Buying out apt complex contract?

Discussion in 'Lawn Mowing' started by andyhobbs3, May 29, 2010.

  1. andyhobbs3

    andyhobbs3 LawnSite Member
    Posts: 4

    I was offered a contract from another lco for an apartment complex that pays $800 month for weekly service. He wants me to give him a price to buy out the contract but I have never bought out a contract before. What should I offer him for the contract?
  2. Big Bad Bob

    Big Bad Bob LawnSite Bronze Member
    from zone 5
    Posts: 1,074

    Around $200.00 sounds fair.
    After a week you could lose it.
  3. W.L.M.

    W.L.M. LawnSite Senior Member
    Posts: 525

    I usually say 10% of a years total revenue on that account but in this instance I would stay lower than that. Why is he selling it? There very well could be a problem with it.
  4. topsites

    topsites LawnSite Fanatic
    Posts: 21,653

    Oh hey I have a bridge I want to sell you!
  5. C4chris70

    C4chris70 LawnSite Senior Member
    Posts: 499

    If you do decide to go forward with an offer, I would set up a meeting with both him and the apt complex mgr. The complex may require the maintenance company to carry a certain amount of insurance to maintain the property. If you do not meet their requirements, that could be grounds for immediate termination. Be careful and good luck.

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