Starting a lawn care company in Nebraska: mowing is exempt, grub control is not

Only the Nebraska differences are covered here, for anyone launching a mowing and lawn treatment company. For routes, equipment and pricing, start with the national lawn care startup guide. For rules that apply to every Nebraska service business, see the Nebraska startup page. Three things set Nebraska apart: the tax line between mowing and pest control, a pesticide license that reaches ordinary lawn programs, and a newspaper notice that surprises new LLC owners.

The tax line runs between mowing and pest control

The Nebraska Department of Revenue publishes a Sales and Use Tax Guide for Landscapers (dated November 17, 2022). It lists these services as tax exempt: tree trimming, lawn mowing, applying fertilizer or weed control to live plants, aeration, raking, snow removal and de-icing, and dethatching. The guide adds that you do not need a certificate to document why you did not charge tax on those services. For the exempt services, the guide's tree trimming example says the entire charge is exempt however the invoice states it.

Pest control is on the taxable side. The guide's examples of retail sales include grub, bag worm and other insect control, and deer or rabbit control, along with installing live plants, selling live plants, and building cleaning such as gutter cleaning and power washing siding. In its grub control example, the whole charge is taxable, including equipment, mileage and fuel surcharges, however the invoice states them. The guide's 5-step lawn program example shows why this matters for a typical lawn care company. A company that sells a program of fertilizer, weed and feed, grub control and fall lawn food, and does not itemize the taxable and exempt pieces, must collect tax on the entire price. The same example says the company pays sales or use tax on the cost of the chemicals it uses.

The practical answer is to itemize. Put mowing, fertilizer applications and grub control on separate invoice lines, so only the grub control is taxed. The rate is the state's 5.5 percent plus any city or county rate of 0.5 to 2 percent, based on the delivery address. The department points to its Sales Tax Rate Finder for the exact figure. You register for a sales tax permit with the Nebraska Tax Application, Form 20. Compare other states in the sales tax table for home services.

The guide also warns that landscapers who install things, such as edging, retaining wall block or applying mulch to existing beds, are contractors for those jobs and must elect one of three contractor options on building materials. If you stay with mowing and chemical programs, you avoid most of that. If you add hardscape later, plan the tax setup first.

Spraying for hire needs an NDA commercial license

Nebraska's Department of Agriculture (NDA) regulates more than restricted-use products. Its applicator guide says general-use pesticides, which anyone can buy, still require a license when applied commercially to ornamental and turf sites. Ornamental and turf sites include lawns, sports fields, golf courses and cemeteries. The same guide lists a lawn care business employee treating a client's property among the people who need a commercial applicator license.

The route is two exams, then a fee. You must pass a general standards exam and a category-specific exam, each at 70 percent. NDA's page says the commercial license costs $90 and is valid for three years, and renewal is by retesting or completing a University of Nebraska commercial training program. Study materials and training run through the University of Nebraska pesticide education site. NDA's brochure says the minimal-risk products that lack EPA registration are treated like general-use pesticides, so a green-marketed spray still counts.

NDA also describes a 60-day temporary exemption from licensing in its brochure list. Ask NDA how that applies before leaning on it for a spring start, since the brochure only names it. For crew planning, train your lead technician first and keep unlicensed helpers on mowing, trimming and cleanup until they certify. Our pest control license guide explains the general exam path.

Contractor registration: read the definition before you skip it

The Nebraska Department of Labor says all contractors doing business in the state must register, at a fee of $40 per year as of August 1, 2026. Under Neb. Rev. Stat. 48-2103, a contractor is someone engaged in building, altering, repairing, tearing down or demolishing buildings, roads, utilities and other structures or improvements to real or personal property. Construction means work on real property, including installations and repairs. Mowing, fertilizing and spraying are not named in either definition, and the Department of Labor page does not mention lawn care. That reads as no registration for a pure mowing and treatment route, but the department has not said so, so email it to confirm before you advertise. If you install fence, edging or retaining wall block, register. Contractors with employees must also file a workers' comp certificate naming the department as certificate holder, and the department drops registrants whose coverage lapses from its list.

The LLC needs a newspaper notice

Under Neb. Rev. Stat. 21-193, notice of a new LLC must be published for three successive weeks in a legal newspaper of general circulation, and proof of publication goes to the Secretary of State. The Secretary of State's fee page lists the Certificate of Organization at $100 online or $110 in office. The paper sets its own price for the notice, so call the local paper before you file. Nebraska LLCs report every two years: the biennial report is due by April 1 of odd-numbered years. Check the Secretary of State's fee schedule for the current report fee. A lawn company formed this fall reports in spring 2027. If you register a trade name, that is another publication, one time under Neb. Rev. Stat. 87-219, at a $100 online fee ($110 in office). Forming the LLC and doing business under its exact name avoids the trade name step. See our LLC fee comparison for other states.

Workers' comp starts with the first employee

The Nebraska Workers' Compensation Court says the Act covers employers with one or more employees in their regular trade or business. Agricultural employers have separate exemptions, but a lawn care company is not farming. Penalties named by the court include a civil fine of up to $1,000 per violation with each day of noncompliance counted separately, possible criminal charges, and an injunction that bars the employer from doing business in the state until it complies. The court's FAQ does not say whether a sole proprietor must cover himself, so ask your insurer. Read our first employee guide before the first seasonal hire.

What to do first in Nebraska

1. Decide whether your service menu includes weed control and grub control. If it does, schedule the NDA exams before spring.
2. Call a local legal newspaper for a notice quote, then file the Certificate of Organization.
3. Register for a sales tax permit and build invoice lines so mowing, fertilizer and grub control are priced and taxed separately.
4. Get a workers' comp quote before you hire anyone, and email the Department of Labor about contractor registration if you plan any installation work.

Confirm with the agencies

Everything here reflects the Nebraska sources listed below as of October 2026, and it is general information, not legal or tax advice. Guidance documents get revised, and Omaha, Lincoln and other cities can add rules of their own. Ask the named agency before you act on any item.

Frequently asked questions