Business worth

Discussion in 'Business Operations' started by bikerboy, Aug 2, 2002.

  1. bikerboy

    bikerboy LawnSite Member
    from Kansas
    Posts: 3

    I am going to be a senior in high school this year and have owned my lawn care business since i was a freshman. I want to find out what my business is worth since next year i will be going to college and leave before the mowing season is over. I have no clue to figure out how much it's worth. So what i want to know from any of you is, where can i find out or do you have any ideas. If any of you know about this area and would like to help me out i could get you more information about my business. All advice and help is appreciated.
  2. agrostis palustris

    agrostis palustris Banned
    Posts: 117

    How many accounts do you have? If it's only a small number you may be better off just giving them to a friend or somebody else. If you have a large number of accounts then it may be worth something.
  3. wolfpacklawn

    wolfpacklawn LawnSite Member
    Posts: 120

    I wish i wouldn't have sold my business after high school. I had about 40 residential accounts at the time but I thought college was the way to go. I took a college scholarship, graduated top of my class in college, worked for a few large corp. for several years before I found out that I hated working for someone else and started my current lawn business. Looking back I wish I would have just contined my education in business by keeping my business rather than going to school for it. But I guess that's another story.

    As for selling it- this can be a difficult thing to do and get what seems like a fair price for it. I know I sold my 40 accounts back in '88 for less than $2000. If you are selling equipment you should be able to figure out what it's worth. So what are the accounts worth and will someone buy them? If I were going to buy someone's accounts, after making sure that they would be profitable accounts, I would pay a little less than what it would take me in marketing and advertising to get an account myself. That is about $30. This is all on the assumption that your accounts are average residential accounts. I hope this helps a little.
  4. Randy J

    Randy J LawnSite Bronze Member
    Posts: 1,124

    How far away are you going to college? Any chance you can keep the accounts and hire someone to do the work for you? If you have someone you trust to do good work, or someone, like your father that can do quality control checks, it might work. There was an article in one of the greens magazines a few months back about a gentleman that kept his business through college. He's very successful now that he's graduated and back into the business full time.
    Where at in Kansas are you?

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