I think the route has value. This is because in the end my time is valuable and I know it would take a lot of it to gain 40 or even 20 accounts hitting the pavement myself. Since I don’t feel Im going to lose 100% or even 25% of the accounts there is expected return. Also contracts don’t make that much difference to me. If they did have say a year contract it wouldn’t be valuable anyhow. Its not long enough to recoup my money. People dont have 3 or 4 year contracts for storefronts. I think the fact that most of them have been with him 3+ years is a positive sign.
At this point I feel like the ball is in my court as jfromthed said hes in a rush. he hasn’t sold it for nearly a year of trying and hes lowered the price significantly. I think I will tell him to keep it on the market as I can tell he will probably take offense to an offer of 3k, but if he can’t sell it I’ll tell him can always come back to me to unload it for 3k.
With “routes” you are comparing “brands” to a general service. It’s apples and oranges friend. A Coke route is a guy stocking Coke at stores that already sell it. Coke itself is constantly pushing and marketing their brand.
With window cleaning, you are selling a “generic” service. No one is obligated to stick with you.
When you buy a used car, are you buying on the contingency that nothing breaks, and if it does, you can come back and deduct that from the sale price?
It’s great buying a route worked out for you. If this was really the norm, then banks would loan you money to buy the routes. But they don’t because a non contracted route is not security for a loan. It’s a huge risk.
Each of us has an opinion, so I’ll leave it at that. We aren’t going to agree, and I’m ok with that.
Im not sure where these jobs are yet as he hasn’t taken me along on the route yet but its not really my style to go after them like that once he’s told me their pricing.
dang @Majestic66 and @freemind stop arguing who right and who’s wrong…
you both have valid points do you feel better now…
@AndyJones just wanted to know if “40 stor front accounts for 7k is worth it”[quote=“mercuryavenue, post:42, topic:37285”]
I think I will tell him to keep it on the market as I can tell he will probably take offense to an offer of 3k, but if he can’t sell it I’ll tell him can always come back to me to unload it for 3k.
[/quote]
^^I think mercuryavenue has come to a decision on the matter!
Yeah that’s not exactly what I was suggesting. Obviously taking somebody’s privileged information and undercutting or trying to swipe their business is a rotten thing to do.
But there is currently nothing legal or moral standing in the way of advertising your services to businesses in that area without forking over a ton of cash.
My opinion is that a route or customer database is only worth money if there is a contractual agreement with the account holder. Otherwise it’s just a old timer looking to cash in before he checks out. Cause he knows once he quits anybody can scoop up those jobs.
Here is the easy answer. Offer to pay him a percentage of each job until it’s paid for with the caveat that if the customer cancels, you don’t owe him any more payments.