How much have you paid for accounts?

Discussion in 'Lawn Mowing' started by h400exinfl, Feb 21, 2008.

  1. h400exinfl

    h400exinfl LawnSite Member
    from Florida
    Posts: 106

    Hi all and thanks for contributing to a fantastic resource. If anyone has purchased residential accounts and wouldn't mind letting me know the price please, post, email, send a private message ... smoke signals anything. A competitor is looking to offload some accounts and scale down. These are residentials that would normally bill 50 - 60 a month or 17-20 per cut, based on 36 cuts a year average. They're all in a single neighborhood. Thanks. Please keep the opinions as I can find quite a few of those using the search feature, just can't find any factual numbers. Thanks again.
     
  2. h400exinfl

    h400exinfl LawnSite Member
    from Florida
    Posts: 106

    Updated my profile so you can download my email via vcard by clicking on my username/public profile/download vcard ...... or you can send email to my spam address trx400ex@dsli.com but I will not be able to reply from there .... sorry about not giving any address info.
     
  3. h400exinfl

    h400exinfl LawnSite Member
    from Florida
    Posts: 106

    bump....

    I've found on here that most people are chiming in at somewhere between 10% and 30% of a years gross for that account. Of course these are figures they "would pay" or "think is fair". Has anyone actually paid these kinds of numbers?
     
  4. Grits

    Grits LawnSite Silver Member
    from Florida
    Posts: 2,994

    I wouldn't pay much, if anything, for them. If he wants to get rid of them so he can scale down, he should give them to you. But if you insist on paying for them, I would NOT even think about going over 1 months payment. It'll take you 2 months to make anything off them. Are they on contract?
    A friend of mine is giving me some accounts and the transition is a little harder than we would've thought. People are strange.
     
  5. coonman

    coonman LawnSite Senior Member
    Posts: 682

    I agree. I would not pay for them. If he wants to give them to you thats great, otherwise you will get some on your own.
     
  6. h400exinfl

    h400exinfl LawnSite Member
    from Florida
    Posts: 106

    They are on contracts. It's a competitor, not a friend, so they're not going to be given. Has anyone ever bought accounts? What did you pay?
     
  7. IN2MOWN

    IN2MOWN LawnSite Platinum Member
    Posts: 4,993

    Why pay for something you can get for free?
     
  8. ponyboy

    ponyboy LawnSite Bronze Member
    from ny
    Posts: 1,422

    I have bought rwo compaines mixed resid and comm all have contracts and both were business were the owner did not see the lawns as afr as cutting his guys didi all the work. IMO if you are just buying lawns where the people knew the guys was always going to be doing the work himself maybee even have one helper but he was always there be careful bexause people do not loke change if they wanted change he would not have been hired back for the next season so that price i am not sure about. My comanies were the owner did the desgins and estimates cutting and general maintenace was done by the worker that we kept on and i paid 2 months maintenace for and i feel that was cheap. These customers were all loyal most over 10 years with both companies and do full service and alot of extra work they were turn key operations i could hire a designer and nobody would know(customers) who owned the company. So a turnkey company is worth alot more than a list of names i would have paid almost a year of lawn cutting because of the type of clients and the amount of money they spend so at two months it was a steal.
     
  9. bob

    bob LawnSite Platinum Member
    from DE
    Posts: 4,254

    I payed 7 weeks gross income for my commercial and residential accounts that I bought. The seller was a friend , who let me pay in installments. The first year I bought them,I made 6 times what I payed for them. After 7 years, I still have all the accounts.
     
  10. h400exinfl

    h400exinfl LawnSite Member
    from Florida
    Posts: 106

    Thanks Ponyboy, this is a similiar situation, the customers have very little relationship with the owner, and mostly only "see" the crew. Those are the kinds of numbers I've been hearing as guesses, but noone has given actual monies paid. Thanks again. Thought maybe I was hearing "fishing stories".
     

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