How to Start a Landscaping Business: 12 Key Steps

As long as there are homes with yards and gardens, there will be a need for landscapers. 

Landscaping businesses are future-proof, making them a good choice for inspired entrepreneurs. Yet, as with any new business, getting off the ground can be challenging.  

The good news is that if you take the time to map out a solid plan of attack, it’ll be much easier. 

In this guide, we'll help you do just that by outlining the path to starting a landscaping business in 12 steps. 

From researching your market to hiring a team, we have you covered from start to launch.  

Let's get to it! 

Benefits of Starting Your Own Landscaping Business

Landscaping as an industry is growing steadily. In recent years, the field has been growing at an average rate of 4% per year. By the end of 2025, revenue is expected to reach $9 billion. 

Landscaping is an attractive profession for many reasons: 

• The profession has a low barrier to entry. 
• You can be your own boss with more flexibility and a better work-life balance. 
• You can work outdoors in nature. 
• It's healthier than sitting at a desk. 
• There's lots of variety—different jobs bring different tasks and challenges. 
• Landscaping can be a great creative outlet. 
• You may collaborate with other interesting professionals. 
• Income is steady, with lots of repeat business. 
• Your revenue is potentially uncapped. 

Convinced? We thought so. 

Now, let's jump into the step-by-step process of starting a landscaping business. 

Step 1: Identify Your Target Market

Before you decide what to sell and how to sell it, you need to know who you're trying to sell to. 

Why? Because different people value different things. They have unique needs and wants. The better you can tailor your services to appeal to your audience, the easier selling becomes. 

So how do you know who your target market should be? 

First, consider where you'll be running your business. What kinds of homes do people have? Is the area urban, suburban, or rural? 

Then, think about the types of people who live in those homes. Are they renters or homeowners? Do they have a lot of disposable income? 

Maybe you don't want to target the residential market at all. Perhaps you're interested in working with commercial clients. What matters to them? What are their pain points? 

Customer personas can be a useful tool at this stage. Start by trying to fill out one of the many free templates you can find online. 

Step 2: Choose Your List of Services

Once you know the who, you can move on to the what of your landscape business — that is, what you’re going to offer. 

There are plenty of ways to structure your landscape service offerings for long-term success. 

You can be a generalist by offering a variety of different services and appealing to many clients. This might include: 

• Lawn mowing and edging 
• Flower bed planting and care 
• Tree pruning and hedge trimming 
• Water feature installation 
• Mulching and weed control 
• Yard and leaf cleanup 
• Irrigation system maintenance 
• Fertilizing, dethatching, and overseeding 
• Sod lawn installation 
• Tree planting and tree/stump removal 
• Xeriscaping and drought-friendly planting 
• Sustainable landscaping solutions 
• Winter snow and ice removal 
• Landscaping and hardscaping consultation 

Alternatively, you can specialize. For instance, you might only focus on new landscape designs or tree-related services. This can be a smart move if you live in a densely populated area where competition is stiff. 

Both generalizing and specializing have pros and cons. Whichever you choose, go back to your target audience. Which services would they be interested in? 

You might also factor in the local climate. For example, regions that experience a lot of snowfall will have distinctive landscaping needs compared to areas vulnerable to drought. 

You should also think about each service's income potential.  

Repeat services like lawn mowing can be a great way to lock in steady cash flow. In contrast, larger, one-off projects like full yard renovations can land you a healthy profit. It's a good idea to have a mix of both. 

Finally, make sure you have a way to make money all year round—even if you decide to specialize. This is particularly important if you live somewhere with icy cold winters. 

For example, you might offer garden maintenance in the warmer months and snow and ice removal in winter. 

RELATED ARTICLE: How to Grow a Landscaping Business 

Step 3: Scope Out the Competition

Before you buy a house, you'd check out the neighborhood. The same goes for starting a landscaping business.  

You need to know what you're up against. And that's where competitive analysis comes in. 

Researching competition in the local market is hugely important because: 

• It helps you decide on a unique selling proposition (USP). A USP is what makes your business stand out. It gives prospective clients a reason to choose your business. 
• It makes sure you price your services just right. You might position your business as a budget-friendly or premium option. Either way, knowing what other people charge gives you a concrete starting point. 
• It teaches you what kind of messaging appeals to your target audience. By looking at your competition, you can see what works and what doesn't. 

So, how do you research your competition? Here are our top tips on what to pay attention to: 

• Check out their websites and social media profiles. Look at how they present their services. 
• Read online reviews and ratings. These give you a window into what customers love and what they complain about. 
• Compare service offerings and pricing. Do they offer packages, specialized services, or add-ons?  

Step 4: Decide on a Business Structure

A crucial part of starting your landscape business is making it official. That means registering and choosing a business structure. 

There are a number of options when it comes to business structures, each with their own advantages and disadvantages. Here’s an overview of the primary structures you’ll likely consider: 

Sole Proprietorship

With a sole proprietorship, you and your business are legally the same. It's the simplest structure, but you are liable for everything. 

Pros: 

• It's easy and inexpensive to set up. 
• There's no need to file separate business taxes—profits and losses are reported on your personal tax return. 
• You have full control of the business. 

Cons:

• You're personally liable for all debts and lawsuits. 
• It's difficult to raise capital or secure funding. 
• There's limited ability to scale as the business grows. 

Partnership

If you're teaming up with someone else, a partnership allows you to share responsibilities. 

Pros: 

• There's a shared responsibility and expertise among partners. 
• It's simple and cost-effective to set up. 
• Pass-through taxation is applicable—profits are taxed as personal income for each partner. 

Cons: 

• Partners are personally liable for debts and legal issues. 
• Disagreements between partners can affect the business. 
• It requires a detailed partnership agreement to avoid conflicts. 

Limited Liability Company (LLC)

An LLC protects your personal assets from business liabilities. At the same time, it gives you flexibility in management and taxation. It's a popular choice for contractors. 

Pros: 

• It protects your personal assets from lawsuits and business debts. 
• It offers flexible tax options—can be taxed as a sole proprietorship, partnership, or corporation. 
• It's easier to manage than a corporation with fewer formalities. 

Cons: 

• It requires higher setup costs and annual fees compared to a sole proprietorship or partnership. 
• Regulations and fees vary by state. 

How to Decide

Ask yourself the following: 

• How much liability risk do I face? 
• What's my budget for administrative tasks? 
• How do I plan to scale the business? 
• Do I plan to hire team members? 

How and When to Register Your Business

Registration is pretty straightforward for most small businesses. You'll just need to file your business name with state and local agencies. 

Here are our tips: 

• Depending on your state, you may need to file for a business license, register your LLC or corporation, and pay state taxes. Don't forget about sales tax if you plan to sell physical products like plants or garden supplies. 
• Check with your city or county to see if they have rules about local business licenses. See if you need a zoning permit or environmental clearance too. 
• Most small landscaping businesses won't need to register with federal agencies. There are exceptions, though, like if you're trademarking a name or hiring employees. 

Step 5: Set Your Prices

Your pricing needs to make practical sense, but it also has to be what your target audience is willing and able to pay. 

Pricing too high might seem like a way to make more money. But in reality, you could price your customers out entirely. 

Go too low, on the other hand, and people may question the quality of your work. They might assume you're inexperienced. 

How to Choose a Pricing Model

Back to practicalities—you'll need to decide on a pricing model. Most landscaping businesses choose between hourly or fixed rates or a mix of both: 

• With an hourly rate, you're compensated for the actual time spent on a project. The downside is less certainty for both you and the client. Many clients don't like open-ended costs. 
• With a fixed rate, you offer a set price for the entire project. It gives clients clarity. The risk is that you could underestimate the time involved and might not get fairly compensated. 

FROM ONE OF OUR PARTNERS: How to Price Landscaping Jobs 

How to Determine Your Prices

Your pricing needs to be competitive, so think back to your market research. 

Start by looking at what competitors charge in your area for similar services. Then factor in your costs. 

This includes your materials. It also has to account for your overheads. 

Overheads are the recurring expenses that keep your business running. They include things like: 

• Equipment maintenance and replacement 
• Fuel and transportation costs 
• Marketing expenses (e.g., website, online ads) 
• Insurance and licensing fees 
• Administrative costs like landscaping software 

Next, think about your desired income. 

Business owners need to pay themselves too. So, decide how much you want to make annually and work backward to calculate what you need to charge per job or hour. 

Finally, build a safety net into your pricing. That way, a broken tool or a longer-than-expected project doesn't eat into your profits. 

Step 6: Create a Landscaping Business Plan

Once you get the tasks above checked off, you can start creating an official business plan. 

Your plan will be your company's roadmap for the next year or two. It will also be necessary if you intend to apply for any business financing. 

A business plan includes the following components: 

• An overview, called the executive summary 
• Description of structure and employees 
• Market analysis and demand for services 
• Marketing strategy to attract clients 
• Services offered and prices 
• Financial projections by month, quarter, or year 

Here's how to get the most out of your plan: 

• Acknowledge that it's an evolving document. It will change alongside your business and goals. 
• Be specific. Avoid generalities like "Use social media to attract clients." Instead, get into the details. Which platforms? Will you use paid or organic strategies? What will you post? 
• Have someone you trust look over it. With a fresh set of eyes, they might be able to find gaps. 

FROM ONE OF OUR PARTNERS: Creating Your Own Landscaping Business Plan 

Step 7: Obtain Licensing and Insurance

For the next stage of your landscaping setup, you'll need to check off a few more legal tasks. This includes getting licensed and insured. 

Every state and municipality has different requirements. In most cases, you'll need a business license at a minimum. 

In some states, you'll also need a landscaping license, which requires you to pass an exam and have hands-on experience. You can find out more about your state's licensing requirements here. 

Then, you'll need insurance. This protects you, your business, and your employees should something go wrong. 

You'll definitely have to take out general liability insurance. Then, you’ll have additional coverage options to consider, such as: 

• Workers' compensation insurance 
• Property insurance 
• Commercial vehicle insurance 
• Umbrella insurance 

Step 8: Figure Out Financing

Lack of funding is one common reason new businesses fail. That's why having a rock-solid plan is non-negotiable. 

You can fund your start-up in several ways: 

• Use your personal savings. One advantage of this option is you don't have to worry about monthly repayments. But, of course, you're putting your personal financial security on the line. 
• Apply for a loan. Borrowing money from a bank or other lender is a common way to fund a new business. You can access a larger amount of capital to grow your company. You will have to repay the loan with interest, though, which can be a financial burden. 
• Raise money from investors. This means offering a percentage of your business to investors in exchange for funding. One pro is you don't have to repay the money. One con is you'll have to share control of your business. 

There is a lot to consider when borrowing money. 

Be sure to read all the fine print. Know exactly what your repayments will be, and shop around for the best interest rate. 

Here are some tips to help you get started: 

• Know exactly how much money you need upfront. 
• Compare banks with loans guaranteed by the SBA for better terms. 
• Start with a detailed budget to avoid overspending. 

Step 9: Obtain Landscaping Equipment and Materials

After you’ve dotted your i's and crossed your t’s, it’s time to start getting into the weeds of what you’ll need for your landscaping business. First up is tools and equipment. 

You can go about getting your gear in a few different ways: 

• Buy new. Buying brand-new equipment is a good option because your tools will last longer. This lowers your long-term costs, but it does come with a higher upfront investment. 
• Buy second-hand. You can get a great deal and save on upfront costs by purchasing used equipment. But there's less guarantee of quality. 
• Rent or loan equipment. This is ideal for short-term needs or specialized jobs. However, rental fees can add up over time. You'll need to stay on top of them.

What equipment will you need to start a landscaping business? Here's a sample list: 

• Lawnmower 
• String trimmer (weed eater) 
• Leaf blower 
• Hedge trimmer 
• Shovels and rakes 
• Wheelbarrow 
• Pruning shears 
• Safety gear (gloves, goggles, ear protection) 
• Edger or edging tool 
• Transportation for technicians and equipment 

Step 10: Hire and Train Staff

Will you hire a team or go it alone? 

It's a big decision, one with far-reaching consequences. 

Hiring staff can help you take on more clients and grow your business faster. But it demands more management, payroll costs, insurance, and responsibility. 

Depending on your goals, you might decide to start your business solo. When things pick up and you're ready to grow, you can expand your team. 

When that time comes, consider these tips: 

• Write compelling job ads to attract qualified talent. 
• Focus on attitude and willingness to learn, not just skills on paper. 
• Think about hiring admin staff, as well, to free up your time. 
• Always calculate the ROI of every hire to ensure they bring value. 

Step 11: Get Landscaping Business Software

Software isn’t necessarily the first thing you think of as a new business owner. But it sure can make your life much easier. 

Landscaping business software is designed to make your work faster and easier with features that support efficiency and automation. It helps with things like creating estimates, scheduling jobs, managing customer relationships, and tracking expenses. 

The benefits? Better organization, improved workflows, and happier customers—all of which lead to increased profitability. 

When researching software, look for these features: 

• Job scheduling and tracking 
• Estimate creation and invoicing 
• Customer relationship management (CRM) 
• Reporting and analytics 

FROM ONE OF OUR PARTNERS: How to Make an Invoice for Landscaping Jobs (with Free Template) 

Step 12: Start Marketing Your Services

Once you’re up and running, you need to get the word out there about your new business.  

How? With low-cost marketing. 

Marketing is important because it makes sure the people who need your services are aware of your company. It makes your brand more visible, which leads to more business. 

Smart marketing isn't rocket science either. Here are some ways you can get started: 

• Make a marketing plan. Include things like your budget and the channels you'll focus on. 
• Spend resources where it makes the most difference. Consider your target audience. What kind of marketing would appeal to them? 
• Claim your Google Business Profile. This helps you show up on Google Search and Google Maps. It's also where happy customers can leave reviews. 
• Create a simple website. There are plenty of beginner-friendly website builders to choose from, like WordPress and Squarespace. 

FROM ONE OF OUR PARTNERS: Top 5 Landscaping Marketing Strategies to Help Your Business Stand Out 

Next Steps to Keep in Mind for Starting Your Landscaping Business 

Now you know how to start a landscaping company. Here are a few final tips to help you set yourself up for success: 

• Don't forget to network with other home service providers for business. 
• When you build your website, use search engine optimization (SEO) to help it rank higher in online searches. Also, include your city, county, and some area landmarks for local SEO. 
• One of the best ways to connect with clients on social media is to join your town's Facebook group page. You can advertise for free just by interacting with local residents. 
• Always think about where you want your business to be in a year or two. Are there services you cannot provide right now but would like to? Figure out how to invest in the required equipment or training you need.