thinking of selling

[31bluegrass]

i was needing some help on trying to find out what my bussiness is worth.i have 50 accounts,3 scagg mowers,2redmax blowers,2 stihl weedeaters,2 stihl hedge trimmers,2 stihl edgers and 1990 isuzu npr truck all in great shape.what is the best way to find out what it is worth?
31bluegrass

[Phil Nilsson]

Value consists of equipment (your list, make list) asking prices each item and ... goodwill - customer accounts. Goodwill figure rule of thumb (general maintenance) at from 20% to 30% of gross sales for one year. Start at 30% level and ask for offers. If you have lawn apps in your sales numbers value these at from 75% to 100% of the total yearly invoice to customers. Goodwill will vary in value depending on the work ... you're selling

Installs
General maint
Lawn Apps
Irrigation
Tree work
Snow removal

all of these will vary somewhat as to customer goodwill value.

Phil

[davetex]

Why exactly are you selling? Too much hassle? burn out? Is your business not profitable enough for the amount of work your putting into it? Whatever your reason, good luck to you!!

Just curious, as I'm closely considering a start up LCO next seson?

Phil, if your reading - Is it a good idea to contact other LCO's to try and pick up some accounts to help my startup next spring?

[Phil Nilsson]

davetex ... yes, and why not develop an email list of the competition in your area (snail mail list too) that you can send to at regular intervals like quarterly ... be consistent with it ... year after year send to the same list ... big turnover rate in this bizz and they'll remember you - that you're a possible buyer if and when they decide to sell. Some will sell off mowing to concentrate on installs ... variety of reasons but you'll be right there (in their face LOL) with your "materials" ...

What about a generalized letter or email that simply says ...

WANTED TO PURCHASE - grounds maintenance accounts, lawn care accounts and related equipment. Also looking for subcontract partners. All replies confidential.

Do this quarterly ... routinely ... and you WILL get some bites

(((A sidebar))) - send this same email letter and snail mail to others that are ALLIED to the bizz like those who specialize in ... lawn chemicals only ... tree work only ... irrigation only ... only this and only that ... this is where that subcontactor "part" comes into play ... contacts that can FEED you work and that you can FEED work to.

Phil

[CCLS]

Are your customers on contract???

No matter what anyone tells you, your business is only worth what someone is willing to pay for it.

[lanier]

i would consider talking to you regarding unloading your accounts and equipment. you can email me at: mark_waldrop@hotmail.com

thanks

[limbhanger]

Hey, sorry about your getting out of the biz. Can yoy send me some info on the ztr's.