Partnership over!

Discussion in 'Lawn Mowing' started by gobblet, Mar 7, 2007.

  1. gobblet

    gobblet LawnSite Member
    Posts: 155

    We'll found out today my partner for over 5 years is no longer willing to
    be in the green industry. He has received a union job that will support his wife and three kids better than our current business will. We are splitting on
    good terms and I plan on buying out his half of the equipment and keeping the name and business running. Can you guy give me some thoughts of value for some of our equipment.

    shin eb8510 blower - 1year
    shin eb630 blower - 2years
    shin t-231 trimmer - 3 years
    shin t-231x trimmer - 4 years
    snapper hydro 48" - 3 years
    little wonder push blower 8hp - 3 years
    2 echo 150 hedge trimmers - 3 years
    classon thatcher - 3 years
     
  2. Runner

    Runner LawnSite Fanatic
    Posts: 13,494

    Well that's cool. It is good for him, and I wish him all the best, and it is great that you guys are going on good terms.
     
  3. nosparkplugs

    nosparkplugs LawnSite Gold Member
    Posts: 3,445

    Unless you have it in writing I would notbuy him out, I would stress because heis quiting he needs to walk away with his equipment. I just went through is situation gave him his portion of equipment that he wanted, and sold what I did'nt want. Went out and purchased new equipment I was able to do that. I don't know all of the info on your case. I kept the business, I started it kept the accounts, no compete clause for 5 years in my case. The only way your sould have to buy him out is if you both quite, there are liabilities associated with running a business your partner should have thought about that before he got into the business. Be tough don't give him nothing for free.
     
  4. drumbo

    drumbo LawnSite Senior Member
    Posts: 336

    nosparks is right....

    I know he is going on to something he thinks he will like but in case he wants to do some "yards on the side" in the future or maybe he doesn't end up liking his new job, you better get a non-compete. It protects you.

    If he wants money, you MUST do it or you might be on here in a year or so asking people to buy your equipment...

    Did you guys have an agreement in the beginning for if either one decided to walk? Even if it was a verbal one, I understand that if he brought a legitimate half to the business that he would want something for that half. You should keep your word. BUT get that non-compete.

    For the equipment, I would give him maybe half of his half (or 25%) for the original cost or even less depending on wear.

    Did I say to get a non-compete??? Just in case, I would strongly recommend it.
     
  5. gobblet

    gobblet LawnSite Member
    Posts: 155

    Nosparkplugs,
    We did not have any written partnership agreement, but planning to have something written up for potentional buyout. All he wants for equipment for now is a pushmower to cut his 15x20 yard. I need all equipment to run business smoothly. Can you tell me more about NON COMPETE.
     
  6. IN2MOWN

    IN2MOWN LawnSite Platinum Member
    Posts: 4,993


    noncompete basically means he wont be doing any lawn care for a profit for a determined amount of time.

    keeps him from going after your current customers for himself.

    I know he is a friend of yours but make him sign it anyway.
     
  7. ccash

    ccash Banned
    Posts: 147

    Maybe He Could Have An Accident....
     
  8. gobblet

    gobblet LawnSite Member
    Posts: 155

    Thanks for the info. I currently have some available work that needs done and all legal things are not finalized yet. Is it safe for me to do this work on my own, knowing that his name is still on the business.
     
  9. ccash

    ccash Banned
    Posts: 147

    no you need to get rid of him
     
  10. Uranus

    Uranus LawnSite Bronze Member
    from Mass
    Posts: 1,624

    Now you can make all the money. You watch, your income is about to go up.
     

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