Price: $35,000 + SAV
Price: $35,000 + SAV
Lawn mowing businesses may be a single person operation to multiple employees. There usually is equipment such as lawn mowers, whipper snippers, hedge trimmers, trailers or vehicles included in the business sale. In order to buy an existing lawn mowing business you need to register for alerts so you are notified when a new business is listed. You can then make contact with the seller and request more information. Usually the seller or broker will ask you to complete an NDA to ensure the confidentiality of the business. Buying a lawn mowing business may have a number of elements such as the depreciation of the vehicle or restricting trade on the seller so it's important to seek professional advice during the process to ensure the due diligence process is conducted properly.
Selling a lawn mowing business requires preparation. It’s important to be prepared for the sales journey as it usually takes around 6-9 months to sell a business in Australia. Check out Bsales 6 steps to prepare a business for sale which will provide you a checklist and a general step by step guide. Business brokers are licensed professionals who can assist with the sale of your business and market it on websites such as Bsale. Check out the Find a Business Broker section to locate a suitable broker for your business. Bsale also offers advertising direct to business owners.
If you are looking to buy a standalone lawn mowing business that isn't part of a franchise, there are a few items that you can look at. Firstly, you will need an accurate valuation of the equipment, you want to ensure you are not over paying for the items used to run the business. Secondly, you’ll want to check competition in the area, and have any new business or franchises opened. Thirdly, you will want to look at the current clientbase, is there a lot of repeat clientele or contracts and is there training included where you can meet the current clients. It's very important to build the bond with the current clients so they trust you to continue with their lawn maintenance. Always seek professional advice.
The main difference in the type of lawn mowing businesses is the size. Some businesses may service residential clients and be sole traders, others may be large commercial operations that have contracts in place, for example with local councils, and have multiple employees.
If the buyer intends to operate the equipment and perform lawn mowing duties they will need a good level of fitness. Previous experience in lawn mowing and garden maintenance is a good idea to ensure you have the necessary skills to perform the work. A good understanding of business and marketing is also important to ensure you can source more clients and continue to grow the lawn mowing business. The buyer will also need to have good communication skills to ensure clients are happy and services are being provided. If you are an investor looking to purchase a large business, your ability to perform duties such as lawn mowing may be less important.
Depending on the size of the operation, a sole trader may be wanting more freedom and flexibility in their work day. Owning a lawn mowing business allows the individual to set their own hours and work schedule based on booking out their calendar with clients. Owning a large commercial operation, can provide a healthy income and have more security due to the various contracts they would have in place with governments and other businesses.
Lawn mowing businesses are appraised based on a multiple of the net profit to the owner with some market predictions. Obviously, with a lawn mowing business, the cost of equipment will be taken into consideration. It's important to seek professional advice when buying a business so you can conduct proper due diligence. It’s important to note that an appraisal is an estimation of what the business could sell for in the current market, whilst a valuation is conducted by a licensed business valuer.
Obviously, mowing lawns is how most of these businesses make money. There are also additional services that may be offered that will generate an income, such as hedge trimming, spraying weeds, planting gardens and cleaning gutters. It depends on the business and how it is set up.
The best way to keep track of new business opportunities is to save your search result. You will be notified as soon as a new lawn mowing business is listed for sale.
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