Landscaping Business Interviews Hammond LA

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

North Oaks Employment Center
(985) 230-5715
42161 Veterans Ave
Hammond, LA
Workforce Center of Tangipahoa Parish Wia-20
(985) 345-4134
1745 SW Railroad Ave
Hammond, LA
Manpower
(985) 345-6767
2790 W Church St Ste 5
Hammond, LA
Able Body Labor
(985) 350-1360
800 N Morrison Blvd
Hammond, LA
Lwia20 Tpss
(985) 345-4134
1745 SW Railroad Ave
Hammond, LA
Walker Personnel
(985) 690-6478
3000 26th St
Metairie, LA
Remedy Intelligent Staffing
(337) 981-1558
5441 Johnston St
Lafayette, LA
Employers-Intrepid Security Group
(337) 983-0702
105 Ruth Dr
Lafayette, LA
Goodpeople
(225) 295-1984
11613 Newcastle Ave
Baton Rouge, LA
Willstaff Crystal Inc
(337) 369-7919
801 S Lewis St
New Iberia, LA

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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

Spectrum Staffing, Inc.

225-226-5622
1221 O'Neil Lane
Baton Rouge, LA
www.spectrumstaffinginc.net

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