Tree and Plant Care, Annual Renewal Revenue
Business Description
An established tree care company serving northern Maryland and southern Pennsylvania since 2002. It runs two service lines: tree work, meaning removals, pruning, cabling and storm response quoted job by job, and a plant health care program covering integrated pest management, direct sprays and fertilization sold on an annual renewal cycle, with renewals mailed each February. Plant health care and spray work accounted for 46 percent of accepted proposal value in the current year to date.
Four full time W-2 employees do the work, led by a foreman in his thirteenth year who holds a pesticide applicator license, a CDL and arborist certification.
Quoting, scheduling and invoicing run on a dedicated arborist platform. The owner writes proposals and handles most of the sales; field operations were delegated to the foreman and administration to the office manager several years ago, and the owner works 20 to 30 hours a week outside the spring spray season.
Strengths
Adjusted SDE held between $170K and $178K across three years while revenue moved about 10 percent. Earnings have been durable.
Plant health care and spray work was 46 percent of accepted proposal value in the current year to date, billed on annual renewals mailed each February.
No customer concentration. 329 customers accepted work in the last twelve months and the largest was 2.1 percent of the total.
About $305K of equipment conveys, owned outright, including a tracked arborist lift, a stump grinder, two chippers, a bucket truck and a chip truck.
Growth
Repeat customers were about 30 percent of the base in the last twelve months and produced 45 percent of the dollars. A structured renewal program run against the existing 329 customer base is the least expensive growth available.
Advertising has run under $7,000 a year for the last three years and the work has come from referral and repeat business. Basic web and local search presence in a referral rich market is untested.
A regional operator could fold this book into existing administrative, insurance and equipment overhead.
Well suited for an owner operator with tree or green industry experience, or a regional tree care company folding this book into existing overhead.
Four full time W-2 employees do the work, led by a foreman in his thirteenth year who holds a pesticide applicator license, a CDL and arborist certification.
Quoting, scheduling and invoicing run on a dedicated arborist platform. The owner writes proposals and handles most of the sales; field operations were delegated to the foreman and administration to the office manager several years ago, and the owner works 20 to 30 hours a week outside the spring spray season.
Strengths
Adjusted SDE held between $170K and $178K across three years while revenue moved about 10 percent. Earnings have been durable.
Plant health care and spray work was 46 percent of accepted proposal value in the current year to date, billed on annual renewals mailed each February.
No customer concentration. 329 customers accepted work in the last twelve months and the largest was 2.1 percent of the total.
About $305K of equipment conveys, owned outright, including a tracked arborist lift, a stump grinder, two chippers, a bucket truck and a chip truck.
Growth
Repeat customers were about 30 percent of the base in the last twelve months and produced 45 percent of the dollars. A structured renewal program run against the existing 329 customer base is the least expensive growth available.
Advertising has run under $7,000 a year for the last three years and the work has come from referral and repeat business. Basic web and local search presence in a referral rich market is untested.
A regional operator could fold this book into existing administrative, insurance and equipment overhead.
Well suited for an owner operator with tree or green industry experience, or a regional tree care company folding this book into existing overhead.
About the Business
- Years in Operation
- 24
- Employees
- 4 Full-time
- Facilities & Assets
- Equipment, vehicles and log storage are kept on roughly one acre.
- Market Outlook / Competition
- Residential work is about 93 percent of accepted dollars and commercial about 6 percent. Demand splits between quoted tree work, which is episodic and storm driven, and plant health care, which is sold on an annual renewal cycle with renewals mailed each February. In the current year to date, plant health care and spray work accounted for 46 percent of accepted proposal value. Over the trailing twelve months, accepted work came to roughly $610K across 463 proposals from 329 distinct customers, with the average proposal around $1,300 and the average customer around $1,850.
- Opportunities for Growth
- Repeat customers were about 30 percent of the base in the last twelve months and produced 45 percent of the dollars, so a structured renewal program run against the existing 329 customer base is the least expensive growth available. Advertising has run under $7,000 a year for the last three years and the work has come from referral and repeat business, which leaves basic web and local search presence untested in a referral rich market. A regional operator could fold this book into existing administrative, insurance and equipment overhead.
About the Sale
- Seller Motivation
- Owner is leaving the industry to pursue an opportunity in a non-competing field.
- Transition Support
- The owner writes proposals and handles most of the sales today and will stay on through a transition to introduce the customer base and walk a buyer through how the spray program works.
Listing Info
- ID
- 2556102
- Listing Views
- 7
Attached DocumentsAttachment Disclaimer
Listing ID: 2556102 The information on this listing has been provided by either the seller or a business broker representing the seller. BizQuest has no interest or stake in the sale of this business and has not verified any of the information and assumes no responsibility for its accuracy, veracity, or completeness. See our full Terms of Use. Learn how to avoid scams.
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