Landscaping Business Interviews East Stroudsburg 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

Pocono Personnel
(570) 424-1800
429 N Courtland St
East Stroudsburg, PA
Brick Force Staffing
(610) 432-7170
31 N 8th St
Allentown, PA
Labor & Industry Department of
(717) 509-5613
1016 N Charlotte St
Lancaster, PA
Hotel Hershey
(717) 534-8600
Hershey, PA
Penn Staffing Services
(215) 925-3980
1218 Chestnut St Ste 305
Philadelphia, PA
Ith Staffing of Pennsylvania Llc
(724) 742-2355
20120 Route 19
Cranberry Twp, PA
Vina Group
(215) 336-2916
1110 Washington Ave Ste 16
Philadelphia, PA
You Maids 4
(484) 478-0691
827 South Ave
Secane, PA
Labor Ready
(610) 384-8140
800 E Lincoln Hwy
Coatesville, PA
Healthstaff Professionals
(215) 245-2296
3 Neshaminy Interplex
Feasterville Trevose, PA

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

Hayden Resources Inc.

(610) 866-0923
312 Shauna Way
Nazareth, PA

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