Business For Sale

Est. Irrigation & Landscape Business-$549,499

Plano, TX
Collin County

Asking Price: Annual Revenue:
$549,000 $450,000

Services: Landscaping & Lawn Care

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RE: Est. Irrigation & Landscape Business-$549,499 Broker: Michael Saunders

Quick Facts

Asking Price: $549,000
Annual Revenue: $450,000
Net Profit: Not Disclosed
Cash Flow: $107,048
Total Debt: Not Disclosed
FF&E: $36,400
Real Estate: Not Disclosed
Year Established: 1981
Employees: 6
BBN Listing #: 848452290
Broker Reference #: Not Disclosed

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Business Overview:

Irrigation and Landscape business, established in 1981 current owner 10 years. The company’s primary services include designing and sprinkler/irrigation systems, plus repairs. They also design and install landscaping. Their revenue breakdown by market is residential 85% installations & commercial 15%. Past 5 years annual revenue increases have exceeded 13% annually. Last year, the Company’s total revenue was $448,751 with a cash flow of $107,000.00.
The Company’s sprinkler irrigation services include design, new system installation, repairs, system checks, modifications, water conservation, backflow certification, copper systems, and hydraulic systems. In addition, the Company provides drainage solution and grading services, from site prep to final grading stage for commercial and residential facilities. Besides individual residents and commercial businesses, the Company teams up with contractors, landscapers, and pool builders in Dallas, Collin and Rockwall Counties. As the Company’s motto states for its customers, “Your satisfaction is our guarantee!”

Top 5 Services:
1. Irrigation repair & installation, 50%
2. Landscape installation, 25%
3. Landscape Drainage, 15%
4. Commercial maintenance, 5%
5. Landscape lighting, 5%

The Company’s pricing is typically a proposal. The Company estimates its cost of materials and labor marks it up, then submits the proposal to the client.
The markups on material and labor are as follows:
• Irrigation material is 100% to 200% • .. Landscaping material is 50% to 100%
• Labor for irrigation is two technicians at $120 per hour
• Labor for landscaping is a two-man crew at $30 to $35 per hour
The Company desires to achieve a 25% to 30% net profit.

The Company offers warranties on its services. They include:
• Existing irrigation and sprinkler system repairs is 90 days on parts and labor
• Installation of a brand-new sprinkler system is three years on parts and labor
• Commercial landscaping/irrigation system installation with a commercial maintenance service agreement includes one year on parts and labor
• Commercial landscaping/irrigation system installation without a commercial maintenance service agreement is 90 days for parts and labor
• If there is no installation of an irrigation system, there is no warranty on the plants

Industry Overview Standard Industrial Classification (SIC) Code -1711 IBISWorld reports that Irrigation and Sprinkler Systems fall under the Landscaping Services Industry ,which is a $78 billion industry with 474,237 businesses nationally. This industry primarily provides design and installation of landscaping, landscape care and maintenance services, including planting trees, shrubs, flowers, lawns or gardens, and installing various types of
water delivery systems to meet the irrigation needs of each area of type of plants. Over the next five years’ growth in the domestic housing and property markets will lead to greater demand for landscaping services. Steady per capita disposable income growth is projected to encourage households to continue outsourcing yard care. Moreover, general economic recovery will likely boost commercial expansion, driving the need for industry operators that can maintain commercial and resort size properties.

The Company’s primary advertising is through its website, and the Thomas Blue Book. However, direct customer contact is the preferred means of advertising for the Company. Today, the bulk of the revenue is from testimonials, repeat customers, word of mouth, and referral sources. Other forms of media the Company uses to promote its services include advertising in the Yellow Pages, the Company’s logo and information stickers on irrigation and sprinkler systems, and signs on the Company’s vehicles. It has been the practice of the Owner to exceed customer expectations by delivering superior products, on time and at an affordable price. According to the Owner, this is the best form of advertising for the Company.

The Company has six non-union employees, with an average length of service of 6.4 years. It operates one shift per day with four employees paid hourly from $14.00 to $17.00 per hour, and two employees receiving salaries ranging from $45,000 to $52,000 per year. The Company’s payroll functions are performed in-house using QuickBooks; employees are paid weekly. The Company does not provide a healthcare plan. For vacation and paid time off, only one employee qualifies for one week of paid vacation after one year of full time employment.

Personnel Graph
Name Title or Position Hire Date Rate Yrs
Daniel ………… . President / Owner 08/01/2009 $52,000/yr 8.6
HH Lead Service Technician * 06/18/2012 $45,000/yr 5.8
JW Service Tech/ Warehouse 05/20/2013 $17.00/hr 4.8
AR Crew Supervisor 06/24/2016 $17.00/hr 1.7
EM Crew Member 03/13/2017 $15.00/hr 1.0
JL Crew Member 02/09/2018 $14.00/hr 1.1
Avg 6.4

Key Personnel
1. Daniel , President / Owner: Project Management and manages office
2. HH, Lead Technician: Lead repair technician for irrigation
3. AR, Crew Supervisor: Crew supervision of installation for irrigation and landscaping.
4. JW, Service Technician Warehouse Foreman: Driver, repair technician, project management, inventory and procurement.

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Property Features and Assets:

The Facility and Location The Company operates from one facility totaling 1,600 square feet of space; 400 square feet for office space, and 1,200 square feet for warehousing. The Company leases the facility for $1,500 per month. The term of the lease is month-to-month. In addition, the Company leases two 10 feet x 30 feet. storage units for $200 each, totaling $400 per month. The two storage units are located across the street from the facility. It is possible to consolidate these storage units within the office / warehouse space. According to the Owner, the facility is in excellent condition, zoned for commercial use, and is capable of handling additional capacity. The business operates Monday through Saturday from 8:00 a.m. to 5:00 p.m., and is closed on national holidays.

Market Competition and Expansion:

Competition: Average for the industry Growth and Expansion: The Owner believes the Company’s service offering and customer base represent significant growth opportunities for an industry buyer. Ideally, potential buyers should have an existing operation and/or sales organization, which already has a presence with, or needs access to, the Company’s existing customer base. Additionally, since the business is not location sensitive, the buyer can eliminate a significant amount of fixed overhead and start-up costs by relocating to their facility. It is important to note that an individual could purchase the Company. An individual would need a down payment of 25% - 30% of the purchase in cash, and qualify for third party financing using an SBA Loan.

Reason for Selling:


Additional Details:

  • The property is owned.
  • The owner is not willing to train/assist the new owner.
  • This is not a homebased business opportunity.
  • This is not a franchise resale opportunity.

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