A landscaping business can be very profitable under the right business conditions. For example, landscaping companies can produce operating profit margins between 10% and 50%, indicating the company’s revenue after subtracting operational expenses for material, labor, overhead, and equipment.
Nearly a quarter of landscaping professionals are self-employed and work with customers on a contractual basis. As a result, commercial and residential property owners regularly utilize landscaping services, facilitating a healthy industry projection in the future.
Key Takeaway
A Landscaping business is profitable, and business owners can achieve a salary as high as $180,000. However, most owners earn a salary between $54,000 and $115,000.
Calculating Owner Salary
A landscape owner’s salary is 12-35% of the company’s revenue. For example, if the company reaches 500,000 in revenue, the owner’s salary would fall between $60,000 and $175,000
However, the more revenue the company earns, the lower percentage goes to the owner’s salary in most cases. As a result, using a low-end rate of 15% is a conservative calculation of your annual salary.
The excess revenue must be contributed toward employee wages, equipment, and fulfillment. So, when calculating how much landscape owners make a year, it’s important to consider those other expenses.
While smaller companies can use higher-end calculations for owner salary, many opt to reduce their yearly pay to $20,000-$25,000, believing they will make that money back (and more) after consistent business growth.
Typical Landscape Owner’s Salary
According to the NALP, landscaping business owners have a typical salary between $54,000 and $115,000.
Landscape Owner Salary By State:
| State | Annual | Monthly | Weekly | Hourly |
|---|---|---|---|---|
| Alabama | $40,955 | $3,412 | $787 | $19.69 |
| Alaska | $53,582 | $4,465 | $1,030 | $25.76 |
| Arizona | $42,107 | $3,508 | $809 | $20.24 |
| Arkansas | $40,005 | $3,333 | $769 | $19.23 |
| California | $45,644 | $3,803 | $877 | $21.94 |
| Colorado | $50,699 | $4,224 | $974 | $24.37 |
| Connecticut | $49,167 | $4,097 | $945 | $23.64 |
| Delaware | $47,845 | $3,987 | $920 | $23.00 |
| Florida | $33,766 | $2,813 | $649 | $16.23 |
| Georgia | $38,153 | $3,179 | $733 | $18.34 |
| Hawaii | $52,216 | $4,351 | $1,004 | $25.10 |
| Idaho | $43,616 | $3,634 | $838 | $20.97 |
| Illinois | $46,882 | $3,906 | $901 | $22.54 |
| Indiana | $42,997 | $3,583 | $826 | $20.67 |
| Iowa | $49,769 | $4,147 | $957 | $23.93 |
| Kansas | $45,383 | $3,781 | $872 | $21.82 |
| Kentucky | $42,236 | $3,519 | $812 | $20.31 |
| Louisiana | $46,106 | $3,842 | $886 | $22.17 |
| Maine | $44,644 | $3,720 | $858 | $21.46 |
| Maryland | $46,354 | $3,862 | $891 | $22.29 |
| Massachusetts | $53,358 | $4,446 | $1,026 | $25.65 |
| Michigan | $41,987 | $3,498 | $807 | $20.19 |
| Minnesota | $52,809 | $4,400 | $1,015 | $25.39 |
| Mississippi | $48,225 | $4,018 | $927 | $23.19 |
| Missouri | $44,995 | $3,749 | $865 | $21.63 |
| Montana | $41,473 | $3,456 | $797 | $19.94 |
| Nebraska | $45,420 | $3,785 | $873 | $21.84 |
| Nevada | $50,663 | $4,221 | $974 | $24.36 |
| New Hampshire | $44,164 | $3,680 | $849 | $21.23 |
| New Jersey | $45,581 | $3,798 | $876 | $21.91 |
| New Mexico | $43,406 | $3,617 | $834 | $20.87 |
| New York | $49,611 | $4,134 | $954 | $23.85 |
| North Carolina | $43,657 | $3,638 | $839 | $20.99 |
| North Dakota | $53,293 | $4,441 | $1,024 | $25.62 |
| Ohio | $51,650 | $4,304 | $993 | $24.83 |
| Oklahoma | $43,985 | $3,665 | $845 | $21.15 |
| Oregon | $53,471 | $4,455 | $1,028 | $25.71 |
| Pennsylvania | $45,450 | $3,787 | $874 | $21.85 |
| Rhode Island | $49,527 | $4,127 | $952 | $23.81 |
| South Carolina | $44,577 | $3,714 | $857 | $21.43 |
| South Dakota | $50,367 | $4,197 | $968 | $24.22 |
| Tennessee | $49,316 | $4,109 | $948 | $23.71 |
| Texas | $43,279 | $3,606 | $832 | $20.81 |
| Utah | $48,844 | $4,070 | $939 | $23.48 |
| Vermont | $48,369 | $4,030 | $930 | $23.25 |
| Virginia | $47,228 | $3,935 | $908 | $22.71 |
| Washington | $52,782 | $4,398 | $1,015 | $25.38 |
| West Virginia | $35,101 | $2,925 | $675 | $16.88 |
| Wisconsin | $45,199 | $3,766 | $869 | $21.73 |
| Wyoming | $43,526 | $3,627 | $837 | $20.93 |
Source: ZipRecruiter
Landscaping Business Challenges in 2024
While a landscaping business is often profitable, it presents unique challenges. For instance, getting a landscaping company off the ground requires significant time and effort. Therefore, anyone looking for a quick cash cow should avoid the landscaping industry.
Owners of smaller landscaping companies may take home a salary of around $60,000. Furthermore, while the industry is relatively insulated from economic downturns, the consistency of high-end jobs can fluctuate.
Labor
Landscaping is hard work, and you must be able to perform the labor and hire others who can do so. Unfortunately, many people cannot perform high-end landscape work because of the physical toll it takes.
Heat may also be a consideration in warmer climates, as temperatures can increase to a level unsuitable for people in poor physical condition.
Standard landscaping services include:
- lawnmowing
- chemical application
- tree trimming
- fertilizing
- landscape maintenance
- landscape design
Employee Retention
Finding quality employees capable of performing the labor is one thing, and keeping them around is even more challenging. As a result, you must offer a competitive salary to retain quality labor.
Unfortunately, it’s common for high-end landscaping employees to bolt for a higher salary and superior working conditions. As a business owner, you must take these matters seriously.
Marketing
Landscape marketing is an essential component of a profitable business. Still, only some startups fully grasp the intricacies of effective marketing. For example, the top landscape companies in 2024 have a presence on Google stemming from SEO and Local Mapping. So please market your business to avoid its sudden demise.
Competition
One main reason you need marketing is the competition level within the landscaping industry. Depending on your market, dozens of high-end competitors can monopolize your high-end job opportunities. As a result, having a competitive mindset is required to enter this realm, particularly in populated markets with high demand.
Final Thoughts on Landscaping Business Profitability
A landscaping business can be highly profitable under the right business conditions. However, you should understand the challenges ahead before getting into the industry. For instance, landscaping is competitive and requires significant labor to generate revenue.
Despite the clear challenges, landscaping is an excellent opportunity for those willing to meet the requirements. Once you get your business off the ground, you can earn an owner’s salary approaching the $200,000 mark. In addition, entrepreneurs with a passion for lawn care can achieve their goals in landscaping.
