Selling OUT... What to ask?

Discussion in 'Business Operations' started by Jpocket, Jan 6, 2008.

  1. Jpocket

    Jpocket LawnSite Silver Member
    Posts: 2,278

    Well Guys Im Getting out of the Lawnservice, atleast 'fulltime' Anyways.

    I was wondering what the going rate is for a 98% Residential customer base. The accounts are all upper mid class residential, With extremely tight routes. Almost the creme of the crop. I also have two Little league fields and a church in the deal.

    My father and myself have work hard to build ths business, and I don't just want to give it away, nor do I want to rape the buyer lol.
    I was thinking of asking the price of 3 cuts for the route. And the buyer only pays for the customers who renew with him.

    What do you all think?
     
  2. dutchhook

    dutchhook LawnSite Member
    Posts: 93

    That's a VERY cheap price. are you talking about more than 50 residentials??
    Is there fert/weed control apps part of your service? I don't have particulars on your business, but assuming that your labor rates are less than 50% of what you're billing, could you maybe ask for 6 mowings, or ask for 50% of the first 3 months mowings. At least that would double your price, and the buyer can recoup the cost by the first half of the season. I think you could ask for more than that, but you're in the Northeast, and I'm in flyover land, so I don't know what they're going for out there.

    We've got a current discussion about this going on another thread with tons of info, check this one out:
    http://www.lawnsite.com/showthread.php?t=210586
    Under Bix Worth

    Also, list the business on Craigs list FOR SURE!. Check out to see if other businesses are selling on there and what they're going for. If you have a local LESCO, or now John Deere branch and know AND TRUST the managers there, it might not be a bad idea to let them know you're looking for a buyer.

    The last place you can list it is on www.globalbx.com. It's free.

    Best of Luck!

    Steve Hoogenakker
    Steve@Landscape.Pro
     

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