How do you start a profitable backyard plant nursery? How do you know what plants to grow? In this article, you’ll find a complete guide on how to start a profitable backyard plant nursery. We will cover everything from your business plan to the best plants to start with to start your own plant nursery business.
How to Start a Profitable Backyard Plant Nursery
Are you passionate about growing plants? Better yet, are you thinking of turning your hobby into something profitable?
If your answer is yes, you’ve stumbled upon one of the best business ideas.
Why? Not many people have the highly-desired “green thumb” required to start a backyard nursery business.
So, if you’re serious about the idea of using your garden skills to own a profitable backyard plant nursery, here’s everything you should know.
Ensure you have everything you need
Do a SWOT analysis
A basic SWOT business analysis can prevent you from getting surprised halfway through your backyard plant nursery journey. So here’s what you have to evaluate.
Strengths – Analyze your strengths that would translate into value. Your strengths could be experiences in running a business, extensive knowledge of plants, previous experience working at a nursery, etc.
Weaknesses – You might not have experience in growing profitable plants whatsoever. Or you may not have much space. Consider all of your potential pain points so you can plan accordingly.
Opportunities – Find out whether there is an underserved market for plants in your neighborhood. Do you have friends and family that would be willing customers? Are there wholesale nurseries nearby where you can buy plants?
Threats – Is the plant business saturated in your area? Do you have premium garden soil with no pesticides, no toxins, etc.? Is your location prone to floods? Are there too many garden centers nearby?
Take some time to sort through these answers to determine whether a profitable backyard plant nursery is feasible.
See whether you have finances
Initial expenses for seeds, soil, and pottery, etc., should be calculated first. Likewise, plan to throw in approximately $250 to $1,000 for a business license.
Even if you’re starting as a small business, you might need a hand from an employee for a few months to get the business off the ground.
Since any business needs liability insurance, you’ll have to factor this in as well.
Estimating these initial costs are important to understand the journey in front of you. It can also come in handy if you need to apply for a loan as well.
Look to see if there is an affordable wholesale nursery that offers reasonable prices for you to resale.
Apply for a business license
Depending on where you live, the requirements for obtaining a license and permit for your business can vary.
Contact your local government’s business department and figure out what forms you need to fill out and make sure you apply for a home-business license for your backyard plant nursery.
See whether you have enough land
Land space doesn’t determine the quality of your backyard nursery. Even commercial nurseries are operated on lands as little as 4000 square feet, which provide for a whole family.
Usually, rare plants, bonsai, carnivorous plants, and orchids take up less space.
Say you’re planting ground cover crops. A 50 x 50 feet backyard plot can hold 8000 plants that can be sold for $3 each wholesale or $4 to $5 as the retail price, which is quite profitable.
Gather supplies
Pick up some supplies from your local garden center or order them online.
Plant propagation needs tools and supplies such as hand tools, knives, secateurs, hoses, wheelbarrows, sprayers, punnets, pots, seeds, disinfectants, propagating and potting soil mixes, hormone preparations, clean benches to prepare the seeds, etc.
- Make sure you have a fresh potting soil mix and look into getting some good compost to ensure your plants have all the nutrients they need.
- Make sure you have lots of small containers to sell your plants in. You can usually make good profits by selling your plants in cute or fashionable containers.
A small garden shed or a small area with storage will suffice to hold all these.
Choosing the Correct Plants for Your Backyard Plant Nursery
The plants you choose should be profitable and be able to be grown easily. If they are not, they won’t add value to the business that you’re passionate about.
You don’t need thousands of plants to turn a profit, but you need to be strategic about the plants you plan to sell. Having an ideal backyard nursery crop will help get you on the right track.
Here are some of the nursery plants that are both profitable and low maintenance.
1. Bamboo
The demand for bamboo is overwhelming, and homeowners and landscapers are willing to pay around $150 per potted bamboo plant (full-size, 7-12ft tall).
Because of the bamboo’s versatility, it can be used for screens, as a stand-alone “specimen” plant, or hedges.
Bamboo not only adds value to your backyard nursery, but it can also handle sub-zero winters.
It’s a good idea to learn a bit about the different bamboo species and their respective values.
2. Flowers
It is well-known that flowers are everlasting in the plant market since they have market demand all year long.
Flowers are a wise choice for those who are after a high income in the first year of business. Just a couple of dollars can get you up and running for a flower business with eager buyers that are abundant all year long.
Make sure you do some research about the flowers you plan to use. For example, it’s important to know whether you plan to work with annuals or perennials (or both) in your business.
3. Landscaping Trees and Shrubs
If you can tap into a niche that you’re passionate about, landscaping trees and shrubs can be sold each year for a premium income. For instance, Japanese Maple specimen trees are sold between $100 and $1,000.
Additionally, shrub trees like the Abutilon, Azalea, Camellia, Cercis, Hydrangeas, etc., are perfect choices for small tree/shrub growers and are profitable as well.
If you’re keeping larger shrubs, you’ll want to learn how to prune your different landscaping plants.
Check out our article on How to Prune Hydrangeas!
4. Microgreens
Quickly grown and ready to sell in 2 weeks, these tiny gold mines are primarily used for main dishes and served as mini-salads.
Microgreens are easier to grow since they can survive both indoors and outdoors. In addition, these are relatively low maintenance and can be very profitable when grown in bulk.
5. Herbs
Culinary and medicinal herbs, including basil, chives, cilantro, oregano, lavender, etc., are a splendid way to break into the market.
These are incredibly profitable to the point that some small backyard nurseries focus only on growing lavender and earn massive incomes.
Check out our article on the 5 Best Herbs to Grow in Your Backyard as a start.
6. Mushrooms
If you worry about running out of space, mushrooms are the way to go. Exotic mushrooms such as oyster mushrooms can grow around 25 pounds per square foot within a year.
A pound of these mushrooms is sold for approximately $7. So when you do the math, you can potentially earn approximately $17,000 per year by successfully growing mushrooms in a 10’x10′ space.
7. Succulents
Succulents are great for starting a backyard plant business because people love buying them! They are easy to care for and don’t require much maintenance.
They are also easy to propagate, so you can buy a few plants and reproduce many clones without any additional investment.
As they are easy to grow, you can make some good money by selling these plants on Etsy or at your local farmer’s market. People love succulents planted in terrariums with rocks.
By diversifying the types of succulents you sell (like snake plants), it will be easier for people to shop from you and provide different uses in their home decorating.
How to Maintain Your Backyard Plant Nursery
It’s not just starting the business you’re passionate about; it’s also about maintaining it.
Growing and selling plants is the fun part, but maintaining your nursery is the key to make money in the long term.
So here’s some know-how on prolonging the value of your backyard nursery.
Cleaning
This is not a run-of-the-mill business. Instead, the value of your backyard nursery depends on how well you treat it.
You need to remove the plants from time to time and sweep the dirt and debris off the walls and floors.
Clean your nursery before winter to steer clear from contracting any plant diseases and insect infestations.
Using a common household disinfectant is an effective way to clean the nursery. Use specialty cleaners that are safe for your plants.
Maintain Weeds and Pests
Killing off weeds by applying herbicides in crop-free areas is also necessary to maintain your plants’ health. Insect infestations can also kill your plants, so make sure you invest in an insecticide, if necessary.
Concrete or Gravel Floors
Keeping a dirt floor is ill-advised. Concrete or gravel are the most viable options. Also, be careful of the water source you’re choosing because nearby lakes, streams, or ponds might contain harmful substances that will destroy your plants.
Proper Watering
Overhead watering is another method you should refrain from using, as it can expose your plants to waterborne diseases like Phytophthora and moisture-related diseases like powdery mildew.
Ground watering is the best because it goes straight to the roots where the water is needed.
Is It Legal to Sell Plants from Home?
How to start a profitable backyard plant nursery… LEGALLY!
Well, the good news is, it is legal! But, like anything else, there are rules and regulations you need to follow.
Permits
To get started, you’ll need to check with your local government to see if you need any business licenses or permits. This can vary depending on where you live, so make sure to do your research first.
Also, some states require nurseries to be inspected and certified by the state agriculture department. This is to make sure that the plants you’re selling are healthy and free from disease.
Plant Identification
Another important thing to remember is to label your plants correctly with their common and botanical names. Don’t forget to include any care instructions or warnings to help your customers take good care of their new plants.
Taxes
Next, you need to consider whether selling plants from home qualifies as a hobby or a business. If you’re selling plants on a casual, occasional basis and don’t make a profit, then it may be considered a hobby and you won’t owe any taxes. However, if you’re selling plants regularly with the intention of making a profit, then it’s considered a business and you’ll need to pay taxes on your income.
When it comes to taxes, you’ll need to keep accurate records of all your sales and expenses. This includes things like the cost of plants, supplies, and any fees associated with obtaining necessary licenses or permits. By tracking your expenses, you can reduce your tax liability by deducting eligible business expenses from your income.
Another important consideration is whether you need to collect and remit sales tax. Sales tax laws vary by state, so it’s important to check with your state’s department of revenue to see if you’re required to collect and remit sales tax. In some cases, you may be exempt from sales tax if you’re selling plants that are considered food or medicine. Just be sure to do your due diligence and research any tax obligations associated with your business to avoid any surprises come tax season.
Don’t forget to collect sales tax!
Invasive Species
Lastly, it’s important to be aware of any regulations regarding the sale of invasive plant species in your area. Selling invasive plants can cause damage to the environment and local ecosystems, so stick to selling plants that are safe and legal to grow in your area.
By following these guidelines, you can start selling plants from home legally and turn your gardening passion into a profitable business. Good luck!
Final Thoughts: How to Start a Profitable Backyard Plant Nursery
There is more than meets the eye to starting a backyard plant nursery. However, if you’re passionate enough, you can pull off these initial steps and figure out the best way to make your business boom.
After you’ve started your business, consider the presentation and packaging as they can affect your brand identity.
Once you’ve got the gardening down, you can ease into online selling and expand into offering deliveries. In today’s market, having a substantial online presence can widen your market and increase your profitability.
After you’ve run your business with decent profitability, you can look to make this your full-time gig and even possibly hire a helping hand.
There is no way to know everything ahead of time. You will learn the most valuable information along the way.
So what are you waiting for? Get started and start growing your successful plant nursery!
Getting Started
Check out our articles on some backyard must-haves as you get your backyard business started: