Offer $32,000 to buy accounts

Discussion in 'Lawn Mowing' started by Golfpro21, Mar 16, 2013.

  1. Golfpro21

    Golfpro21 LawnSite Senior Member
    Posts: 563

    I offered a local business owner $32,000 for all his grass/snow accounts, his total revenue was $138,000 last year. He said he needed $30,000 so I offered a bit more.

    This offer was made 3 days ago, I have not heard back from him.

    This deal is for accounts only, no equipment, and the money paid is only on accounts that renew.

    My question to you, would you keep someone waiting who was offering you more than you said you needed?

    Thanks
     
  2. jc1

    jc1 LawnSite Bronze Member
    Posts: 1,594

    Your higher offer may have him thinking he priced it too low and now he is second guessing the price
     
  3. Patriot Services

    Patriot Services LawnSite Fanatic
    Posts: 12,708

    Second that. Why did you do that anyways?
    Posted via Mobile Device
     
  4. Country Club Lawnscapes

    Country Club Lawnscapes LawnSite Member
    Posts: 58

    Yeah if you pay him what he wants then you paid too much
     
  5. blk90s13

    blk90s13 LawnSite Bronze Member
    Posts: 1,452

    Strange why you offer more than his asking price and not less !

    He either thinks he priced too low like others said or he thinks you are just not real with your offer
     
  6. Landrus2

    Landrus2 LawnSite Platinum Member
    Posts: 4,812

    Hey golfPro If the guy don't get back to you he must have sold the business.
    Or got cold feet. If he has income of 138k it will not be very wise for him to sell for 30k only if he is retiring that is in my opinion :waving:
     
  7. Golfpro21

    Golfpro21 LawnSite Senior Member
    Posts: 563

    he finally got in a a fireman, so he has a fulltime job to go to
     
  8. Golfpro21

    Golfpro21 LawnSite Senior Member
    Posts: 563

    he said he needed $30,000 - $35,000 so I offered $32,000, i didnt offer $30,000 because I was hoping he would jump on the offer right away, thus I would not really have to focus any attention on a marketing plan to expand this year, with this deal the expansion would be done
     
  9. Golfpro21

    Golfpro21 LawnSite Senior Member
    Posts: 563

    I disagree, I cant stand low ballers and people nickel and dime. If his business is worth close to what I think it is worth to me, then I would rather offer what he wants and seal the deal, this way he isnt seeking another buyer and his attention is on making this transition and smooth as possible for the clients, myself and himself
     
  10. Patriot Services

    Patriot Services LawnSite Fanatic
    Posts: 12,708

    So he took your offer? If the numbers are good and you can handle the extra load, go for it. I always worry about bailers on non contracted accounts.
    Posted via Mobile Device
     

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