Landscaping Business Interviews Bethlehem PA

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

Express Employment Professionals
(610) 820-0206
2591 Baglyos Circle, Suite C52
Bethlehem, PA
Operations Resources
(610) 967-4949 Ext. 101
3273 Oakland Square
Bethlehem, PA
Rettew Associates, Inc.
(610) 515-9767
701 West Broad Street, Suite 203
Bethlehem, PA
HumanWorks Affiliates
(610) 867-3737
1655 Valley Center Parkway, Suite 150
Bethlehem, PA
Kelly Temporary Services - Bethlehem
(610) 954-9740
95 Highland Avenue, Suite 102
Bethlehem, PA
M.P. Richardson LLC
(610) 967-5350
5387 Greenbriar Drive
Bethlehem, PA
Northwestern Human Services
(610) 258-4786
3864 Adler Place
Bethlehem, PA
LCCC Self Employment Assistance Program
Donley Center at Portland Place
Allentown, PA
Onesource Staffing Solutions
(610) 821-8468
Hamilton Business Center
Allentown, PA
ERG Staffing Services, LLC
(570) 629-7140
1122 Hamilton Street
Allentown, PA

 

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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

Express Employment Professionals

(610) 820-0206
2591 Baglyos Circle, Suite C52
Bethlehem, PA

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