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View Full Version : Should I buy these Clients?


lawnboy51
04-12-2008, 10:17 AM
Theres a guy who is selling off his business and customers. He says he has 12 customers for sale. Says they made him $20k last year working just one day a week. He was asking $5k for them but didn't get any offers and now he says he'll negotiate.

Comments?

fool32696
04-12-2008, 10:43 AM
No. Half of them will drop you and I sure he exaggerated on the income that they'll produce. That's almost paying $500 per customer. Take the $3000 that you plan on throwing away, spend 2k on some new equipment and 1k on some advertising. If you insist on buying customers, don't pay more than what you'd get for a couple of cuts and put in a provision that if they don't stick with you, you don't have to pay for them.

Dave_005
04-12-2008, 10:51 AM
Theres a guy who is selling off his business and customers. He says he has 12 customers for sale. Says they made him $20k last year working just one day a week. He was asking $5k for them but didn't get any offers and now he says he'll negotiate.

Comments?

No Way, have him take you around and intro you to each one of the accounts he's trying to sell, and ONLY pay for the ones who agree to Sign with you. and then i would only pay an amount equal to 2 - 4 cuts for each account who signs with you. NEVER buy accounts Blind without talking to the customers FIRST to make sure they will sign with you.

robertsturf
04-12-2008, 02:06 PM
I purchased 20 customers last year from a guy I know they all stayed with me for the rest of the year. "We" dropped 2 of them for non-payment but other than that it has worked out well for us. We paid him a total of 4 cuts for the accounts 1\2 up front and the rest based on who stayed with us for 30 days. It worked for us but it may not work the same for you. I have gone to church with the guy for years so I know him can't say the same in your situtation. Also see if he'll throw in a non-compete.

Smokey5826
04-12-2008, 10:56 PM
I met with this guy and he took me to look at these properties of his - I was very firm with his 5k price...He showed me 11 accounts and 2 of those were a 'maybe'. Most of his accounts were $25 a cut up to 2 accounts that were $50 a cut. The monthly revenue from those jobs were $1210. He states that he can make over $4000 just doing spring cleanups / mulch, but that seemed a little exaggerated also. feel free to send me a message if you wanted to chat more...

NHMTMN1
04-13-2008, 11:30 AM
I bought 14 accounts, for 9000.00 lost one, the rest signed. Gross for these is around 36000.00 for the year. Not a bad deal really.

N.H.BOY
04-13-2008, 11:55 AM
I bought 14 accounts, for 9000.00 lost one, the rest signed. Gross for these is around 36000.00 for the year. Not a bad deal really.

Were these year contracts with plowing and spring/fall cleanups? If it's just mowing thats pretty good being we only get around 22 weeks of it...

NHMTMN1
04-13-2008, 12:41 PM
These do not include snow removal. They are mostly commercial. It includes sweeping, mulch, and chemical treatments.

PatriotLandscape
04-13-2008, 05:09 PM
If you try hard you could get 12 new customers in two days. Don't buy them.

PatriotLandscape
04-13-2008, 05:10 PM
I bought 14 accounts, for 9000.00 lost one, the rest signed. Gross for these is around 36000.00 for the year. Not a bad deal really.

Gros has nothing to do with it what are the net numbers. balance that 9k against the net and you'll be unhappy.

Woody82986
04-13-2008, 05:49 PM
Just concentrate on advertising and meeting new people and you will probably get 11 new clients for way less than what you will pay for those.

NHMTMN1
04-13-2008, 10:05 PM
Gros has nothing to do with it what are the net numbers. balance that 9k against the net and you'll be unhappy.

The net number is around 28,000. I did have to spend ot get the accounts but now I have a nice write off for the next couple years. I also considered the factor that while doing these commercial accounts I will be out in busy business areas which will generate business as opposed to someones back yard on some side street where no one sees me. These accounts coupled with the tree work and landscape construction make me a pretty good paycheck on the side.

bigw
04-13-2008, 10:06 PM
Theres a guy who is selling off his business and customers. He says he has 12 customers for sale. Says they made him $20k last year working just one day a week. He was asking $5k for them but didn't get any offers and now he says he'll negotiate.

Comments?

Hell no...they are worth the price of 3 cuts and thats it!!!!

bigw
04-13-2008, 10:12 PM
I bought 14 accounts, for 9000.00 lost one, the rest signed. Gross for these is around 36000.00 for the year. Not a bad deal really.

wow you wanna buy 14 of mine for 9,000...**** ill sell you all 41 for $30,000 and then ill just go get 41 more...that is rediculous. Why do you guys feel the need to buy your accounts for such high #S. Do you have that hard of a time getting your own accounts? For 3k you can send out like 8,000 post cards!!!:hammerhead:

NHMTMN1
04-14-2008, 12:58 AM
Everyone is basing this on their area. Where I am working there is not a lot of opportunity to get commercial contracts. It is semi-rural. I dont think the money I spent was too much and neither did the other people I spoke to about my purchase. Im not looking to argue over this I was just offering my situation for an example.

IndyChad
04-20-2008, 01:43 PM
If the numbers work out for you then it is a good deal. Know your expenses and the revenue from the accounts and see if it makes since.

topsites
04-20-2008, 04:00 PM
I suppose it's possible but I think grossing 20g working 1 day a week for 12 customers, I mean...
It doesn't add up from a solo perspective anyhow...

Something just doesn't add up, what are these 5 acre lots?
Or does this guy have a crew?
Or does he do a lot of landscaping installs, renovations, sprinkler systems, liquid chems, driveways, etc?

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