FIRE EVERYONE... SELL EVERYTHING!
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- Опубліковано 27 вер 2024
- Mike Andes is in Philadelphia, PA to try and help Jack from Jac Mac Landscaping turn around his business. He has too many trucks, too much equipment... and too many employees.
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Hope you enjoyed the video! Thanks for all the support! Do you need help in your business? Apply for a turnaround here: MikeAndes.com/turnaround
Although Jack may not yet be ready to receive your advice, his story and your message will no doubt be helpful to others
@mikeandes A question about the two things you say. How are wages only 25% when employees are getting 33% of revenue (billable hours) for mow only company? Wouldn’t wages always be at a minimum of 33% not 25%?
@@premierpropertyservicesltd3362 I was about to ask the same thing. If P4P pay is 33% of labor revenue, why, in a couple of the last few videos, do you say that labor costs shouldn't exceed 25% of revenue?
Maybe one day my business will outgrow me and I can call ya Mike! Keep up the great work and good service to mankind brother.
Advice some of those bad snowplows the liftgate on the dodge uses the same hydraulic valves. Take the valve from the snowplow and use it fir the liftgate, now it works.
Crazy finding this video. I know Jack and was an early customer with JacMac. What I can tell you is that the honesty and sincerity he conveys in this video is spot on. He's a good man, tremendous work ethic and comes from a great family. Too nice for his own good, but he has the qualities for success. Certainly hope Mike's coaching will continue.
Thats me.. lol too nice for my own good. I just wanna help everyone.. except myself.
That's great that you did see this. Glad you commented I'm sure it will be helpful and good for him to see it.
ive worked for a guy like him in the past and same problem, too nice. he wouldnt pay much at all to his employees because he wasnt making enough because he would price so low just to get the jobs. that was for two reasons, one was to fill the schedule to keep us busy and the other was him just severely undervaluing not just the work but the labor required from the employees to do the work. because of this you end up stuck in a loop because your only option is to raise prices but that is guaranteed to lose you customers which means letting go of some employees and short term making less revenue overall which seems like a step backwards but its not.
Your phone knows you better then you know. That why this was recommended to you
Offer each guy 10 bucks extra each time.
That guy has a ton of potential. He's honest, humble, hard working etc. I hope the best for him.
If those are his quality’s he will lose
He will break his back and just be an avg joe barely able to take care of his family. He’s done America dream is dead
@MrPhlypc I was the same way when I was young. It's true you get to 1% by doing what 99% wont. I know plenty of poor hard working people
@MrPhlypc American dream is harder. It is only dead for those who are not willing put in 20% more effort than the next person. For lazy people, the American Dream was never a reality to begin with
Thanks again for coming out! It’s great to see all the advice again as a reminder to never go back to doing things the way I used to!
Also, I appreciate all the comments (positive and negative) the brutal honesty is much needed to keep my head screwed on straight.
This season is going to be mentally tough, letting go of the “lofty” dream of having a big company, selling equipment, staying on top of the admin work, habitually raising prices for the work I do, just flat out being a better business owner.
I will be in touch to let you know how I changed the narrative and get this sinking ship TURNED AROUND💪💪
Thanks for sharing and being so open Jack! Others are going through the same exact thing. You will crush it! PS - ignoring the comments and focusing on execution of the plan is my default recommendation 😀💪🏻
Less jobs and charge more money = more profit and less stress , repairs, etc. You better be paying both employees around $30 an hour too.
@@MikeAndesJust sold the scag, mower checklist complete, time to take some vinyls off and sell the trucks🎉🎉
I love the follow through, best of luck to you! Hope to see an end of year update.
Good luck man. Hope all goes well this season.
Insurance and taxes is killing us all in business!
Us dollar devalued
The price of trucks also ..and insurance doubled ..
House insurance bailed on us after a hurricane 😢
I don't want to get political but listening to the media talk about this amazing economy right now is mind boggling. Was making a ton of money four years ago and now all the extra is going right out the window just buying stuff to keep the trucks on the road.
I pay 3 different taxes a month as a business owner, and we're a non profit. It's insane how taxes of gone through the roof the last 3 years.
@@wraith313 Corporate America has schemed against you - planned obsolescence, no parts availability, use of features is licensed rather than owned, etc. Covid work changes showed many employees in various service sector jobs that they were getting the short end of many deals, and for employers to pay anything close to a living wage would make the business unprofitable. The take away _should be_ that consumer have been getting "below market prices" with the discount borne on the backs of the workers while the small business employers shoulder other increasing burdens like insurance.
As for the "amazing economy" it depends on which side of the "wages" fence supports you. If your means of living comes from your own labor or people you directly employ, things ain't so amazing. If ones support comes from putting money-only into some business or investment, things are still pretty rosy.
We just hit the 5 year mark in my small business and grew a steady 30% - 40% . We only buy used trucks .
As an equipment flipper, I absolutely saw a gold mine in that yard. Especially that Cummins box truck and F350. The guy has at least enough to buy a new, reliable truck sitting there.
What I love is how Mike can walk into a business, ask probing questions, then formulate a turnaround plan. And he makes it seem so simple. But I feel for the guy.... when you're waist deep in the daily grind, it's tough to see what direction to turn. Keep these comin'! I'm getting more ammo to turnaround my low voltage mobile electronics business. Let's GO!!
You are exactly right about the daily grind and losing sense of direction. I'm in that boat now and it's just exhausting.
your videos like this should be on TV
They really should… these are so helpful & very good
If this was a tv show the production company would ruin it with fake drama, annoying jump cuts and dramatic music.
😂 very true
TV is a dinosaur, only old people still watch tv or unemployed people.
Why put it on a dying media format?
This guy has so much potential! He does good work, big heart and is aware of his mistakes. Things are gonna work out for him.
What the hell is up with these so called business owners not asking for payments? This is insane this is your lively hood!!!
When I was a mechanic, I always collected through the shop and on side work - the lights don't stay on for free (even my family knows "I don't do this sh*t for free"). With my wife's business I constantly remind her to send out invoices, and over time she has gotten better (she realizes getting paid feels good, lol).
@@xXDarthBagginsXxi hate when "family and friends" ask for a family & friend discount or freebie. If the are true family & friends they would do what they could to help support you and your business. And they would even offer to pay full price. The one that do that are the ones ill give discounts to
I am a bit guilty of that. But only with customers I know I will get paid by. I am good at the work but the more complicated the paperwork the less motivated I am. Right now I am getting weekly emails from military contracting asking me to invoice for the last year. But the invoicing proccess is such a headache I have not even done the previous year. Or another contract last year. But I know they have to pay me so it’s just money in the bank without interest.
Come to our area in Florida. If you just call people back, show up, and are reasonably priced, you will be a millionaire…. Year round business too.
Florida's pricing has been beaten down I heard? As for Pennsylvania he will have plenty of year round work if he does snow.
@@crowdnine878 I have friends that make a KILLING doing this. I obviously can't say from that if it's drastically decreased, but I know people are still earning *very* healthy wages. Tree work is even more insane. It's mostly straight drug addicts in that line of work. If you're straight laced, punctual and good at it, that's another industry you're making millions. Critical business and huge amounts of money on the table during hurricane season.
2003 Started my Landscaping Corp at 26yrs. Got a couple of DWI’s bc, I self - medicated. Workin Sunrise to set? Gas went through the roof & economy crashed! Credit card bail-out? I Had equipment stolen. Broke multi bones. Multiple X’s!!! Got married & had a kid. Covid? Thrown out by landlord? At 39yrs. Bought house W/No Savings…
Now, I do Security & Bouncing & live a much happier life! Sold off ALL equip.
If "ill do it tomorrow" was a person
Exactly 💯
Gotta “get my ducks in a row” first … if you ever watched ducks swim they don’t wait until they get in a row to start. One starts then the next follows and so on.
Jack don’t want to work. You want to own a business, it requires you busting your ass for years before you can’t depend on others to run the business.
Shoutout to his gf to sticking by him, definitely owe her brother that's a real woman
The right woman will make all the difference.
If you go used a good rule of thumb is once a truck breaks down you either need to get it in a garage or up for sale. If you say "I'll fix it once I have time" for more that 2 weeks you'll probably never have time or find something else to do when you do. I've had some sentimental trucks but the it's better to just take a picture and move on rather than dealing with the unending headaches of keeping a lemon on the road.
If you can get more money then get more money.Never feel bad about making more money. Best time to raise prices is when you are booked. Replace low paying customers with higher paying customers.
Customers are a means to an end. They see service providers as nothing but a tool for them. They don't care about you. If they could get a job done for free while you are starving they would be ok with it.
When you retire the only thing that will matter is what you have in savings not all the great work you did trying to save strangers money.
Lots of businesses like to rip off customers too
I agree. Do not work for free. It is not about ripping people off, its about making a living.
@@jonsnow2555irrelevant
When ppl want free or extremely cheap work I tell them an honest living is the only thing keeping ppl from a dishonest living.
That commercial insurance will kill your pocket book
It’s good to see when the business owner actually takes action right away and sees the difference!
Best for him ro get a supervisor job at another landscape company .
Much less stress. I hope his new business plan works out.
I'd snatch that box truck with the broken lift up in a heartbeart. I'd just cut the lift off the back and sell it for scrap. I'd bust out my welder, put a big spring assisted loading ramp on the back similar to the Ramp Racks on it and call it a day. I'm so sick of messing with trailers I wanna move on to a box truck, but finding used box trucks here is a nightmare.
What state are you in? I find quality used box trucks on the regular
@@champspec northwest indiana, 90% of the ones here people are asking 20k+ for run into the ground garbage. or most the posts will be like 10k no engine or transmission. X.x
Why scrap a lift gate before attempting to fix. A blown fuse, rotten or broken wire, leaked out hydraulic fluid, a relay. An hour of investigation/repair could fix it. Most all repairs are on UA-cam as common failure modes occur by the thousands.
30 an hour with payroll taxes included is as cheap as you should plan for
Every winter I go through my shop and sell off any equipment I didn't use or want to upgrade. It's great great cash flow for the hard times
here is some REAL consulting: if you aren’t making money / it’s a hobby. not a business. your girl friend is paying the rent? WTF. GET a job! you own a company - have this equipment and she is paying rent? get some balls! wtf. sick !
My dads been telling me sell those trucks u dnt need em. Still has all 5 of them 😂😂😂😂.
I so appreciate watching these turnaround videos! I am exceptionally grateful for the humility of these business owners to allow Mike to come in and speak hard truths to them and agree to have it shared with the rest of the lawn care community on UA-cam! For me personally, these videos scare the ever-living poo out of me because I sense some of the same mistakes lurking in the midst of my own business. But thanks to Mike and these business owners, myself and so many others can learn from these mistakes and set our businesses up for future success and save a whole lot of pain. There are certain mistakes and a certain level of pain you just have to endure for yourself to be successful. It's sort of a rite of passage, if you will, but I am, once again, truly thankful for these videos. Like, Subscribe, and Share!
I Love the guy reminds me of myself in the past. But he must realize working and managing are 2 different things. Want more for yourself brother.
His demeanor was totally different in just 5 short weeks. Goes to show that facing the hard decisions in our lives will be rewarding. Just gotta do it! Glad for him.
Mike looking extra FIT! 💪
Awesome. Thanks for the content Mike. Loving the series.
Jobber got me started and prevented going through lots of hard lessons
Lordy. This feller needs a good mechanic.
I felt the need to grab my toolbox and go rescue this situation
But I know how it is.. it takes me a full day to go over two trucks and trailers full of equipment.
Things can get away from a man quickly.
It’s great that the mechanic got him ironed out
Work the Dodge!
Great video.
You would think with that many dead Ferds he would look into Rams or Cheby's LoL
LMFAO 🤣😆😆😆 facts
@@SegoManI've always purchased Chevy's with 160k or more that are a good 7 years old. By then they've proven to be good
@@crowdnine878 I'm a 2nd & 3rd gen Cummins fan.. I can sell my 3rd gen for more than I pd new off the lot with the screwed up pricing they are charging out there..
well hope his update was true to heart. and glad you do these things mike. Heck if you wasnt so busy id say start a series where you actually go back to these people and see in person how they are really doing since you was there and left.
Problem with landscaping is that anybody can do it. The barriers to entry are so low and you don't need a license. Work by yourself and keep all the money. You don't need employees to make a lot of money. I see single person landscape / lawncare companies all over where I live and they are killing it. When you have a crew to pay you're just running your ass off trying to keep the work coming in. I can take home 30K a month in my construction business working by myself easy. Many months a lot more. If I want to go on a 2 week vacation, no problem I just keep my schedule open. No debt + No employees = No Problems.
Burns you out fast doing it all by yourself. Not self sustaining.
I would say anyone can try and do it, but there’s a lot of knowledge to do things right and make happy customers. Keeping things simple works for me as well, very little stress, low expenses and I work on my schedule at my pace. Plenty of work out there and a decent living.
You are supposed to have a business license
@@crowdnine878yeah you’re supposed to but a lot of these landscapers don’t. The Mexicans where I live don’t have licenses and they’re in construction. You can do up to $25,000 of plumbing, carpentry, roofing etc with no license where I live. I have my GC license in 6 states. Have to travel often for the best jobs.
That box truck will easily sell for 20-25K especially right now with the busy moving season starting.
You're doing a lot of things right. Made a few adjustments per advice on raising rates and collecting on old debt. Have more sells coming up with overstock. And it changed a miserable situation into hopeful one. The confidence in your voice alone says it all. It's amazing how clearly things become when you're not working in a deficit. I am so amazed!
I bet the mysterious Carl is making some serious dough
And the government is none the wiser… 🤫
Just the taxes ,insurance and workers comp is enough to put most businesses Out of Business
I once bought a 1 ton truck. The insurance drama was real, whereas a 3/4 ton would have not been a problem. The insurance company did not believe, it was a personal vehicle. I needed it because I owned property I was working on myself. But paying $1,000+ a month insurance, for a truck I was driving on weekends, was not happening. I fixed 12 things on the truck, and took it back to auction, where it sold for less then I paid for it the prior year. ouch. someone stole a part off the truck, at the auction, and moved it to the back of the lot.
$1,300 a month for insurance, keep shopping around, I insure a box truck used for my business rated for 26,000 lbs. for $650.00 a year, I don't put a lot of miles on it just use it occasionally but still.
I had a friend who started a consulting business who told me it comes down to "I ask what are the issues and solutions, then I tell them back the same things they already know", ask your people, they are cheaper than a consultant.
WOW! I am really impressed with that hardscape you guys made! Beautiful work! I will eco what I have seen here. You need to sell what isn't being used. You definitely need to increase your pricing. If you are charging $75 an hour and have 3 employees plus yourself, you have to charge more or you aren't going to keep up. You're probably the cheapest guy out there. Don't take every job just bc it pays money. Not everything is a good deal. Specialize in a couple areas and don't spread yourself thin! Keep your head up man. Reviews and word of mouth is going to help. When you're making more money, don't get excited to hire more employees. Maybe a new guy here or there as long as your business is still profitable. But if you start losing, you gotta go back to what was making money even if you have to let people go. Best of luck!
The guy is way young. Just hustle and do everything while your young and fit and save the money to grow the business eventually when your older. Formula is not that tough
Sounds like he was stuck in a bit of a rut, and through this collaboration he now sees more clearly. Willing to take on the recommendations and execute on them. He will be fine! Very good video, with excellent advice.
Sometimes all it takes is another set of eyes. He just got tunnel vision trying to survive
@@Loki_Dokie Yep. "When you're up to your arse in alligators it's hard to remember your objective was to drain the swamp." Extinguishing all the little brush fires of running a crew, being the HR department, the accounting department, the sales staff, maintenance shop, and the owner, it's not easy to have a "big picture" view of the business. Literally running from problem to problem. There's no time to train crew to do new/more efficient/better work, there's no time for safety training, no time for actual long term repairs to (or disposal of) of assets.
He's been at landscaping since he was 14? He knows how to do the work, what he's still learning is how to hire, train, and equip crew so he can do other "owner" things while they take care of the customers. Running a business is different from owning a business, and both are different from doing the work of a business. Making the leap isn't easy as each requires a different mindset.
It's got to be his prices are too low.
If you're turning work away... YOu're not charging enough. Facts.
Sure ,Dude sounds like a nice guy, Jack isn’t a biz guy , leaving money out there. Why I say that he was complaining about always working. You’re in a seasonal job you work every minute you can .. Play in the winter..Good Luck..
So the owner just talked , but never said we’re the moneys going? Hes always talking about quitting but never talking about giving his all to make it succeed.
Based on the way he talks, he should just be an employee. Very wasteful spending and under-pricing jobs are certain death of a business. Plus his girl will be kicking him to the curb soon if he doesn’t get serious about his so called ‘business’
I just finished watching the rest of the video. Yeah, he’s not gonna make it. He’s still in denial that he’s got a problem with underpricing, excuses and gas lighting himself. He talks at the end like he learned the lessons from Mike but he only sold a few items. It’s one thing to know what to do and entirely different taking action on that knowledge. His half hearted price increase isn’t gonna cut it. Poor lad
I was struggling to put into words the bad taste he left in my mouth. I appreciate you both for making effort in that direction.
Best I can tell he increased prices and only hired one expensive foreign laborer instead of two. Imagine being his friend and finding out that you’re making $18 an hour while he’s paying $30 an hour to have the Hispanic guy work with you … ouch
I’d also bet money that he doesn’t go work with his crew almost every day 😂
Always has really important stuff to do “ for the business”
This reminds me of the show were the nanny fixes a family
He was trying to keep everyone else happy. Customers and employees....you gotta be the boss and you gotta make money or there is no point. Quality of customer does matter also, you want to get rid of customers that dont pay and cause you more work to get paid. That sort of customer is better for your competition to have...give them headaches.
Man, I felt so bad for the guy at 17:00 when he said he cant take his gf out to even a half decent dinner. Hoping this one improves for this guy!
Same bro, thats gotta be really tough. Wishing him the best!
$300K in revenue isn't a lot. When you factor taxes, fuel, breakdowns, maintenance, storage, insurance , and downtime, it turns into a shoestring budget.
Hell yeah brother proud of ya hope you grow and get everything your working for. Also she sounds like a keeper
Mike is doing the Lords work.
Well he's trying to run a small business in Pennsylvania where inflation probably hit the hardest when it comes to fuel and shit
"Here's the 6 changes to make to be successful." Ok...I'll do 3 of them! What?? LOL
I'm proud of you jack
You are way better than the Small Business Administration. I got a mentor through them and didn't know anything about running a small business.
If you are too afraid of customers to raise your rates then hire a manager that isn't afraid to.
ive been in business for almost 4 years now, plenty of ups and downs and lots of "life lessons" for sure. keep pushing man, keep improving and learning from your mistakes and itll only be a matter of time. dont be hard on yourself because you arent super successful super quick. sometimes slow and steady is better, trying to grow really fast leads to more frequent unforeseen conundrums, some of which are extremely hard to recover from.
This is a great show s/o to you for doing all this bro
Landscaping is too cut throat. Need to get into hardscapes and concrete. Use landscaping as your filler work.
Stamped concrete
Exactly!!! My thing is that I Never do trades that the homeowner can do/thinks it’s easy! They won’t respect the work and won’t pay a premium price
I’m In a niche area for concrete
Thing is one good concrete job will get you outta the hole
Our minimum is 3K
@@CerretaniOutdoorsLLC I agree. I’m a plumber.
@@andrewengland971good man that’s what it’s all about!
How much does that cost to get off the ground?
I couldn’t work a day with all that equipment laying around , be like a millstone around my neck. Felt bad for the guy . But for me employees sucked me down and I don’t blame them . I was too nice . Two years ago I spent 60 grand in wages , next year I got rid of the help except a part timer that works after 5 pm and Saturday mornings ish . I only took 30 grand off the top line . Just worked way more efficient . Quit the work I didn’t want to do . Now I try hit 1000 day with no or little help . Some days I hit it some I don’t . Not to much stress . Just worry about the job I’m on . I think he can make good money with him and his employee . Enjoy the day , the week and treat his girlfriend to a nice dinner the odd sat night . Wish u the best Jac Mac . U don’t deserve those hard years when you work so hard . You want to enjoy that sun on your face .
Memories don't pay the bills sir he seems like a good person though
Mike, thank you for your work helping others to be viable.
Prices are way too low.
Blockbuster video went out and you could change direction now too.
I’m an HVAC contractor since 1987 and this sounds so familiar!
If you are booked, quote a premium, maybe 10% above what you normally charge to any new potential customers and then you increase the prices of the low paying jobs. The higher paying jobs will offset the loss if they do not want to pay the increase.
If you're doing lots of work and making no money, then you must raise your prices, and make more profitable sales calls.
And when your area doesn't support those prices? Easier said then done.
The lost title thing is crazy... Either the previous owner should apply for a lost title and replace it or he takes the "vehicle" back... If it turns out to be a stolen "vehicle" leave the problem with seller and get away from it.
It's a trailer.
How can u lose a title ? All that Important stuff should be in a file folder and in a closet in box or even better in a safe…when a vehicle is paid off, you get letter from bank and then that letter goes in envelope with title in the folder..I do not understand unorganized people at all…
Yeah that friend screwed him over on that.
Great story!!! Congrats on the turnaround
At least he doesn’t have tons of brand new trucks and equipment like lots of guys do. I hope he does well with the new advise and direction. Takes a lot of courage to know that you have made mistakes and more so to make a change. Great content
Changing from a solo or even a 2 person business to having crews is a more different kind of business than you expect. Kinda like, no one expects the Spanish Inquisition.
Lazy..... in pa there isn't a "whole bunch of paperwork" for a new title.........
KommieRadps sells a duplicate title to the original owner for $8.50. Tell his friend to get one and sign it over..
Losing is tough. It’s part of winning, but very hard.
This is a great commercial for why not to buy a ford
Then why are Fords the most common fleet truck?
Says the guy who probably drives a Prius
Corporations need to start showing the U.S. Inc whos in charge. Government is nothing without "We the People".
Corporations work with the government to keep costs of doing business out of reach for small business owners.
I’ll buy the flatbed truck that needs a battery? I’ll give him the $2000 if he’ll meet me half way to western PA.
Look up his business. Names is on the truck.
a broken screwdriver can't turn a screw.......................
If you fix it it will work just fine
Pay by the day and everyday bid by the day and simplicity will do wonders for the bid processes
This guy should've found and hired an employee that knows how to work on vehicles. They can be a life saver and save you a ton of money in the long run even with a bonus here and there for getting things fixed. Although this guy is long past that point.
Fix the box truck and mower.
Great video, keep it up!
Almost 30 dollars an hour for immigrants but pays 18 bucks an hour for his employees that are united states citizens. Anybody see the issue happening in our country? What a shame
You mean the fact he can't find any American citizens who want to work? Those immigrants don't get $30/hr, they likely only get 10/12 if they are lucky, their temp agency gets the rest.
Awesome channel im glad I found it, wish I found it a few years ago. 😂
Be strong brother, pivot and make better decisions. Best of luck.
I know this isn’t the type of business I do I own a tattoo studio and watching your videos have open my eyes numbers don’t lie . I had 9 tattoo artists and now I have two and most of the time they can’t stay all day here bc business have slowed down I been in this industry since 1983. I am going to put some of your videos advice into my business thank you for your videos I am Chino I own Pain and Pleasure tattoos in Kissimmee Florida.
Great video thank you so much for posting your story
You could also set up to send emails out to besides door hangers
I love the fire work edit on mikes pointing up lmao great work !
I have the same problem... I'm always hoping to fix my old machines and never come to them
Definitely shows you the power of expert advice and a different perspective
Big problem is he keeps buying fords. Worse used trucks ever.
How does he have contracts set at $25? That doesn't even pay me to unload the truck at a property lol.
If he's only there for 10ins
Mike, the more I learn about you, the more impressed I am! Thank you, thank you, thank you for everything you give to the lawn care community!
Find me some walnut logs!
Those mid 90's fords go for a good price nowadays i see them going for crazy prices here in ny
Ill buy the obs extended cab