Entity Selection Exercise

With Joe's vision to operate a commercial landscaping and tree trimming business along with at least 50 workers, the recommendations is that Joe does the following things

1. Get a Landscape Contractors License.

2. Register a privately held S-corporation.

3. Build a professional team for landscaping professionals.

4. Buy Landscape Contractors insurance.

5. Buy Workers' compensation insurance for all the corporations employees and

6. Become a member of The Professional Landcare Network (PLANET).

Vision for the Business

Joe intends to operate a commercial landscaping and tree trimming business. A successful commercial landscaping business is dependent upon timely completion of the jobs and long-lasting beautification. Joe's business vision should be to provide amongst other things to provide the following services, Brick and Stone Patios and Walkways, Water Gardens, Planting Beds, Tree Service, Lawn Installation, Landscape Maintenance and Emergency Services. Joe's vision should also include renting equipment such as trucks, heavy earth moving equipment, lawnmowers and other landscaping equipment to his clients.

Selecting Professionals

As part of Joe's team, the following professions should be hired, a Horticulturists, an Arborists, Landscape technicians, Nurserymen, Landscape Architects and Designers, a Turf grass Professional, Pesticide Applicators, and Pesticide Technicians. Their knowledge of horticulture, agronomy and arboriculture should enable the Joe's business to provide superior service to its customers. These professionals should be certified. Certification programs for each of these professionals available. In the United States (US), the Professional Landcare Network (PLANET) organizes these certifications. Joe should also get technicians on his team. These technicians will ensure that the trucks, heavy earth moving equipment, lawnmowers and other landscaping equipment are maintained and all work properly.

Joe also requires the services of an accountant and a payroll company. Joe will be paying wages and salaries to his employees on a regular basis. As he needs his time and energy on the landscaping work, he will need a payroll company to do the payroll and file the quarterly taxes. The accountant will prepare and file the tax return at the end of the financial year. Legal counsel will also be required on a per need basis to review the contracts for work. As Joe's occasionally pays his bills late, Joe should work with a financial planner to strengthen his finances.

Legal and Regulatory Issues

Many states require that those who advertises, operates as, or uses the title of a landscape contractor or landscape business, must be licensed with the Landscape Contractors Board. Joe should register with the licensing body in the state/states he intends to perform landscaping contracting.

Joes should price landscaping contracts so that it does not break any antitrust laws. Pricing should not be too low so that it appears to give his business a competitive advantage. The market should be research to see what is fair.

Income for Joe's business is also generated by clients who rent equipment from the business,