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 News Article

October 27, 2005

Orlando''s U.S. Lawns now has 150 owner-operated units nationwide


ORLANDO, FLORIDA - (October 27, 2005) - For Jessica Subh and her husband, Taleb, one factor undeniably played a role in their decision to shut down their lawn maintenance business in Iowa and head south.

"We will be able to work the year round," Subh says. "You can''''t do that in Iowa."

In January, the Subhs relocated to Central Florida where they invested in U.S. Lawns, an Orlando-based operation that has grown its franchise network from 25 to more than 150 units in the past four years.

"My husband had researched for several years on franchise opportunities and decided U.S. Lawns was the best to go with," Subh says. "I think what stuck out is that U.S. Lawns' headquarters are right here where we live."

So far, Subh says business has been good. After starting out with just two employees, the couple now have 12 people on payroll.

Feeding off success

U.S. Lawns Vice President Paul Wolbert says the company's success depends on its franchises making it.

We want to make sure they make money because we get paid out of royalties," Wolbert says. "We want to make sure our franchises are successful."

The formula appears to be working. U.S. Lawns, which charges startup fees ranging from $48,500 to $70,000, is now in 29 states.

Last year, Wolbert says the franchises pulled in an excess of $60 million. He estimates they'll do $80 million this year. The company's royalties start at 4 percent but are scaled back to 3 percent once a franchise-holder reaches a certain revenue target, he says.
"
We have an owner-operated-driven business," Wolbert says. "There's more passion when an owner is in charge rather than a manager."

U.S. Lawns was founded in Orlando in 1986. But it wasn't until 10 years later, after it was acquired by Calabasas, Calif.-based ValleyCrest Co., that it began to show signs of genuine growth, company officials say.

Wolbert says U.S. Lawns' turnaround also coincides with Ken Hutcheson joining the company in 1995. Hutcheson became president of the franchisor in 2002.


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September 2005

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