Junk Removal AMA

[sakura_meow]

@alicoobasta Yes. We definitely target realtors and property managers. Nothing w banks… not saying you shouldn’t I just don’t know where to start

Eviction clean outs can get ugly I don’t really like them usually they’re crappy jobs and sometimes the tenant will show up all pissed off and cops got to come out and we don’t even get the job finished.

 

[cdw]

@sakura_meow Running your own biz is not easy! Happy for your success. I'm thoroughly reading through the comments.

Trying to bring the fam biz to the next level, markets changing and parents getting old.

GOYA had me dying

 

[caitlynlovesjesus]

@sakura_meow What is your payroll?

 

[sakura_meow]

@caitlynlovesjesus For a two week period… it’s usually around $4500

 

[613jono]

@sakura_meow Does that mean what you are paying your help or what you take as a salary from the business. I think everyone wants to know what the business earns in net profit( including your salary)

 

[sakura_meow]

@613jono We pay me 36k per year. Mostly to get quarters as im about to qualify for social security.

Our profit margins are about 30-35 percent for each month depending on truck maintenance, issues dump fees, recycling, etc. We did 380 last year and profited over 100 k last year.

 

[613jono]

@sakura_meow Thanks for the detailed response. How many hours a week of actual work do you put in to running the business? Maybe from beginning to now for comparison. Tia

 

[sakura_meow]

@613jono Good question…. In the beginning for like the first year and a half I was absolutely working day and night. However, I enjoyed it, and really liked the challenge of what I was doing. So I felt every day was paramount, and could not waste a single second as there was work to be done. I was determined and hyper focused. I wasn’t going to let anything stop me.

Now I’m in a spot where it’s much better and I’m comfortable, but I need to get out of my comfort zone and hit the Growth button and get after it again

 

[leahhope]

@sakura_meow Why don't you pay yourself more? What happened with the rest of that 100k profit?

 

[sakura_meow]

@leahhope I didn’t pay myself at all for the first two years. Just so many things to figure out between doing the jobs and marketing.

I knew I needed to but kept putting it off and once I finally did it was just an amount that my accountant recommended for tax reasons.

As far as net income, we have reinvested, I put in a pool for the kids, im making extra payments on the house vacations, etc

 

[secondccoming]

@sakura_meow What do you do with said junk? Just straight to the junk yard? Dump?

 

[sakura_meow]

@secondccoming It depends. Some stuff I keep some stuff I give to employees, some stuff we donate, some stuff i have actually sold on offer up.

 

[meliorakos]

@sakura_meow What are your margins?

 

[sakura_meow]

@meliorakos Around 32 percent. I run it out of my house so I don’t have to pay for a warehouse and I park my trucks for a stupid low rate as my buddy owns a lot and lets me park there

 

[coolguy123]

@sakura_meow Can this be started by outsourcing the job to individuals with trucks? What's your software stack that you use on a day to day basis? If you were to start all over again what advice would you give yourself? And lastly, how's it dealing with competition in your area? Congrats!

 

[sakura_meow]

@coolguy123 Can’t imagine outsourcing would ever work ….it’s difficult enough already just having employees and keeping things straight

We use house call pro for our CRM.

If I were to start all over… I would choose something with a higher average ticket so i could make some serious money…. going back five years. I didn’t have the knowledge or the confidence or the ability to do something like that so I started where I started … which was junk removal

Competition…. Lol on a FB forum the other day they were talking about the most competitive markets and everyone was saying Phoenix

I don’t care about the competition. I wish nothing but the best for them…I’m focused on what I want to do and what is best for my family

Most of my competitors are really cool and I’ve developed relationships with them going out to lunch with them talk on the phone pass jobs, back-and-forth, etc.

 

[misterlogicman]

@sakura_meow Higher average ticket like what?

 

[sakura_meow]

@misterlogicman Well that would entail some serious market research before I jumped into another business, but likely landscape lighting, possibly epoxy flooring, maybe garage doors. Bigger average tickets and fewer customers. For example today we did 7 jobs and 1800 in revenue

Which is fine but i had to acquire 7 customers to get that 1800 bux.

Taking 7 calls, booking the jobs, logistics, sending the guys out, getting it all done by 5, etc

 

[crice]

@sakura_meow Awesome business, I’ve seen your trucks around! I’m 17 and clean windows in Cave Creek, Scottsdale area. Working on getting that SEO even more dialed in!

 

[sakura_meow]

@crice Holy crap, you’re only 17?

Jesus, when i was 17 i was still eating crayons.