I was wrong about $1M 🤯

I was wrong. Building a $1M home service business isn’t a good target. It was just a big, round, easy number. “Seven figures” just sounds sexy.

I have recently analyzed at least 50 home service businesses in each of the following ranges of revenue. The sample was across 4 different industries including lawn care, janitorial, soft wash, and tree services.

Based on my findings, this would be my recommendation if ALL of the following are true:
1.) You want to make more profit and don’t care about revenue flexes
2.) You want to get out of daily operations within 5-10 years (hire a GM)
3.) You want to build a sellable asset that can be passed along to kids or sold to a buyer

If you are making less than $500K annual revenue:
-Sell like mad
-Focus on close ratio, not profits
-Focus marketing efforts to recurring revenue, projects are gravy

If you are making between $500K-$800K annual revenue:
-Do not buy more trucks/equipment
-Fill to capacity and then raise prices. Repeat. Repeat. Repeat.
-Remove services that are least profitable or add complexity

If you are above $800K annual revenue:
-Stop marketing and raise prices until under max capacity with 8 or less field employees
-Simplify business until only one overhead role is required (automate sales)
-Sell unused trucks and lay off part-time employees
-Replace one time jobs with recurring work

If this sounds crazy, please re-read the criteria at the top. You likely don’t check all three boxes.

I am going to do a deep dive on this topic at Blue Collar Summit 2025. It has radically changed the way I look at home service businesses. Get tickets for you, your spouse, and your key employees at BlueCollarSummit.com.

I promise, you will not be disappointed.