Business Overview

Started in 1996 and specializes in full-service landscaping. The target markets are commercial and high-end residential focused primarily in two Lake County cities. 90-95% of their accounts are within a 10 mile territory.

They provide landscape design, installation, and maintenance. They have 2-year contracts with most of their clients. During the winter months they provide commercial snowplowing and ice management services.

Vehicles, trailers, and equipment are fresh, well-maintained, branded, and organized to optimize efficiency and reduce down-time. The shop is also well-organized and designed for the crews to maintain their equipment and track spare parts on-site.

Financial

  • Asking Price: $1,250,000
  • Cash Flow: $315,585
  • Gross Revenue: $971,000
  • EBITDA: N/A
  • FF&E: $536,000
  • Inventory: $2,000
  • Inventory Included: N/A
  • Established: 1996

Detailed Information

  • Property Owned or Leased:N/A
  • Property Included:N/A
  • Building Square Footage:2,375
  • Lot Size:N/A
  • Total Number of Employees:9
  • Furniture, Fixtures and Equipment:N/A
About The Facility:

Lot: 31,390 sq ft partly rented to other tenants. Building: 1,525 sq ft Shop & 850 sq ft Office

Is Support & Training Included:

Owner is committed to continued success and will work with a new operator to create an appropriate transition plan.

Purpose For Selling:

After 25 years of operating this business, the owner is considering a change.

Additional Info

The venture was established in 1996, making the business 26 years old.
The transaction doesn't include inventory valued at $2,000*, which ins't included in the suggested price.

The business has 9 employees and resides in a building with disclosed square footage of 2,375 sq ft.
The real estate is leased by the business for $4,000 per Month

Why is the Current Owner Selling The Business?

There are all kinds of reasons individuals decide to sell operating businesses. Nonetheless, the real reason vs the one they say to you may be 2 entirely different things. For instance, they may state "I have way too many other obligations" or "I am retiring". For many sellers, these factors are valid. But also, for some, these may simply be excuses to try to hide the reality of transforming demographics, increased competitors, current reduction in incomes, or a variety of various other factors. This is why it is very vital that you not depend absolutely on a seller's word, but rather, use the seller's answer along with your general due diligence. This will repaint a much more sensible picture of the business's current situation.

Existing Debts and Future Obligations

If the current company is in debt, which numerous businesses are, then you will certainly have reason to consider this when valuating/preparing your deal. Many businesses borrow money with the purpose of covering items like inventory, payroll, accounts payable, etc. Bear in mind that sometimes this can indicate that profit margins are too small. Numerous organisations fall under a revolving door of taking loans as a way to pay back other loans. Along with debts, there may likewise be future obligations to take into consideration. There may be an outstanding lease on equipment or the building where the business resides. The business might have existing agreements with vendors that need to be fulfilled or might cause fines if terminated early.

Understanding the Customer Base, Competition and Area Demographics

How do businesses in the area draw in new consumers? Often times, businesses have repeat consumers, which create the core of their day-to-day profits. Certain factors such as new competition sprouting up around the location, road building and construction, and employee turn over can affect repeat clients and also negatively impact future profits. One essential point to take into consideration is the location of the business. Is it in a very trafficked shopping center, or is it concealed from the highway? Undoubtedly, the more individuals that see the business on a regular basis, the better the possibility to build a returning client base. A last thought is the general area demographics. Is the business situated in a densely populated city, or is it situated on the edge of town? How might the local mean family income influence future revenue potential?