Stop Tracking Revenue… Track This Instead
In this segment, Mike Andes advises owners of two‑person mowing and landscaping crews to shift focus from raw daily revenue to an "efficiency score," defined as budgeted work hours divided by actual clocked hours. He sets practical benchmarks: a minimum of 70% efficiency for a healthy crew, over 90% for elite teams, and warns that crews below 50% efficiency are unlikely to be profitable or scalable. Andes explains that daily revenue growth is driven by increasing the cost per budget hour (the effective hourly rate charged to clients). He illustrates the impact with examples, contrasting a $40 per budget hour rate with a $150 per budget hour rate, showing that higher rates dramatically boost revenue regardless of raw hours worked. The core message is that tracking and improving efficiency, then raising the budget‑hour rate, is the key to sustainable profitability for home‑service landscaping businesses.
