one of those how much are these yards worth

Discussion in 'Lawn Mowing' started by Ross's Lawn Service, Sep 18, 2008.

  1. Ross's Lawn Service

    Ross's Lawn Service LawnSite Member
    Messages: 36

    ok, i know there are threads around here but could not find any recent ones. A guy in my town is selling 20 of his accounts and most average 30-35 a cut. Almost all are weekly accounts and small yards. What would be a fair price to offer him for the yards. None have contracts. Thanks

    Ross Lawn Service
  2. bigw

    bigw LawnSite Bronze Member
    Messages: 1,540

    $90.00 per account and not a penny more! Oh and they have to meet you and agree to go with you b4 you pay 1 penny. just my 02.
  3. Kennedy Landscaping

    Kennedy Landscaping LawnSite Fanatic
    Messages: 5,597

    3-500? Just a guess. Never done this before.
  4. davis45

    davis45 LawnSite Senior Member
    Messages: 985

    I wouldn't pay jack squat unless you personally know the guy and he is very personable with all his clients. No contracts, you could fork over $900, then 19 of the 20 could cancel your services the next morning.
  5. nosoup4you

    nosoup4you LawnSite Member
    from ne ohio
    Messages: 9

    make sure you get the lco selling to sign a no compete contract on these 20 lawns.
  6. green monster

    green monster LawnSite Member
    Messages: 148

    Great advice from bigw! Don't pay anything unless he takes you to introduce you to all the accounts, to make sure you don't lose anything in the transition. If you pay him $90 per account, that means you will need to mow each yard at least 3 times before you get your money back. If you factor in other expenses, like gas for your truck and your equipment, and wear on your equipment, it is probably more like 4 or 5 mowings before you get your $90 back. Who else is he going to sell them to? I would only give him $45 to $50 tops per customer and that is only if I really needed the work.
  7. David Grass

    David Grass LawnSite Senior Member
    Messages: 485

    I bought some accounts many years ago, and it was no stress because I weighted each account by the percentage of the gross. It was agreed that if I did not retain a few accounts, that would be deducted from the gross sale of the bizz. 3 of the 15 got someone else (they had friends, etc.) so the appropriate dollars were taken off the price. I paid 2 months gross over a period of time, so that the adjustments could go into place and it was a very easy satisfying transaction. This is the ONLY way I would buy accounts!!!!!

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