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What is being offered for sale is the profitable Maintenance Division of a Landscape Contracting company. The Maintenance Division has 115 long-term customers with service contracts in place. All the customers are located in SW Riverside County. The Contracting Division of the seller currently does the extras for the Maintenance Division’s customers and the related billings go to the Construction Division. However, after the sale, the Maintenance Division would assume extra work which would increase their revenue. Further, when the Contracting Division completes a construction job they would refer their former Maintenance Division to that customer for that customer’s maintenance needs – assuming the buyer continued to provide quality work at competitive rates.
Currently the four employees of the Maintenance Division, with an average tenure of over 7 years with the company, spend about 15% of their time doing work for the Construction Division which would cease upon transfer of the Maintenance Division to a buyer. This work is not paid for by the Construction Division so profits should be improved after the sale.
Seller will provide transition support.
Downpayment Required: $65,000
Monthly Payroll: $7,500
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