Closing out the year--How did you do?

[Sunrise Guy]

I'm going to sit down with my books, over the next few days, and close out my year. I'll post my percentage up or down over last year, here. While it's cool to know when we all are getting gigs like crazy or sitting in our sheds working on our saws and other gear because it's so :censored: ing slowwwwwww, the end of year comparisons give a more accurate picture of how we all are actually doing, business-wise. Give me about three days. I may work a few jobs before New Year's Eve, but since all of my guys are off on vacation, I won't be hustling hard to get work for the next week.

 

[Rftreeman]

i won't know until the accountant (my MIL) gets it all figured but all my bills got paid on time and I ain't broke so I guess I did ok.

 

[jomoco]

Santa brought me one blown headgasket in my trusty toy 4x4 tooltruck. It still managed to get me home in the rain like a good dog should though.

Oh boy!

jomoco

 

[jefflovstrom]

It has been a very good year! 2009 is looking even better.
Jeff

 

[ASD]

It looks like

Sales up 15%
Net up about 9%

 

[polexie]

For my first year i am doing above the expected. Can pay my mortage, car, food and the rest. My investments in my little company paid itself back.
Can go on a holiday now and then, so nothing to complain about.

Early next year i will have the exact amounts of money that came in and went out.

Of course it´s very helpfull that my gorgeous wife has got a good job, so we´ve got a little backup.

 

[Sunrise Guy]

My close-out figure: 2007 vs. 2008

OK, I just got done balancing the books and closing them out for 2008. I ended up with a 6% increase in gross income, for 2008 compared to 2007. Considering many businesses are down around 30%, I suppose I can consider my business in "OK" condition.

I am hoping that when the new US administration gets in, in January, a new era of good feeling will encompass the whole world and the sun will shine, children will all be happy, birds will sing, we will all join hands and sing---and everyone with a tree or trees on his/her property, whether that property be residential or commercial, will realize that all of their trees need work and will not hesitate to grab a phone and call us up and quickly and eagerly agree to pay whatever we ask for the gig. Yep, that's what's going to happen-----Yep, sure-----------

 

[ASD]

Hay Sunrise 6% gross ? it's the net that count's what was that?

 

[John464]

how would you guys know this already? My accountant hasn't done my taxes yet. Won't know how much she decides to expense in write-offs till around April. Then comes what you pay in taxes. This all factors into your net profit.

 

[Sunrise Guy]

how would you guys know this already? My accountant hasn't done my taxes yet. Won't know how much she decides to expense in write-offs till around April. Then comes what you pay in taxes. This all factors into your net profit.

I'm just looking at my gross, right now. My net should be a bit better than last year, since I bought less equipment, paid off this and that, etc. I'll have my net in April, or a bit sooner, depending on how motivated I get.

 

[Blakesmaster]

Oh jeez, I still have 6 mos of entries to put into quickbooks before I have a clue on this topic. All I know is there's still money in the account, bills are paid through March and I got a bottle of Johnnie Walker.

 

[arbor pro]

how would you guys know this already? My accountant hasn't done my taxes yet. Won't know how much she decides to expense in write-offs till around April. Then comes what you pay in taxes. This all factors into your net profit.

quickbooks accounting software is how we know. QB does all your monthly, quarterly and annual reports for you so you don't have to wait until your accountant does your taxes to know where you stand. It also does depreciation and fixed asset tracking.

 

[ASD]

quickbooks accounting software is how we know. QB does all your monthly, quarterly and annual reports for you so you don't have to wait until your accountant does your taxes to know where you stand. It also does depreciation and fixed asset tracking.

+1

If running a one man show and you have money in your account and your bills paid up finding out how a CO. is doing in April is probably fine.

As for mid size and up.

Well we track it real close year to year / month to month / week to week !!
So we know were we stand as compared to last year and the year before and so on. We like to know about what our tax liability's will be in November so we can buy stuff rather then give it to the gov.

 

[Sunrise Guy]

quickbooks accounting software is how we know. QB does all your monthly, quarterly and annual reports for you so you don't have to wait until your accountant does your taxes to know where you stand. It also does depreciation and fixed asset tracking.

OK, so how did you do for the year?

 

[ASD]

In 2000 gross was $125,000 net was negative $40K but we spent big $$$ the first year.

In 2008 gross is about $ 1.4 with a net of about $178K

 

[arbor pro]

I had an amazing year thanks to a windstorm in July. Most of my work since then has been on an hourly basis with very few bidded jobs. Of course, it makes a guy's 'net' grow a bit faster when he's billing out nearly every minute of his day vs competing with other guys who are lowballing everything.

That said, I did about twice the amount of work that I did last year and with very little extra overhead in doing so. Paid off a nice chunk of my equipment loans, bought some new equipment and took a nice salary myself. I have enough equipment depreciation left to counter the net profit that I'm currently showing on the books so, I'm not overly concerned about uncle sam getting more than his fair share.

Like everybody else, I just wish I knew what next year was going to bring. My phone has been pretty much dead but, it's been below zero here for the last two weeks. Nobody's really thinking about tree work right now.

The used equipment market has also been absolutely dead. I've had a Bandit 200+ chipper for sale for two months and had very very few inquiries on it. I usually have good luck with reselling my used tree equipment but, my guess is that everybody is making due with what they have for now and holding off on more purchases - unless that is, the money is sitting right there in their bank account needing to be spent before uncle sam takes it all.

My brother is a home remodeler. He's won regional and national awards for his work so his reputation is pretty good. He told me that his current sales are at about 30% of last year at this time. Had to lay off two of his 12 employees and might have to do some more trimming if things don't pick up within 6 months. I guess in that respect, I'm lucky I'm a 1-man show. No employees to worry about keeping busy when things get slow.

I hope everyone had a blessed Christmas and I wish you all a wonderful and profitable 2009.

 

[John464]

+1

If running a one man show and you have money in your account and your bills paid up finding out how a CO. is doing in April is probably fine.

As for mid size and up.

Well we track it real close year to year / month to month / week to week !!
So we know were we stand as compared to last year and the year before and so on. We like to know about what our tax liability's will be in November so we can buy stuff rather then give it to the gov.

Ahh I see. I have a book keeping/payroll service. I know generally what I made in profit, but don't know exactly till tax time. I recieve itemized records every month showing gross and all expenses, but until we factor in depreciation and decide what we choose to write off this year. i.e. I can write off entirely $117,563 in new equipment purchases for 2008 , or stretch that into 2,3, or 4 years, plus the depreciation. Depending on this decision I could be $117,563 +/-. I a long with my accountant make this decision based on what we predict expenses and gross will be the following year. This is usally examined by chart data history from past years in business, but with 2009 being so unpredictable who knows what the best decsion will be?

Even if things don't improve in 2009, thank God 2008 was an outstanding year, i'll atleast be able to live comfortably.

 

[ASD]

Jhon you should see your accountant the first part of November every year and they should know about where the chips will land by then that will give you about 1.5 months to spend money if you nee to!

Just my .02

 

[John464]

You are right and thats what we do. I contacted her last week of Nov and was told I could use more write-offs and thought about buying another truck. Almost spent another $60,000 and even though it would of made tax sense this year. Next year being so unpredictable due to the economy I am holding off on expanding the fleet. I may need 2008 purcahses to carry over in 2009 if I dont buy any new toys.

What do you usually do? Write the whole purchase off in one year or over a number a years?

 

[ASD]

We write off as much as it takes so we pay next to no taxes! It's my / our $$ and i would rather have nice "toys" for our people / crews to use then pay for a bunch of SOB's to sit in DC. and play with them selves!

If you need to spend some $ at the last min. (12/31/08 ) pay forward your

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