How to pivot from residential to commercial landscaping work?

January 29, 2025

by a searcher from Northwestern University in New York, NY, USA

Hey SF Community - posting anonymously for the moment until we can lift the veil.

I bought a residential landscaping business in the mid-Atlantic region last year and the never-ending customer headaches, administrative complexity and low revenue quality are making me seriously consider ways to pivot into commercial work. I would love to connect with searchers/operators who have successfully re-oriented their businesses towards commercial.

My crews are solid on the service delivery side (both maintenance and construction) and I'm highly interested in learning how to win commercial clients, what to look out for in bidding commercial jobs, and any other nuances where commercial differs from residential (equipment, insurance, regulatory, etc.). I'm not opposed to working with agencies or intermediares to help accelerate the shift. I know there is demand out there and I know I can out-compete my less-than-stellar regional incumbents on service quality. How do I get in the door?!

Reply by a searcher
from Texas Tech University in Houston, TX, USA

Hi Anonymous, I had a landscaping company in Dallas and we transitioned form residential to commercial. This is the playbook we followed.

Phase 1: Market Research & Positioning
Step 1: Assess the Market Research local commercial landscaping demand, including: HOAs, property management firms, corporate campuses, municipalities, retail centers, and industrial parks. Look at publicly available bid requests (government contracts, school districts, etc.). Identify large general contractors that subcontract landscaping.
Step 2: Define Your Commercial Niche Do you want to focus on maintenance, construction, irrigation, or snow removal? Decide if you will specialize (e.g., high-end office buildings, HOAs, or municipal contracts) or take a generalist approach.
Step 3: Study the Competition Who are the main players in your area? What are their weaknesses (pricing, service quality, response time)? How can you position yourself uniquely (e.g., tech-enabled tracking, superior customer service, bundled services)?
Phase 2: Business Model Adjustments
Step 4: Upgrade Insurance, Licensing & Compliance Ensure you have: Higher liability coverage (typically $1M–$5M for commercial clients). Workers' compensation that meets commercial standards. Proper licenses (some commercial contracts require bonding). Updated OSHA safety protocols (important for larger clients).
Step 5: Adjust Equipment & Workforce Commercial contracts often require: Larger mowers (e.g., 60" ZTRs), irrigation tools, and snow removal equipment. More reliable crews (weekend work, stricter deadlines). GPS fleet tracking and scheduling software for efficiency.
Step 6: Set Up Better Admin & Finance Systems Billing: Commercial clients often pay net 30, 60, or 90 days—plan for cash flow gaps. Contracts: Unlike residential, commercial work requires formal service agreements and SLAs (Service Level Agreements). Job costing & bidding: Use estimating software (Aspire, LMN, or Jobber) to price jobs accurately.
Phase 3: Winning Commercial Clients
Step 7: Leverage Existing Relationships Start with referrals: If you’ve done work for business owners or property managers, ask for introductions. Check with suppliers: Nurseries, irrigation suppliers, and equipment dealers often know who’s hiring landscapers. Reach out to builders & general contractors: They frequently subcontract for new developments.
Step 8: Build a Direct Outreach Strategy Network with property managers & HOA boards (LinkedIn, BOMA events, Chamber of Commerce). Attend industry trade shows & networking events (NALP, IFMA, local business expos). Cold call and email target prospects—focus on their pain points (reliability, consistency, property value).
Step 9: Register for RFPs & Bidding Platforms Sign up for government & municipal contract opportunities: GovWin, BidNet, and local city procurement websites. School districts, parks & recreation, and DOTs (Department of Transportation). Register as a vendor with property management firms (e.g., CBRE, Cushman & Wakefield, Greystar).
Phase 4: Learning the Commercial Bidding Process
Step 10: Understand Commercial Pricing Unlike residential pricing (per visit), commercial pricing is usually: Per square foot or per acre for maintenance. Fixed project cost for installs/construction. Seasonal contracts for snow removal and irrigation. Factor in: Labor burden rates. Equipment costs (including depreciation). Longer payment terms & retainage percentages.
Step 11: Develop a Strong Proposal Process Commercial contracts require: Detailed scopes of work (weekly mowing, irrigation checks, seasonal planting). Proof of insurance, licenses, and references. Safety plans and contingency plans (especially for government contracts).
Step 12: Learn the Seasonality & Scheduling Differences Many contracts start in spring or fall, so plan marketing and bidding ahead. Expect commercial clients to require reliable service year-round, including snow removal if applicable. Phase 5: Scaling Up & Maintaining Growth
Step 13: Secure Financing for Larger Contracts Consider: Line of credit (LOC) to handle cash flow gaps from slow-paying commercial clients. Equipment financing for necessary upgrades. Performance bonds (some contracts require them).
Step 14: Establish Long-Term Client Relationships Provide quarterly reports on service quality. Implement customer portals for scheduling and issue tracking. Offer multi-year contracts with built-in rate adjustments.
Step 15: Expand Through Strategic Partnerships Partner with: Janitorial, security, and facility maintenance firms (they can refer landscaping work). General contractors who need landscapers for new projects. Property management companies for recurring contracts.

Reply by a professional
from Concordia College, Moorhead in Minneapolis, MN, USA

Bravo for you knowing that you can out-compete your less-than-stellar regional incumbents on service quality. The first thing to do is list the competitive advantages you have over the less-than stellar players. This will be relatively easy. The second thing to do is convince the buyers in the commercial market that you can deliver these advantages. This will be relatively difficult because you are an unknow entity in this market and will be a risky choice in the eyes of the buyers. Your competitors will be asking their customers "why would you run the risk of switching to the new guy when you know we have been doing a good job for you in the past?", (that's what I would ask my customers if I were competing with you). You have to come up with a good story as to why someone would hire you instead. Here is a hint; it had better not be because you are cheaper. Being the price leader will likely be a terrible position to take. Your story should include proof as to why you think you've earned the right to compete in the commercial market. Is it because you have a better guarantee? Is it because you have a unique process that makes it better to work with your company? Is it because your project managers are better at managing expectations? Is it because your estimators are better at designing solutions that are more stable and thus require less maintenance over time? Simply putting together bids and getting in front of the right people will not be enough. You have to have a compelling story and the patience to play the long game. The commercial buyers will come to you over time, but they probably aren't going to flock to your door just because you have a good list and a nice brochure and website.

+12 more replies.

Join the discussion