Listing ID: 83500
With a broad arsenal of trucks and equipment and a professional, experienced team, this business tackles all types landscaping and hardscaping challenges. Their strength relies on flexibility and versatility. Having enough equipment and knowledge to do a wide variety of work from landscape, lawn care, hardscape, excavation, and more – this business can do it all. Committed to the highest levels of professional responsibility, the business guarantees their work will last. They begin work when promised and finish the job on time and on budget. The company’s niche is smaller excavation projects that are both too large for most other landscapers and too small-scale for larger excavation contractors.
- Asking Price: $1,800,000
- Cash Flow: $333,288
- Gross Revenue: $1,330,429
- EBITDA: N/A
- FF&E: $459,800
- Inventory: $23,000
- Inventory Included: Yes
- Established: 2008
- Property Owned or Leased:Own
- Property Included:Yes
- Building Square Footage:9,600
- Lot Size:N/A
- Total Number of Employees:4
- Furniture, Fixtures and Equipment:N/A
9,600+/- SF Warehouse; 3,200 SF is insulated and heated. 3 acre lot with plenty of space for equipment and vehicle storage.
There are other local competitors, but this business is the only one in the immediate area that offers a full line of services to its customers. One competitor focuses much more on lawn care, while another focuses mainly on projects.
One can make good money in this business, but the labor involved is difficult. Focusing on current trends, expanding the hardscape projects to include new lighting options, outdoor sound, and other outdoor amenities could potentially be ways to upsell current services and increase profitability. A new owner could also purchase supplies more directly.
The company was established in 2008, making the business 14 years old.
The transaction will include inventory valued at $23,000, which is included in the asking price.
The business has 4 FT employees and resides in a building with estimated square footage of 9,600 sq ft.
Why is the Current Owner Selling The Business?
There are all types of reasons why individuals choose to sell companies. Nonetheless, the genuine reason and the one they say to you may be 2 entirely different things. As an example, they may say "I have way too many other commitments" or "I am retiring". For many sellers, these factors are valid. However, for some, these may simply be reasons to try to conceal the reality of transforming demographics, increased competition, current reduction in revenues, or a range of various other reasons. This is why it is really vital that you not count entirely on a vendor's word, yet rather, make use of the seller's solution along with your overall due diligence. This will paint an extra practical picture of the business's existing scenario.
Existing Debts and Future Obligations
If the existing entity is in debt, which lots of companies are, then you will need to consider this when valuating/preparing your offer. Many businesses borrow money with the purpose of covering points like inventory, payroll, accounts payable, etc. Bear in mind that sometimes this can mean that profit margins are too thin. Many companies fall under a revolving door of taking on debt as a way to pay back other loans. In addition to debts, there may likewise be future commitments to think about. There may be an outstanding lease on equipment or the structure where the business resides. The business might have existing agreements with vendors that have to be satisfied or may result in charges if canceled early.
Understanding the Customer Base, Competition and Area Demographics
Just how do operating businesses in the area draw in brand-new clients? Often times, companies have repeat customers, which form the core of their daily earnings. Specific factors such as new competition sprouting up around the area, road building and construction, and also staff turnover can impact repeat clients and adversely affect future earnings. One crucial thing to take into consideration is the area of the business. Is it in a very trafficked shopping mall, or is it hidden from the highway? Clearly, the more people that see the business often, the higher the opportunity to build a returning consumer base. A last idea is the basic location demographics. Is the business placed in a largely inhabited city, or is it located on the outskirts of town? How might the regional median family earnings impact future revenue prospects?