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Discussion in 'Turf Renovation' started by desert rose gardening, Feb 27, 2007.
How much would you buy a Aeration Business for? There is 600 residential accounts two times a year.
He is asking $35,000 What do you think?
what size areas and what is gross and net profit? I guess if he is asking 35000 and nets 300000 the go for it but check the numbers first. I do roughly 300 a year once and gross 15000 probably net 12000 of that. Aeration is a good PROFIT margin maker where gereral maintenance keeps you going.
I would offer him 1/2 net plus what equiptment is worth with a 5 year no compete clause.
Without knowing gross revenue, it's impossible to put a # to it. 1200 visits a year is quite impressive I would say.
I am curious in how that he gets them to schedule 2 visits a year? Most homeowners really don't need 2 visits unless they have a ton of compaction due to lots of traffic. Maybe it is his selling technique.
600 accounts?! wow that does seem impressive. I am curious what he gets per yard (on average) for 2 visits?
Thats a lot of clients twice a year, all my customers that tell me the spray companies are selling them two aeratings a year with there package i ask why the fall aerating is important when snow is going to be compressing the ground for months.
Oh man if I had the money and I knew his aerating business was legit and he gave me some kind of guarantee, I would totally jump on it.
You could make a NICE living with all those accounts just doing aeration. Thats is my goal someday. That along with some fertilizing and fall lawn rejuventaing.
There is VERY GOOD money to be made in aerating. For the time and effort, it is rediculous. Even though I think for your time and effort, nothing beats the money one can make fertilizing if they had enough accounts. Now THAT is crazy money those guys make.
But if you can buy 600 aerations a year at $35,000, assuming you average at least $75 per aeration(I live in Connecticut and average about $100+ per), GO FOR IT!!
Good luck and let us know how it goes.
I also wanted to mention that with all these new accounts you'll have, you could do tons of upselling. Aeration could lead to irrigation, fertilization programs, lawn renovating/rejuvenating/overseeding, mowing, etc.
You could really expand on alot of different levels within the business.