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How much to buy a lawn care business

Discussion in 'Starting a Lawn Care Business' started by Keepin it Green, Feb 5, 2007.

  1. Keepin it Green

    Keepin it Green LawnSite Member
    Messages: 5

    Is there a rule of thumb in buying a lawn care business? I am interested in buying a company, but don't know how to know if it is priced right or not. Are there general guidelines?
  2. okeefl

    okeefl LawnSite Member
    Messages: 155

    When I sold my previous lawn care business in 1999 I got "fair market value" for the equipment and the monthly accounts gross x 3. I also made sure that the customers were willing to give the new owner a try if I transfered there account to him.
  3. Shawns Lawns

    Shawns Lawns LawnSite Senior Member
    from Maine
    Messages: 638

    Not really sure as i don't think i would buy another lawn business.:waving:
  4. Metro Lawn

    Metro Lawn LawnSite Silver Member
    Messages: 2,116

    In this area the norm is market on equipment. weekly gross mowing revenues x 2 or 3 weeks for accounts not under contract and usually 4 weeks with a contract. I have seen guys trying to get as much as half a seasons worth of revenue, but I have yet to see any sell.. but as they say "there's one born every minute"
  5. lawnpro724

    lawnpro724 LawnSite Silver Member
    Messages: 2,201

    I would just base the price on equipment and commercial accounts if there under a contract, if not then just what the equipment is worth. Residential lawns are a dime a dozen and not worth paying for.
  6. ScottsQLS

    ScottsQLS LawnSite Member
    Messages: 41

    What do you guys think about buying a company for 60% of what you will bring in for a year?
    the price only includes:
    26 mows
    spring and fall clean-ups
    and one plow
    any feed back on this would help me out.
    thanks guys
  7. CkLandscapingOrlando

    CkLandscapingOrlando LawnSite Senior Member
    Messages: 652

    I have a client In Florida that sells them,He told me that they go for about 70 percent of the contract.I dont think Its worth It unless your looking at big money.100,000 will cost you 1000 a month and bring In about 9000.Brickman,Tru green,thats how they got so big.But once again,Its not worth it if your not going big.Any rate,you need to make sure there on contract.
  8. ScottsQLS

    ScottsQLS LawnSite Member
    Messages: 41

    can you clarify you calculations?
    thanks again
  9. J Hisch

    J Hisch LawnSite Senior Member
    Messages: 952

    for maintenance accounts .45-.65 on the gross revenue. On Lawn Care accounts about 1.00-1.25 for a well run company. but the best rule of thumb is pay what your willing to pay and what the buyer is willing to sell for
  10. Duekster

    Duekster LawnSite Fanatic
    from DFW, TX
    Messages: 7,961

    Would you clairify maintenance vs lawn care please?

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