HELP!!Advice needed

Discussion in 'Irrigation' started by caracoo, Aug 9, 2006.

  1. caracoo

    caracoo LawnSite Member
    from Indiana
    Posts: 5

    Alrighty guys and gals, I need help. A friend of mine wants to invest money in a business, perferrably a francise. I've been researching for irrigation companies since we have none in our area, yet the housing business is skyrocketing. I have found a few, is there any that you the experts can suggest???

    Thanks so much.
     
  2. Hank Reardon

    Hank Reardon LawnSite Senior Member
    Posts: 599

    Why a franchise? I don't see the benefit in buying someone's structure/problems.
     
  3. caracoo

    caracoo LawnSite Member
    from Indiana
    Posts: 5

    I guess because the business plan would already be set up and structured. Neither of us have run a business before, he's got the financial means and I've got the brains, just not the confidence. So we thought a franchise would be the way to go?
     
  4. Wet_Boots

    Wet_Boots LawnSite Fanatic
    Posts: 48,037

    You can't easily franchise a business that will be different in different states, (or even different counties and/or towns) due to local codes.

    You can talk to the suppliers of irrigation equipment, and see what general business advice they have. The manufacturers will want to help, because they want to sell you stuff.
     
  5. dvmcmrhp52

    dvmcmrhp52 LawnSite Platinum Member
    from Pa.
    Posts: 4,205



    If you haven't run a business and have no business schooling chances are slim you will be considered for any franchise.

    By the way, the housing market isn't booming any more.
     
  6. caracoo

    caracoo LawnSite Member
    from Indiana
    Posts: 5

    That makes sense. So start from scratch on our own, sure cuts down on the intial capital investment and allows us to grow when we need. You guys are great, I know you probably think I'm crazy, and yeah I am. I just know I can't go back into the corporate America arena anymore and he's got the money to do something and doesn't want to continue working in a factory. Like I said there are a few landscaping guys in town, but no irrigation companies, but housing developes going up every where we look.

    Thanks again for the advice.
     
  7. caracoo

    caracoo LawnSite Member
    from Indiana
    Posts: 5

    As I said he has been approved twice for business loans, so moneywise we know we have that. I'm 3 classes away from having my bachelor's in business administration with concentrations in HR and Marketing, so I've got the brains. Just need to put the 2 together.
     
  8. Hank Reardon

    Hank Reardon LawnSite Senior Member
    Posts: 599

    I took a simple Rain Bird class (to get the lingo), bought an existing company, and hired the previous owner (28+ years in the industry) as a consultant. I've worked the business for only three months (I had installed three homeowner systems for myself through the years) and I'm way ahead of where I'd have been if I started from scratch. The beautiful thing is the instant revenue stream.

    I believe buying a business can be a very good approach. Hire an attorney so you are protected (non-compete clause) and all the paperwork is filed properly.

    If you have a good business background, provide exceptional customer service, and have common sense, it is hard to fail at anything. The importance of making good financial decisions doesn't change from running an irrigation service or manufacturing ladies undergarments or Otter Pops. :drinkup:
     
  9. caracoo

    caracoo LawnSite Member
    from Indiana
    Posts: 5

    Thanks Hank! I've looked at businesses in the area for him to purchase, but unfortunately there aren't any. I think we can do this, just trying to figure out the best way to go. Thanks again for the help. Kathie
     
  10. PurpHaze

    PurpHaze LawnSite Fanatic
    Posts: 5,496

    Hank... Great approach to getting into irrigation that might work for others. You might want to copy this and post it in the "sticky" thread at the top for newbies.
     

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