seeking to sell accounts or sub contract

Discussion in 'Florida Lawn Care Forum' started by minx, Jun 25, 2014.

  1. minx

    minx LawnSite Member
    Posts: 80

    Is their a specific section on here for this.. sorry if posted in wrong place..
    just got out of hospital after a 6 month run of poor health.. need to downsize or reduce work/stress load.. dont know if subcontracting might achieve that..
    I run residential and commercial in two different areas.. cant do hands on at the moment..and as everyone on here knows.. thats a recipe for disaster.. has anyone subcontracted rounds out.. how did it work.. tried to find a manager... got nowhere slow..
    alternatively, could sell equipment and accounts.. asset only, kind of sale.. would suit add-ons or newbie.. had to happen in the summer...probs could have gotten by in winter.. thanks :hammerhead:
     
  2. Ric

    Ric LawnSite Fanatic
    Posts: 11,946

    .

    I am assuming you are talking mowing accounts. If Stress is your problem, Don't subcontract, Sell out right if you can. Subcontracting means you are still the father dealing with the Kids doing the work. The quicker you down size the better your stress level. Been there done that and I am a very happy part time one man band.

    A Sweat Equity sale might be your fastest and biggest market for a quick down size. By offering sweat equity finance you open up a larger group of buyers. But selling sweat Equity will be stressful also. Sweat Equity is where they do the work for a period of time and you collect from the customer. Then when the agreed time period is over they own the accounts.

    Sweat Equity sales have some risk and of course the agreed upon price should reflex that risk. Most reasonable year round mowing routes should be worth 3 months income. Factor in, this is high Mowing Season and deduct some Equity. Factor in you are financing and add Risk/interest. Your final price is what traffic will bare. Many mowing guy have no real understanding of what accounts are worth. I wish you good luck in finding a buyer.

    PS. My pesticide company gets 2 to 3 calls, letters or E mail each month wanting to buy my accounts. These are from large Corporations who know it is cheaper to grow a business by buying accounts.

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  3. easy-lift guy

    easy-lift guy LawnSite Gold Member
    Posts: 3,376

    If you do not have your health you have nothing. Sell either some or all if your accounts and get better.
    easy-lift guy
     
  4. minx

    minx LawnSite Member
    Posts: 80

    Youare right easy lift... Ill,health comes as a shock, hadn't heard of sweat equity... Sounds a possibility... Open to anything, as I have some lovely loyal customers..too and wouldn't want to let a lot of them down... Wish a bigger company would just buy me out lol.... Then everyone would be looked after, workers customers etc
     
  5. RussellB

    RussellB LawnSite Fanatic
    Posts: 6,042

    Where are you located Minx? Sorry to hear your having health issues and hope you have a speedy recovery.
     
  6. minx

    minx LawnSite Member
    Posts: 80

    South Orlando area....
     
  7. WES1

    WES1 LawnSite Member
    Posts: 73

    We had the opportunity of meeting on Tuesday...they are really awesome people.
    It`s always nice to meet others whom have the same passion for this industry.
     

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