Brush Clearance Landscape Service Business
Location California,United States
Asking Price Range $500K - $1.0M
Gross Revenues $650000
Net Profit / Cash Flow $247000
Cash Flow Type Sellers Discretionary Cash
Seller Finance Yes
Year Established 2003
Number of Employees 20 - 34
Inventory 40000
Relocatable Yes
Number of Employees 20 - 34
Real Estate Owned
Training He has agreed to train the buyer in the operations of the business for up to 20 hours per week for 6 weeks plus phone support included in the sales price.
Reason for Sale The owner also owns a landscape construction company. He had wanted to sell one of his companies because he is now splitting his time between the two. The recommendation by Keystone was to sell the brush clearance company because the landscape construct
Description ''This recession proof company provides the services of weed abatement, brush clearance and tree trimming according to the fire code, providing the customer with a guarantee in writing that the work to be done will pass the inspection. Their customers are a mix of residential (20%) and government entities (80%). All of the work for the government entities is done on a contract basis where the term of the contract ranges from 1 to 3 years. The beauty of brush clearance is that it is mandatory. Both developed and undeveloped properties must maintain flammable vegetation within 100 or 200 feet (depending on the city) from any structure. Therefore, the customers must be serviced regardless of the overall economic situation. The business is easy to run, has contracts in place with the City and County of Los Angeles, and provides a recurring stream of revenue. The gross sales and profitability have grown by 75% year to date this year over last. A bonus is that the season for brush clearance starts in mid April and slows down in November and December. The company takes a long vacation from January to March of each year. The business has been prequalified for an SBA loan. The buyer to put down $160,000, SBA preferred bank to loan $290,000 and seller to finance $100,000 for a qualified buyer. The buyer must qualify and provide collateral to cover 50% of the loan.
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