Summary
In a world where efficiency and motivation often clash, Mike Andes has cracked the code. On this episode of the Site Shed podcast, host Matt Jones sits down with the founder of Augusta Lawn Care to dive deep into a game-changing concept: Pay for Performance (P4P).
From Mowing Lawns to Managing a Franchise Empire
Mike’s entrepreneurial journey is nothing short of inspiring. Starting with a push mower at age 11, he worked his way through college, pivoted from a career in medicine, and founded Augusta Lawn Care—a business that now boasts over 150 franchise locations across the U.S., Canada, and even Australia.
But what really sets Mike apart isn’t just his business growth. It’s his people-first approach to scaling with performance in mind.
What Is Pay for Performance?
In Mike’s words, P4P is simple: “The harder you work, the more money you make.”
At its core, P4P compensates employees based on the labor revenue they generate, creating a merit-based system that rewards efficiency and results. But implementing this isn’t just about flipping a switch—it requires careful consideration of:
Accurate estimates and job costing
Tracking revenue versus labor hours
Balancing quality control with speed
Maintaining ethical selling standards
Trust-building through transparency
Why It Works
Mike highlights a powerful truth: high-performing employees don’t need micromanagement—they need the freedom to excel. P4P eliminates guesswork and favoritism by rewarding outcomes, not office politics.
And it’s not just for field technicians. Mike outlines scalable incentive models for roles across the business—from general managers to office staff—using a mix of profit sharing, distributable cash bonuses, and KPI-based rewards.
Building a P4P Culture
Mike is a strong advocate of open-book management. Transparency, he argues, builds trust. If you want employees to act like owners, you need to share the financial picture—and give them a real stake in the outcome.
He also shares his “Three F Program,” which offers team members a path to franchise ownership—a bold move that empowers the workforce to grow with the business.
Where to Start
Not ready to roll out P4P just yet? Mike recommends tracking efficiency first without changing pay. Get your estimates dialed in, understand your labor metrics, and build trust with your team before flipping the switch.
Final Thoughts
Whether you’re a solo operator or leading a growing team, Mike Andes offers a roadmap to not just improve productivity—but to transform your entire business culture.
👉 Want to go deeper? Mike’s full free course on P4P is available at https://www.mikeandes.com/free-stuff. It’s packed with training, templates, and insights to help you implement P4P with confidence.
🎧 Listen to the full episode here: YouTube Link
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