Buying cusotmers- please help!

Discussion in 'Business Operations' started by sixpixels, Sep 19, 2010.

  1. MarcSmith

    MarcSmith LawnSite Fanatic
    Messages: 7,157

    this an non payment. were the main reasons.. how many rainy days do we piss and moan about. that we can't do anything, got a drought and cant cut grass. there was plenty of time to deal with court. was I sue happy. no, it was a huge PITA, but i figured if I let them take advantage of me, then they'd do it to you or someone else...A property lien was good for 21 years in florida...@ 18%. thats a good return...Usually after all was said an done, with legal, fees, collection fees, ect. are good for another 4-500 on top of the original bill...I had a good cancellation clause that allowed both parties an out. It was a fair contract. it spelled what was to be done and what charges and when money was due...only one page long with about a dozen bullet points. I'm sure a good lawyer could have taken me to task in court, but the nice thing about smalls lawyers..
  2. seabee24

    seabee24 LawnSite Senior Member
    Messages: 619

    well non payment of anykind contract or not deserves its day in court. -agreed

    What i wa refuring to in this case and doing a customer buy out, even if the customer is under contract for the full season (and they are paid in full to date) ...if they want to leave and no longer use the new guys you really think that situation is worth going to court? becasue thats really what this is about, do you buy a customer list with out them being under contract? my vote is in reality the contract isnt worth anything for keeping the customer a customer
  3. seabee24

    seabee24 LawnSite Senior Member
    Messages: 619

    possibly, of course any type of advertising or marketing or building a brand, is the same thing...dollars spent for new business

    buying a customer might cost more but the odds of sucess go up. 400 door hangers, your lucky to get 1 customer. and you have no past info on them.
    so you spend the money for the door hangers and labor to pass them out

    but the nothing but type some letters, make some calls. get past history to make sure they pay up on time, and that they were a profitable customer. so you pay more, but you get more

    like i keep saying, if you want to sell/buy a "list" its a gamble and its worth a small amount

    If you want to buy or sell a list that has data to go with it, support by the old owner, profits, proof that he hasnt let the customers go to heck.....buying a true, well run COMPANY, then thats worth 10X more.

    why is it that a retail business can sell for an average of up to 2YEARS of income? they dont have signed contracts with customers. all they have is their brand and reputation...... and your all thinking is that lawn customers are worth 100 bucks?

    if your in my area, and want to sell out... he is my offer. i will pay $750 per account provided that it meets all my specs. might not make alot the first year, but the second, 3rd 4th.... yep. then they tell their friends so the cost for that one lead at $750 just got cut to $350. so if you live in the mchenry county area, and want to sell out please send me a message, and i will come with cash
  4. MarcSmith

    MarcSmith LawnSite Fanatic
    Messages: 7,157

    Id love to keep em, but I would not sue for th remainder of the contract. as you stated that stupid...why would I want a customer that does not want me...The contract is worth whats it written on. but Id rather have 100 contracts over 100 people's name on a list...any day of the week...

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