Register free!
Search
 
     

The Green Industry's Resource Center


Click for Weather
Reply
 
Thread Tools Display Modes
  #1  
Old 04-06-2011, 10:20 AM
33 pointer 33 pointer is offline
LawnSite Member
 
Join Date: Mar 2011
Posts: 17
Buying out a lawn business

hey guys, I have an oppertunity to purchase a guy's lawn business and was wondering how much you guys think that it would be worth. I am just now getting started and this guy has a 24 account list, one 2003 Gravely 60" mower, one 2007 Gravely 60" mower, one 2009 Gravely 66" mower (not sure one which one is the 66" mower, I mean the year), trailer, weed eaters, and blowers.

I just dont know what all this may be worth? Or should I just start on my own and try to buil my own clientell? Oh the mowers each have about 1000 hours on them. I should have noted that I already own a brand new comercial mower and one weed eater and one push mower.

Any help would be appreciated!

God Bless!

Seth
Reply With Quote
  #2  
Old 04-06-2011, 11:52 AM
33 pointer 33 pointer is offline
LawnSite Member
 
Join Date: Mar 2011
Posts: 17
would anyone like to share their opinion?
Reply With Quote
  #3  
Old 04-06-2011, 12:14 PM
Justinp Justinp is offline
LawnSite Member
 
Join Date: Mar 2011
Location: Austin
Posts: 23
Not sure, but i recently in my area saw a dude selling his truck, trailer and equipment with 125+ clients (so he says) for $5000. Sounds way to good to be true.
Reply With Quote
  #4  
Old 04-06-2011, 01:01 PM
Dr.NewEarth Dr.NewEarth is offline
LawnSite Bronze Member
 
Join Date: Nov 2010
Location: Vancouver Canada
Posts: 1,406
Hi,
It sounds exciting, but also a bit scarry.
I wonder if the clients will stay with you? Are they signed for the year?
How long has he held the contracts? Do any employees come with this?
Office equipment, statistics, past contracts and other information?

In the past, I have looked into purchasing other companies. Some have all of the
right things in place, others send up a red flag.

At the very least, you can ask to see more information and then tell them you'll think about it. Perhaps you can find some of the answers that will help you in your own business.

Is he selling it himself, or is he using some kind of broker that will take a commision?

I wonder why they are getting out of the business?

He has alot of large equipment. Any trailers, trimmers, blowers or other gear?

Do you need other licensing to service his clients? Pesticide applicator, business etc?

Do a search of this subject on this site. I have read other guys with information
on equations and percentages that will help you determine a better educated outcome.
Reply With Quote
  #5  
Old 04-06-2011, 01:44 PM
33 pointer 33 pointer is offline
LawnSite Member
 
Join Date: Mar 2011
Posts: 17
he is a personal aquaintance and just does not have the time anymore to do them because of his present job. He said that if I were to take them over, he would work with me for about 1 month to get aquainted with the customers and then advise them that I would be taking over his business. He stated that he would also ask them to stay on with me. All he does is mow, trim and blow. I of course would be offering bagging, edging, landscaping along with general maintenace for now (no chemical application)
Reply With Quote
  #6  
Old 04-06-2011, 01:59 PM
Dr.NewEarth Dr.NewEarth is offline
LawnSite Bronze Member
 
Join Date: Nov 2010
Location: Vancouver Canada
Posts: 1,406
O.K., now I'm intrigued. If it were me, I would like to visit the sites and talk to the clients with the friend, with him explaining to the clients what you have just told me.

You still need to sell yourself and your business savy to persuade the clients that you are in it for the long haul.

Entering into business deals with friends or acquaintances can get sticky if some-thing goes bad. Please get a detailed contract with him. Consult with a lawyer if need be.

It sounds interesting though.

I wonder, if he's a registered company and you purchase his company name too
I suppose you could just say "under new management" and continue under his name
and past reputation while you also build yours.
The level of service shouldn't fluctuate during the transition or the clients will get
p.o.'d.

Good luck brother.

Last edited by Dr.NewEarth; 04-06-2011 at 02:01 PM. Reason: spelling
Reply With Quote
  #7  
Old 04-06-2011, 02:02 PM
33 pointer 33 pointer is offline
LawnSite Member
 
Join Date: Mar 2011
Posts: 17
Thanks Doc!

God Bless!

Seth
Reply With Quote
  #8  
Old 04-06-2011, 05:46 PM
Kelly's Landscaping's Avatar
Kelly's Landscaping Kelly's Landscaping is offline
LawnSite Gold Member
 
Join Date: Dec 2003
Location: Milford CT
Posts: 3,694
Are these walk behinds or ZTRs that's a lot of big mowers for so few accounts how big are these accounts?
Reply With Quote
  #9  
Old 04-07-2011, 10:41 AM
33 pointer 33 pointer is offline
LawnSite Member
 
Join Date: Mar 2011
Posts: 17
they are zero turns and he will only sell two of them. the accounts are also pretty large.
Reply With Quote
  #10  
Old 04-10-2011, 02:58 AM
tradeyouraccounts tradeyouraccounts is offline
Sponsor
 
Join Date: Feb 2008
Location: Henderson nv
Posts: 345
Buying a business

This may help answer some of your questions
http://www.tradeyouraccounts.com/dept.aspx?id=3
__________________

Buy Sell & Trade Lawn & landscaping route accounts. The online market place for route accounts.
http://Tradeyouraccounts.com
http://facebook.com/ServiceRoutes
http://twitter.com/ServiceRoutes
Reply With Quote
Reply

Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off

Forum Jump





Powered by vBulletin® Version 3.8.6
Copyright ©2000 - 2014, Jelsoft Enterprises Ltd.
Copyright ©1998 - 2012, LawnSite.comô - Moose River Media
All times are GMT -4. The time now is 05:01 AM.

Page generated in 0.12001 seconds with 9 queries