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Looking at buying another business..

Discussion in 'Lawn Mowing' started by CGlandscaping, Oct 16, 2008.

  1. CGlandscaping

    CGlandscaping LawnSite Member
    Messages: 75

    Im looking for some advice from some of you more experienced guys or someone that has maybe bought another company..... I found this company for sale and am looking into it a little more... but want some pointers or suggestions from you all. The company that i own right now is all Residentail.... and we maintain 55 properties and then a bunch of landscaping work... anyway here is some info on the company

    We currently have 100 set mowing contracts. Six commercial contracts, four of which include snow removal and the rest residential. Last years sales were $235,000.00. We have been in business for the last 10 years. Some of the larger equipment included are (2) Ford F250's (1 with 7.5 ft. Western Unimount snowplow), (1) Ford F450 Stakebody dump bed diesel(with 7.5 ft. Meyers snowplow),(1) 22 ft. Haulmark enclosed trailer, (1) 18 ft. US Cargo enclosed trailer, (2) Exmark 60" Lasers(1 with large bagging system), (1) Exmark 52" walk behind, (1) 52" Scag walk behind, (1) 36" Ransomes Bobcat walk behind, (2) Claussen aerators, (1)old Giant Vac truck loader leaf vacuum, (4) backpack blowers (2-Stihl and 2-Echo), (3) Echo string trimmers, (1) 20 gallon air compressor, (1) Commercial blade grinder

    they want $265,000 for it.... any ideas would be great.... not looking to be attack or anything sooo .
  2. TheBigGW

    TheBigGW LawnSite Member
    from MA
    Messages: 150

    The only thing that i can add about this is that you are getting alot of equipment... As for the 100 accounts just cause he has them does not in any way shape or form mean that they will stay with you once you purchase the company. I was gonna purchase an exsisting comany about 3 years ago and I am sure glad that I did not do it. Ends up that the person that did buy the company that I was gonna buy is now out of business... He lost most of the customers and was unable to keep up with the payments on everything. My advise keep what you got, advertise advertise and advertise. You will build your own business slowly but they will be your customers. Hope this helps. Good luck in what ever you do.......
  3. super1

    super1 LawnSite Member
    Messages: 16

    wishfull thinking by the seller...65k on the used equip max and 2k per account.
    baltimore market is not that hot. not sure there is a market that hot in the country. "wordup" there are "MUCH, MUCH" better bargains on wall street right now. Save the cash and invest wisely.
  4. VAMower

    VAMower LawnSite Member
    from VA
    Messages: 78

    I would check to see if it comes with any employees. You could buy the business and then not have the manpower to handle the new work and lose a lot of the customers.

    Also, check into the sales. A lot of that revenue figure could be for "cost of goods", ie plants, mulch, sod etc that were passed along to the customer and help to inflate the top line revenue figure.

    Try to figure the actual cost of the equipment and then you be easily able to figure out what you are paying for the accounts.

    MOHUSTLER LawnSite Bronze Member
    Messages: 1,376

    Thats alot of equip. I think this guy will have trouble getting that much for his business. Esp with the banks getting really tight on loans latley. Id imagine he might be willing to split it up and not take all the equip.

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