Mike AndesFounder, Augusta Lawn Care and Homeworks · Founder of Homeworks and Augusta Lawn Care

$100k DEBT to start business 💰 #mikeandes #homeservice #business #debt

26 Oct 2024 · 1 min

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Mike Andes (speaker) describes starting a lawn care business financed with $100,000 of debt within a $120,000 startup expenditure to buy trucks, equipment, mowers, trailers, and marketing. He reports annual revenues of $200,000 in year one, $480,000 in year two, and $660,000 in year three. The $100,000 loan carried a 10% interest rate ($10,000/year). He claims to have achieved over 130% ROI each year on his investment.

Questions this video answers

$120,000

$100,000

Year 1: $200,000; Year 2: $480,000; Year 3: $660,000

10% interest rate; $10,000 interest expense per year

Over 130% ROI every year

Chapters

I spent $120,000 and started a lawn care business. I take $100,000 debt on the business and this is the budget that I use to buy trucks, equipment, mowers, trailers and marketing spend. In my first year of business I did $200,000 in annual revenue, in year two did $480,000 in revenue and in year three did $660,000 in annual revenue. Now on that $100,000 loan, I had to pay 10% interest or $10,000 in interest expense every single year. Now sounds crazy, but when you look at the actual returns on my investment, I made over 130% ROI every single year.