Landscaping Business Interviews Albertville AL

You have the opportunity to purchase a landscaping business. How would you decide whether or not to buy it, and how much to pay for it? Read on and you'll know.

Local Companies

T R I Staffing Inc
(256) 878-5678
428 N Carlisle St
Albertville, AL
Job Source Inc
(256) 891-2998
116 W Alabama Ave
Albertville, AL
Personnel Staffing Inc
(256) 878-9675
5930 US Highway 431
Albertville, AL
Alabama State of
(256) 878-7521
5920 US Highway 431
Albertville, AL
Gadsden Careerlink
(256) 546-3366
Gadsden, AL
Automation Personnel Services Inc
(205) 733-3700
401 Southgate Dr
Pelham, AL
Recruitsource
(205) 322-6822
3532 7th Ct S
Birmingham, AL
Kelly Services
(251) 342-6991
1110 Montlimar Dr Ste 240
Mobile, AL
South Alabama Skills
(334) 793-6709
1950 Reeves St
Dothan, AL
Accustaff
(205) 822-0084
240 Olde Towne Rd
Birmingham, AL

Provided By:

You have the opportunity to purchase a landscaping business. How would you decide whether or not to buy it, and how much to pay for it?

This question is a good candidate for the Five Cs. Determine:

Character

  • How would you evaluate the sincerity, honesty, and integrity of the owner of the business? Do others that they deal with (employees, suppliers, customers) value them as partners, or are there character issues?
  • Is there any legal action pending against the business?
  • Does the business have a positive employee culture? Does it engage in any charitable or environmental initiatives?

Capacity

  • Is the business turning away new customers due to lack of equipment/ employees?
  • Are the assets of the company (property, plant) strained or in a state of disrepair?

Capital

  • Is the landscaping business carrying any debt? What is its debt ratio?
  • What is the company's cash flow like over the last five years?
  • What is the company's new account history? How much business is new vs. repeat?

Collateral

  • Are any of the business' assets impaired in any way? Obsolete equipment, for instance?

Conditions

  • Describe the market space the business occupies. Is it a leader? Are there many players?
  • What defines dominance in this market? Cost? Economies of scale? Speed to market? Relationships with customers? Where does this business fall against the aforementioned metrics?
  • Is the market for landscaping saturated? Are there opportunities for expanding the current customer base?
  • What advertising and promotional activity has been done? How much does the business spend (as a percent of sales) on marketing its services?

Read article at Vault.com

Featured Local Company

Linear Solutions

256-650-0060
929 Willowbrook Dr.
Huntsville, AL


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