Lawn Care Business Forum Lawn Care Business Book Lawn Care Business Blog Lawn Care Software
Home Forum Contract & Flyer Templates Blog Software Videos Podcast Calculators / Estimators Store Mower Review Design It Yourself Lawn Business School

Go Back   GopherHaul Landscaping & Lawn Care Business Marketing Forum > Just starting your lawn care or landscaping business? > Starting a lawn care business.

Starting a lawn care business. How to start a lawn mowing business, lawn care business, or landscaping business. If you are starting a lawn care business, ask your questions here.

What should I pay for this contract?


Starting a lawn care business.

How to start a lawn mowing business, lawn care business, or landscaping business. If you are starting a lawn care business, ask your questions here.
Reply
 
Thread Tools Search this Thread
  #1  
Old 03-15-2009, 01:03 AM
Mr Greenthumb Mr Greenthumb is offline
Junior Member
 
Join Date: Feb 2009
Posts: 14
Rep Power: 6
Mr Greenthumb is on a distinguished road
Question What should I pay for this contract?

Hey all. I'm looking at purchasing a maintenance contract from a landscaper. that has a minimum value of 1000/month. The contract made $10200 last year. He has it listed at $5000 which seems quite expensive to me, but I have never purchased an existing contract before. What would you pay?
Reply With Quote

Stop guess-timating. Learn how to estimate and make money! $$$
Mow Time Estimator Lawn Care Price Estimator Mulch and Topsoil Calculator Snow Plow Estimate Calculator


  #2  
Old 03-15-2009, 02:15 AM
Little's's Avatar
Little's Little's is offline
Brandon
 
Join Date: Jun 2007
Location: Shasta Lake CA.
Posts: 814
Rep Power: 8
Little's is on a distinguished road
Default

Lawn care business tipsLawn Care Business Book
This question has gone around many times in the past here and there are some varying views, but the consensus usually ends up being that a contract is worth about 1 month of its pay. So up to $1000 in your case depending on a few variables give or take a hundred or two.
__________________
Northern California
Reply With Quote
  #3  
Old 03-15-2009, 04:26 AM
Steve's Avatar
Steve Steve is offline
Administrator
 
Join Date: May 2003
Posts: 36,603
Rep Power: 10
Steve has disabled reputation
Default

Hello!

Quote:
Hey all. I'm looking at purchasing a maintenance contract from a landscaper. that has a minimum value of 1000/month. The contract made $10200 last year.
I don't think it matters what it made last year because these contracts are perishable. For all we know, they all ended last year and no one would ever sign up with that lawn care business owner again!

Can you tell us a little about the contract? Is it for one client? Multiple clients? Etc.
__________________
- Subscribe to my Lawn Care Marketing Blog Feed and get daily tips sent to you. Free!
Download your Free trial of Gopher Lawn Care Software.
Reply With Quote
  #4  
Old 03-15-2009, 12:11 PM
Mr Greenthumb Mr Greenthumb is offline
Junior Member
 
Join Date: Feb 2009
Posts: 14
Rep Power: 6
Mr Greenthumb is on a distinguished road
Default

The Contract is for 1 client. The job takes 5-7 hrs/week to complete and runs from april to october. The client supplies a 60"z mower and an atv with trailer for cleanup. I just provide all other tools.

One month sounds fair to me, i was thinking 10-15% of contract value.
Reply With Quote
  #5  
Old 03-15-2009, 05:09 PM
Steve's Avatar
Steve Steve is offline
Administrator
 
Join Date: May 2003
Posts: 36,603
Rep Power: 10
Steve has disabled reputation
Default

Why is he selling it? Did you ask? How long is the contract to last? Can you talk with the property manager there or work the place for a few times to see if everything is ok?
__________________
- Subscribe to my Lawn Care Marketing Blog Feed and get daily tips sent to you. Free!
Download your Free trial of Gopher Lawn Care Software.
Reply With Quote
  #6  
Old 03-15-2009, 09:03 PM
Mr Greenthumb Mr Greenthumb is offline
Junior Member
 
Join Date: Feb 2009
Posts: 14
Rep Power: 6
Mr Greenthumb is on a distinguished road
Default

The Landscaper is getting out of the biz and moving out of town. I will be meeting with the landscaper and the client later this week.
Reply With Quote
  #7  
Old 03-15-2009, 09:28 PM
SuperiorPower
Guest
 
Posts: n/a
Smile

I know that I am not exactly in this line of business but I think I would be real sceptical about paying much of anything until the client signs a contract with you and you have it in hand. At that point it would amount to a "finders fee" and not a "contract purchase". I think this changes how much most people would value the transaction for. I agree with the others, a contract, as a contract, is perishable (in my opinion, especially when it is not a contract between you and the client) and is worth only about one months pay at the most.

I think I would tell the landscaper that if you and the client decide to sign a contract then you will pay X amount. If you decide to not sign it you will pay him nothing or only Y amount....

Good luck and hope this helps,
Eli
Reply With Quote
  #8  
Old 03-15-2009, 10:52 PM
Mr Greenthumb Mr Greenthumb is offline
Junior Member
 
Join Date: Feb 2009
Posts: 14
Rep Power: 6
Mr Greenthumb is on a distinguished road
Default

thanks for all the input. I agree with you, I wouldn't pay anything until I met with the client and have a contract signed.
Reply With Quote
  #9  
Old 03-16-2009, 01:39 AM
lawn-guy's Avatar
lawn-guy lawn-guy is offline
Member
 
Join Date: Mar 2009
Posts: 97
Rep Power: 6
lawn-guy is on a distinguished road
Default

i have to agree with most everyone on here you dont know if 3 weeks down road the customer is gonna cut all ties or what i would at the least meet with both of them and also have seller sign a no compete contract
__________________
<a href="http://www.gopherforum.com/index.php?pageid=GopherHaul-Lawn-Care-Business-School&graduate=0723c4d94a573fb9f37863b2a851f9b6">
<img src="http://www.gopherforum.com/uploaded-files/images/school-logo-banner.gif" border="0">
</a>
Reply With Quote
  #10  
Old 03-16-2009, 02:04 AM
Mr Greenthumb Mr Greenthumb is offline
Junior Member
 
Join Date: Feb 2009
Posts: 14
Rep Power: 6
Mr Greenthumb is on a distinguished road
Default

Anyone have any samples of what a no-compete contract would look like?
Reply With Quote
Reply

Bookmarks

Thread Tools Search this Thread
Search this Thread:

Advanced Search

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is On
Forum Jump

Similar Threads
Thread Thread Starter Forum Replies Last Post
contract moseley creek General Talk 1 10-24-2007 06:26 PM
Low Bid, no contract tiedeman General Business Discussions 2 05-30-2007 11:00 PM
Estimate to Contract Apex Lawn 2003 Gopher Software Support Archived Question & Answers - Read Only 1 01-30-2006 01:44 PM
Contract F.A.Q.'s Steve Gopher Software Support Archived Question & Answers - Read Only 0 02-23-2004 11:31 AM
installation contract xtreme lawn General Business Discussions 0 06-07-2003 01:42 PM

» Recent Threads
  RatingTitle, Username, & Date Last Post Replies Views
How much do you up sell...
Essex Groundskeeping
Yesterday 07:13 PM
Today 06:29 PM
by stevef1201
8 126
This sucks...
Matther777
09-18-2014 05:56 PM
Today 05:49 PM
by biglee
16 3,148
Pressure Washing...
WesleySnips
07-31-2014 07:13 PM
Today 04:32 PM
by acrajchel
4 642
How to: Use Thumbtack...
acrajchel
11-17-2014 06:39 PM
Today 04:31 PM
by acrajchel
16 512
Hello from Kentucky
TRV
09-30-2014 06:42 PM
Today 08:37 AM
by acrajchel
7 1,291
leaf removal
Double J LLC
10-03-2014 05:24 PM
Yesterday 07:46 PM
by ExtremeLawncareServices
21 2,398
New website
Chilehead
11-20-2014 04:39 PM
Yesterday 07:40 PM
by Just for Cuts
12 267
My site is on fronts page
tbtigers03
11-14-2014 05:58 PM
11-22-2014 10:49 PM
by Just for Cuts
16 508
Pics for website
tbtigers03
11-21-2014 05:40 PM
11-22-2014 10:01 PM
by Just for Cuts
3 139
Peco Bagger
AGPS
11-18-2014 02:20 PM
11-22-2014 05:56 PM
by AGPS
9 315
Beginner Mistakes:...
Steve
01-31-2007 12:45 PM
11-22-2014 02:42 PM
by stevef1201
22 6,151
These are the days on...
ExtremeLawncareServices
03-22-2014 10:12 AM
11-21-2014 09:48 PM
by ExtremeLawncareServices
174 14,035
Contract or no contract?
TRV
11-20-2014 09:18 PM
11-21-2014 09:33 PM
by TRV
3 170
Hi to you NOTHERNERS
stevef1201
11-11-2014 05:56 PM
11-21-2014 08:02 PM
by stevef1201
4 326
Billboards for marketing
ExtremeLawncareServices
11-16-2014 08:39 PM
11-21-2014 07:05 PM
by acrajchel
13 389
Belt dealer problem
googus
11-21-2014 08:45 AM
11-21-2014 06:36 PM
by Steve
2 123
Good help is hard to find
Hanks Lawn Care Services
11-19-2014 03:27 PM
11-21-2014 06:32 PM
by Steve
7 229
What is going on with...
biglee
11-14-2014 03:04 PM
11-20-2014 02:50 PM
by biglee
40 965
My advice for new guys
avetslawncare
11-15-2014 09:32 AM
11-19-2014 01:47 PM
by biglee
10 498
Lawn Care business...
crieg122
10-23-2014 02:23 PM
11-19-2014 12:39 PM
by acrajchel
28 1,860
raking leaves ?
robert8509
10-22-2014 10:19 PM
11-18-2014 04:24 PM
by acrajchel
14 1,458
Leaf removal
madmedic8575
10-24-2014 05:14 PM
11-17-2014 07:34 PM
by acrajchel
6 1,203
sod job
SGlawncare
10-30-2014 09:21 PM
11-17-2014 07:10 PM
by acrajchel
7 782
Customer wants me to...
Mr. Mow
11-09-2014 07:13 AM
11-17-2014 06:48 PM
by acrajchel
10 546
Hello!
Brian3137
11-11-2014 07:15 PM
11-17-2014 06:46 PM
by acrajchel
14 478
small biz in Phoenix,AZ
anthonyramos1
11-08-2014 09:35 PM
11-17-2014 05:59 PM
by acrajchel
2 332
Client won't pay...
WesleySnips
10-30-2014 03:53 PM
11-17-2014 05:37 PM
by acrajchel
22 1,385
Government contracts
avetslawncare
11-15-2014 08:50 AM
11-17-2014 12:59 PM
by Steve
2 264
Need help on deciding a...
Brian3137
11-10-2014 06:32 PM
11-17-2014 12:44 PM
by Steve
12 526
West cost lawn prices
SGlawncare
10-09-2014 10:51 PM
11-16-2014 07:54 AM
by stevef1201
8 1,604
So how do you guys...
Mr. Mow
10-26-2014 08:55 AM
11-15-2014 08:44 AM
by avetslawncare
14 1,722
Truck, Trailer,...
hawthornelawncare
12-23-2011 01:01 AM
11-13-2014 08:35 AM
by jrs.landscaping
81 31,849
The most dangerous part...
Steve
10-06-2014 03:45 PM
11-12-2014 05:05 PM
by stevef1201
14 1,695
A little hang up in snow...
stevef1201
11-08-2014 07:05 AM
11-12-2014 12:51 PM
by Steve
4 438
Bi-weekly winter...
lxarth
11-04-2014 08:37 PM
11-12-2014 10:06 AM
by WesleySnips
9 633
taking first steps...
sizemorelawncare
11-10-2014 08:24 PM
11-11-2014 01:21 PM
by Steve
1 335
Back Pack Blower
Ian Lovejoy
11-09-2014 08:41 AM
11-11-2014 08:12 AM
by Just for Cuts
4 392
Business Cards
crieg122
10-25-2014 01:03 PM
11-11-2014 07:56 AM
by Just for Cuts
12 1,341
How the unregister?
alive101
11-04-2014 07:39 AM
11-10-2014 01:48 PM
by Steve
4 620
Belt adjustment question
googus
11-05-2014 06:43 AM
11-10-2014 01:38 PM
by Steve
5 522
New parking area
ExtremeLawncareServices
11-07-2014 09:47 PM
11-10-2014 01:25 PM
by Steve
2 362
Podcast
Shark1611
11-07-2014 05:42 PM
11-10-2014 11:41 AM
by Steve
1 321
hi, from Minnesota
rjklohn
11-07-2014 02:21 AM
11-07-2014 01:44 PM
by Steve
1 340
New to snow plowing
SS.Lawncare
11-05-2014 04:00 PM
11-07-2014 01:21 PM
by Steve
6 577
New Member
tonyap
11-05-2014 10:35 PM
11-07-2014 01:15 PM
by Steve
1 379
New to the business
jcurr33
11-05-2014 03:21 PM
11-07-2014 01:11 PM
by Steve
1 437
Lines
Matther777
11-04-2014 02:19 PM
11-07-2014 12:54 PM
by Steve
1 469
hello, new to this site
tonyorwig
10-31-2014 10:49 PM
11-04-2014 02:24 PM
by tonyorwig
3 656
Aloha from Hawaii.
Gary R
11-02-2014 12:44 AM
11-03-2014 03:02 PM
by Steve
1 570
Pavers
crieg122
10-28-2014 03:49 PM
10-31-2014 01:49 PM
by Steve
6 867
» Popular Tags
2wd apartment complex bark billy goat brushcutter charge christmas collections edging employee problems equipment rental exmark ferris first truck foreman georgia gopherhaul gravely hills holiday how much to charge husqvarna hydraulic jobs kawasaki labor cost landscape services lawn lawn care lawn care business podcast lawn care business seo lawn care business show lawn care business website lawn care business website seo lawn care seo lawn care website lawn care website seo lighting lighting brass outdoor lights managing a lawn care business marketing mowing mr dave mulch mulch price new business ordinance past due per hour service podcast push versus ride redmax savannah scag v-ride seo shreaded small engine repair starting a business starting a lawn care business start up lawn care business sulky toro tractor auger trailer trimmer rack truck new used landscape walk behind walker won't return wood wright stander rh
Powered by vBadvanced CMPS v3.1.0

All times are GMT -5. The time now is 07:28 PM.


(C) 2011 Riggs Publications - Terms of use & Privacy Policy

All times are GMT -5. The time now is 07:28 PM.

(C) 2011 Riggs Publications - Terms of use & Privacy Policy