but mom, all the big boys are doing it... why cant I?

Discussion in 'Lawn Mowing' started by Brianslawn, Feb 5, 2006.

  1. Brianslawn

    Brianslawn LawnSite Silver Member
    Posts: 2,004

    at&t-sbc-cingular-suncom

    nextel-sprint

    mci-verizon

    pepsi-lays-dorritos-gatorade-quaker oats-etc.

    mergers, consolidations, joint ventures, buy outs.

    billion $$$ companies teaming up to make more money together, by expanding thier markets.

    why dont lawnboys do this? mowing company + landscape company + construction company + chem company + irrigation company + fence company + dealership/shop + nursery or any combination of the above or other similiar companies working together or merging into one large corperation to broaden thier market share and increase revenues?
     
  2. lawnman_scott

    lawnman_scott LawnSite Fanatic
    Posts: 7,547

    Well normally when that happens they lay off people that are doing the same thing that will then be overlapping. And then a ceo of one company gets a buyout and stock options. So if you want to merge I will take a $400,000 cash buyout.
     
  3. PMLAWN

    PMLAWN LawnSite Gold Member
    Posts: 3,535

    This week buy---Next week sell.

    Why not us?? The minds behind this stuff are not about selling a product or expanding a market as much as it is playing with money and stock prices to make the profit. It is a bit different game.
    And if you look at the late 90's the big boys did play this game.
    Biggest problem is this is a dull, slow moving, service business that has little emotion and has to generate profits from production on the front lawn where these guys play with pension funds and emotion that moves and works on Wall Street.
     
  4. Envy Lawn Service

    Envy Lawn Service LawnSite Fanatic
    Posts: 11,062

    I didn't do all that crap above, but the lower paragraph sounds like my old business.

    It did weekly services like mowing and so forth... applications... clearing work... landscapes... grading... hardscapes... rock, block, brick and concrete masonry... patios, garden construction and gazebos... doors,windows, siding and roofing... poarches, decks and pool surrounds... total residential remodeling.... new residential construction and metal buildings as well as other small commercial construction. Plus I also had a number of other outsourced services I could provide.

    Basically, for me I started out doing one thing and doing it great. I hated mowing lawns back then believe it or not. But one thing payed the way to the next, and those two payed the way to the third, and so on. Once I got to a certain point, a ton of cross selling went on between crews. Many sites and many customers used multiple services and had several of my crews on their site or working on a job for them at some or different points.

    I've taken sites from a patch of mountain side woods to a finished turn-key residence with all the bells and whistles, and contracted with the owner to do the weekly lawn work after the fact.

    What a ride... it was more than a full time job just keeping up with what was currently going on, much less what was next in line. It was a heck of a business, with a heck of an income, and a heck of a lot more headaches than you could ever even dream of.

    I miss some of the stuff and some of the work.
    But I'm content to be a small fry now.
    The most I'll do is sub something here and there.
     
  5. tiedeman

    tiedeman LawnSite Fanatic
    from earth
    Posts: 8,745

    if you are looking for a partner, I wouldn't mind teaming up. I would enjoy the warm weather down there:)
     
  6. Envy Lawn Service

    Envy Lawn Service LawnSite Fanatic
    Posts: 11,062

    Oh... forgot to add the "bummer point"....

    Fact is, most lawn jocks don't have the financial resources to outright buy another sucessful company as a means of getting into that business.

    Dont "but Mom" me.... :)
     
  7. 6'7 330

    6'7 330 LawnSite Bronze Member
    Posts: 1,823

    Will the CEO or owner of the consolidation be tokeing a few? While he ascertains if his customers were paying his employees cash for services rendered.
     
  8. JKOOPERS

    JKOOPERS LawnSite Bronze Member
    Posts: 1,259

    actually there is a co that does close to that TG Service Master owns them
     
  9. tiedeman

    tiedeman LawnSite Fanatic
    from earth
    Posts: 8,745

    heck, I wouldn't mind joining Valley Crest if they contacted me...hint, hint
     
  10. Brianslawn

    Brianslawn LawnSite Silver Member
    Posts: 2,004

    troy, it almost sounds like you need to get out of town. maybe you should come down here.

    maybe employees will shape up a bit, if they feel they may fall in those overlapping positions and be the first to get cut.

    just putting out some ideas. yes, tgcl-terminex-merry maids-service master-etc. is a good example.
     

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