Last year, the landscaping industry generated nearly $100 billion. The industry has been growing steadily over the past five years, and 2020 should be no exception. As the ground thaws with the coming of spring, landscaping companies are already taking orders from clients and getting things in place to have a productive and profitable season. To ensure success, landscaping companies are leveraging financing tools to get equipment, hire workers, launch marketing campaigns, and improve cash flow.
The landscaping industry uses equipment ranging from simple deck mowers on up to large earthmovers. While some landscaping companies have their own equipment on-hand, others prefer to lease equipment because the industry is seasonal. Additionally, some jobs require specific equipment, and purchasing one or two pieces for one particular order would be cost-ineffective. Leasing equipment offers flexibility, and allows landscaping companies to get the exact pieces they need with manageable monthly installments. For those landscaping companies that want to purchase equipment without paying a large upfront cost, there are financing options. Equipment financing reduces the initial out-of-pocket expense and spreads out the cost over regular installments so landscapers can get the tools, machinery, and vehicles they need.
Marketing and Hiring Employees
Landscapers rely on a talented workforce to complete projects efficiently and to the clients’ specifications. At the same time, landscaping companies need to start their marketing in early spring to attract business from clients. Both hiring and marketing require capital, and there are solutions to solve both issues at once. Small business loans provide landscapers with the capital needed to hire employees and launch marketing campaigns. Alternatively, unsecured business lines of credit offer a reliable source of working capital that can be used for hiring, marketing, purchasing materials and supplies, and to cover any incidental expenses during projects.
A healthy cash flow is essential to running a successful landscaping business. Revenue helps to cover fuel costs, payroll, and general overhead. Waiting on clients to pay invoices with payment schedules of a month or longer can place a strain on finances and force landscapers to take out short-term loans to smooth out finances. Instead of taking on debt, a landscaping business can use accounts receivable financing to boost cash flow and eliminate revenue lag. Accounts receivable financing turns unpaid client invoices to cash, typically within a single day. This means landscapers no longer have to wait on payment from one project to cover the cost of the next. Accounts receivable financing also ensure steady cash flow during larger projects, where a constant influx of capital is necessary to keep things moving forward. Accounts receivable financing is fast, transparent, and debt-free.
Finance Your Landscaping Business Today
If you own a landscaping business, contact the professionals at Web Finance Direct. Our team of experts will work with you to understand your needs so we can provide financing solutions to ensure long-term success. From equipment to working capital, cash flow solutions, and more, Web Finance Direct provides nationwide financing to the landscaping industry.