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LCO's who are also dealers?

Discussion in 'Landscape Maintenance' started by Church2224, Sep 26, 2013.

  1. Church2224

    Church2224 LawnSite Senior Member
    Messages: 560

    I have noticed two major LCOs in my are are dealers for various equipment one is currently a Snapper Pro dealer, and the other is a dealer for Bob-Cat mowers and Redmax handhelds. They are also a former Wright, Hustler and Great Dane dealer.

    Has anyone seen this happen? Would be cool if you are a company and you can sell equipment and also save some money by buying mowers at cost.
  2. easy-lift guy

    easy-lift guy LawnSite Gold Member
    Messages: 3,372

    I have known of Two examples of this in SW Florida. The first was a company that bought out a reasonably successful Honda dealership. That did not last very long and the lawn maintenance end of the business soon closed down, however the dealership continued on for several years there after. The second example is still currently working both, to what end and how much longer would be anyone's guess.
    I believe if anyone was to try this business plan currently the results would end up like lighting a sparkler
    at both ends. The end result may be faster, more painful.
    easy-lift guy
  3. Mowingman

    Mowingman LawnSite Platinum Member
    from Texas
    Messages: 4,717

    I opened a dealership, while still doing mowing. You have to be very careful to not alienate potential store customers by bidding against them on mowing work. My plan was to gradually ease out of mowing as contracts came up for renewal. I actually gave many of my residential customers to store customers who were wanting to expand there business. I was careful not to bid on any work a store customer was also bidding on. I ran both operations for about 3 years. Gradually spinning off/closing out the mowing, while building up the store sales. It was kind of like walking a tightrope, trying to juggle the two interests, without making someone mad. But, it can be done. I did not hide the fact that I was also in the mowing business, but made everyone aware that I was winding down that part of my business.
  4. Church2224

    Church2224 LawnSite Senior Member
    Messages: 560

    I think I should also make it clear that these are MAJOR companies in the area, one has about 200 employees last I heard. So I think that their size alone allows them to do so. I know the Bob Cat dealer is only a dealer in name only. Yeah you can buy units from them but they have no show room and only stock 36 and 48 inch hydro walk behinds and I think 52 and 60 inch pro-cats.

    The Snapper Pro dealer is also a nursery and has a few other things going on for them too. I need to look into how they are running their operation.

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