Four Ways To Increase The Worth Of Your Landscaping Company

If you are the proud owner of a landscaping business, you are likely reading this article because you are wondering about the factors that consumers consider when evaluating a company in your field. At Sunbelt Business Brokers, we have expertise selling landscaping businesses, and we can advise you on what measures to take now to optimize the value of your business when you decide to sell.

Today, there are around 426,000 landscaping companies in the United States, according to statistics. Americans are spending more money than ever on their yards as the economy recovers. According to the Professional Landcare Network, 81 percent of persons with a yard believe that the maintenance of their yard is essential to their home’s curb appeal.

If you’ve been in business for a few years, you may have an estimate of how much your company would fetch on the market. Frequently, business owners feel their enterprises will sell for significantly more than they are actually worth, thus it is prudent to prepare yourself with formulae and guidelines to develop a more informed estimate of your organization’s value. Although only a business broker can tell you the exact value of your company, these calculations can give you an indication of where you stand.

45-50% of annual revenue plus stock.

5x SDE, including fixtures, equipment & inventory.


Now that you have a partial understanding of the factors that go into calculating the sales price of a landscaping business, you can take steps to guarantee that your sales price falls within the upper range of these multiples. Following are four critical areas of concentration that, based on our expertise, can help you climb above the competition, thrive in day-to-day operations, and receive the highest price when it comes time to sell.


Budgeting for brand establishment and promotion is one of the most significant things a landscaping business owner can do. Everyone is aware that you must maintain your website and other forms of social media. However, perhaps even more useful to a landscaping business is the free publicity that mobile contractors receive. You have a competitive advantage over other businesses because you are in the neighborhood and working on heavily trafficked roadways and thoroughfares. Your service vans, trucks, tractors, and other equipment should serve as moving advertisements. Don’t forget to dress your crews with t-shirts, caps, and collared shirts for the leadership group. Consider sponsoring local sports teams or high schools to increase your brand’s visibility. Effective branding and marketing will expose your firm to tens of thousands of potential customers, as well as develop a reputation in the community as a company that values community involvement and giving back.

Bidding Application

Identify and utilize a cost-effective software package for bidding, estimating work, and client tracking. A competent bidding software program has the capacity to make professional proposals and accurate estimates, track ongoing bids, maintain a customer database, generate reports, and coordinate AR/AP, among other capabilities. You appear more professional to the consumer, providing you an advantage over your competition. This software bundle is a significant asset that will be transferred to the new owner upon sale.

By adopting current software to organize your bids and estimates, you are not only more likely to win bids, but you also have solid paperwork to provide to potential purchasers when you are prepared to sell. Using reporting solutions provided by iBid Plus and Sage 100 Contractor, you may give purchasers with all the information they require regarding your current bids and winning deals. These applications can provide profit margins, big wins, cost analyses, and trends to potential purchasers. Our experience working with vendors has led us to propose the following two programs:


Your ability to keep projects on track as a landscaping company depends on the quality of your equipment. You are not need to purchase the most advanced equipment available. Get the best you can afford and maintain it well. Everything should be in functioning order and serviced regularly. Regular maintenance is required to avoid costly issues in the future. Keep accurate records of this servicing for your own tracking purposes and as a means of documenting the equipment’s life when the time comes to transfer this asset to a new owner.

Organizational Structure

Do not ignore your workforce and organizational demands. Larger organizations have the luxuries of several crews and crew leadership positions, interoffice personnel, and complete design teams. Smaller businesses are managed by an entrepreneur and a group of staff who multitask to bring everything together. Regardless of your financial situation, you require structure. A project leader or leaders must be in place and visible to the customer…even if that is you, the project owner (first!). Consider the future and how you will expand your crew as your business grows and your service options expand. Identify an employee who can assume greater responsibilities and begin developing that employee. As with other businesses, your staff and organizational structure are two of the most crucial factors in a successful sale when the time is perfect. A new owner will want to join the team and expand on what presently exists. If a new owner must fill a gap or void in your current structure, your property’s value has decreased.

Eventually, you will decide to investigate your alternatives for a sale, and these four recommendations can help you get ready. By analyzing the financial and operational components of your organization, you may determine where you are succeeding and where you may need to make adjustments to attain your final objectives. Sunbelt Business Brokers can assist you in determining where you currently stand and where you need to go. We provide business owners a free, no-obligation valuation. Valuations are an invaluable tool that all business owners should acquire, and we are here to assist you when you’re ready.

Talk to a Sunbelt South Florida broker today!
Sunbelt Business Brokers of West Palm Beach provides dedicated business brokerage services for all of your selling needs. Whether you are an established business owner nearing retirement and looking to sell, or an ambitious entrepreneur seeking your next investment opportunity, there is no reason to look beyond Sunbelt Business Brokers. Visit us at 800 Village Square Crossing
Suite 216 Palm Beach Gardens, FL 33410 or contact us at (561) 832-9222.