[M Henderson]

Good post Sunshine Cleaning.

When you think about it, even though it is intangeable, the goodwill is the most valuable asset of a business. More valuable than the premises and all the rest..

You could go out and buy a car wash place but if it's in the sticks and the records show hardly anybody is using it then you would think twice about buying it.

If it always has a queue of people lines up outside, and it's profitable then that shows there is a market and people require its services.

Unless the standard of services goes severely down hill or prices rise drastically then why should these same customers not keep coming? They still need the services - they are not bothered if it's called Jim's car Wash or Jack's Car Wash - they just want their car washed.

The premises and the machines are of no value unless there is a customer base.

The fact that there's always a queue of people, the goodwill of the customers, that's what's going to bring in the money.

The bank manager knows that, but he needs to be convinced that you are capable of retaining the goodwill.

[big J]

just as a quick follow up  to my long post,  the vendor ahas not attually said what is inclued in the price is it just good will or is ther some commerical or a van for example. I am also unclear wether he emplys staff to wok the round if so then TUPE could raise its head all of which affects the price. Though due diligence should answer these questions it would be nice to know on what basis you are working from

[EZclean]

thats fair enough big j, i'll agree with what you say.
the value is what someone is prepared to pay, as has been said already a few times.
but clearly no one was willing to pay £30k, or offers around it, and no one will pay £21k for what its at now, sure there will be 'interest' in the round as a whole or even seperate bits. but honestly and seriously no one and i mean no one is gonna pay £400 for £42 of work domestic. or £750 for £84.
so together thats £126 of work  a decent days pay for £1150 done monthly.
it's just not gonna happen is it 

[Sunshine/Cleaning]

thats fair enough big j, i'll agree with what you say.
the value is what someone is prepared to pay, as has been said already a few times.
but clearly no one was willing to pay £30k, or offers around it, and no one will pay £21k for what its at now, sure there will be 'interest' in the round as a whole or even seperate bits. but honestly and seriously no one and i mean no one is gonna pay £400 for £42 of work domestic. or £750 for £84.
so together thats £126 of work  a decent days pay for £1150 done monthly.
it's just not gonna happen is it 

I think you are correct EZ. Now that it is broken down it is less valuable. £42 worth of work just isn't sellable AT ALL.

Had it been for sale as a business (Van equipment name etc) it would be a different matter.
Maybe the mistake was to call it a round not a business.

[EZclean]

i think you are correct there also, the JOB LOT from the off with all you need and maybe some training, website van/ company name etc, like you say is a business
and a good one at that established for 6yrs, would sell i think quickly

[JandS]

He's had plenty of offers but dropped his price 7k??
£750 a day cleaning domestics? I don't believe that bit either.

John

[Sunshine/Cleaning]

I got it to about £200 per day.

[Platinum NW]

I got it to about £200 per day.

This is correct it turnsover around £200 per day and is cleaned by 2 cleaners in a 4 day week. There is plenty of room for expansion but i dont think that advertising it as a business for sale is going to make alot of difference as its only the work that is available for purchase

Im not including any equipment in the sale and no vehicle
However this is high quality work which i believe is worth £40k never mind £21k
but as my days get busier and busier i need my time to concentrate on my other business thats the reason for the price reductuion so that potential buyers can gain a better position when trying to finance the buy

[Platinum NW]

As i have reduced the price to around 7 x monthly turnover i should have my hands snatched off because anyone with a business accumine can see that a vendor offering a £36000 a year turnover for £21000 is well worth the price as you will make around a 75% margin within the first year and thats before you canvass more work

[Sunshine/Cleaning]

I got it to about £200 per day.

This is correct it turnsover around £200 per day and is cleaned by 2 cleaners in a 4 day week. There is plenty of room for expansion but i dont think that advertising it as a business for sale is going to make alot of difference as its only the work that is available for purchase£200 for 2 men for 4 days isn't actually great work, I was under the impression it could be done by one man in that time.

Im not including any equipment in the sale and no vehicle
However this is high quality work which i believe is worth £40k never mind £21k
but as my days get busier and busier i need my time to concentrate on my other business thats the reason for the price reductuion so that potential buyers can gain a better position when trying to finance the buy

[EZclean]

£36k turnover, not profit, worked by 2 wc's 3.5-4days a week
£18k a year each before tax (if you split it down the middle)
-fuel
-insurance
-equipment
-bad weather
-holidays (but you couldn't afford to take one)
what you gonna be left with? to run a home and family?

it's worth x3 cleans mate, be honest with yourself it aint that good its probably spread out all over the place and not compact, nice try though cant fault you for that.

[michael robinson]

hey the guy who is selling this round email me your details at compuaid@ntlworld.com

[Platinum NW]

I got it to about £200 per day.

This is correct it turnsover around £200 per day and is cleaned by 2 cleaners in a 4 day week. There is plenty of room for expansion but i dont think that advertising it as a business for sale is going to make alot of difference as its only the work that is available for purchase£200 for 2 men for 4 days isn't actually great work, I was under the impression it could be done by one man in that time.

Yh this is done in 4-5 hours and is compact-At the same time i am running another business so when you actually think of the potential if worked 8 hours a day 5 days a week its good work - there is lots of potential estates go canvass which i already have plans for which will be passed on to the buyer - I have also got to squeeze in appointments as i have 9 interested parties wanting to view the work

Thank you for your input
Best Regards