This $1M+ Snow Business Got CUT IN HALF!

  Рет қаралды 85,850

Mike Andes

Mike Andes

5 ай бұрын

I traveled to Newmarket, Ontario to help Aaron turn his business around. He is a Franchisee with GroundsGuys that is currently struggling keeping up with high insurance rates due to snow plowing. However, taking out snow will cut his business in HALF...
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Пікірлер: 90
@MikeAndes
@MikeAndes 4 ай бұрын
If you need help turning around your business apply here: MikeAndes.com/turnaround It is totally free thanks to the support of the community!
@nickschneider7364
@nickschneider7364 4 ай бұрын
Really would love to see the updates on this company.. I live in MN and would love to just do summer mowing.. but, winter is 5 to 6 months long here ( I have to imagine his winter is October or November to April or even may in Canada). So living on half the years income seems crazy. Plus employee retention has to be tricky, also would have to be all residential in my area, commercial contracts are usually annual, mowing and plowing... keep us posted, and thank you for all you do for the industry.. your like our lawn care minister 🤣🤣
@TheNathanLarsen
@TheNathanLarsen 4 ай бұрын
This guy is super humble. He isn't trying to fake anything you can tell. We need more guys like this. You can really learn from people like this, when they are just completely honest and don't fluff it up. I see why he has a hard time letting go of snow, my contractors do snow, and we make bank every time it snows. But I am running around my office like a chicken with my head cut off 18 hours a day to answer all the phone calls coming in with my team.
@michaelgiarrusso2979
@michaelgiarrusso2979 4 ай бұрын
Awesome to watch this. I am a Grounds Guys franchisee in Albany NY. I am actually shocked that Mike went out to help a franchisee of another franchisor. That shows his commitment to helping businesses succeed. I am also shocked that the Grounds Guys franchisor wasn’t the one to help Aaron. It really makes you think about the situation he is in. Also, everyone wants to talk revenue when profits is the most important part of running the business.
@truckguy6.7
@truckguy6.7 4 ай бұрын
That is the most confusing thing to me too. Every other business person I talk with focuses on sales and revenue. Who cares how much you sell if you're not making money?
@NikLindsey2050
@NikLindsey2050 4 ай бұрын
8:39 rip to that vehicles interior 😂😂😂
@g-force2745
@g-force2745 4 ай бұрын
Finally! A Canadian... a fellow Ontarian even!!! 😃🇨🇦👍
@brentmurray2220
@brentmurray2220 4 ай бұрын
Great to see that you came to Ontario! Insurance is a big problem here. When my insurance doubled in the beginning of covid my agent had said I will have snow insurance through them because I’m grandfathered in that if I was new I would most likely not be insured. I have since heard of other companies not insuring for snow. As well as companies quitting snow because it wasnt worth paying the insurance
@nightfly1985
@nightfly1985 4 ай бұрын
Not just snow business. I'm into general mechanical/welding after 30 applications 0 wanted to quote. I was with RSA they merge with intact there a joke triple rates over night
@brentmurray2220
@brentmurray2220 4 ай бұрын
Geez that sucks!
@karldonutz7770
@karldonutz7770 2 ай бұрын
Same here, commercial property insurance more than doubled since 2020. OntariOWE, unless you work for government it's not great.
@jarmonlawncare
@jarmonlawncare 4 ай бұрын
Man!!!! You are the goat! Turning around other franchise’s franchisees!
@gervaldofrancisco7794
@gervaldofrancisco7794 4 ай бұрын
You can tell he cares purely about output and effort
@csuiteunfiltered
@csuiteunfiltered 4 ай бұрын
Greatly appreciate the transparency, Aaron! You're awesome! Best of luck in your continued journey.
@onebridge7231
@onebridge7231 4 ай бұрын
I hope his business stabilizes with the restructuring and away from snow, but more importantly I’m sending prayers that their marriage becomes stronger through this difficult time and they can live a joyous and loving life together going forward.
@nightfly1985
@nightfly1985 4 ай бұрын
I went trew separation and dating issues running a business not all women understand we need to work 80h 100h a week some times
@tommye9057
@tommye9057 4 ай бұрын
As the owner of a small landscaping company in Ontario i can not afford the snow insurance and make a profit doing snow on my own. I am forced to sub myself to a larger company as a loader op.
@truckguy6.7
@truckguy6.7 4 ай бұрын
Snow Insurance out here in BC for a company with just a truck and one skidsteer was 18k. I was told it was expensive and I didn't shop around. I was offered $100 an hour to sub myself and a skidsteer. They collect from clients, provide insurance, cover fuel, wear breakdowns and scheduling. I grabbed that instead.
@wilsonbobcatservice4151
@wilsonbobcatservice4151 Ай бұрын
Because every person is sue crazy.
@lazynow1
@lazynow1 4 ай бұрын
its Canada where the gov. does not like private business and women think men are just walking ATMs.....
@wizdom705
@wizdom705 4 ай бұрын
Mike the fact you were in Ontario less then 45 min away and I didn’t know breaks my heart!!!! MY DUDE
@vancepowers6427
@vancepowers6427 4 ай бұрын
I started January 23’ with $20,000. My GF also has been with me when I had nothing. I like this guy a lot and I’d love to sit down and have coffee with him
@bradysmith5254
@bradysmith5254 4 ай бұрын
Snow is amazing money. It is a young man’s game though
@dylanc9275
@dylanc9275 4 ай бұрын
I'm just getting into snow removal and the overhead to start is killer. I have done it for 3 years now with no profit. I'm hoping it will eventually pay off. My insure also went from around 6,000 to 12,000 adding snow removal. I also live in a rural town so not much here for parking lots.
@OutdoorDiversions
@OutdoorDiversions 4 ай бұрын
At 18:45 Ontario doesn’t have a 12 month cutting season. 7 months is more realistic. Therefore 7 x $20k = $140k Good video. 👍
@alvinb.52
@alvinb.52 4 ай бұрын
I feel *realllll badddd* for buddy at 8:38 just on the side of the road getting hit with a man made (and intentionally directed) avalanche!
@richardipsen
@richardipsen 4 ай бұрын
The real take away here is, How are you supposed to do business in Canada when this is how insurance companies operate. Canada is not SMB friendly AT ALL!
@karldonutz7770
@karldonutz7770 2 ай бұрын
Same here I'm in OntariOWE, commercial property insurance went from 6K to 10 K in 2021, then they have added 1K every year since, 13K renewal. I can understand the guy in this video, the business climate is very bad here. All the insurance people say the same things, oh they don't want to insure commercial properties, they don't want to insure snow removal. It's beyond dysfunctional here.
@OutdoorDiversions
@OutdoorDiversions 4 ай бұрын
Your snow insurance should drop significantly if you stop doing city and regional work.
@jimmyt5241
@jimmyt5241 4 ай бұрын
He has a good head on his shoulders , 8:38 someone standing outside their vehicle gets avalanche of snow lol
@bungholeracing
@bungholeracing 4 ай бұрын
Lmao
@nickcalabrese7433
@nickcalabrese7433 4 ай бұрын
BURIED😂😂
@mrlfordf150
@mrlfordf150 4 ай бұрын
I think the door was open as well lol
@juandominguez9226
@juandominguez9226 4 ай бұрын
There goes his insurance
@Jay-tu4rs
@Jay-tu4rs 4 ай бұрын
I've owned a landscape company for 20 plus years , Hardscape is where I make money....Snow plowing sucks. beats up your gear on call all winter...took me one season to figure that out. Not for me
@Rosicrisp
@Rosicrisp 4 ай бұрын
People ask me if I’d consider plowing and thanks to comments like yours it’s an easy NO
@ryangibson3022
@ryangibson3022 4 ай бұрын
Was it hard to figure out your budget when you dropped snow? How tough are winters? I’d love to get out of it.
@giantLUKE2
@giantLUKE2 4 ай бұрын
Ontario! Represent!
@Kilzo04
@Kilzo04 4 ай бұрын
Unreal how mike was the one to go and help this guy. Wheres the help from these "coaches" he talks about?
@riverrockfab
@riverrockfab 4 ай бұрын
This conversation about the snow business is one that many contractors in Ontario have been having in the past few years. One struggle with “cutting out” snow removal comes when your customers expect full service from you. The idea of quitting snow and focusing on summer work for 7-8 months is great in theory unless your customers hire you because you do everything. We had many contracts that want grass and snow done, they don’t want to have to find another guy for snow. And it sucks that finding reliable snow sub contractors is not easy. We got off really easy for insurance for a couple decades, but that seems like it’s gone now. The government needs to subsidize insurance.
@PH-cl2vp
@PH-cl2vp 4 ай бұрын
4:10 ouch that plow touched it’s toes lol
@truckguy6.7
@truckguy6.7 4 ай бұрын
Insurance costs all over the world is absolutely insane with Canada being the worst. 100k of insurance to do 1M in sales?
@Jpizzle4
@Jpizzle4 4 ай бұрын
Did u see that snow plow truck completely cover that suv with guy standing on side of road. Lol
@funnyfarm5555
@funnyfarm5555 4 ай бұрын
I know one lawn service in the USA measures every yard before he quotes it. Just eyeballing a yard can lead to many mistakes and working for little or nothing. Don't forget your cost of driving to each client for lawn care. I spoke to a lawn care service many years ago in my job and he told me it's a great job if you like working for minimum wage. good luck.
@Pantera972
@Pantera972 4 ай бұрын
That's very true the only way you make money mowing lawns is if you do extra things for the same client, like fertilizer, weed control, spring/ fall cleanups and landscape jobs.
@nathanhaughton7220
@nathanhaughton7220 4 ай бұрын
I really enjoyed this one. I appreciate the number breakdown. Thanks Mike and editing team 🙏.
@kasperwabinski
@kasperwabinski 4 ай бұрын
This guy should be happy, this is how business is in Canada. LOL this is normal for 95% of operations from small, medium to public
@stevehughes7224
@stevehughes7224 4 ай бұрын
I always look forward to these videos
@HigherStandardsKY
@HigherStandardsKY 4 ай бұрын
Really great video!!!
@erconference6283
@erconference6283 4 ай бұрын
Appreciate these videos, nice to see you in the GTA!
@henrycarlson7514
@henrycarlson7514 4 ай бұрын
Interesting , Thank You .
@dustinmarquand5301
@dustinmarquand5301 4 ай бұрын
If you don't like snow, skip it! It's okay!
@nickschneider7364
@nickschneider7364 4 ай бұрын
Wow. 90k on insurance??? We run 9 peices of equipment from loaders to skids and trucks and don't pay anywhere near that. Time shop insurance. Get a new broker :/
@jasonsampaio8699
@jasonsampaio8699 4 ай бұрын
Well, I’m from Toronto Ontario and let me tell you insurance here for snowplowing and liability is crazy. I no 20 companies who shut down their business because of the winter liability insurance for the summer is cheap. just to have a plow on your truck you paid a lot people like to sue a lot over here they do it on purpose
@nickschneider7364
@nickschneider7364 4 ай бұрын
@jasonsampaio8699 man that's terrible.. sorry to hear that...
@newsweathertraffic18
@newsweathertraffic18 4 ай бұрын
Toronto is plagued by "No bad questions" slip and fall lawyers and vexatious litigants who live off these insurance settlements. Same reason Brampton (Just outside of Toronto) has the highest car insurance premiums in the world. You will be named in multiple suits every year in Toronto even if you are the best plow company around.
@Stubzgaming
@Stubzgaming 4 ай бұрын
The guy actually explains why this isn't really possible if he keeps the big contracts up in snow.
@nightfly1985
@nightfly1985 4 ай бұрын
Worst north of Muskoka
@johnnyboy190
@johnnyboy190 4 ай бұрын
I own a multi million dollar snow company. I really like Mike’s content and he is helpful to a lot of entrepreneurs. In this situation, I think the advice was only half correct. This year with the majority of this guy’s equipment is paid off he can make a killing with snow. His problem is the 50% drop in revenue. He could easily sell a few hundred thousand dollars in snow contracts and be very profitable. He can self perform some of the contracts and sub out a bunch. He definitely needs another insurance broker to shop his insurance. Ontario is a big snow market. I believe they can only cut seven or eight months out of the year so Snow is a big revenue driver for them. I see guys get into this trouble all the time. Buying brand new equipment and having extremely heavy payments for no reason except to have cool nice shiny equipment. I’m sure he could perform the majority of his work with a $50,000 loader that he puts a couple hundred hours on per year. I own over 20 loaders and they’re all under 50 grand. They start, run and work well. Stop focusing on having a nice shiny equipment and focus on profitability. Bottom line is more important than top line.
@MikeAndes
@MikeAndes 4 ай бұрын
I agree. However, I knew his heart was in it and he simply didn’t want to do it anymore. It wasn’t a money issue as much for him as quality of life that he wanted 👍🏻👍🏻 Otherwise 100% go back out there and sell snow!!!
@MikeAndes
@MikeAndes 4 ай бұрын
I agree. However, I knew his heart was in it and he simply didn’t want to do it anymore. It wasn’t a money issue as much for him as quality of life that he wanted 👍🏻👍🏻 Otherwise 100% go back out there and sell snow!!!
@renedyrbergjrgensen6615
@renedyrbergjrgensen6615 4 ай бұрын
I from Denmark and i love your video👍
@pabloserrano709
@pabloserrano709 4 ай бұрын
I love these videos 💯
@titanlawnlandscape7783
@titanlawnlandscape7783 2 ай бұрын
Turn your lawn care business into the McDonald's machine. Rinse and repeat day in day out. Dummy down the services. There is an easier way.
@parkerumstead2129
@parkerumstead2129 4 ай бұрын
Would love an update down the line on this guy and his company!
@trentneville2273
@trentneville2273 4 ай бұрын
Awesome video
@nathanjamesDewey
@nathanjamesDewey 4 ай бұрын
In my honest opinion, keep snow I used to work for a landscape company for 15 years and they always said they could get rid of all of the summer services and just do snow and they would be fine and they are $24 million company
@wilsonbobcatservice4151
@wilsonbobcatservice4151 4 ай бұрын
Exactly. If he's doing $400k on snow should be making good money.
@WeykampLandscape
@WeykampLandscape 4 ай бұрын
CSL?
@nathanjamesDewey
@nathanjamesDewey 4 ай бұрын
@@WeykampLandscape Perficut in Iowa
@nadaalward3345
@nadaalward3345 3 ай бұрын
What is the name of this work? And any license I can take
@gervaldofrancisco7794
@gervaldofrancisco7794 4 ай бұрын
19:44 absolute gentleman lmao 👌🏼
@Am4zonlovers
@Am4zonlovers 4 ай бұрын
God Bless him, his family and his business. Better things are coming for you! Great news is coming! Trust the Lord Jesus Christ!!!🙏🏻🙌🏻
@jordanmercredi3740
@jordanmercredi3740 4 ай бұрын
Buy used machines and hire a mechanic and pay him well. Don't drop big coin on new equipment learn to scavenge and fix
@jerrylynch7865
@jerrylynch7865 4 ай бұрын
Its a tough racquet alot of guys chase the work and lose balance of a good life it has its benefits and downfalls im 25 years in deep and have good crews but im burned out and my body is toast it cost me a divorce but has treated me well i have up to 10 years left and industry is totally changing and not for the good
@belladebartolo3301
@belladebartolo3301 3 ай бұрын
SNOW was a great business in Ontario until the insurance companies ruined it for everybody. I can see moving forward but it’s just be kind of become on affordable for us contractors and the owners will be put on the property managers or owners to get their own insurance I’ve been doing this for 35 years.
@cleangreenlawnservicellc2630
@cleangreenlawnservicellc2630 4 ай бұрын
👌🏻
@larrykluckoutdoors8227
@larrykluckoutdoors8227 4 ай бұрын
👍👍👍
@BobMckinsey
@BobMckinsey 4 ай бұрын
You guys should apply for grants
@nightfly1985
@nightfly1985 4 ай бұрын
Hard to get grants in high competing area with low unemployment rates. ( usely rolling stocks are not considered eligible)
@sepemail5849
@sepemail5849 4 ай бұрын
Seems left hanging as a viewer… like video ended before interview and start of turn-around started. I get winter 2024 not over… but even the girl question left dangling :( If follow-up intended… should have closed mentioning that.
@stonemullins9602
@stonemullins9602 3 ай бұрын
Algorithm
@wilsonbobcatservice4151
@wilsonbobcatservice4151 Ай бұрын
What he was doing in snow he should of been very profitable. I do $140k in snow and profit $100k off it. Would luv to get to $600k
@TT-ik3kd
@TT-ik3kd 4 ай бұрын
90k for insurance? Nah somethings wrong bud
@clearcutgroup
@clearcutgroup 4 ай бұрын
No that is the going rate based on what contracts you take on. Liability insurance is a killer in the Toronto area.
@tommye9057
@tommye9057 4 ай бұрын
thats the going rate for a smaller operation like his in the toronto area
@jamesfurious_styles9422
@jamesfurious_styles9422 4 ай бұрын
Welcome to snow removal in Ontario. I went through the same thing 3 years ago. My insurance Co. (Desjardins) decided not to renew. That July and August were so stressful. I couldn't find anyone to quote and if they did it was 20 to 30% of gross income. I literally had only 1 "reasonably" priced option. They want to know where and what type of plowing your doing. Factories and industrial building are not too bad, but Condo/townhouse complexes or malls, it shoots through the roof. The more people coming and going, the higher the liability, the higher the rates.
@semperviridis6551
@semperviridis6551 4 ай бұрын
The guy literally has a newer mercedes GLC sitting in the garage in front of his plow truck and loader. Sell your damn luxury vehicle. Maybe your outside life is more expendive thrn it needs to be. Also snow removal sucks. Insurance is too expensive and the equipment isnt cheap either.
@DT-yt2zh
@DT-yt2zh 4 ай бұрын
weak
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