This year I'm looking to sell my garden maitenance round to either an exisiting company looking to expand, or somebody looking to start their own business who would like to jump start the process. At some point in the next 6 months I would love to be in a position to hand over the round to capable hands, as I have built up my existing client base over the last 5 years which now includes some incredibly beautiful gardens, which provides 35+ hours of work per week, 11 months of the year (40-50hrs during busiest periods of the year). Most (but not all) gardens are fairly large, so work doesn't include much driving from one place to the next on any given day.
I have always worked as a one-man band, but have no doubt that the business is in a position to be taken to the next level by somebody that has the right drive to expand in the area and take on employees/sub-contractors. It also has the option to provide a decent income for somebody who would like to continue operating in a similar manner to myself.
All clients based in Sevenoaks-Tonbridge area, and I've made a habit of not working for nasty customers - so it's a pleasure to work for each and every one of them.
Annual Profit (after expenses) for most recent year £36k, and have all books/records from last 5 years, which I would of course be happy to provide.
If there is anybody from this area who would be interested in purchasing this round from me, and requires further information I would gladly help.
Thanks!
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Very difficult to put a price on "your good will", as you said have built up a good repore with your clients which to them is worth it's weight in gold but the buyer would be taking a risk that they will like them and their methods of work.
As said before on here the best way to sell is to have contracts of works then you can put a price on them.
Good luck... I managed to do the same with much the same background last May... it was either as a result of a post here, or a post I paid for on LinkedIn
That's encouraging to hear. How much did you manage to sell for in relation to annual profit? Was your round based on 'good will' as mine is, or was it contractual agreements? Also interested to hear profile of the buyer, e.g, expanding company or sole trader purchasing the round. Hearing lots of feedback from different people saying selling my round will be difficult, but I know it has a lot of value to the right buyer!
thanks
Hi Marco, it was to a chap expanding his business. THere were no client contracts... but decent gardeners around here are like hen's teeth... so only one or two dropped him as soon as I left - they were all elderly ladies who just didnt want to change.
I sold for about half the annual t/o.
My calculation was more around what the van owed me + all the kit (the prices I actually paid, not full RRP + a dollop for me. It was really a finger in the wind calculation. It has basically given me a salary for this year, ahead of the state pension cutting in, so retired a year early :)
There was also an employee who transferred across - so she knew all the clients and their gardens.
If you want to talk more detail, I'm happy to talk on the phone or email.
I still have a bit to go until retirement but have always thought keeping the business on and just doing the paperwork and money side to be the way to go.. Earn say 30 pounds an hour and pay someone 15 pounds, as an employee ( a decent salary here in the northeast).
I realise profits will be down but after expenses if you can still make even 10 grand a year that is surely a better deal for 10 years.
All figures are ball park examples.
I know you are not fully retired in this circumstance but gives you something to fill your time with no physicallity involved. Its just finding the right person. Obviously if you can only employ them for 10 months a year is a problem but I am sure there are people out there will do it.
You've answered your own worry Paul :)
Finding the right person, who will do things to the right standard - and be happy working that way.... anyone with that degree of dedication is (I would think) going to want to do it themselves. THen you will get angry custmers calling you... that will happen when you are lying on a beach, or busy doing something else - and not wanting to be disturbed.