Business Overview

This opportunity is a licensed and insured company focusing on low impact tree removal and dangerous tree removal. Other services offered include stump grinding, trimming/shaping, commercial maintenance service, as well as tree-care/tree planting among others. The client base is approximately 70% commercial and 30% residential. About 70% of sales are derived from tree removal and tree pruning. All other services comprise the 30% balance of revenues.
Serving the metropolitan Atlanta area, this company has been well recognized in the industry for their affordable, dependable, and reliable services since October 2018. The business has a general manager that also serves as a sales representative and is a certified arborist with a tree risk assessment qualification. Their fleet maintenance supervisor is also a certified tree-care safety professional.
The staff of 11 (including the owner) consists of professional tree climbers, truck drivers, as well as tree care professionals and ground/rope-men.
Key company highlights:
• Contracts Reoccurring Revenue – The business has a number of active contracts in place with commercial accounts and municipalities supporting reoccurring revenues.
• Financial growth opportunity – The business currently has two crews with an ability to launch a third crew without any additional employees by adding another chipper to the fleet.
• Assets – The business fleet and service equipment have been well maintained and are kept in great condition.

Financial

  • Asking Price: $1,350,000
  • Cash Flow: $458,000
  • Gross Revenue: $944,000
  • EBITDA: N/A
  • FF&E: $770,500
  • Inventory: N/A
  • Inventory Included: N/A
  • Established: 2018

Detailed Information

  • Property Owned or Leased:Own
  • Property Included:N/A
  • Building Square Footage:N/A
  • Lot Size:N/A
  • Total Number of Employees:10
  • Furniture, Fixtures and Equipment:N/A
About The Facility:

The business office is owned and may be purchased at fair market value or leased by the new owner for $1,400 per month. The business leases a lot-space at $1,685 per month to park equipment and for staff meetups.

Purpose For Selling:

Other Interest

Additional Info

The venture was founded in 2018, making the business 4 years old.

The business has 10 employees and is located in a building with disclosed square footage of N/A sq ft.

Why is the Current Owner Selling The Business?

There are all kinds of reasons why people choose to sell businesses. Nevertheless, the real reason and the one they tell you might be 2 entirely different things. For instance, they might state "I have way too many various obligations" or "I am retiring". For lots of sellers, these reasons stand. But also, for some, these may simply be reasons to attempt to hide the reality of transforming demographics, increased competition, current reduction in profits, or an array of various other reasons. This is why it is really important that you not count absolutely on a vendor's word, however instead, make use of the seller's response together with your general due diligence. This will repaint a more realistic image of the business's present circumstance.

Existing Debts and Future Obligations

If the existing business is in debt, which many businesses are, then you will certainly have reason to consider this when valuating/preparing your deal. Numerous businesses take out loans so as to cover points such as inventory, payroll, accounts payable, etc. Keep in mind that sometimes this can suggest that earnings margins are too thin. Many businesses come under a revolving door of taking on debt as a way to pay back other loans. Along with debts, there may additionally be future commitments to consider. There might be an outstanding lease on equipment or the building where the business resides. The business might have existing contracts with vendors that must be fulfilled or may cause penalties if terminated early.

Understanding the Customer Base, Competition and Area Demographics

How do businesses in the area bring in new customers? Most times, operating businesses have repeat clients, which develop the core of their day-to-day profits. Certain elements such as new competitors growing up around the area, roadway building, and also employee turn over can affect repeat consumers and also adversely impact future earnings. One important thing to take into consideration is the location of the business. Is it in a highly trafficked shopping mall, or is it concealed from the main road? Certainly, the more people that see the business regularly, the greater the possibility to build a returning customer base. A final thought is the basic location demographics. Is the business located in a densely populated city, or is it situated on the outskirts of town? Exactly how might the regional typical family earnings effect future income potential?