Should you build or buy a lawn mowing business?

Deciding whether to start a business from scratch or buy an existing one is a big decision. There are pros and cons to both options. 

It’s important to carefully consider all the factors involved before making a decision. 

This blog post will explore the pros and cons of building vs buying a lawn mowing business so that you can make an informed decision.

The Pros of starting a business

Personal circumstances.

There are many things to consider when deciding whether to build or buy a lawn mowing business. The most important factor is your personal circumstances. 

Are you unemployed and looking for a way to make some extra money? 

Do you have the time and energy to start a business from scratch? 

If so, then starting your own business may be the right option for you. 

Building a business from scratch takes time, effort, and dedication. But it can also be very rewarding, both financially and personally. 

It can be less expensive

Not only can you be your own boss, but you can also control your own income. And, in many cases, it can be less expensive to start your own business than to work for someone else and you will be taking on a lot less debt. This means that you can begin turning a profit quickly.

You are in control. 

When you start your own lawn mowing business, you have the opportunity to grow at your own pace and learn on the job. You can choose to accept or reject work based on your comfort level, meaning that you never have to take on more than you can handle. 

This flexibility allows you to gradually grow your business without feeling overwhelmed. With hard work and dedication, starting your own lawn mowing business can be a great way to achieve financial independence.

The Cons of starting a business.

You could fail

Starting any business is a risky proposition, and lawn mowing businesses are no different. One of the biggest dangers of going it alone is the increased chance of failure. A lot of small lawn mowing businesses fail and this is mainly because of the low barrier to entry. A lot of people won’t put the effort in because they haven’t invested that lump sum of money they would have needed to buy the customers. 

Lack of training. 

One potential drawback to starting your own lawn mowing business is that you may not have anyone to show you the ropes. Most local contractors are unlikely to want to help a small business that could end up being in competition with them for customers. As a result, you may have to learn by trial and error, which could cost you time and money. However, lawnmowing101 will be doing its best to help you with the gap in training. 

Additionally, you will need to put in extra effort to market your business and build a good reputation, as people are often hesitant to hire new businesses.

You will need some funds.

In order to stay afloat financially, it is important to have a source of extra income that you can rely on. Whether it is through savings or a part-time job, having this financial cushion will help you to cover your day-to-day living expenses. 

Of course, it is not always easy to put aside money each month, but if you can discipline yourself to do so, it will be worth it in the long run. 

However, once you have secured this additional income, you will be in a much better position to meet your financial obligations.

The pros of buying a business

Revenue from day one.

If you’re already employed full-time, then you may not have the time or energy to start a business from scratch. In that case, buying an existing business may be a better option. Buying an existing business comes with many advantages. 

For one thing, you’ll already have customers and revenue coming in from day one. You’ll also save yourself the hassle of having to build up a customer base from scratch. 

Training

Another advantage of buying an existing business is that you’ll usually have access to the previous owner’s knowledge and experience. 

They can help show you the ropes and answer any questions you may have along the way. 

Finance

One of the biggest advantages of buying an existing business is that it is usually easier to obtain financing from banks and other lenders. Since the business already has a proven track record of sales and profitability, lenders are often more willing to provide funding for a purchase than for a start-up. 

In addition, if the buyer has equity in their home, they may be able to use it as collateral for a loan. As a result, acquiring an existing business can be a less risky proposition for both buyers and lenders.

The cons of buying a business

The Debit

Of course, there are also disadvantages to buying an existing business. One of the biggest disadvantages is that you’ll likely have to take on some debt in order to finance the purchase. This can put a lot of financial pressure on your shoulders and increase your risk of failure. 

Bad management of the sale

Another disadvantage is that you may have issues with the previous owner or they may not handle the transition properly. Just because someone has been operating a lawn mowing business for ten years does not mean that they know how to sell a lawn mowing business. 

Customers will cancel

When you buy a lawn mowing business, one of the risks you take on is that some of your customers will cancel their service. This can happen for a variety of reasons – they may decide that they want to choose who does their lawn, they may decide to take on the task themselves, or they may simply be unhappy with your service. 

If all goes well then you may lose 5% of your customers or in the worst case, you may lose 50%-100%. You need to proceed with caution and make sure that the seller is genuine. 

Overwhelm

One of the challenges of buying a lawn mowing business can be finding yourself overwhelmed with work. This can be especially true if you’re buying a business that’s larger than what you’re used to. 

There are a few things you can do to reduce the chances of this happening. 

First, you can get the seller to agree to stay on for a short period of time after the sale. This will give you a chance to learn the ropes and get a feel for the business before you’re on your own. 

Second, you can hire a helper to assist with the transition. This person can take on some of the workload so that you’re not completely swamped. 

Finally, you can consider buying a smaller lawn mowing business. This will allow you to gradually grow the business without being overwhelmed from the start. 

By taking these steps, you can reduce the risk of being bogged down by work when buying a lawn mowing business.

Bad customers

When you’re buying a lawn mowing business, there’s always the risk that you could end up with slow-paying customers or underpaying contracts. The only way to really avoid this is by doing a good amount of due diligence. This means carefully checking out the financials of the business, speaking to current and past customers, and doing your homework on the contracts that are in place. It’s a lot of work, but it’s worth it if it means that you end up buying a business that is profitable and has happy customers. For more tips on buying a lawn mowing business, check out my buyer’s guide.

Should you buy or build a lawn mowing business?

There’s no easy answer when it comes to deciding whether to build or buy a lawn mowing business. It’s important to carefully weigh all the pros and cons before making a decision. If you’re unemployed and looking for a way to make some extra money, then starting your own business from scratch may be the right option for you. But if you’re already employed full-time, then buying an existing business may be a better option. Whichever route you decide to take, be sure to do your research and consult with experts so that you can set yourself up for success!