![How to plan and track the budget of your exterior design service [template]](http://onlineyougrow.com/cdn/shop/articles/cov-budget-6.png?v=1715856547&width=1100)
If you don’t plan and track your exterior design project budget properly, you're setting yourself up for failure.
When we developed our strategy pack for exterior designers, we saw a lot of designers struggling with finances and planning.
They were disorganized, had no grasp of cash flow, and were drowning in financial troubles despite having substantial projects.
Don’t let this be you—stand out and succeed.
We’ve created a small, free tool to help you get started: our Budget Tracker and Planner. Let’s turn your exterior design project's finances around and set you on the path to success!
Get the budget tracker tailored for exterior designers
Most exterior designers don't know how to plan and track their budget. This spreadsheet will help you.
Example of a full budget for exterior designers
Here is an example of a (very) detailed budget for an exterior design business, to give you some inspiration
1. Rent and Utilities
| Item | Description | Monthly Cost | Annual Cost |
|---|---|---|---|
| Rent | Lease for office and storage space | $2,500 | $30,000 |
| Electricity | Power consumption for office and workshop | $300 | $3,600 |
| Water | Water usage for plants and cleaning | $100 | $1,200 |
| Internet & Phone | Internet service and business phone | $150 | $1,800 |
| Waste Removal | Garbage and recycling services | $100 | $1,200 |
| Insurance | Property and liability insurance | $300 | $3,600 |
2. Salaries & Wages
| Position | Number of Employees | Monthly Cost per Employee | Total Monthly Cost | Annual Cost |
|---|---|---|---|---|
| Lead Designer | 1 | $5,000 | $5,000 | $60,000 |
| Junior Designer | 2 | $3,000 | $6,000 | $72,000 |
| Project Manager | 1 | $4,000 | $4,000 | $48,000 |
| Administrative Assistant | 1 | $2,500 | $2,500 | $30,000 |
| Field Workers | 3 | $2,500 | $7,500 | $90,000 |
3. Materials & Supplies
| Item | Description | Monthly Cost | Annual Cost |
|---|---|---|---|
| Plants & Shrubs | Various plants, shrubs, and trees | $2,000 | $24,000 |
| Hardscape Materials | Stone, pavers, gravel, etc. | $1,500 | $18,000 |
| Soil & Mulch | Topsoil, compost, mulch | $500 | $6,000 |
| Tools & Equipment | Shovels, rakes, wheelbarrows, etc. | $300 | $3,600 |
| Fertilizers & Pesticides | Plant nutrients and pest control | $200 | $2,400 |
4. Marketing & Advertising
| Item | Description | Monthly Cost | Annual Cost |
|---|---|---|---|
| Online Advertising | Google Ads, Facebook Ads, etc. | $300 | $3,600 |
| Social Media Management | Managing social media accounts | $500 | $6,000 |
| Print Advertising | Flyers, posters, newspaper ads | $200 | $2,400 |
| Website Maintenance | Hosting, domain, updates | $100 | $1,200 |
| Email Marketing | Email campaigns and newsletters | $150 | $1,800 |
| Promotional Events | Special events and promotions | $200 | $2,400 |
5. Miscellaneous Expenses
| Item | Description | Monthly Cost | Annual Cost |
|---|---|---|---|
| Equipment Maintenance | Regular maintenance of tools and machinery | $300 | $3,600 |
| Uniforms | Staff uniforms and protective gear | $100 | $1,200 |
| Licenses & Permits | Business licenses, permits, etc. | $100 | $1,200 |
| Office Supplies | Stationery, pens, printer ink, etc. | $100 | $1,200 |
| Staff Training | Training programs and materials | $200 | $2,400 |
Some exterior designers make 5x more profit than you!
We have studied the strategies of the best exterior designers in the world. Replicate them now!
What are the biggest expenses for an exterior designer?
Be mindful of these potential pitfalls. Here are five major costs every exterior designer needs to consider, along with some tips on how to manage them effectively.
- Materials and SuppliesThese can take up a significant portion of your budget. You're dealing with items like plants, stones, and outdoor furniture, and prices can vary based on seasonality, supply chain issues, and quality. To keep these costs in check, focus on bulk purchasing, negotiate better prices with suppliers, and minimize waste. It's easy to overspend by buying too much or opting for high-end materials that don’t add enough value.
- Labor CostsYour team is your backbone, but paying for their wages, benefits, and training can be expensive. This cost is always high because you need skilled workers to deliver quality designs and installations. You can optimize labor costs by scheduling efficiently, cross-training staff, and monitoring productivity. However, be careful not to underpay or overwork your team, as this can lead to high turnover and poor workmanship.
- Office and Storage SpacePrime locations come with high rent, but they can attract more clients. Utilities like electricity, water, and internet are essential but add up quickly. To optimize these costs, negotiate favorable lease terms and invest in energy-efficient appliances and lighting. Overspending often happens when you choose a location that's too big or too fancy for your needs.
- MarketingYou need to get the word out about your exterior design services, but advertising can be pricey, whether it's online ads, social media campaigns, or traditional media. Optimize this expense by focusing on cost-effective methods like the ones we give in our pack. Overspending can happen if you invest in flashy campaigns without a clear return on investment.
- Tools and EquipmentThis includes everything from landscaping tools to design software. These are expensive because quality tools and regular maintenance are crucial for smooth operations and client satisfaction. Optimize by investing in durable, energy-efficient equipment and maintaining it regularly to avoid costly breakdowns. You can overspend by going for the latest high-tech gadgets you don’t really need.
How to spend less with your exterior design service?
Here are practical tips to help you, as an exterior designer, optimize your budget and manage expenses more effectively.
| Expense | Tips to Optimize |
|---|---|
| Materials | Source materials from local suppliers to reduce shipping costs and support local businesses. |
| Labor Costs | Utilize project management software to schedule tasks efficiently and minimize overtime. |
| Utilities | Incorporate energy-efficient lighting and irrigation systems in your designs to lower utility costs for clients. |
| Marketing | Showcase your projects on social media and collaborate with local influencers for free exposure. |
| Tools and Equipment | Invest in high-quality, durable tools and schedule regular maintenance to extend their lifespan. |
| Office Space | Consider a home office or co-working space to reduce overhead costs. |
| Insurance | Regularly review your insurance policies to ensure they meet current needs and compare rates annually. |
| Transportation | Plan site visits efficiently to minimize travel time and fuel costs. |
| Software | Use specialized design software that offers essential features and integrates with other tools you use. |
| Client Meetings | Opt for virtual meetings when possible to save on travel and time. |
| Training | Take advantage of free online courses and webinars to stay updated on industry trends and techniques. |
| Waste Management | Implement a waste reduction plan and recycle materials whenever possible. |
| Technology | Invest in multi-functional devices and use cloud-based project management tools to streamline operations. |
| Licensing and Permits | Stay up-to-date with local regulations to avoid fines and costly renewals. |
| Office Supplies | Purchase supplies in bulk and go paperless where possible with digital design and project management tools. |
| Inventory Management | Use inventory management software to track materials and reduce waste. |
| Pest Control | Schedule regular pest control services for your office and project sites to prevent infestations. |
| Client Gifts | Offer personalized, cost-effective gifts such as custom plant arrangements or design consultations. |
| Uniforms | Choose durable, easy-to-clean workwear and offer staff a stipend for maintenance instead of using an external service. |
Copy the tactics of the best exterior designers in the world!
There are exterior designers that make way more money than you do. We have studied their tactics. Get them now!
Expenses that are just useless for an exterior designer
Yes, some expenses for your exterior design projects are just unnecessary. They don't contribute to enhancing the overall appeal or increasing the value of the property.
| Design Expense | Reason It's Useless |
|---|---|
| Exotic Plants | Exotic plants can be expensive and difficult to maintain, often not adding significant value to the design. |
| High-End Outdoor Furniture | Luxury outdoor furniture is not always appreciated by clients and can be a significant expense. |
| Overly Complex Water Features | Intricate water features can be costly to install and maintain, without necessarily enhancing the design. |
| Premium Lighting Systems | Top-of-the-line lighting systems are often unnecessary and can be cost-prohibitive. |
| Expensive Hardscaping Materials | High-end materials for pathways and patios can inflate costs without a proportional increase in aesthetic appeal. |
| Custom Sculptures | Personalized sculptures are a minor detail that most clients overlook, and they can be expensive. |
| Excessive Plant Varieties | Using too many different plant species can complicate maintenance and increase costs. |
| Premium Irrigation Systems | High-end irrigation systems are often unnecessary and can be a drain on the budget. |
| Exclusive Outdoor Art | Using rare or exclusive outdoor art can inflate costs and complicate the design process. |
| Costly Garden Ornaments | High-end garden ornaments are not always appreciated by clients and can be a significant expense. |
| Unnecessary Software | Paying for design software with features you don’t use is a waste of resources. |
| Premium Mulch and Soil | Most clients are content with standard mulch and soil, making expensive options unnecessary. |
| Extra Maintenance Staff | Overstaffing for maintenance leads to higher labor costs without necessarily improving service quality. |
| Excessive Membership Fees | Paying for multiple industry memberships often yields little benefit. |
| Overly Frequent Redesigns | Constantly updating the design can be costly and disrupt the overall project timeline. |
| Expensive Planters | Elaborate planters are often ignored by clients and add to the cost. |
| High-End Tools | Luxury tools are prone to damage and expensive to replace, often going unnoticed by clients. |
| Excessive Team Meetings | Too many meetings can reduce productivity and increase labor costs. |
| Expensive Design Proposals | Frequently redesigning proposals is costly and often unnecessary. |
| Unused Promotional Materials | Ordering more promotional items than needed leads to waste and unnecessary expense.Get our marketing budget planner template. |
| Paid Directory Listings | Many free listing options are available, making paid listings often redundant. |
| High-End Maintenance Equipment | Specialized maintenance equipment is often unnecessary and adds to costs without a proportional benefit. |
Stop working with a tight budget for your exterior design service!
Managing a budget for exterior design projects when funds are tight can feel overwhelming. It's like being trapped in a situation where any unexpected expense can derail your plans.
This constant pressure makes it nearly impossible to invest in growth opportunities, leaving you always scrambling to cover costs. It's a life filled with stress and sleepless nights.
Yes, you can continue down this path, cutting corners and barely making ends meet. But there's another part of the equation you might be overlooking. Instead of just trying to cut costs, you can focus on growing your revenue. More income means more flexibility and more resources to invest in your projects.
And no, you don't necessarily have to spend money to grow. There are plenty of zero-cost initiatives and strategies that can help you increase your revenue by 10%, 20%, or more. We've detailed all of these strategies in our guides, after studying dozens of exterior design businesses just like yours. Get them now!
Make your exterior design service more profitable
We have studied the strategies of the best exterior designers in the world. All their tactics are explained in our pack!
