized services: Depending on your market and interests, specialized services can include pest control, lawn fertilization, and organic gardening

Landscape Design and Construction Services

Landscape Design

Landscape design represents a natural progression as you develop expertise and client relationships. Design services can range from simple planting plans to comprehensive property makeovers. Many clients who trust you for maintenance will eventually want design work, creating opportunities for higher-value projects.

Garden design

Garden design focuses specifically on creating functional and beautiful planted areas. This might include flower gardens, vegetable gardens, or specialized plantings for specific conditions. Garden design often appeals to homeowners who want personalized outdoor spaces that reflect their lifestyle and preferences.

Creating Your Business Plan

Here's the truth about successful business plans for landscaping companies: you don't need a 50-page document that sits in a drawer. You need a clear understanding of your market, your numbers, and your path forward.

Landscaping project featuring plants and a mini skid steer

A business plan is essential for clarifying your services, pricing, and financial projections when starting a landscaping business. But the best landscaping business plans we've seen focus on practical questions:

  • Who are your ideal customers? Not everyone who owns property. Be specific. The most successful landscaping companies start by defining what their win looks like for their specific situation and goals, then identify customers who align with that vision.

  • What will you charge? While new landscaping operators might start around $30-$50 per hour, established companies typically charge significantly more based on service type:

    • Maintenance: $60–$75/hr

    • Enhancements: $75–$95/hr

    • Design-Build/Install: $90–$120/hr

    • Irrigation: $80–$100/hr

    • Snow removal: $150–$200/hr+

    Regardless of where you start, your pricing needs to cover your true costs plus profit. Don't guess at this - calculate what you need to charge based on your actual expenses and the value you provide.

  • How will you find customers? Word-of-mouth marketing is the best in hyper-local markets, but you need a plan for generating that first batch of satisfied customers who will refer others.

  • What are your financial projections? Not fantasy numbers, but realistic expectations based on your market research and service capacity. Factor in seasonal fluctuations - most landscaping revenue comes during peak growing season.

  • How will you handle growth? When you're successful, you'll need more equipment, possibly employees, and definitely better systems. Plan for this instead of scrambling when it happens.

The companies that thrive long-term are those that revisit and update their business plan regularly. What works at startup changes as you grow. One thing we always remind growing companies: What gets you to $1M in revenue is saying yes, but what gets you beyond $1M is saying no. As your company grows, you'll have to better manage your time, resources, and client list to be successful.

Choosing Your Business Structure

For landscaping businesses, the two most recommended structures are LLCs and S Corporations. While sole proprietorships are simple, they leave your personal assets completely exposed to business risks.

  • Limited Liability Company (LLC): Protects personal assets from business liabilities while maintaining tax simplicity. Most landscaping businesses benefit from LLC structure because it provides protection without the complexity of other corporate structures.

  • S Corporation: Offers liability protection plus potential tax savings on self-employment taxes as your business grows. It can be particularly beneficial when you have significant profits or employees, though it requires more paperwork and formalities.

  • Sole Proprietorship: While the simplest option, it offers no liability protection. If someone gets hurt on a job site or equipment damages property, your personal assets are at risk. Generally not recommended for businesses with inherent liability risks like landscaping.

If you're going to do it right from the start, choose either an LLC or S Corporation structure. Both provide essential liability protection that sole proprietorships lack. It's much easier to establish proper protection initially than to restructure later when you have customers, employees, and established systems.

Setting Up Your Business Bank Account

Setting up a business bank account is necessary for managing finances, paying taxes, and tracking business expenses. This isn't optional - mixing personal and business finances creates tax headaches and eliminates liability protection.

Choose a bank that offers business-friendly services with reasonable fees and good online banking capabilities. You'll be making frequent deposits and writing checks to suppliers, so convenient access matters.

When opening your account, you'll need:

  • Your business registration documents

  • Employer Identification Number (EIN)

  • Initial deposit (usually minimal)

  • Personal identification

Many banks offer additional services like business credit cards, equipment financing, and merchant services for accepting credit card payments. Establish these relationships early - they become valuable as you grow.

Getting Your Employer Identification Number

It is crucial to get a federal Employer Identification Number (EIN) when starting a business that will hire employees. But you need an EIN even if you don't plan to hire employees immediately - it's required for business banking, tax filing, and many vendor relationships.

Getting an EIN is free and straightforward through the IRS website. Don't pay companies that offer to get your EIN for you - it's unnecessary.

Choosing Your Business Name

Selecting the right business name should balance memorability, professionalism, and what will work in your local market. Avoid names that are too generic or too limiting if you plan to expand services beyond basic lawn care.

Check name availability with your state's business registry and ensure the corresponding domain name is available for your website. Consider how the name will look on trucks, business cards, and uniforms, as well as how easily clients can remember and refer it to others.

Many successful landscaping companies use the owner's name combined with "Landscaping" or "Lawn Care," which builds personal accountability and trust with clients. Once you've selected a name, register it as part of your structure filing to secure legal rights to use it in your area.

Understanding Business Insurance Requirements

Business insurance isn't just a good idea - it's essential protection against the risks inherent in landscaping work. In most states, general liability insurance is the most important type of insurance for landscaping businesses.

Landscaping employee in a safety vest preparing to drive a truck for their landscaping business

General Liability Insurance: Protects against property damage and injury claims. This covers situations like accidentally hitting a sprinkler head while mowing or a client slipping on wet pavement after you've worked on their property. If you'll also be offering snow and ice removal services, ensure your policy coverage applies to slip and falls during and after treatments.

Commercial auto insurance is necessary for any vehicles used in a landscaping business. Personal auto policies typically exclude business use, leaving you without coverage when you need it most.

Workers' compensation insurance is required in many states regardless of whether a landscaping business has employees or not. Even if you're operating solo initially, check your state requirements - some states require coverage for business owners.

Additional coverage to consider includes equipment insurance (protects your mowers, trimmers, and other tools) and professional liability insurance if you offer design services or landscaping advice.

Work with an insurance agent who understands the landscaping industry. They can help structure coverage that protects your specific operation without paying for unnecessary protection.

Obtaining Proper Licenses

Landscapers may need to obtain various licenses and permits depending on their services and state regulations. Licensing requirements can vary significantly from state to state, impacting what is needed to start a landscaping business.

  • Basic Business License: Most areas require a general business license for commercial operations. Check with your city or county offices for local requirements.

  • Contractor License: Some states require landscaping contractors to be licensed, while others have minimal requirements for basic maintenance services.

  • Specialized Licenses: Some states require landscapers to hold specific licenses for services like irrigation or pesticide application. If you plan to apply fertilizers, pesticides, or install irrigation systems, research these requirements early - some require testing and ongoing education.

Don't assume you can add licensed services later without planning. Some licenses require apprenticeship periods or specific experience requirements.

Investing in Landscaping Equipment

Startup costs for a landscaping business can be minimal if you focus on essential equipment such as a lawnmower, trimmer, and leaf blower. Don't make the mistake of thinking you need the most expensive equipment to get started. You need reliable equipment that can handle daily commercial use.

Essential Starting Equipment

Focus on reliable tools that handle daily commercial use

Commercial Mower
Residential mowers can't handle daily commercial use
String Trimmer & Edger
For detailed work around plants and hardscaping
Leaf Blower
Essential for cleanup and efficiency
Hand Tools
Quality pruning shears, shovels, rakes
Safety Equipment
Hearing protection, safety glasses, first aid
Reliable Vehicle
Pickup truck with trailer or cargo van
Buy quality tools that will last, but don't overextend financially before you have steady income

Essential starting equipment includes:

  • Commercial-grade mower: Residential mowers can't handle daily commercial use and often void warranties

  • String trimmer and edger: For detailed work around plants and hardscaping

  • Leaf blower: Essential for cleanup and efficiency

  • Hand tools: Quality pruning shears, shovels, rakes

  • Safety equipment: Hearing protection, safety glasses, first aid supplies

Vehicle considerations: You need reliable transportation for equipment and supplies. A pickup truck with trailer provides flexibility and professional appearance, but a cargo van might work for smaller operations.

Buy quality tools that will last, but having the right mindset on equipment purchases means not overextending financially before you have steady income. Many successful companies started with used commercial equipment and upgraded as revenue grew.

Developing Your Pricing Strategy

Charging flat rates for services is often the best pricing strategy in landscaping. Customers appreciate knowing exactly what they'll pay, and flat rates simplify your billing and scheduling.

Pricing Strategy Calculation

Build your rates from actual costs, not guesswork

Labor (including benefits/taxes) $XX
+
Equipment & Depreciation $XX
+
Fuel & Transportation $XX
+
Insurance & Licensing $XX
+
Business Overhead $XX
+
Desired Profit Margin $XX
Your Hourly Rate $XX/hour
Remember: It's better to charge appropriately and serve fewer customers well than to price too low and struggle financially.

But your flat rates need to be based on real numbers, not guesswork. Calculate your actual costs including:

  • Labor (including benefits and taxes if you have employees)

  • Equipment costs and depreciation

  • Fuel and transportation

  • Insurance and licensing fees

  • General business overhead

  • Desired profit margin

Many new landscaping businesses underprice their services and end up working harder for less money. It's better to charge appropriately and serve fewer customers well than to price too low and struggle financially. A company that is doing $100,000 in revenue at a 20% profit margin takes home the same amount of money as a company that does $200,000 in revenue at a 10% profit margin.

Seasonal contracts are a reliable way to ensure steady income for landscaping businesses. These contracts provide predictable income for you and peace of mind for customers who want consistent service.

Finding Your First Customers

Creating a successful landscaping business is almost easy if you simply answer the phone when your customer calls. But first, you need to generate those calls.

Landscaping project featuring pants like cana lily, impatiens, sunpatiens, and other plants

Start local: Your first customers should be geographically concentrated. It's more efficient to service ten properties in two neighborhoods than ten properties scattered across the city. In the industry, we call this route density.

Network in your target areas: Claiming and completing a Google Business Profile helps you show up when someone Googles 'lawn care business near me.' But don't rely solely on online marketing initially.

Direct outreach works: Door-to-door marketing with doorhangers remains effective in the landscaping industry, particularly for residential services. Professional appearance, clear service explanations, and competitive pricing can generate immediate opportunities.

Leverage existing relationships: Start with friends, family, and neighbors who can provide initial projects and testimonials. These relationships often lead to referrals within their networks.

Partner strategically: Building partnerships with realtors can help boost curb appeal for homes being sold. Garden centers, hardware stores, banks, interior designers and decorators, and other related businesses can provide referral opportunities.

Social media presence: Facebook and other social media can increase your search visibility on Google while showcasing your work to potential customers.

The key is focusing on getting a few satisfied customers rather than trying to market to everyone at once. High-quality service sets you apart and earns trust, leading to more clients through referrals.

Hiring Landscapers: Building the Right Team

When you're ready to hire landscapers, focus on finding people who can represent your business professionally. In landscaping, your employees interact with customers regularly and work on their properties when you're not there.

The grunder landscaping employees taking a group photo, everyone wearing safety vests

Look for candidates with:

  • Physical ability to handle demanding work

  • Reliability and punctuality

  • Willingness to learn your specific procedures

  • Professional appearance and communication skills

Landscapers should have knowledge of plants, pests, animals, and business skills to succeed, but don't expect to find employees with every skill immediately. Many successful companies hire for attitude and work ethic, then provide training on technical skills and customer service standards.

Provide clear job descriptions, competitive compensation, and growth opportunities. The landscaping and lawn care industry has high turnover, but companies that invest in their employees see better retention and performance.

Managing Your Operations

Investing in business software can help automate tasks like invoicing and payroll in a landscaping business. As your business grows beyond a basic lawn care company, consider investing in landscaping business software designed specifically for the industry. Software like Aspire helps manage customer relationships, create professional proposals, schedule crews efficiently, and track job costs accurately.

Most new landscaping businesses can start with basic accounting software and simple scheduling systems. However, once you're managing multiple crews, handling design projects, or tracking detailed job costs, specialized landscaping software becomes valuable for maintaining organization and profitability. But don't overcomplicate things initially - start with systems that solve your biggest problems.

Essential operational systems include:

  • Scheduling: Efficient routing reduces travel time and maximizes productive hours

  • Customer communication: Proactive communication about service schedules, weather delays, and completed work

  • Quality control: Consistent service delivery builds reputation and reduces customer complaints

  • Financial tracking: Understanding your true costs and profitability by service type

Equipment maintenance: Develop preventive maintenance schedules for all equipment. Equipment failures cost money in multiple ways: repair costs, downtime, and lost productivity.

Safety procedures: Document and train on safety procedures for equipment operation, chemical handling, and job site safety. This protects your employees and reduces insurance liability.

Growing Your Business Sustainably

The temptation when starting a landscaping business is to take every job offered and add every service requested. Resist this temptation. Sustainable growth comes from doing core services exceptionally well before expanding.

Focus on customer retention: Encouraging referrals can be done by offering discounts for repeat clients who send friends your way. It's much less expensive to keep existing customers happy than to constantly find new ones.

Build systems before scaling: Document your procedures so new employees can deliver consistent results. Create quality control processes that ensure reliable service delivery.

Monitor your finances: Keep an eye on the key metrics like profit margin by service type, customer acquisition costs, and seasonal cash flow patterns. Understanding these numbers helps guide pricing and growth decisions.

Expand strategically: When you're ready to grow, add services that complement your existing expertise and serve your current customer base. Don't add services just because customers ask for them - add services you can deliver profitably and consistently.

Managing Seasonal Challenges

Landscaping businesses face predictable seasonal challenges. Plan for these instead of just reacting to them.

Cash flow management: Most landscaping revenue comes during peak growing season. Build cash reserves during busy periods to cover slower winter months.

Seasonal Cash Flow Management

Plan for predictable revenue peaks and valleys throughout the year

SPRING
HIGH
Cleanups, plantings
SUMMER
PEAK
Regular maintenance
FALL
MED
Leaf removal
WINTER
LOW
Snow removal
$
Build Cash Reserves During Peak Season
Save money during busy summer months to cover slower winter periods
Schedule Equipment Maintenance Off-Season
Plan major repairs and purchases during slower winter months
👥
Develop Employee Retention Strategies
Consider snow removal or indoor work to maintain year-round employment
📋
Structure Seasonal Contracts
Create contracts that provide steady income throughout the year
Key Insight: Most landscaping revenue comes during peak growing season - plan for this instead of just reacting to seasonal changes.

Equipment planning: Schedule major equipment maintenance during off-season when crews are less busy. Plan equipment purchases and replacements during slower periods when you have time to research options.

Employee retention: Develop strategies for keeping good employees during slow periods. Some companies offer snow removal services, equipment maintenance work, or indoor projects to maintain year-round employment.

Service adjustments: Seasonal contracts provide predictable income and build long-term customer relationships in landscaping. Structure these contracts to provide steady income throughout the year.

Common Mistakes to Avoid

Based on what we've seen across hundreds of landscaping companies, here are the most common mistakes that kill new businesses:

Common Mistakes to Avoid

Learn from what kills new landscaping businesses

!
Underpricing Services
Trying to win work by being cheapest leads to financial problems
!
Overextending Geographically
Scattered properties increase travel time and reduce efficiency
!
Poor Cash Flow Management
Not planning for seasonal fluctuations and slow-paying customers
!
Inadequate Insurance
Trying to save money on coverage only to be unprotected when needed
!
No Systems or Documentation
Operating on informal procedures that only work when you're present
!
Hiring Employees Too Quickly
Adding staff before having steady work or management systems
Success Tip: Companies that avoid these mistakes and focus on building solid foundations typically see steady growth and long-term success.

Underpricing services: Trying to win work by being the cheapest option leads to financial problems. Price your services to make a profit, not just to win bids. You need profits in order to invest back into the business when you need new equipment, additional team members, or a new workspace.

Overextending geographically: Servicing properties scattered across a wide area increases travel time and reduces efficiency. Build density in specific areas before expanding your service territory.

Poor cash flow management: Not planning for seasonal fluctuations and slow-paying customers. Develop payment terms and collection procedures before you need them.

Inadequate insurance: Trying to save money on insurance coverage only to discover you're not protected when something goes wrong.

No systems or documentation: Operating on informal procedures that only work when you're personally involved. Document your processes so others can maintain quality standards.

Taking on employees too quickly: Hiring employees before you have steady work to support them or systems to manage them effectively.

Ineffective contracts: Not getting agreements put in writing only to find that you can't enforce the agreement when a customer doesn't pay, a subcontractor doesn't deliver, or a former employee tries to leave with your client list.

The companies that avoid these mistakes and focus on building solid foundations typically see steady growth and long-term success.

If you'd like to see how we manage equipment procurement, maintenance scheduling, and fleet operations at a working landscaping company, join us for one of our GLC Field Trips. You'll tour our shop, see our equipment systems in action, and learn directly from our team about the equipment decisions that have helped us scale our landscpaing business efficiently.

About The Grow Group

We started with a simple belief: the best business advice comes from people who are still doing the work.

Led by Marty Grunder, The Grow Group helps landscapers clarify their platform, grow their people, build their processes, and realize profits. We can help because we've been there - our team is still actively involved in the day-to-day operations of Grunder Landscaping, and we've helped hundreds of landscape pros across the country with their businesses.

We don't just share theories and ideas. We share tactics we used at our own landscaping company this week that we know still work. When we teach you about operations, it's because we just watched our morning rollout. When we talk about handling challenges, it's because we've likely faced them ourselves.

Grunder Landscaping Co. serves as our "living laboratory." Every system we recommend, every process we teach, and every strategy we share gets tested there first. If it doesn't work for us, we won't teach it to you.

Our programs help landscape professionals succeed through:

  • ACE Peer Groups: Accountability-focused groups that connect you with other successful landscape business owners

  • GLC Field Trips: Behind-the-scenes tours of our working landscaping business to see systems in action

  • GROW! Conference: Annual event bringing together ambitious landscape professionals for education and networking

  • Weekly Great Ideas: Free email delivering practical strategies and tactics tested at our own company

  • The Grow Show Podcast: Real conversations about what works in the landscaping business

Our team brings more than 95 years of combined experience in the field - whether you're trying to grow your landscaping business or get better control over it, we'll get you where you want to go.

Frequently Asked Questions

How do I start a small landscaping business?

Start by creating a business plan, choosing a structure like an LLC, and getting the necessary licenses and insurance for your area. Then invest in basic equipment, open a business account, and begin attracting your first customers through networking and local marketing.

How profitable is owning a landscaping business?

Landscaping businesses can be quite profitable, with established companies typically seeing profit margins of 10-20%. Your profitability depends heavily on efficient operations and smart pricing. Most successful landscaping efforts see steady growth after their first year as they build recurring client relationships and expand their services.

Do you need an LLC to start a landscaping business?

You don't legally have to form an LLC, but it's highly recommended for landscaping businesses. An LLC protects your personal assets from business liabilities and equipment-related claims while providing professional credibility and simplifying business banking, taxes, and future growth.