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  #11  
Old 01-24-2013, 09:21 PM
Will P.C. Will P.C. is offline
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Quote:
Originally Posted by snomaha View Post
Are people speaking from experience or just guessing? 200k in revenue means that the owner is still very active in the day to day - the face of the company. With the limited info we have I would say that the estimates are way overvalued.
I was just throwing out a number since there are major details we don't know
He has 60k in equipment/trucks and I assume he has done a significant amount of research to come up with the 60k. Without the equipment his business isn't worth much. He is selling a job instead of a business. If everything was on the up and up (records, route, taxes, etc), I would probably offer 80k
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  #12  
Old 01-24-2013, 09:25 PM
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jsslawncare jsslawncare is offline
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I'm guessing ---$4.89 + you buying them lunch. (No I don't know.)
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  #13  
Old 01-25-2013, 09:30 AM
dmk395 dmk395 is offline
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All the equipment is newer, and in good shape. Business consists of about 60% mowing, the rest is other maintenance, with about 20 solid application accounts. This does not include snow. I actually don't do snow, (rare around here because I travel a lot during winters). The snow would be an easy add on.
How does one go about selling a co?
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  #14  
Old 01-26-2013, 04:53 PM
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jsslawncare jsslawncare is offline
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If I were to sell, what's the ballpark value?

How is snow an easy add on if its rare?
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All equipment is wore out. <- Never mind. All equipment has been repainted and with new decals. It's like I have new mower's again!
48" Ferris WB
36" Ferris WB
All Echo hand helds
<- That's how I feel at the end of the day.
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  #15  
Old 01-26-2013, 05:17 PM
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jrs.landscaping jrs.landscaping is offline
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Quote:
Originally Posted by jsslawncare View Post
How is snow an easy add on if its rare?
He meant it's rare for a company not to do snow removal in his area. He doesn't do it because he travels in the winter.
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  #16  
Old 01-27-2013, 10:49 AM
dmk395 dmk395 is offline
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If I added snow, my sales jump up significantly
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  #17  
Old 01-27-2013, 12:14 PM
jbell36 jbell36 is offline
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i'm very interested to hear what others have to say, especially ones that have been through it before...

there is no definite answer or formula...mostly depends on the buyer...if you asked 200k, you might have a shot if you found the right person, but most people aren't going to be willing to pay over 100k...unfortunately snow removal can't be included because it's simply not a part of the business, it should be considered as a perk

i would take your best month during the growing season which includes mowing, chemical apps, etc, and add it to the true value of your equipment...i would say this is a good value...like i said, mowing usually goes for 4-6 cuts...i feel like my business is worth well over that so i would definitely ask for more around my gross sales...
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  #18  
Old 01-27-2013, 12:34 PM
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jrs.landscaping jrs.landscaping is offline
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Quote:
Originally Posted by jbell36 View Post
i'm very interested to hear what others have to say, especially ones that have been through it before...

there is no definite answer or formula...mostly depends on the buyer...if you asked 200k, you might have a shot if you found the right person, but most people aren't going to be willing to pay over 100k...unfortunately snow removal can't be included because it's simply not a part of the business, it should be considered as a perk

i would take your best month during the growing season which includes mowing, chemical apps, etc, and add it to the true value of your equipment...i would say this is a good value...like i said, mowing usually goes for 4-6 cuts...i feel like my business is worth well over that so i would definitely ask for more around my gross sales...
This is where deals fall through. I emailed a company who was looking to sell out about purchasing their business. I was primarily interested in their accounts list as their equipment was all dated. I told them I would give them one months gross for the accounts (25 lawns,) he told me he was insulted with my offer and said the accounts were worth 100k . Like the saying goes, "there's an A$$ for every seat" in the end a business is worth what someone will pay for it.
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  #19  
Old 01-27-2013, 12:45 PM
jbell36 jbell36 is offline
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exactly...in other industries businesses go for 3-5 times the gross sales...in our industry, that is simply not the case...i don't think ive ever heard of a lawn company going for over 1 sales annual gross...

personally, i would be willing to pay a little more (in general) if i knew it was a great company, or if it was my main competition
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  #20  
Old 01-27-2013, 01:28 PM
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clydebusa clydebusa is offline
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With no contracts to speak of, and minus the equipment I would say 40k.
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