10 Home Maintenance Tips

1. Clean and seal decks. Ideally, you'll need three consecutive warm, sunny days. On day one, dry out the deck. Apply
deck cleaner and scrub the deck on the second day and let it dry 24 hours. On the third day, apply deck sealer.
2. Hire a certified chimney sweep to inspect and clean chimneys. Doing this task now instead of the fall allows plenty
of time for repairs before the next heating season. It's also easier to schedule a sweep.
3. Wash the exterior of your house, using ordinary garden hose pressure and a mild detergent. Beware of the pressure
washers; they are powerful enough to force water under the siding where it may encourage mildew and rot. Power
washing is a job for a pro.
4. Caulk exterior joints around windows and doors. Caulking helps keep your house weather−tight and lowers heating
and cooling bills. It can also help keep insects and other "critters" out of your house. When you caulk before painting,
it eliminates edges where the paint may start to peel.
5. Clean lint from the entire clothes dryer vent system, from the dryer to the exterior vent cap. Because lint is
incredibly flammable it poses a fire risk. If a gas clothes dryer is not properly vented, it can force carbon monoxide
back into the home, and that can be deadly.
6. Check operation of attic fans and roof−mounted turbine vents. Attic fans run on little energy and can greatly reduce
summer cooling costs.
7. Clean Ice−Makers. Debris on or around the condenser coils prevents them from cooling, thereby making the
condenser work harder, wasting energy and shortening its life.
8. Burglarproof your House. Inspect the operation of automatic light timers and motion−detector systems, especially if
you're planning a vacation. Break−ins can be thwarted with security measures that prolong the burglar's time and
effort.
9. Repair cracks in concrete patios and driveways. For most cracks less than 1/4", apply concrete caulk; just clean the
crack out with a high−pressure hose nozzle, let it dry and then apply the caulk into the crack. For larger cracks,
substitute concrete patch for caulk.
10. Increase your pool maintenance. Pool parties and more frequent pool use make chlorine dissipate faster. That leads
to algae build up. Conditioners, frequent cleaning and lengthier filter runs are a must for summer

Steve Hoogenakker, Showcase Landscape, Delano Minnesota, Kirsten Hoogenakker, Teri Hoogenakker, Gerrit Hoogenakker, Paul Hoogenakker

Lawn/Landscape Minnesota

I can help, I've done acquisitions for lawn care/landscaping. If you want a BUSINESS VALUATION, below is a very real formula. If you want a REAL LIFE VALUATION, a lot of times it's two guys over coffee, going over customers and employees, then they agree on a percentage of revenue (20-100%) plus maybe buying out some equipment. Short Answer:I'd start out with a number of mows per client, so I'd offer to pay the previous owner the payments received for the first 2-3 mows. You can do it the week after you mow them, or if you wanna be a nice guy, you could pay them for 2-3 mows once they sign your contract. If that isn't good enough, below is very valuable information on larger business acquisitions:Answer that imparts wisdom for this and future transactions:A REAL VALUATION, which you should run at least once per year so you know what your business is worth goes like this:Technically, it's based on EBITDA, which is Earnings Before Interest, Taxes, Depreciation and Amortization. If you would like to know more about that, just reply and I'll give you a better explanation that should be useful. It's basically a "cash flow" formlula. You take your profits, depreciation, interest expense, and any of your pay that is "excessive" to what you do. So, if you're running a crew and making $80,000, you could put $40,000 back towards cash flow because a new owner would have to hire on a new foreman to run that crew:Formula works like thisProfit $20,000Depreciation $30,000 Interest Expense $8,000Excessive Owners Income $40,000 Total: $98,000. Then you use a multiplier on this EBIT or EBITDA formula. Something like 2.5 to 3.5, so the business would be valued at $250,000 to $350,000. In this sort of equation, the value of the equipment is negotiated. IT can be rolled into the price, or the net value can be added, or the buyer may ask that the equipment be paid off from the $350,000 and be free and clear. The way to keep this clear is to think from the buyers view is:I'm going to buy a business for $300,000. I expect to earn $98,000 per year or get 33% for my money which is a lot better than Wall Street!Other factors, it's based on:1. Size of company. I would rather buy companies over $750,000 because there has to be some management or systems in place, but a business broker friend of mine says he finds many many more buyers of businesses of around $200,000-$400,000. We think it's because it's easier for another contractor to add that much service to his present line. 2. Type of billing. Since we're in the Lawn Maintenance forum, I'll assume that we're talking about mowing. "recurring billing" is what brings in a bigger amount. When you have solid monthly billing, this is something that buyers can count on more than one time landscape sales. Commercial usually worth more than Single Family Residential. 3. Spread out customer base. A Customer base that doesn't consist of 3 clients that make up half of the billing is going to scare some people away. A base with 50 clients with no one client making up more than 25% is pretty solid. This is also something that banks financing your company, or financing a sale4. Growth. Most buyers prefer some decent, but not excessive growth. A 10 year company growing 15% every year sounds pretty solid to me with probably a solid customer base. 5. Gross Profit margins. Anyway, if you have other questions, let me know, Best of Luck!Steve Hoogenakker

The first annual Ole Open is being held by Nicole Buzzel on Saturday Feb
16th. Her dad owns a bar in Mora and will sponsor the event. She needs a
head count by Friday this week for people that are interested. T-shirts
are 25$ and sweat shirts are 45$. I believe there will be a bus to
shuttle people from the bar to the golf site. There is a hotel in close
area to the event.

Nicole's number #612-282-2807

Matt Drier
Project Manager
Village Green Landscapes
www.villagegreenlandscapes.com <http://www.villagegreenlandscapes.com/>
Office 651-645-1594
Fax 651-642-9865
Cell 612-369-0166

Steve Hoogenakker
Showcase Landscape