The Most Profitable One-Man Business You’ve Never Heard Of — Transcript
Full transcript
- 0:00Would you believe that you can make 60 grand a month just with a bobcat like this? What got you
- 0:05onto this? A lot of demand. People that have land, they they lose parts of their property
- 0:10every year as the hunting cycle grows in on them. No employees, not a [music] bunch of startup costs
- 0:15cuz you can finance these things. You've paid back all of your startup costs from your first
- 0:19job. Yeah. That's incredible. [music] This year we ended up doing about 565,000 in 6 months. Yeah.
- 0:26Holy crap. It's never been so simple to start a business. What did your first [music] customer
- 0:31look like? Who were they? How did you find them? Etc. So, they came into That's exactly what my
- 0:37friend Alex did. So, $6,000 job, $4,000 profit. How big could it scale? The sky's is the limit.
- 0:43I could easily see this getting to about $30 million a year. Holy cow. I said, "Alex, I got
- 0:49to fly you to Texas. You got to show my viewers exactly how they can copy you." So, we'll make
- 0:53around 10 to 11,000 per snow [music] event. How do you find those customers? So, without further ado,
- 0:59let's go meet Alex. All right, Alex, thank you for coming. Yeah, no problem. How was the flight?
- 1:04It was all right. It was cold getting on the plane, but Okay. wasn't too bad. Okay. Well,
- 1:08tell us uh tell us about your business. So, we do forestry mulching and land clearing. So,
- 1:13we just clear woods. Clear [music] land. And how long have you been doing that? So, we're about 2
- 1:18years in. Okay. And you you enjoy it? Oh, we love it. Now, of all things, you could have started cuz
- 1:22you're kind of an entrepreneur. Yeah. What got you onto this? Um, a lot of demand for it. So,
- 1:27you know, where we live in Cincinnati, there's invasive honeysuckle issue. People that have land,
- 1:32they they lose parts of their property every year as the honeysuckle grows in on them. So, a lot of
- 1:38people didn't know about this kind of business and they were [music] paying tree services lots
- 1:41and lots of money to do it by hand. So, we came in and said, "We can offer a more affordable solution
- 1:46and it's cooler [music] to watch." Yeah. Now, have you ever used this yourself? Like were were
- 1:50you a customer of this? Yeah. So I have 5 acres and about three of it was wooded. It was an old
- 1:55pasture that had grown up for about 15 years and uh my old backyard was essentially unusable. Yeah.
- 2:01So it was growing in on my barn and that's kind of how I found this type of service was looking for a
- 2:06solution that was reasonable. You know, I mean it would be tens of thousands to have a tree service
- 2:11to it. So landed on forestry mulching and noticed it was mostly for commercial stuff and I said,
- 2:18"Hey, someone needs to do this residentially." We looked at the only company I could find was
- 2:22pretty far away down in Lexington and uh so I said, "Hey, we'll just start this." I mean,
- 2:27Cincinnati, it's a big city and you couldn't find anyone to do this just to clear your land. No,
- 2:31couldn't find anybody. Wow. Yeah. Now, how did you aside from just like looking on Google,
- 2:36how did you actually learn that there was more demand than supply? So I started I did a lot of
- 2:41keyword research on it just looking into you know what if people are searching clear my land maybe
- 2:46not necessarily searching for forestry mulching that's a more of a commercial term it's just more
- 2:51of clear my land get rid of this honeysuckle just everything that I could possibly think of I would
- 2:56run it through keyword search terms and I had hundreds and hundreds of them and then I compared
- 3:01that to concrete work and you know the demand for forestry mulching was pretty close to concrete it
- 3:08wasn't quite as much but you know there's a thousand concrete companies. Yeah. So people
- 3:13were searching for these terms and so that's how I just decided hey this is going to work.
- 3:18Now give me an example of like what they call a longtail search term right like cuz you said you
- 3:23looked hundreds of them up. What's is it like land clearing near me like affordable land clearing how
- 3:29clear land stuff like that like is that very few people are searching but in aggregate
- 3:33there's a lot of them. Yeah. So a longtail keyword would be more like clear my woods,
- 3:39open up my land. They're not as like lane clearing and forestry watching are more the commercial
- 3:43terms. Honeysuckle invasion. Yeah. Yeah. How do I get rid of this honeysuckle? You know,
- 3:48like that would be a longtailed keyword. And then on top of that, I use chat GPT and I just to kind
- 3:52of see like, hey, this is the service. What would people look for? So just created a big list,
- 3:58ran it through a keyword tool and just saw there was a lot of demand. Okay. So, you buy five acres.
- 4:04Yeah. Three of it is unusable. Y you start looking for someone to clear it. Tree trimming companies
- 4:09are like, "We'll do it. It'll take us two weeks and it'll be $12,000." And you're like, "No,
- 4:14there's got to be a better way." You start looking up land clearing, forest mulching.
- 4:17Their company's doing it, but mostly commercially. They're using these industry specific terms that
- 4:22consumers don't even know, right? They don't even know what to search for. And you kind of find this
- 4:26arbitrage opportunity, right? Coming from like being an internet marketer. Yep. and you say,
- 4:31"I should do this." Yeah. Is that accurate? Yeah. Okay. So, what did you do next? Like,
- 4:36you go spend a bunch of money on one of these things or what? Pretty much. Yeah. So, you know,
- 4:40the smart thing would probably have been to start the business and and then buy the equipment,
- 4:44get the customers. I was very confident in the demand. Yeah. We bought the machine first and
- 4:49then sought the customers. What made you think to compare it to uh like concrete work? Is it because
- 4:54it's like a comparable price point? Yeah, it is really. I mean, it is pretty comparable. concrete.
- 4:59I just kind of looked at it was more so because I just see concrete companies all the time,
- 5:02you know, and I just if I can compare it to their demand, I guess at least have a general idea of
- 5:07how many concrete companies are out there. Yeah. And how many people are looking for their service,
- 5:12you know, while it's not necessarily in the same ballpark. The price-wise, it kind of is. So all of
- 5:18these search terms, the traffic that you found was specifically for like greater Cincinnati,
- 5:22not just nation. Yeah. So essentially 50 miles outside of where we are. Yeah.
- 5:27our range. I'm just making these numbers up, but let's say you look up all these longtail concrete
- 5:31work search terms and a thousand people a day in Cincinnati are searching for them and there's 100
- 5:36companies ready to fulfill that service and then for land clearing there's 800 people a
- 5:40day searching for it and there's two companies and you're like, "Huh, there's something." Yeah. Yeah.
- 5:44Yeah. It was it was a no-brainer. Yeah, for sure. Okay. All right. So, when did like the website
- 5:49come and like the entity formation like walk us through from like day one to day 30? Yeah,
- 5:55day one is more as we start to I start building the website first as at the same time we're
- 6:02kind of getting quotes on the equipment. So we probably launched the website within a few days
- 6:07of actually buying the equipment because I needed something that I could send leads to and then the
- 6:13idea of the YouTube channel came about to educate people and then that kind of started. So when we
- 6:18got the machine and then we used the machine on my property, I took a bunch of videos and clips
- 6:25and stuff and I created a YouTube video to kind of educate people on what this is. Okay. I then
- 6:31utilized started running the ads then the ads I would include the YouTube link in there and then
- 6:36send them through that and then to the website to close the sale. So once we launched and people saw
- 6:42it and it I mean we took off very quickly. Okay. when you look at acquiring customers,
- 6:46like how do you approach that? Do you have like what sort of a process do you use for that? So, we
- 6:51have a three-step framework for Okay. All right. I want to get into that. Okay. But first, like what
- 6:55did your first customer look like? Like who were they? How did you find them? Etc. So, they came in
- 7:02through through our ads and um she actually had a parent pass away and their property had been
- 7:08sitting vacant for like 15 years, overgrown. So she wanted the property that she grew up
- 7:13in to look like it did when she lived there when she was a kid. And so we went out there,
- 7:19didn't really know we were doing, started quoting by the day at the time. We had some experience
- 7:23running equipment our property, but we cleared her property. She, you know, went with us and learned
- 7:29a lot on that job. But she was just absolutely over the moon about it. You know, when we were
- 7:33done, she was crying. She was so happy like this is what it looked like. Yeah. And so that was kind
- 7:38of very rewarding. And it's not something that we thought about when we started. You didn't
- 7:44expect someone to cry. Right. Right. Right. Yeah. We didn't expect it. And so it just kind
- 7:48of reinforced this idea like, hey, we're on the right path. We're doing something very valuable
- 7:52for people. Yeah. That's awesome. And once sales start coming in, do you use something to make sure
- 7:58that you're in compliance with the state? I mean, so you don't even have to think about it because
- 8:02one of the first things you got to do is register as an LLC before you start pulling in real money
- 8:08just to protect yourself. Any business you start needs to be protected because if you get sued,
- 8:13you don't want to be personally liable. I use Bizzy for all of my entity formations. Basically,
- 8:19filing an LLC. Busy is awesome because they actually don't even charge you to file for
- 8:23an LLC. You just pay your states fees and they provide a nice clean interface for it because
- 8:29they just handle all of it in the background. So, I'm not wondering if I miss something or set it
- 8:34up wrong. I just know it's taken care of and then I get to focus on actually running the business
- 8:38instead of babysitting paperwork. Separate your business from your personal stuff. And then
- 8:43there's the annual filings, registered agent, all these things that you don't think about until they
- 8:48become a problem. So Bizzy supports this channel. I use them personally. I file all my LLC's with
- 8:54Bizzy. Check out busy.com. All right. So this is part of what we'll be mulching today. Tell me what
- 8:58we're looking at here. So this is what we would consider. So the way we do our pricing is by the
- 9:03quarter acre. We used to do it by the day. We've kind of adapted that model. So, this one we would
- 9:07consider like a medium brush density. Okay. And a tier one terrain for us. So, it's pretty flat.
- 9:13Very manageable by the skid. Okay. And this would be like a tier two densities. It's if it's This
- 9:19is tier two here. Yeah. Yeah. So, it's a little bit difficult to walk through is kind of a the
- 9:23easiest way to put it. Um nothing too crazy large. This is definitely pretty it's medium work for the
- 9:30machine. It's not going to be anything too crazy. So, that's kind of how we decide how we quote
- 9:36things and it allows us to be scalable with our pricing. Okay. So, how many tiers are there? So,
- 9:40we've got three tiers of brush density and three tiers of terrain. Okay. Okay. So, do you have like
- 9:46a formula in your head where if it's like tier 3 plus tier 1 plus 7 acres equals this price or
- 9:51Yeah. So, it is formulated. So, when we quote a property, I'll highlight the area that we're
- 9:55clearing. Let's say it's 5 acres. I can separate that out. If this area is a tier 2 terrain,
- 10:01it has a multiplier applied to that base quarter acre price. Okay. Yeah, it's a little bit more
- 10:06complicated. However, if like you wanted to start out like we did, you could also just do it by day.
- 10:12Okay. And be pretty comfortable with your pricing and customers are pretty happy with that pricing
- 10:16model as well. Okay. Uh we just kind of adapted as we expanded and [music] needed a little bit more
- 10:22definition to how we price. Yeah. So, roughly, let's say it's a tier 2 density, 3 acres. How
- 10:28many days would that take? Half a day, two days? Three acres would be on a tier 2 density roughly
- 10:323 days. Okay. And what would you charge for that? That would be somewhere around 6,000. Okay. Yeah.
- 10:39A little bit higher than that, but yeah, about 6 to 7. And your costs on that are really no labor
- 10:46if you're doing it yourself. Right. Right. So, we have one guy, one machine. So, very simple. Um,
- 10:51I go out and quote it. I mark everything out for the operator. They can see what we're doing.
- 10:55They can see the area that we're clearing and they just show up with the machine and run it
- 11:00through. So our cost on that is pretty low, pretty reasonable. How much in fuel roughly?
- 11:05So we'll probably run about $80 to $100 a day in diesel fuel. Okay. Let's say 300 bucks for fuel.
- 11:10If you're paying someone to do it, what are you paying him per day? So they're making about $250
- 11:16to $300 a day. Okay. Let's say 300. So 1,000 bucks for labor, 600 bucks for fuel. Yep. 1,600. You've
- 11:22got to put some aside for repairs. Yep. Right. How much roughly do you set aside? Um, it's about
- 11:288% is what we put aside for years. We used to do 10% but we just, you know, it ended up being too
- 11:33much. Let's be conservative and say 10. So, we're at like 2,000 now, I think. Is that right? We're
- 11:39at 2,000 and then payment on the vehicle, what is that per month? 1,500 a month. A month. So, it's
- 11:44like your costs even if you pay someone to do it are like 30% 40%. And and and that would be if it
- 11:51was just mulching. And you know, other things that we offer, which most customers take advantage of,
- 11:56is going to be something like grapple work. We charge $750 to run the grapple. So $6,000 job,
- 12:02$4,000 profit. Yeah. And if you do it yourself, $5,000 profit. Same job, give or take. Yep. Any
- 12:08ups, you know, any of the upsales too can even increase it more. Yeah. So, okay. So,
- 12:13tell me what we're looking at here. So, this is a Bobcat T86 with a Superflow Bobcat mulching head.
- 12:20Okay. And this one in particular has the knives on it with a what they call bite limiter. So,
- 12:26this little drum keeps the teeth from going too far into the ground. Okay. Can you adjust these
- 12:31like the distance between this? You can. Yeah. So, there would be like there's some adapters,
- 12:36but you don't really necessarily need to. These are designed as all one. Okay. And then what is
- 12:42the carbide version that you were talking about? So, the carbide version is rather than it being
- 12:47kind of like a blade right here, it's got carbide tips on it, and it's a lot better if you're going
- 12:52to be in a rocky area. If you need to hit the ground for any reason, and you can push those
- 12:58teeth into the ground without dawing it. The knives will doll, but they also cut through wood
- 13:03about 50% faster. Okay. What would the attachment cost new and used, and what would the Bobcat cost
- 13:09new or used? So, our first attachment we got was a Fecon attachment. We bought that used. It was part
- 13:16of their rental stuff. We picked it up for 15,000. Okay. A brand new one, you're going to be around
- 13:2240,000. Okay. And then what about the machine? So, an 86 is going to be about 115,000. Um,
- 13:30our first machine was a 770. We bought that used for 74. Okay. Did you start by financing these or
- 13:37did you just have cash for the whole thing? So, we definitely financed, you know, we put about 5,000
- 13:41down um and financed the first machine. Okay. What was your first payment on your first machine and
- 13:46attachment? So, it's about 1,400. Okay. A month for that. And that included that attachment as
- 13:53part of it. Okay. So, you got in this business for five grand or was there more to it than that?
- 13:58Yeah. Well, we bought the trailer. So, we did buy a trailer that was which you could have financed.
- 14:02You could have We could have Yeah, the trailers are pretty affordable. So, we we just paid cash
- 14:06for it, but it was about 11,000. Okay. Um, and then we needed a truck that could pull it. So,
- 14:11we just bought a a used truck uh for about $8,000. Okay. That could pull it safely. And uh so yeah,
- 14:18really the startup cost is uh pretty reasonable. Yeah. And how much was your first job? First job
- 14:24we did was about $6,500. Wow. Okay. The one where the lady cried? Yeah. Yeah. That was a multi-day
- 14:32job. Yeah. So, if you had found a way to finance the truck and trailer or lease the truck and
- 14:35trailer, five grand down for the equipment, you could have paid back all of your startup costs
- 14:40from your first job. Yeah, that's incredible. And then how much was your second job? That's It's
- 14:45been a while since it was probably just a day job. I think it was about 1,800. I think at the time
- 14:49we were at 1,800. Uh we moved to 2,000 per day pretty quickly. Okay. How long between the time
- 14:55when you first started running ads in earnest to closing that first deal? 2 days. Wow. Yeah. That's
- 15:01just when she was available to do the quote. Yeah. I mean, as soon as I published that ad,
- 15:05I had people reaching out. Oh my gosh. So, we were we were hitting the ground running pretty quick.
- 15:09And first 30 days, from the day you start ads, 30 days later, what was your revenue or andor profit
- 15:14if you remember? Uh, first 30 days, I think it was about 25,000. 20 25 and profit. Profit. I mean,
- 15:23you've got your startup cost. Oh, yeah. Yeah. You know, just that month. Yeah. I mean, it was pretty
- 15:2917 maybe 16. Wow. Yeah. All right. So, what year is this machine here? Uh, this is a 2025. Okay.
- 15:35Could an F-150 pull this or do you need something bigger? No, this would need especially this
- 15:39machine. This one's about 12,000 lb. Okay. So, you're going to want at least uh a 3500 truck.
- 15:46Yeah. Okay. And this one you would need a CDL to pull. Okay. Yeah. Now, talk to me about renting
- 15:52machines because from what I understand, it's pretty easy to rent a Bobcat. [music] The hard
- 15:55part is the attachment. Yeah. Exactly. I rent Bobcats on Facebook Marketplace for my property,
- 16:00right? I've never tried to to rent the attachment. Well, that's a good point, too. So, the Bobcat,
- 16:05the reason is is you have to run a forestry kit on the machine. Okay. Um, so like on this machine,
- 16:11for example, you can see this is a fall guard. So, if you knock any trees, come down in the
- 16:15cab. A regular Bobcat doesn't have that as the Forester kit ones have it. And then you can see
- 16:20this door. It's a 3/4 in polycarbonate door. Okay? So, it's a expensive add-on for the machines, but
- 16:28that's why they won't rent you one that doesn't have that. Okay. That specific stuff. Bobcat
- 16:33does most Bobcat dealers will rent them, you know, unless you're renting it for like a month. Yeah,
- 16:38it is expensive to rent. Well, I rented a Bobcat. It didn't have the forest mulching kit,
- 16:42but just from an individual, it was like 350 a day. 350 bucks a day. Yeah, these are quite quite
- 16:47a lot more. Yeah. All right. So, you just finished this. Walk us through what we're looking at here.
- 16:51So this is kind of like the finished product of mulching. Just kind of like a fine wood mulch. It
- 16:56takes about 12 to 18 months to break down and then the grass will come back in. Okay. You don't need
- 17:02to remove it or anything. It just No. And I would actually recommend you don't remove it. Yeah. Is
- 17:06there any type of like tree or vegetation that people should watch out for or just stuff that's
- 17:11too thick? Well, in our area we have what's called Oage Orange Tree. Very hardwood. When you hit it,
- 17:18it's like concrete. We can mulch them. It just takes a long time. Um it can break some teeth
- 17:23sometimes. Yeah. Yeah. It just it depends. You don't want to hit metal. So before a job, we'll go
- 17:28through and make sure all the metal's picked up. Rubber, like tires, things like that. Barb wire.
- 17:34Barb wire. Yeah. So we actually include it as part of our emails to the customers. So we'll say,
- 17:40"Hey, if you could clear the area of debris." If they don't do that, that's fine. We'll do it. It's
- 17:46just that's part of the billable time. Okay. All right. So walk us through the revenue and profit
- 17:50numbers. So tell me what day you started the business. So it was May of May of mid May 14th
- 17:56maybe somewhere around of 2024. 2024. Yeah. Okay. So this is about 19 almost. Okay. So what did May
- 18:04through December your first year look like? So we did around 170 to 180 off the top of my head.
- 18:10Thousand. Yeah. Wow. Okay. How much of that was profit? Gross profit was about 70%. Wow. Yeah.
- 18:16Okay. It was exactly like 69 point something. So, six figures of profit your first seven months.
- 18:23Yeah. Give or take. Okay. That's incredible. What was your best month that first year for
- 18:28the first seven months? 45,000. Wow. I say. Yeah. And that was that's hustling. That's running that
- 18:34machine every day. Which month was that? I would say it was October off top of my head. Yeah. So,
- 18:39your fifth month in business, just in that month alone, you did $45,000 and over 30,000 of that
- 18:45was profit. Yeah. That's incredible. All right. So, then January 2025 starts. How does that year
- 18:50look? We're seasonal where we're at. Um, not everybody would be seasonal. Like, you know,
- 18:55down here in Texas, they're not. They can run all year. Um, so our second year was a very slow
- 19:02start. It was no mulching in January, February, March. We had anticipated starting first week
- 19:09of April for spring. We just got record-breaking rain. So, we didn't end up getting started until
- 19:16June. Okay. How did it look from June to December? So, we bought another machine cuz at the time
- 19:23we're selling jobs, right? So, we we just started stacking jobs like crazy. I mean, it was just two
- 19:29every day. And do you collect a deposit? How does that work? We actually don't unless it's over a
- 19:35certain amount. So, if it's like over $10,000, then we'll collect a 20% deposit. Okay. But yeah,
- 19:41this year we ended up doing about 565,000 in 6 months. Yeah. Holy crap. Yeah. And then we
- 19:48also picked up the remote controlled machine. The RCU is amazing. It's a high dollar service
- 19:54for that one because it's very specific. It serves hillsides and what kind of advantage
- 20:00we got. Last year we stopped mulching at the end of November, about third week of November. This
- 20:05year we've been able to just keep pushing. Yeah. And I also learned from the first year that we
- 20:10need to have large farm properties and stuff set up for the winter. Okay. So what I did was as I'm
- 20:17out doing quotes, let's say I'm doing a quote in July, but it's a large farm property. I'll ask
- 20:22them. I'll say, "Hey, do you mind if we do this in winter, do you have a certain time frame you
- 20:27want this done?" They say, "Oh, I don't mind at all." And I'll offer them a 10% discount for us
- 20:32to move that to the winter. So I'll look at make sure these are great properties, filling in the
- 20:36gaps. Right. Right. I'm basically now last year we stopped all winter. This year I learned, hey, we
- 20:42can actually run year round if I plan ahead. Yeah. And I can point out, hey, this property doesn't
- 20:47hold water. This is a large farm property. They don't care about ruts on their property. They just
- 20:52have a it's serving a specific purpose for them. So I'll I filled up our whole winter schedule. So
- 20:57now we're running all winter. Wow. So you're not really seasonal right now, even in Ohio. Yeah. So
- 21:03we found a way to get around being seasonal. Oh man. All right. So, first 6 months in business,
- 21:08$180,000, over 100,000 in profit. Then you take some time off, it's winter, it's it's wet, it's
- 21:14raining, you don't know what you don't know. The next 6 months after that, you do $565,000 in in
- 21:20revenue. Y put those together in a 12-month time frame, you do over a half a million in profit,
- 21:25like net profit. Yeah. That's incredible. Um, now let's gross profit. Gross profit. Okay.
- 21:30Gross profit. Yeah. Yeah. Not net. What would net be? So net is about 40%. Okay. about 3640.
- 21:36All right. So like 750 in revenue, call it 550 in gross profit and 300,000 in net profit, give
- 21:45or take. And and that's you got to keep it that's with a lot of growth investment. Yeah. So that's,
- 21:51you know, new trucks, trailers, equipment, ads. Yeah. So next year we expecting that to be quite
- 21:57substantially higher. Yeah. What do you expect to do next year? We expect to do over a million.
- 22:02We're hoping to hit 1.2 too. And we can do that with the machines that we have now. Wow. So,
- 22:07we don't have to buy any more equipment. Okay. So, tell me about this three-step marketing
- 22:12method that you have. So, the three-step marketing framework is capture, educate, sale. Okay. So,
- 22:18essentially, we do a meta ad to capture their attention. Only video ads. Only video. Vertical.
- 22:24Vertical. Okay. Yep. It'll be showing that mulure shots and the really interesting shots, you know,
- 22:30slow-mo shots of the mulure before and afters, real attentiongrabbing stuff just to show people,
- 22:36hey, you have this problem. Here's the solution. Yeah. And then we include our YouTube channel link
- 22:42into that. In the ad. So, the call to action to click in the ad is to your YouTube channel.
- 22:46It's to our website, but then our website also features YouTube up front. Yeah. So, but I also
- 22:52include the YouTube link in the ad itself and the ad text. Okay. Okay. So, kind of leading them,
- 22:57they can capture the YouTube through the site or through the YouTube link on the ad. Okay. Yeah.
- 23:03So, then our YouTube channel then educates them. Most people don't know what forest streaming is,
- 23:08what land clearing is. So, we show them what it is, show them how it's done. They can see what to
- 23:14expect on a job, what it looks like when we show up, what the end result looks like 18 months from
- 23:19now. just kind of educate the customer on this service and then that leads to the sale. Okay. To
- 23:25saying, you know, kind of show by also showing our work, it also shows them that we know what we're
- 23:30doing. Yeah. Right. It's legitimacy, right? It's adding, right? Adding legitimacy to the company
- 23:35and and to the service itself. So, um and then they funnel from there to our website where they
- 23:41contact us. Our leads are very hotly. They're basically already sold by the time that I even
- 23:47go out there because they've already seen it all through our YouTube channel. Okay. So, what do you
- 23:52spend per lead on to what do you give to Facebook for every lead on average? So, our per lead cost
- 23:59is $20. $20. All right. How many of those turn into a physical quote? Almost all of them turn
- 24:05into a physical quote. Really? Yeah. And then what percentage of your quotes close? So about
- 24:1049% of our quotes close. Yeah. Okay. So let's just say a lead's 25 bucks to be conservative.
- 24:17You're spending $50 to acquire a customer. Yeah. What is your average job size? Our average job
- 24:22is about $3,300. Holy cow. So that's like a 66x return on ad spend. Oh yeah. Give or take. It's
- 24:29ridiculous. But I think it's incredible that video is so central to this whole business. So, are do
- 24:36we need like a bunch of videography equipment or can someone take their iPhone and a $20 tripod
- 24:41and just throw it up on a time lapse and just like during a job? Is that realistic? Oh, yeah.
- 24:45You could just use your phone. Yeah. You can strap it to your chest, get some stuff on the inside of
- 24:49the machine. You can set it up on a little tripod and get a time lapse. Use like free apps, Cap Cut,
- 24:55Instagram edits. Like, you don't need editing experience or anything. And you don't necessarily,
- 24:58it doesn't have to be good. You have to just show people what it is. It's visual. It's fun to watch.
- 25:03Right. Now, you're only showing your ads to people in the greater Cincinnati area. Yeah. So, within
- 25:09about 50 mi of us, 50 mi. Okay. What other things can you do with a Bobcat? Like if it's seasonal,
- 25:15what like snow removal. Let's say worst case scenario, someone cannot get forestry mulching
- 25:20leads, but they have this Bobcat. How can they use it to make money? Oh, man. There's a million
- 25:24things you can do with a Bobcat. I mean, there's hundreds of different attachments you can street
- 25:30sweeping, snow removal. They've got you could have a tree spade. You could transplant trees
- 25:35with it. You can grind asphalt. That's a big one, too. We actually see a lot of people with asphalt
- 25:39grinders dirt. Yeah. Literally, it's a tool that can be used for thousands of different things.
- 25:48Have you ever done snow removal? We do do snow removal. Tell me how how the numbers break down
- 25:52on that. So, snow removal is very lucrative. So if you get a good snow event, so we'll make around
- 25:5810 to $11,000 per snow event and that is within about 20 hours of clearing and then we spread that
- 26:06across different machines that we have. Holy cow. Yeah. So if you've got one machine, let's say,
- 26:10and you've just got to clear some snow and you get a good season of snow, you've essentially just
- 26:15paid for that machine for the whole year. How do you find those customers? So in that case, I mean,
- 26:20the demand for snow removal is extraordinary. So the general contractors, at least in our area too,
- 26:26I know it can be different for people up north where snow in itself is its own thing. A general
- 26:31contractor will typically oversell their capacity and uh we can just we come in, contact a general
- 26:37contractor. Hey, we've got the snow boxes. We've got everything we need. What sites do
- 26:42you want us at? You know, and they'll always give you something. They always need people.
- 26:47So that's just a different attachment. That's just Yeah. And that's probably the the most affordable
- 26:51attachment is a snow box. I mean, you can pick those up for a couple thousand dollar. Wow. So,
- 26:57yeah. And you're just plowing? Yeah, we're just pushing snow. Okay. So, just pushing it off of
- 27:01the parking lots and HOAs. So, you're doing it for general contractors so they can keep working. So,
- 27:07yeah. I mean, general contractors, what they do is they capture the snow contract. So, they'll
- 27:11get they're they'll have a snow trigger. So, in in our case, they'll have one some properties
- 27:17that are 1 in. So if it is one inch of snow on the ground, you're out there pushing snow. It doesn't
- 27:21matter if you're expecting 13 inches. If it's at one inch, you're running constantly. So they're
- 27:26getting paid by a landlord or something. Yeah. They're getting they're subbing it out to you,
- 27:30right? Commercial property owners. Okay. Yeah. And then they sub it to us. So then they get they make
- 27:36their cut and then So they might be getting paid 20 grand for that parking lot. They're
- 27:39giving you 10 of it or 15 of it. Yeah. They're making and killing off of it. Yeah. All right.
- 27:44So if someone's watching this, they don't have a lot of money. They've got some time. They have an
- 27:48internet connection, a credit card. What would you suggest they do that first 30 days to start this
- 27:53business and to be as successful or more as you've been? So, the first thing I would do is create a
- 27:59brand, build a website, you know, borrow images. In our case, when we started out before we had
- 28:04all of our images, we just borrowed Bobcats, you know, cuz it's we kind of looked at it like that.
- 28:09It's uh it's advertising. Yeah, it's advertising. They they probably wouldn't mind having stuff,
- 28:13but yeah, we just use that and put start an ad. You don't have to put a ton of money into an
- 28:18ad. About put about $500 into it, you can get a pretty good idea. What should a daily budget be,
- 28:23would you say? So, right now, we run about an $80 a day budget. Okay. So, but when we started out,
- 28:29we ran $20 a day. Okay. Yeah. Are there any tools that you would suggest that people use to build a
- 28:34website or a logo or like what types of tools do you use for this business? So, when we initially
- 28:39started, we just used WordPress and I built a website, but now with AI, you can just throw
- 28:43a website online with lovable, one prompt. Yeah, one prompt. You could oneshot the website. I mean,
- 28:48it's never been so simple to start a business. Now, what are the must haves on the website?
- 28:53Lead capture, pictures, videos if you have it, you know, your logo is a description of your service,
- 29:00before and afters if you can find something that you can use. What would you have done differently
- 29:04going back in time? How could people avoid headaches? So, what I would have done differently
- 29:09is bought a new machine. I wouldn't have bought used. Start new, not use. Yep. The reason is is
- 29:14because forestry can be hard on equipment and and it's hard to determine what you're getting.
- 29:19It's just best to just start new. That way you know exactly what's going on with the machine.
- 29:23You know it's new. You know it's going to run. You know it has a warranty. Yeah. Warranty is a
- 29:27big part of it. So yeah, I would have started new because especially with you can get 0% financing
- 29:34on new. We looking back that's what we would have done. Okay. What are your insurance costs run? Um,
- 29:39so insurance for us is actually pretty reasonable. For one machine, I want to say is about
- 29:43$150 a month. So, wow. Pretty reasonable. And the reason in our case, they consider us an excavating
- 29:49company. Okay. Um, not a tree service. So, that's [music] pretty affordable for insurance. What
- 29:55about like general liability insurance or more like umbrella? Do you have that? Yeah. Yeah. What
- 29:59does that run? So, that's 225 a month. Any other unexpected costs in this business? unexpected
- 30:07costs or downsides, I would say. So, your wear parts with mulching are going to wear faster. So,
- 30:13you're going to break hydraulic couplings. Like I said, it's harder on the machine. So,
- 30:18having a stockpile of wear parts, if you buy in bulk, it's a lot cheaper, you know. So, you know,
- 30:23you're going to break hydraulic couplings and they're super easy to just unscrew and screw
- 30:26on. So, yeah, I would say that wasn't something we expected starting out, but we figured out pretty
- 30:31quickly. Yeah, unexpected costs went more around machines. was like grease, fluids, fuel is pretty
- 30:38pretty easy. You know, the machines are kind of made to run for 8 hours a day on a fuel tank. So,
- 30:43let's say that someone wants to start this business. They don't want to hire, they don't
- 30:47want to scale, they just want it to be them and a machine. How big could this business get if they
- 30:51stayed 40 hours a week busy all year? How like on a revenue and a profit basis? Um, I would say
- 30:57with one person, one machine running year round, they could do reasonably about 35,000 a month. A
- 31:05month in profit or revenue? In revenue with one machine. Yeah. How much of that profit would you
- 31:09say? I would say they're going to end up about 20,000 a month. And Okay. Quarter million a year
- 31:14in in profit running this business yourself. Yep. Running yourself. How big could it scale? Like if
- 31:20they just wanted to go all out hiring like [music] big building. Yeah. Oh man, the sky's is the limit
- 31:27because you can get into commercial, you can get into rightaway clearing. Um, you can government
- 31:32contracts. Yeah, solar fields is another big one. So, you can do solar field clearing. There are
- 31:38hu huge companies that do this like Asplond and they're a multi-billion dollar company. In just
- 31:43your city alone, depending on where you live, like in Cincinnati, for example, I could easily
- 31:48see this getting to about $30 million a year. Holy cow. Just in Cincinnati. So Cincinnati
- 31:53has 300,000 people and the whole metro area has 2 million people. So you're saying in that area it
- 31:59could [music] this could be a your business could scale in time to a $30 million business. Yeah,
- 32:04I could see it being quite large. Okay, Alex, thank you for your time. Where can people find you
- 32:10if they want to learn more? So they can find us on our YouTube channel at brushworksco and then our
- 32:15website is brushworksco.com. Okay. And we'll link to both of those. Thank you very much. Yeah. So,
- 32:20these videos take a lot of time and money to film, and my entire goal is to get you
- 32:24to start a business with or without me. So, if you appreciate this video, please just do me a favor,
- 32:29subscribe, share it with someone who might be entrepreneurial. Even if you're watching this,
- 32:33you might think you're subscribed. Most of you actually aren't. Thanks for hanging out.
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