How much are accounts worth?

Discussion in 'Starting a Lawn Care Business' started by bkdlawnCo, Nov 24, 2006.

  1. bkdlawnCo

    bkdlawnCo LawnSite Member
    Posts: 75

    I have a friend who does 8 residential accounts with a 21" mower...he's heading to school, and I want to throw a number out at him to buy his accounts from him...i have all commercial equipment, i've seen most of the accounts and they wouldn't take me more than 2-3 hour to complete. i'm gunna see what he charges to do them. i didn;t know if you guys have bought accounts before and have some idea of how to figure out a price. He's only 18 and I think he would jump at a low number compared to what they are worth to do for a year. if this made any sense and you could help me out i'd greatly appreciate it..haha...thanks
     
  2. Grass Kickin

    Grass Kickin LawnSite Member
    Posts: 167

    I see. You really need to find out what your income would be from these accounts before you make an offer.
     
  3. daveintoledo

    daveintoledo LawnSite Silver Member
    Posts: 2,587

    1, he mows them with a 21 inch mower, but it will still take you 2 t0 3 hours to do each one?

    that means your getting 120 or up per client, per mow?

    2, what are the revinues for the properies

    3, are they under a contract.....

    in all honesty they arent worth anything if there is no contract, and a written agreement with the clients, that they will take you on contractually....(sp)

    that few accounts you could get anywhy when he leaves.... if you feel abligated because its a friend.....you could offer a token amount...

    good luck :)
     
  4. Clear-Cut

    Clear-Cut LawnSite Senior Member
    Posts: 481

    hes your friend! why would you try to screw him over and give him dirt when you know the lawns are worth more?
     
  5. FATWEASEL

    FATWEASEL LawnSite Senior Member
    from NC
    Posts: 326

    I think he means 2-3 hours for all 8. Postage Stamp parcels. Would suck to find out he's a lowballer. Hopefully he gets at least $35 per yard. $280 extra per week.

    I agree though, if he doesn't have a contract, they're not worth much. Even with a contract, it more or less ends with the season OR when HE quits servicing them.

    I would think that at somewhere towards the beginning of the mowing season would be best.

    Maybe you could tell him that you would like to have them, if the income is sufficient, and have him let the customers know that you'll be taking over the care of their yards. Establish the trust issue ie...he trust you so they can trust you. Then give him an offer based on the clients that stay on.
     

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