SBA 504 financing to support growth and seasonal cash flow
Yamile Gonzalez and Joe Valdes standing alongside one of the fleet trucks that helps power Valdes Lawn Care and Snow Removal’s operations year-round.
In the early 2000s, Joe Valdes had a good paying job managing multiple Twin Cities-area restaurants. It was, he said, a great role that gave him control of his schedule and the flexibility to manage his teams his way. What it wasn’t, however, was his own business.
Valdes had immigrated to the U.S. from Cuba in early 2000 and began picking up snow removal and landscaping jobs on the side as he pursued an entrepreneurial path.
He studied the commercial industry and ran the numbers on what it would take to expand. In 2005, he decided to leave his managerial restaurant position and start his own business, Valdes Lawn Care & Snow Removal LLC.
At launch, the company had just three employees and a single truck and trailer. He also had an abundance of people who thought he was crazy for taking the risk. A good friend warned him not to grow too fast. Proving them wrong became a motivator.
“I got called a fool,” Valdes said. “That challenged me, and then I went for it.”
Today, Valdes Lawn Care & Snow Removal has 65 employees serving 70 commercial properties, including well-known businesses, Minnesota state agencies, colleges and municipalities.
“I recognize opportunities and move quickly to take advantage of them,” Valdes said. “I’m not going to tell you it’s not been a struggle. There has been a lot of sacrifice, but we’re here.”
Turning gaps into new businesses
In 2016, Valdes’s sister, Yamile Gonzalez, called him in search of a part-time job that would fit with her college schedule at the University of Wisconsin-River Falls. She earned her bachelor’s degree in 2018 and has since become an integral part of the company, serving as vice president and controller for finances.
“One thing I’m proud of is that he started small, and a lot of the people he started with still work for him,” Gonzalez said. “It’s the same for customers. Some of his very first customers are still customers now.”
Gonzalez has had a front-row seat to her brother’s business growth strategy. In addition to expanding Valdes Lawn Care & Snow Removal, he has opened four other complementary businesses. Each one was born from a need Valdes saw in the market.
That expansion plan has been impressive, said Todd Van Wambeke, director of commercial and industrial lending for MidCountry Bank, who has worked closely with both Valdes and Gonzalez for several years and throughout their expansion.
“Joe and Yamile are relentless,” Van Wambeke said. “They are hardworking and driven.”
Yamile Gonzalez and Joe Valdes of Valdes Lawn Care and Snow Removal with MidCountry Bank’s Todd Van Wambeke outside the company’s 20,000-square-foot facility.
In 2018, Valdes started MYP Landscape Supply, which sells and delivers high-quality mulch, rock, dirt and other landscaping materials to Valdes Lawn Care & Snow Removal and other retail and commercial customers.
The additional business improved speed and efficiency, which, in turn, helped the company land larger-scale commercial lawn care and landscaping jobs. Soon, Valdes saw another gap in the market.
“Bigger jobs mean more product needs to be delivered to the job site, so why not get a couple of dump trucks that could bring us the product?” Gonzalez said, describing her brother’s logic. “Then, as soon as we have a couple of trucks and started seeing success, why not buy some more?”
That momentum eventually led to the construction of a new 20,000-square-foot shop in 2021, strengthening the company’s ability to support its growing fleet and expanding service demands.
In 2022, Valdes spun off the trucking and excavating work from the landscaping business. VT&E Services now has a fleet of more than 25 trucks and a network of more than 15 owner-operators that transport non-hazardous materials to job sites. Two years later, he started Valdes Truck Repair to maintain the fleet and, later, provide maintenance services for the general public.
As the commercial landscaping work grew, Valdes saw how much money was spent on disposal fees to remove trees, bushes, soil and other items while also paying to acquire fresh mulch and other supplies. In fall 2025, he started Valdes Natural Recycling, which accepts organic material disposal and composts it for use in softscape projects.
Joe Valdes and MidCountry Bank’s Todd Van Wambeke discussing business operations inside Valdes Lawn Care and Snow Removal’s shop.
Creative financing structure to fit the evolving business
One of the main challenges across the businesses is the seasonal nature of the work. Snow removal has been especially tough, with lower-than-average snowfall in the Twin Cities over the past three seasons, according to the Minnesota Department of Natural Resources. As a result, revenue has been below usual levels heading into the busy spring landscaping season, when commercial clients typically take 20 to 60 days to pay.
“We have to pay for all of the material and labor upfront,” Gonzalez said. “Spring is when we really need these cash events.”
In 2025, Valdes and Gonzalez worked with Van Wambeke on a new financial package to create fresh working capital with a traditional revolving line of credit, which has alleviated working capital pressures and improved liquidity. Van Wambeke guided them through the U.S. Small Business Administration’s 504 loan program, enabling them to refinance equipment leases, existing loans and their commercial real estate loans.
MidCountry Bank is a preferred lender with the SBA, and that, coupled with Van Wambeke’s experience, was important to the deal, Gonzalez said.
“We are so grateful for Todd because he understood the business in a way nobody we had interacted with before had,” she said. “If you’re not part of the industry, it’s difficult to understand and follow the seasonality needs.”
Yamile Gonzalez and Joe Valdes, the sister-and-brother leadership team behind Valdes Lawn Care and Snow Removal.
Brother-sister duo finds room to plan after the pressure eases
With their equipment refinanced, commercial property loans consolidated and the appropriate working capital in place, the pressure that had built over a few lean winters has eased. The new financial structure gives the leaders room to breathe, Gonzalez said.
“Now I can focus on planning and execution instead of wondering how to make it all come together,” she said.
Valdes says he has no plans to open additional businesses; referrals alone continue to drive growth.. He spends most of his time on job sites and appreciates having Gonzalez run the office.
“She’s wonderful at what she does,” Valdes said. “There’s nobody better than her. I never touch the office. She never touches the field. She wears high heels. I wear boots. This is how we make it together. It’s a good combination.”