How to Make Money Coloring Mulch: Here's the Math
The precarious balance of income and expenses that leads to profitability can be a challenge for any business owner. To be successful in the colored mulch industry, owners need to know their primary
- Compile the expenses required for producing the final product — including colorant, packaging, fuel, labor, utilities, equipment and facility payments, maintenance, accounting, and other overhead.
- Divide the total by the projected sales to determine
per-cubic-yard cost. - Multiply that figure by the percentage of profit you wish to achieve.
For mulch producers who sell primarily to wholesalers, the volume of mulch delivered will likely far exceed that sold to retailers, so the markup will be less — primarily due to less cost associated with
Wholesaler landscape mulch providers work at higher volumes but with less profit per unit. Prices will most certainly vary by region, demand, availability of raw material and local competition.
