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Selling clients?


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Old 03-29-2012, 12:19 PM
amcclain amcclain is offline
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Default Selling clients?

I started a lawncare business that was fairly successful and I have many satisfied clients. However, I have gotten another job and it will now no longer be able to continue my business. What I would like to do is "sell" my clients to another business. I'm not trying to rip anybody off here or anything. They are all good clients who pay on time, I was hoping it could be a win, win situation. I make some money and whoever gets them gets a significant boost in business.

Is this something that is normally done, and if so, how should I go about it.

Thanks!
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Old 03-29-2012, 03:43 PM
CHEESE2009 CHEESE2009 is offline
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You would have to let your clients know that you are going out of business, and that you will have a competitor coming shortly to evaluate their lawn(s).

The competitor will have your client sign their contract.

Your competitor will then have to notify you of each contract they obtain, and you will then have to give them an invoice on the price per client you had agreed upon earlier (write a contract beforehand).

Though, there isn't much stopping the company from saying, "screw you, I owe you nothing" and walking away with all of your clients. If you can write a contract to protect you from getting ripped off by them, do so.

For just your clients contact information, a competitor may give you $0.25.
Actually selling the client to the competitor, I wouldn't think of it as anything special.

Good luck my friend.


How come you don't try hiring a smaller company to do your lawns? This way the checks still go to you, and you just pay the guys doing the work for you 70%? Have them write a contract which states the clients you own, and that if stolen, you will break your foot off in all their @sses.
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Old 03-29-2012, 04:56 PM
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What kind of multiple per customer monthly income are you looking to get? Will you be selling the entire business or just the customers?
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Old 03-29-2012, 06:38 PM
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You can't trust your buyer that they will tell you how many clients they obtained and then pay you off of that. Say they obtain 20 of your clients and only tell you they obtained ten. You have to make the calls and verify all the clients that are willing to use another company.

Also, you can only really sell contract based clients. If not, then you give them away for pretty much free. Are your customers on contract?

I have sold clients in the past and I was able to get 8% back for the whole year. Say it is a $5,000 yearly contract you can sell it for $400. But it really depends in your area.

How many clients are you going to sell. If they are in a prized location and close together you can sell a package deal and get more bang for your buck.

Keep us updated on how it goes.
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Old 03-29-2012, 06:40 PM
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were are you located????
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Old 03-30-2012, 08:03 PM
amcclain amcclain is offline
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Thanks for all the detailed replies.

Perhaps I gave everyone the wrong impression when I used the word "business." It was just me and my mower and 10+ clients, none under contract.

I realize this might out of your realm of expertise but any suggestions for that situation? I think I'm going to just try and find someone who seems reputible and hope that if this person receives my clients they will honor our agreement. Anything better than this that I could do?
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Old 03-30-2012, 09:46 PM
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where are your accounts located?? you might find a buyer on here!
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Old 04-02-2012, 02:24 PM
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Quote:
I realize this might out of your realm of expertise but any suggestions for that situation? I think I'm going to just try and find someone who seems reputible and hope that if this person receives my clients they will honor our agreement. Anything better than this that I could do?
Have you considered sending out some emails to your local competitors or putting an ad about this in craigslist?
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