buying/selling comerical/residual lawns.

Discussion in 'Business Operations' started by jim Rigsby, Sep 24, 2006.

  1. jim Rigsby

    jim Rigsby LawnSite Member
    Posts: 3

    Is there a fomular for buying or selling lawns. I have 20+ and am going to quit after this season because of more time is needed to take care or my disabled son. Would like to know price and pitfalls of selling, if any. Thanks:usflag:
     
  2. J Hisch

    J Hisch LawnSite Senior Member
    Posts: 952

    they are worth what ever you are willing to take for them and what the buyer is willing to pay. No good formula's
     
  3. jim Rigsby

    jim Rigsby LawnSite Member
    Posts: 3

    Thank you for your response. I appreciate it.
     
  4. Rons Rightway Lawncare

    Rons Rightway Lawncare LawnSite Bronze Member
    Posts: 1,163

    I have sold accounts twice.... once when I moved from Charlotte NC in 1999 to Florida, and then once again when I moved from Florida back to the carolinas in 2001. I sold them for a amount equal to 2 months income off them, and seemed everyone was happy.

    I made a letter to give to my customers explaining why I was turning their business over to the new company, and why I wasn't going to be doing it anymore, and explained that I searched around to find them a good honest respectable company to take over doing their lawn so they would have nothing to worry about etc.... It worked out good for both the companys that got my old accounts, they had a high retention rate and the company here in Charlotte that I sold my old accounts to in 1999, still services several of the customers I sold to him.
     
  5. J Hisch

    J Hisch LawnSite Senior Member
    Posts: 952

    I will buy accounts all day long for 2 month income. All day long...
     
  6. jim Rigsby

    jim Rigsby LawnSite Member
    Posts: 3

    Thanks for your real experience of selling. I have had some of the accounts 15 years. I thing The accounts I have may be above average. Most are small, quick, close together, which makes for above average bottom line according to the time to do them.
     
  7. Howard Roark

    Howard Roark LawnSite Senior Member
    from Texas
    Posts: 805

    Jim,

    I have no idea about selling accounts, but best wishes with your son. From a fellow dad with a 16 month old son you have my utmost admiration.
     
  8. Rons Rightway Lawncare

    Rons Rightway Lawncare LawnSite Bronze Member
    Posts: 1,163

    There is no way of knowing how many customers will stay with the new company. It is a big gamble to pay for what is basically a chance to earn these customers business long term. Unless the customers are easy going, or you do as good of a job as the last guy at the same price level, you will loose accounts. If someone needs accounts so bad as to pay more than 2 or even 3 months income to get their foot in the door, then go for it, but I never would. It is too easy to knock on doors or put out fliers and get the customers for alot less money in alot less time.
     

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