Can you sell a Sole Trader Business

[Old-Oak]

15 minutes ago, pleasant said:

Correct. I purchased a small local sole trader business to compliment my existing business several years ago. It was worth more to me than probably anyone else as although a small business it was still a competitor in terms of servicing and repair.

 

The trading name. Email addresses, whatsapp id, reviews, logos, both mobile and landline numbers, historical customer data, website etc were all IP and were transferable to me on completion of the sale.

Perfect...  Yes, forgot website with email address and landline!.. Thank you! .... That's what I'm thinking, someone local who would be a competitor, surly it's worth something to them. Thanks for everyone's input. Getting old in the game and its knowing when to put tools down. 

[Mick Dempsey]

How old? And what are you going to do instead?

If you don’t mind me asking?

[Old-Oak]

16 minutes ago, Mick Dempsey said:

How old? And what are you going to do instead?

If you don’t mind me asking?

56.. and F*^* knows...  You get to this age with the aches and pains and hope that you've got some good lads. But like anyone who's in this game knows, we cant rely on our subbies. 

Edited June 21, 2023 by Old-Oak

[Mick Dempsey]

Ok, thanks.

As for your question, I’ll echo what many have said, you can sell the plant, but the business itself will probably be worth very little, if anything.

Maybe someone you’ve worked closely with over the years will take it on?

You might find someone willing to give you a few grand for the phone numbers and website, might being the operative word.

There was a guy on here a while back who said he’d sold his business for tens of thousands.

Not really sure if anyone believed him.

 

Good luck with it anyway.

[aspenarb]

5 hours ago, Old-Oak said:

Just looking for some advice, Been running now for 30 years, have a great name and logo, with nearly 1000 great reviews on Checkatrade.  A lot of repeat customers. Thinking of jumping out, as pinning down reliable subbies getting hard. How would I value it as a Business, (if that's possible). If so, where to advertise it?.  It will come with the Name & Logo, mobile number , the reviews, book of numbers of customers, saws, tipper truck (Logo front, back, sides) Forst 6 Chipper ST6 low hours and full kits

 

I know someone that bought an ex employers show for 60k and regretted it. There was about 20k's worth of worn out kit which to be fair got him going, he felt like he would have been far better off throwing the other 40k at a serious advertising campaign. There is never a guarantee an existing client base will stay with a new business owner. 

 

Bob

Edited June 21, 2023 by aspenarb

[HRG]

Do you know any other businesses in your area that you could pass the jobs onto for a fee?

 

 

[oldwoodcutter]

Buying the so called goodwill and the euphemistically titled ‘customer base’ off a domestic/ little bit of commercial tree firm that’s throwing in the towel is akin to drawing that hard earned out of your savings account and wiping your arse with it.

By all means cherry pick any of their assets that are not worn out, lashed together, or been welded on the hurry up on a Friday night, but that’s about it.

[GA Groundcare]

A phone that rings with people who are wanting to book your services could have a value to someone. But, are they booking you as a person? Would they still want to use the company if you are not there?

 

Ideally you want customers booking "Old Oak Tree Care" as a business opposed to "John Smith". That way, it is easier to remove yourself and sell the company as a going concern. 

 

It is worth remembering that if you pack up, your surrounding competitors will pick up the work anyway. 

 

 

 

[Steven P]

Reading this all again, what is the timescale that you want? Next week or next year? The longer you have the more options you have. In a years time you could have taken on the new owner to show them the ropes (as it were), the contact list, introduced them to the clients, and profitable areas, working as a partnership - they throw in some cash upfront to buy half (else they will just get all your knowledge for free and set up anyway). Want out next week and then it is a fire sale on your used kit.

 

The profit is in the knowledge, your name and contacts but got to make them work I think for the new owner. Last option is selling to a competitor but if they know you are just walking away whatever they might not be interested, pickup the work anyway.

 

Loyal staff are tricky to pass on legally - they have to retain some terms and conditions I think - but to a competitor or new owner pretty invaluable. Good staff are worth a bit.