How to Sell a Landscape Business

Hibiscus

If you presently own a landscaping business and are thinking about selling it, there are some things you'll need to do to generate a sale. Most of them are just business basics that you should already have in order. To get your best price, you'll need more than someone interested in buying. You need to make sure the paperwork pertaining to your landscaping business and its profits are in order. The person purchasing your business will want to know his investment is wisely spent. Below are some tips to get started.

Instructions

Tips in Selling a Landscaping Business

1. Figure out how much you've got invested in your landscaping business. You've spent time and money acquiring customers, equipment, materials, employees and running your business. You'll need to know what you've spent on these things so you'll be able to set your price accordingly. It might be a good idea to note all of these items for future reference if you need it.

2. Decide what part of the business you want to sell. Is everything a part of the sale, or only a part of the business? For instance, if you've purchased landscaping plants that you want to keep, don't consider them part of the business when figuring out your price. You'll need to set these items aside and make it clear to potential buyers that these things are not included in the business sale package.

   Remember, you won't be able to sell your license because its in your name only. The new buyer will have to purchase his own operating license under his name. Organize all the paperwork related to your business so the potential buyer will be able to look things over. He will want to know exactly what he is getting for his money. The better organized you are, the easier it will be to seal the deal. This will also make dealing with filling out your taxes much easier.

3. Set your price. Once you've taken into account all your expenses and investments, this will be easier to do. You want your price to be competitive so you'll be able to sell the landscaping business, but you don't want to undersell yourself either. Give yourself bargaining room in the event you'll have to negotiate with a potential customer interested in purchasing the business. It's always better to give yourself some room to work with so you won't lose money in the deal.

4. Find your potential buyer by networking and advertising. Many times, local gardening centers will let you post a note on their local bulletin boards. You can also let the business owners know you're interested in selling your business. Who knows, they might be interested themselves since they already deal with plants, or they might know someone who is.

   List your business for sale in your local newspaper's classified ad section. There are people out there looking for a business opportunity, and yours might be the one for them. Advertise everywhere there might be an opportunity for someone interested to see you're selling. It also won't hurt to let your friends and family know; they too might have some leads.

5. Write up a contract to sell the landscaping business, once you've found someone who wants to buy it. Be sure to list everything the buyer will be getting when he buys the business. You can use the same contract forms you've used in other dealings with your business. The only difference is you won't be selling a job; you're selling your business. The same things should be listed, such as what he is buying, a time frame in which the landscaping business will be his, any guarantees and of course the price he will be paying and the terms of payment.

Tips & Warnings

• You can't be too organized with your business paperwork. You can't advertise too much. Give yourself room to deal with when considering the price you want.