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My client asked me on Tuesday, “What should I be doing NOW to make this a great year?

Here’s the plan.

The accumulation of wealth from landscaping is almost certain when you follow the Wealthy Landscaper formula. Yes…there is a proven formula to build a 6-figure income and 7-figure net worth from owning a landscaping business. We published the 5 step formula here.

Step 1 is easy to say…but not so easy to do.

You must operate your landscaping business with 3 times to 5 times the profits of the average landscaping company.

That is…you MUST operate an exceptionally profitable business.

In order for YOUR business to create exceptional profits, there are 3 time-sensitive activities that must be accomplished right now. These three include:

  1. Collect past-due money
  2. Push – push – push to bill more work
  3. Meet with your accountant

Let me share a few details of how the short checklist above accelerates your ability to become wealthy from landscaping.

First, accounts receivable (AR) destroys your ability to accumulate wealth. If you do work then bill for it and then wait for the customer to pay you…you’ve created a business model that can turn into a wealth-destroyer.

The average landscaping company has 30 days to 45 days of accounts receivable on their books. If your company does a cool $1 million a year in sales, your AR could be running $82,000 to $123,000. Pull up your profit and loss statement and see how you compare. Then…get on the phone or get in your truck and go get your money!

Exceptionally profitable landscaping companies work their butt off to end the year with zero dollars in AR.

Second, over the past 11 decades, Fedzilla created our accounting and tax rules (the 16th Amendment was ratified in 1913). Fedzilla created the Internal Revenue Service (IRS). Today, you are expected to file a tax return every twelve months and report the financial results of your company. Does the date April 15 mean anything to you?

April 15 is the date the IRS expects you to share your financial results with them from the prior year (and give them their cut of your wealth).  You already know this. Unfortunately, many small business owners do everything they can to “reduce profits” in hope of lowering their tax bill.

Exceptionally profitable companies have learned that the only way to make EXCEPTIONAL PROFITS is to work as hard as possible at the end of the year to bill as much work as humanly possible and COLLECT their money for that work.

Revenue has the power to create wealth! Coasting out the end of the year destroys your wealth. (We published the Problem with Hunting Season for Landscapers right here.)

Without exception…Wealthy Landscapers Push – Push – Push to grow sales at the end of the year to maximize profits!

Third, you MUST meet with your accountant and discuss your tax-reduction options BEFORE year-end. Once the books close on December 31, your accounting year is mostly OVER. So meeting with your account NOW could help you understand a few key maneuvers that will help you reduce your taxes and stay out of trouble with the IRS along the way.

However…I advise my clients to be careful here. In my opinion, you should NEVER fully abdicate the responsibility of reducing your taxes. Think about it.

Who cares more about your personal checking account than you do? No one…and that includes your accountant!

Here’s what I’ve found in my career. Some accountants are more interested in serving the IRS than the small business owner who pays their bill!

On top of that, accountants are human. They are fallible. They make mistakes! And…many are so sure they WILL make mistakes, they carry Errors and Omissions Insurance just in case you sue their butt for goofing up your tax return! Think about it.

I’m not an accountant. I don’t provide tax advice for hire. But that don’t mean I should walk around saying, “My accountant takes care of my taxes.” Those 7 little words destroy wealth!

Wealthy Landscapers understand they have a fiduciary responsibility to learn all they can to increase their wealth. Just like reducing your AR and maximizing your end of year billing can accelerate your wealth accumulation, so can REDUCING YOUR TAXES.

In fact, when you own an exceptionally profitable company,  twenty five to forty five percent of every single dollar of profit can be sucked away by taxes. Federal taxes, state taxes, payroll taxes, property taxes, sales taxes, fuel taxes and more! OUCH!

Just in case you missed it, we published a case study about one landscaper who received a $20,000 REFUND from the IRS after HE read this tax-reduction article we published for owners of landscaping companies. You should read this BEFORE you meet with your accountant.

How could this guy EVER trust his accountant again? It’s a mystery to me. Tax reduction is a critical part of the Wealthy Landscaper formula. Put the words below on your wall my friend!

Never say – “My accountant takes care of my taxes.” YOU must become a student of tax reduction strategies!

By the way…just because the tax reduction article and the case study was published a few years ago, don’t ignore its content. All four of these tax reduction strategies are still available to you as we publish this Wealthy Landscaper Letter…:-)

Out learn your competition!

YOU deserve to be THE Wealthy Landscaper in your town.

Tony Bass, founder

866-923-0027

PS – We are holding a small group training event for owners of lawn and landscape companies in December. If you’d like to learn more about increasing profits forever…click here to reserve your seat.